The proposed ballot initiative would have required the Arizona Department of Education (ADE) to establish an online marketplace payment system next year for all ESA purchases with approved vendors, and would have eliminated the current reimbursement and debit card system.
The initiative would also have further restricted allowable expenditures, and required valid fingerprint clearance cards for qualified tutors and school personnel. Any parents who intentionally misuse funds would have been disqualified permanently from the ESA program.
Under the canceled initiative, the ESA program would have had to submit quarterly reports addressing vendor payments, disqualifications, and recovered funds to the attorney general as well.
Fortify AZ was supported in its signature-gathering efforts with millions from the American Federation for Children (AFC). Arizona campaign finance records reflected $1.2 million to their political action committee, but AFC said they invested over $5.3 million into the ballot initiative.
AFC said the proposed reforms were aligned with best policy practices implemented in other states: Texas, Arkansas, Florida, Iowa, Indiana, Ohio, Utah, Tennessee, New Hampshire, and West Virginia.
In a press release issued on Tuesday, AFC CEO Tommy Schultz said their organization backed the ballot initiative as the “best opportunity to save school choice in Arizona,” which they say is under threat by school choice opponents behind the other proposed ballot initiative which would end universal school choice, the Protect Education Act.
“After a small number of individuals acted to sabotage this chance for the school choice-gutting petition to be pulled and commonsense reforms enacted, we are evaluating our best next steps to ensure the union-backed petition does not rip school choice away from thousands of Arizona students overnight and fundamentally break the program for the rest,” said Schultz.
As the Arizona Agendareported, Republican lawmakers and the Arizona Education Association, the state’s largest teachers union, nearly reached a secretive school choice reform deal to end both the Arizona Empowerment Scholarship Accounts Reform and Accountability Act as well as the Protect Education Act.
However, the Arizona Free Enterprise Club raised concerns over the impact of the secretive deal on the ESA program.
Don't Cut a Deal that Kills ESAs — Lawmakers are negotiating a secret bargain with teacher unions tonight. Over 100,000 Arizona students hang in the balance. https://t.co/dToo9ac4uQ
— AZ Women of Action (@AZWomenofAction) June 12, 2026
Ultimately, lawmakers voted against the proposed deal.
Matthew Nielsen, founder of the Educational Freedom Institute, called the Arizona Empowerment Scholarship Accounts Reform and Accountability Act an “ill-conceived, and now ill-fated […] waste.”
The other ballot initiative to end the universality of the ESA program will continue. The Protect Education Act would place a $150,000 income cap for ESA program enrollees.
Additionally, this initiative would not only require qualified tutors and schools to have valid fingerprint clearance, it would subject them to Arizona State Board of Education discipline and require them to pay a fee and register annually with ADE.
Protect Education, Accountability Now, the political action committee behind the still-active ballot initiative, has spent about $2.7 million of the nearly $4.6 million it has raised.
98% of those funds (more than $4.4 million) came from the National Education Association, a national teachers’ union and the largest labor union in the nation.
As of this report, the ESA program has over 100,700 students enrolled.
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A Goldwater Institute-backed measure to constitutionally protect Empowerment Scholarship Account (ESA) funds for children of military families will go before Arizona voters in November after receiving legislative approval.
House Concurrent Resolution 2048, sponsored by Rep. Michael Way (R-LD15), asks voters to amend Article XI of the Arizona Constitution by adding a new section prohibiting the state from confiscating money from certain scholarship accounts of students who are children of military families.
Under the resolution text, the prohibition would apply if the scholarship account is established and maintained by the state under a program that designates children of military families as eligible to receive scholarship money, and if the student may use the money for tuition or fees at eligible postsecondary educational institutions. The resolution states that the provision is not limited to scholarship account programs established and maintained by the state only for children of military families.
The measure defines a “child of a military family” as a student whose parent is serving on active duty in the U.S. Armed Forces, was serving on active duty when the student’s eligibility was initially determined, or was killed in the line of duty. The measure defines “confiscate” as seizing, transferring, or otherwise taking money from a scholarship account.
The resolution includes exceptions for closures of accounts tied to individualized findings of illegal activity or wrongdoing after due process. It also accounts for routine account closures, including voluntary closure or failure to renew an account, graduation from an eligible postsecondary institution, or loss of eligibility after a student fails to enroll in an eligible postsecondary institution for at least four consecutive years after graduating from high school.
HCR 2048 also states that if a bill enacted into law or a voter-approved measure on or after Nov. 1, 2026, violates the proposed constitutional provision, the entire bill or measure is void and a court may not sever any portion of it. The resolution directs the Secretary of State to submit the proposition to voters at the next general election.
The measure passed the Senate on June 12 by a 16-13-1 vote and passed the House on final reading June 13 by a 31-22-7 vote.
The Goldwater Institute described the measure as its “Military Family Protection Act” and said it is intended to protect military families participating in Arizona’s ESA program from future efforts to redirect or reclaim scholarship funds.
