A new tax incentive included in the GOP’s domestic policy law is drawing mixed reactions from Democratic-led states, with teachers unions emerging as a key obstacle. The provision, designed to encourage private investment in education, has faced strong opposition from organized labor groups, particularly those representing educators. Critics argue the measure could undermine public school funding and weaken collective bargaining rights. Governors considering participation now face pressure to balance economic incentives with political backlash from powerful labor allies.


Democratic governors eyeing a tax incentive created by the GOP’s “big, beautiful” bill have one big reason not to sign up: teachers unions hate it. The GOP’s domestic policy law established a tax ...