Winn

BACKGROUND

Plaintiffs allege that Arizona’s Revised Statute § 43-1089 (“Section 1089”), as applied, violates the Establishment Clause of the First Amendment. Section 1089, first enacted by the Arizona legislature in 1997, gives individual taxpayers a dollar-for-dollar tax credit for contributions to “school tuition organizations” (“STOs”).1 A STO is a private nonprofit orga- 1 A parallel statute, which plaintiffs do not challenge in this action, gives corporations a dollar-for-dollar tax credit for contributions to STOs. See Ariz. Rev. Stat. § 43-1183. WINN v. ARIZONA CHRISTIAN SCHOOL 4593 nization that allocates at least 90 percent of its funds to tuition grants or scholarships for students enrolled in “a nongovern- mental primary or secondary school or a preschool for handi- capped students” within the state. Ariz. Rev. Stat. Ann. § 43- 1089(G)(2)-(3) (2005).2 STOs may not provide scholarships to schools that “discriminate on the basis of race, color, handi- cap, familial status or national origin,” but nothing in the stat- ute precludes STOs from funding scholarships to schools that provide religious instruction or that give admissions prefer- ences on the…