The Arizona Department of Education (AZED) currently lists 100,713 students enrolled in the ESA program this school year. The department’s Fiscal Year 2026 Quarter 1 report, covering July 1 through Sept. 30, 2025, counted 93,993 ESA students, including 975 students in the category for students whose parent is active-duty military or was killed in the line of duty.
Goldwater’s Director of Education Policy, Matt Beienburg, told lawmakers that military families should not lose scholarship funds through a separate ballot proposal aimed at the ESA program.
“There is a current ballot measure being proposed to attack the scholarship funds and confiscate the scholarship funds of children, including military families,” Beienburg said. “These families should not be treated as a piggy bank to raid. These are families who have protected this nation.”
Rep. Way said the measure is intended to prevent Arizona from reclaiming scholarship money after families were promised access to the program.
“This measure asks a very simple question: should Arizona be allowed to take scholarship money from military families after we promised them? My answer is no,” Way said.
The referral comes as opponents of the ESA program are circulating the Protect Education Act, a proposed ballot initiative that would impose new restrictions on the ESA program. The campaign says the measure would require background checks and safety standards for voucher-funded schools, add spending transparency rules, prohibit non-educational and luxury purchases, cap family income for ESA eligibility at $150,000 with annual inflation adjustments, require unused ESA funds to be returned, and require voucher-funded schools to be accredited or administer approved assessments. The campaign says students with disabilities would be exempt from the income cap and assessment provisions.
In an op-ed for AZ Free News, Matthew Ladner and Jason Bedrick of the Heritage Foundation wrote that AZED published the results of a random audit of the ESA program in March 2026, “finding very low rates of misspending relative to other publicly funded programs and even lower rates of fraud. Less than 2% of ESA funds were spent on unallowed items, and 0.3% of the funds were spent on items considered ‘egregious’ or fraudulent.”
AZED disputed claims that the ESA program had a 20% fraud rate in a March release, saying about 2.0% of dollars spent by ESA account holders were for items deemed unallowable under program rules and that actual fraud or egregious purchases accounted for 0.3%.
“The submission of a purchase that is deemed unallowable does not constitute fraud,” AZED said. “Most are innocent mistakes, such as an error in a form that must be resubmitted, or educational items that are not on the allowable list but that the user could have in good faith believed were permitted. Some examples would be backpacks, lunch boxes and water bottles.”
AZED said the 20% figure represented program participants selected for risk-based auditing and “had nothing to do with fraud.” The department said action is taken to recover or collect funds or refer matters to law enforcement when necessary, and that more than $1.2 million had been recovered through that process.
Opponents of HCR 2048 have argued that its voidability provision could invalidate ESA reform proposals if voters approve conflicting measures. ABC15 reported that critics said the measure is aimed at blocking the Protect Education Act, while supporters said it is intended to protect scholarship funds promised to military families.
HCR 2048 was one of three education-related ballot referrals approved before the Legislature adjourned. Senate Republicans said the measures were intended to protect military families, direct more education dollars into classrooms, and restrict the use of taxpayer-funded school resources for labor organization activities.
“These scholarship funds were created for helping the children of military families pursue higher education,” Senate Appropriations Committee Chairman David Farnsworth said. “When government faces budget pressures, dedicated funds can become tempting targets. Arizona should never balance its books on the backs of military families or treat money set aside for their children’s futures as a piggy bank.
“This referral permanently protects those funds and ensures they remain available for the students they were intended to serve.”
The group seeking to end Arizona’s universal school choice program declared that it doesn’t have to disclose the percentage of out-of-state funds.
A complaint filed in April alleged the Protect Education, Accountability Now Committee (PEANC) falsely advertised that only 9% of contributions came from out of state.
PEANC’s ballot initiative, the Protect Education Act, would impose an income cap limiting enrollment in Arizona’s school choice program, Empowerment Scholarship Accounts, and eliminate funding rollover.
PEANC claimed in a response submitted on Friday and obtained by AZ Free News that Arizona law only requires the percentage of out-of-state contributors, not out-of-state contributions.
The section of Arizona law at issue (A.R.S. § 16-925) states the following:
“In addition to the disclosure required by subsection A of this section, a political action committee that makes an expenditure for an advertisement shall include a disclosure stating: […] The aggregate percentage of out-of-state contributors as calculated at the time the advertisement was produced for publication, display, delivery or broadcast. The disclosure shall state ‘paid for by _____’ as prescribed by subsection A of this section, followed by ‘with _____% from out-of-state contributors’ with the blank to be filled by the aggregate percentage prescribed by this paragraph.”
Counsel for PEANC argued in its response letter that, while nearly $4.5 million of its $4.6 million in net contributions did come from Washington, D.C. labor organizations, only 9% of all contributors to PEANC were from out of state.
“This text requires disclosure of the aggregate percentage of out-of-state contributors — i.e., based on contributor counts — not dollar amounts or ‘aggregate funding,’ and that percentage is calculated ‘at the time the advertisement was produced,’” stated PEANC’s counsel, Barton Mendez Soto. “The word ‘contributors’ refers to the people or entities making contributions, not the dollar amounts of their contributions.”
