An Arizona mother says the state’s universal school choice program ensured the successes of her nine children.
Andrea attested that the Empowerment Scholarship Account (ESA) program allowed her family to have choice in the education of their nine children after she and her husband lost their jobs.
“It was a hard time to be able to pay for homeschool; we would have had to put our kids in a public school, and it was really stressing us out,” said Andrea.
ESAs empower kids with scholarships for the best fit education.
Listen to this AZ homeschool mom share how ESAs empower her kids.
— AZ Women of Action (@AZWomenofAction) May 19, 2026
Andrea told America’s Women that the job her husband acquired following his job loss didn’t provide enough income to cover the costs of homeschooling. The prospect of forcing her children to enter “a one-size-fits-all system” worried her; Andrea said the ESA program allowed her to provide her children with unique opportunities and freedoms not available within public education.
“Homeschooling with ESA has opened doors beyond traditional education. Our children have the opportunity to learn through real-life experiences — hiking in nature, visiting museums, and engaging in hands-on learning that brings lessons to life,” said Andrea. “They can move at their own pace, receive one-on-one attention, and explore interests that will shape their future paths and careers.”
As of Monday, the ESA program reported surpassing 101,500 students. The program also reported the enrollment of 3,300 new students for the next school year.
The ESA program may undergo reforms from two propositions gathering signatures to make it onto the November ballot: the Protect Education Act and the Reform and Accountability Act. Each would need 256,000 signatures to make it onto the ballot.
The Protect Education Act would impose an income cap on enrollment in the ESA program, in addition to eliminating the rollover of funding. This proposition is backed by two big critics of school choice: the state’s main teachers union, Arizona Education Association, and the nonprofit Save Our Schools Arizona.
Under the reforms on this proposal, qualified schools and tutors would have to pay fees and register annually with the Arizona Department of Education (ADE). Qualified schools must be accredited or administer state assessments, and the state would have greater oversight of nonpublic schools receiving ESA funds.
The Reform and Accountability Act would mandate the ADE to establish an online marketplace payments system starting July 2027. The proposed system would limit ESA purchases to approved vendors. This would eliminate the current system, in which parents rely on reimbursements and debit cards.
The program would need to issue quarterly reports to the attorney general detailing vendor payments, family disqualifications, and recovered funds. As part of that crackdown on misspending, this ballot measure would permanently disqualify parents from the program who intentionally misuse school choice funding.
Students not enrolled full-time at a qualified school would need to participate in an approved examination to gain entry to the ESA program. Then, the ADE would need to maintain lists of approved examinations and curricula.
The American Federation for Children has backed this proposition.
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The Common Sense Institute (CSI) released the first report in its 2026 Ballot Guide series, examining the fiscal, educational, and family impacts of the proposed “Protect Education Act.” The analysis concludes that the measure would immediately disqualify approximately 20,300 current universal ESA families through a new income cap, while gradually excluding more than half of Arizona families with school-aged children over time as incomes rise faster than the cap’s limited adjustment.
The proposal would also impose new accreditations, testing, and spending restrictions on participating schools, potentially disrupting educational choices for over 100,000 Arizona students currently using Empowerment Scholarship Accounts (ESAs).
Arizona’s K-12 landscape has been shifting for more than a decade, with district enrollment declining since 2008 as families increasingly turned to charter, private, homeschool, and micro school options. District schools lost roughly 50,000 students in 2021-2022 alone—before universal ESA eligibility—and today enroll about 75,000 fewer students than in 2019-2020.
Fewer than 70% of Arizona’s school-aged children now attend district schools, down from 80% a decade ago.
In response to these trends and parent demand for alternatives, lawmakers expanded ESA eligibility in 2022 to all school-aged children, removing prior public-school attendance requirements. Participation surged to more than 100,000 students (nearly 10% of Arizona’s K-12 population), with annual awards totaling around $1.1 billion. One quarter of participants remain in pre-universal categories, including a rapidly growing share of students with disabilities.
Key Impacts of the Proposed Act
The Protect Education Act would limit universal ESA scholarships to households earning under $150,000 annually, require participating private schools to register, accredit, and/or conduct mandatory state testing, and further restrict allowable uses of funds by tightening definitions of “noneducational” and “luxury” items.
CSI’s analysis estimates that 24% of current ESA users have household incomes above the proposed threshold, immediately affecting roughly 20,300 universal-eligibility families.
Statewide, approximately 400,000 school-aged children—potentially up to 40% when accounting for family sizes—could be permanently excluded from universal ESAs based on 2024 income distributions.
