(Radio Iowa) – Governor Kim Reynolds has selected a New York company to administer the new state-funded Education Savings Accounts created by a law she signed in January. Earlier on Wednesday, Odyssey was one of four companies that applied for the Iowa contract. The governor’s office announced state officials will now start negotiating contract details with the company.

Starting this fall, low-income parents who enroll a child in a private school will apply for about 76-hundred dollars from the state to cover tuition and other expenses. In the third year, all private school parents will qualify for the state funding. Odyssey is managing Education Savings Account programs in Arizona and Idaho.

According to the governor’s office, the company will be in charge of customer service and fraud detection. Critics say the law Reynolds signed does not provide enough direct oversight to prevent fraud.