PEANC’s counsel said their interpretation accurately reflected what they dubbed the “contributors-percentage metric” represented by the statute.
The complainant, Jack Pannell, filed his complaint with the secretary of state after he observed a disclaimer on the bottom of PEANC’s website claiming that out-of-state contributors accounted only for 9% of total funding.
An archived version of the site captured in early February reflected an out-of-state contributions disclosure that totaled 50%.
Major Arizona-native donors to the PEANC came nowhere near the millions posted to PEANC’s finance reports; these donors include Arizonans For Quality Education (AFQE), $50,000; Nita and Phil Francis, $25,000; and the Arizona Education Association, $10,000.
Approximately 99% of AFQE’s funding has been tied to “shadow sponsors,” meaning unnamed corporations and LLCs. The remaining funds, less than half of a percent, came from an individual named Christopher “Chris” Kotterman on behalf of the Friends of ASBA, an affiliate of the Arizona School Boards Association.
Kotterman has served as Gov. Katie Hobbs’ senior policy advisor since late 2024.
The Protect Education Act would need about 256,000 signatures to make the ballot. The petition-filing deadline is July 2.
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Democratic Rep. Yassamin Ansari (AZ-03) again demanded that Immigration and Customs Enforcement (ICE) be abolished in her first State of the District address on Wednesday.
The address — which was not livestreamed or posted to any of Ansari’s social media accounts — was largely an indictment of President Donald Trump and his administration.
“We are living through the most corrupt and the most authoritarian administration in American history, led by a lunatic with no regard for human life,” said Ansari.
Ansari advocated for the immediate abolition of ICE. She claimed the agency was a murderous, chaotic, cruel entity lacking accountability.
“It is absolutely clear that we must do everything in our power to stop and abolish ICE as quickly as possible,” said Ansari. “Immigration enforcement [is not] locking up tens of thousands of people into what can only be described as concentration camps run by private prison companies designed to profit off of human suffering.”
The congresswoman has made similar calls for immigration enforcement abolition throughout her freshman tenure. At the Munich Security Conference in February, Ansari advocated for abolishing all immigration enforcement in addition to implementing a wealth tax and subsidizing healthcare, homeownership, and childcare.
During her State of the District, Ansari also announced her endorsement of a ballot proposal to gut universal school choice in Arizona, the Protect Education Act. Present for this recommendation were the state’s largest teacher’s union, the Arizona Education Association (AEA), and the activist group Save Our Schools Arizona.
Featured speakers at Ansari’s first State of the District were Reyna Montoya, founder and CEO of Aliento Arizona; Mike Renaud, president and CEO of Valle Del Sol; Marisol Garcia, president of the AEA; Karyleni Alburquerque, Ansari’s former ambassador for the 3rd congressional district; Dr. Matthew Whitaker, executive director of the George Washington Carver Museum and Cultural Center; and Jake Hylton, executive director of Lookout Publications.
Andrew Simek, Ansari’s field representative and community manager, claimed in a LinkedIn post that Ansari has attended over 300 community events, hosted over a dozen town halls, logged over 1,000 volunteer hours, and engaged with over 77,000 constituents.
On that last point — it was unclear whether that total for constituents included any illegal aliens facing detainment or deportation, since Ansari has claimed this class as part of her “historically underserved and underrepresented” constituency.
Ansari disclosed during her address that she prioritized community outreach to these underserved and underrepresented populations, specifically calling out the Afghan refugees, Iranian students, and Sudanese and Asian communities.
The congresswoman also advocated for government-run pharmacies, taxation on excess profits by oil companies, expansion of government-run housing, expansion of government-subsidized rent, government subsidies for house down payments, double wages for overtime, and universal healthcare.
Ansari also laid claim to securing over $17 million in federal funding for community projects, or Community Project Funding:
$2.1 million for the city of Phoenix Fire Wildland Urban Interface;
$2 million for the Arizona State University Center for Heat Resilient Communities;
$2 million for the Arizona State University CHIPS and Domestic Manufacturing Research Initiative;
$2 million for the city of Phoenix’s Real Time Crime Center;
$2 million for the town of Guadalupe’s Biehn Colony Park Reconstruction;
$1.1 million for the city of Tolleson Wastewater Digester No. 4 Project;
$1 million for the city of Tolleson Multi-Modal Path Lighting Project;
$1 million for the Arouet Foundation’s 2026 Reentry Prosperity Model;
$1 million for the Valley Metro Community Safety Project;
$850,000 for the city of Glendale Transportation Improvements;
$830,000 for the city of Phoenix Central Arizona Shelter Services’ Single Adult Shelter Renovations;
$800,000 for the city of Phoenix Alternative Fuel Vehicle Fires Mitigation;
$580,000 for Axiom Community of Recovery’s Transition to Recovery and Reentry Program; and
$250,000 for Phoenix Sky Harbor Airport Improvements
Ansari introduced 32 bills and cosponsored over 450 bills. None of her bills have advanced beyond introduction. Two bills propose to overhaul and defund ICE.
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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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