Although the cap includes a 2% annual inflation adjustment. Arizona household incomes have historically risen closer to 4% per year, leading CSI to project that more than 52% of families with school-aged children could be income-excluded by 2045.
The restriction could also indirectly reduce participation in other eligibility categories. Growth in ESA usage among students with disabilities accelerated after universal expansion; without it, there might have been roughly 10,000 fewer participants in those targeted groups.
“Arizona’s K-12 system has been evolving for more than a decade as enrollment patterns, family preferences, and educational models continue to diversify,” stated Director of Policy & Research at CSI, Glenn Farley. “This analysis finds the proposed Act would not simply adjust ESA eligibility requirements, but could significantly reshape access to nontraditional education options over time. More families are signaling that one size does not fit all and are seeking educational choices that better meet their children’s needs.”
Fiscal Analysis: ESA Delivers Savings
ESA students receive significantly less funding than their public-school peers. The average universal ESA award is approximately $7,700 per student, compared to nearly $15,000 per public-school student. CSI estimates that shifting 20,000 universal ESA students back into district classrooms would increase annual taxpayers costs by about $115 million.
Despite serving over 100,000 students, the total number of publicly funded K-12 students (district, charter, and ESA) remains consistent with pre-2020 projections. The funding mix has simply shifted to better align with actual enrollment and family preferences, producing net savings for taxpayers. Arizona is also spending 30% more per-public school pupil (inflation-adjusted) than a decade ago, yet the share of funding reaching classrooms has declined slightly while support services have grown.
Academic Performance and Oversight
According to CSI, Arizona district students score low on state assessments with only 39% proficient in reading, 32% in math, and 27% in science. Available data indicate stronger outcomes in private and homeschool settings.
ACT scores show private school students outperforming public school counterparts by 19% and homeschool students by 12%. National Assessment of Educational Progress (NAEP) results similarly suggest private school students outperform roughly 70% of their public peers where comparable data exist.
CSI’s survey of participating private schools revealed that 84% already administer standardized testing and about two-thirds hold accreditation from recognized bodies. All respondents imply background checks and staff qualification standards. Private school leaders warned that the Act’s new requirements would create administrative burdens, with three-quarters indicating possible tuition increases and one in five suggesting they might stop accepting ESA students—potentially displacing over 4,600 reported ESA users.
Oversight mechanisms already exist in the ESA program. Arizona Department of Education audits found only 1.9% of sampled spending “unallowable” and 0.3% “egregious”—rates lower than many other public programs.
“Arizona was one of the first states to broadly expand Empowerment Scholarship Accounts, and a growing number of states have since adopted similar programs as demand for educational flexibility has increased,” added Farley. “If approved by Arizona voters, the proposal could significantly narrow access to options many Arizona families have increasingly turned to as part of the state’s changing education landscape.”
Ethan Faverino is a reporter for AZ Free News. You can send him news tips using this link.
The coalition behind a ballot initiative to roll back the universality of Arizona’s school choice program is facing a campaign finance complaint.
On Thursday, the Protect Education Accountability Act Now Committee (PEANC) was made subject to a complaint, reviewed by AZ Free News. PEANC was accused of falsely claiming that out-of-state contributors amounted to a mere nine percent of funding.
PEANC filed the ballot initiative, “Protect Education Act” last month. If approved, the initiative would impose an income cap on enrollment in the Empowerment Scholarship Account Program, among other restrictions to include an elimination of funding rollover. The Protect Education Act superseded an earlier version, the “Protect Education, Accountability Now Act.”
In order to make the ballot, the initiative will need nearly 256,000 signatures. PEANC reported gathering over 150,000 signatures during a virtual press conference on Friday.
The complainant, Jack Johnson Pannell, cited a disclaimer posted to the bottom of PEANC’s website. That disclaimer reflects PEANC’s total out-of-state contributors account for only nine percent of its total funding.
Arizona law requires political action committee advertisements to disclose the aggregate percentage of out-of-state contributors as calculated at the time the advertisement was produced for publication, display, delivery, or broadcast.
Pannell’s complaint called for a declaration that PEANC violated Arizona campaign finance disclosure law and an action against the committee.
Pannell said on X that Arizona families deserve the truth behind PEANC. Pannell is the founder of Trinity Arch Prep School for Boys, a microschool.
“More than 100,000 families are choosing great options for educating their children,” said Pannell. “It’s a cheap shot to accuse hardworking people of cheating the system. It just ain’t true.”
I’m proud to file this complaint because AZ families deserve the truth. More than 100,000 families are choosing great options for educating their children. It’s a cheap shot to accuse hardworking people of cheating the system. It just ain’t true. #schoolchoicehttps://t.co/FFz9MkTWLh
Contrary to this disclaimer, campaign finance records reveal that 98 percent — $4.5 million, or nearly all of PEANC’s $4.6 million in funding — have come from special interest groups in Washington, D.C.
That $4.5 million came from the National Education Association in four allotments delivered throughout February and March. The first payments from the NEA (over $2.3 million) came on February 13 — exactly a week after PEANC registered their website domain.
The earliest available archived version of the site captured on February 12 reflected an out-of-state contributions disclosure totaled at 50 percent.
Other major donors included the Arizonans For Quality Education ($50,000), Nita and Phil Francis ($25,000), and Arizona Education Association ($10,000).
99 percent of AFQE’s funding has come from “shadow sponsors”: unnamed corporations and LLCs. The remainder of the funding, less than half of a percent, came from Christopher Kotterman on behalf of the Friends of ASBA.
Kotterman became a senior policy advisor for Gov. Katie Hobbs in late 2024.
Phil Francis is the retired chairman and CEO of PetSmart; Nita Francis formerly chaired the Valleywise Health Foundation board.
Correction: A previous version of this story incorrectly listed Justan Rice as the current chairman of Arizonans For Quality Education (AFQE). Rice left AFQE in June 2025 before the donation to PEANC was made.
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Arizona’s school choice program allows participants to use funds to pay for college, per a reminder from the state’s top elected education official.
Tom Horne, Arizona Superintendent of Public Instruction, promoted this usage of Empowerment Scholarship Account (ESA) program funds in an interview with The Center Square last week.
Horne said this option was more than just a benefit to families. The superintendent made the case that higher education directly correlated to strengthening Arizona’s economy.
“We want kids to go to college,” said Horne. “The percentage of college-educated students in a state has something to do with the success of its economy.”
This is not a new allowance. Arizona law has allowed this use of school choice funds since universalization occurred in 2022 under the former governor, Doug Ducey. Arizona was the first state to open school choice to all students.
Over 102,800 students have enrolled in the ESA program for the 2025-2026 school year, as of last week.
Horne is touting the benefits of the ESA program amid attacks from various special interests.
The Arizona Department of Education (AZED) is under pressure from a major media outlet, 12News, and anti-school choice organizations over misspending rates within the program.
12News reported that 20 percent of ESA expenditures were improper purchases. AZED reported the misspending rate amounted to less than two percent.
12News argued both figures can be true depending on the context, but Horne argued that was not the case. He said the actual amount of fraudulent purchases out of all misspending was 0.3 percent.
“The people who’ve made these criticisms fundamentally did not understand. To start with, [12News] said there was 20 percent fraud,” said Horne in a KTAR interview last month. “The 20 percent figure was the percentage of purchases under $2,000 to see if they were okay or not. But only 20 percent of that 20 percent were improper. That’s four percent. And the other thing to know is, they’re not all fraud. A lot of times it’s innocent mistakes.”
While Horne continues to defend and promote the merits of the ESA program in its present form, both supporters and detractors of the program argue changes need to be made.
Horne’s primary election challenger, Treasurer Kimberly Yee, announced last month that reforms were needed to reduce improper spending, starting with a switch in the reimbursement vendor.
Regardless of the outcome of this election, either Horne or Yee may face new challenges from school choice opponents.
The benefit to pay for higher education through the school choice program, and universalization as a whole, may be limited later this year pending the outcome of a ballot initiative seeking to place an income cap on eligibility.
Under the initiative, only families earning less than $150,000 a year would qualify to enter the ESA program. That income ceiling would be adjusted annually.
Under that income cap, approximately 15 percent of current ESA students would be removed from the program.
The initiative would also further restrict the list of allowable purchases. All tutors, schools, and service providers would be required to fall under State Board of Education oversight, and pay a fee and register annually with AZED to receive ESA funds.
It would also eliminate the current ability for families to rollover funds. All unspent funds would be recouped and returned to the state. That would, effectively, end ESA students’ ability to set aside funds over the years to pay toward college.
The Arizona Education Association and Save Our Schools Arizona are behind the ballot initiative, “Protect Education Act,” filed last month (this version superseded a previous version, the “Protect Education, Accountability Now Act”).
The initiative requires nearly 256,000 signatures to make the ballot.
AZ Free News is your #1 source for Arizona news and politics. You can send us news tips using this link.