Arizona has cemented its position as the first state with universal private K-12 school choice, a landmark expansion of its Empowerment Scholarship Accounts (ESAs) program, despite a last-ditch effort by opponents to halt its progress. This move builds on decades of education reform in the state, sparking a heated debate over its financial implications and profound impact on family educational freedom.
The desert state of Arizona has once again made national headlines, solidifying its status as a pioneer in education reform. Following a decisive failure by opponents to gather enough signatures to block its implementation, Arizona’s universal Empowerment Scholarship Accounts (ESAs) program is now set to provide unprecedented educational choice for every K-12 student in the state. This marks a significant milestone, making Arizona the first state to offer universal access to private K-12 education options.
The program allows state education funds—typically around $7,000 to $8,000 per year per child—to be used by parents for a variety of educational expenses. These include private school tuition, tutoring, textbooks, online courses, homeschooling curricula, and special-needs therapy. The expansion is a culmination of decades of commitment to education freedom in Arizona, though it has ignited fierce debate over its financial sustainability and broader impact.
A Long Road to Universal Choice: Arizona’s Education Legacy
Arizona’s journey toward universal school choice didn’t begin overnight; it’s a story rooted in reforms initiated in the early 1990s. Visionary leaders like Governor Fife Symington, along with pioneers such as Lisa Graham Keegan, Tom Patterson, and Armando Ruiz, laid the groundwork by passing initial charter school legislation and district open enrollment policies in 1994. Patterson vividly recalled a legislative debate where his advocacy for district open enrollment was dismissed as “the craziest thing I’ve ever heard.”
Decades later, the foresight of these pioneers has been validated. Data from Stanford University reveals that Arizona led the nation in the rate at which students learned between 2008 and 2018, surpassing northeastern states with significantly higher per-pupil spending. This academic growth underscores the effectiveness of Arizona’s choice policies in fostering a diverse educational landscape.
The initial ESA program was established in Arizona in 2011, primarily serving students with disabilities. Over time, it expanded, culminating in Governor Doug Ducey signing H.B. 2853 in July 2022, which extended universal access to every family in the state. This legislation, hailed as the most expansive school choice program in the country, ensures that funding follows the student to their chosen educational institution.
The Failed Effort to Halt Expansion
The path to universal choice was not without significant opposition. The Save Our Schools group, along with teachers’ unions and other opponents, launched a last-ditch effort to freeze the expansion by forcing a ballot initiative. They needed to collect 118,843 petition signatures to achieve this, but ultimately fell short, submitting only 88,866 signatures, according to petition sheets released by the Secretary of State’s office. This failure cleared the way for the ESA program to move forward, expanding access to more than 1.1 million children.
State Representative Ben Toma, a fearless advocate for education freedom, noted that “proponents of the failed referendum built their effort on the fallacy that public schools are harmed by Arizona’s ESA program. That of course is untrue.” He further asserted that in Arizona, “when funding follows the student, the performance of schools and students has improved.” This sentiment was echoed by Cathi Herrod, Esq., President of the Center for Arizona Policy Action, who stated, “Arizona families want choice in education… ESAs are the end of the one-size-fits-all education that works for some, but not for many others.”
Addressing the “Bankrupting the State” Narrative
Despite the program’s advancement, its opponents continue to raise alarms about its financial impact. Governor Katie Hobbs and Democratic legislative leaders have argued that school choice is “bankrupting Arizona,” with Governor Hobbs tweeting that the ESA program “in its current form is not sustainable” and represents “out of control and unaccountable spending.” Similarly, Representative Andrés Cano, leader of the Democratic caucus in the Arizona House, warned that “without reform, empowerment scholarship accounts will bankrupt our state & our public schools.”
However, proponents and recent analyses offer a different perspective. A report by the Common Sense Institute (CSI) in October projected that ESA enrollment would surpass 100,000 students during fiscal year 2026, marking a 753% increase since 2022, as reported by The Center Square. The Arizona Department of Education’s own projections noted that “many of the students that are enrolling now are coming from the public school system, which in the end saves the state money.”
The financial arguments often hinge on comparing the cost per student. Arizona public schools spend approximately $14,000 to $15,000 per pupil annually, while an ESA provides roughly $8,000 per year. Although the ESA program is projected to cost over $1 billion in fiscal year 2026, this represents only a fraction of the state’s total education budget. For instance, the $900 million projected for FY2024 (for 100,000 students) is barely 2% of Arizona’s total state spending of $80.5 billion in 2022.
According to the Common Sense Institute report, current enrollment in Arizona public district and charter schools combined is over 80,000 students below pre-pandemic projections, resulting in an estimated savings of $639 million. CSI Director of Policy and Research, Glenn Farley, explained that while ESA growth increases state costs, “when we see district enrollment decline, that decreases state costs by a similar amount.” He estimated that Arizona saved $750 million due to declining public school enrollment since the COVID-19 pandemic. Farley also noted that middle-income families, earning between $75,000 and $150,000, are the primary users of the ESA program, accounting for almost 57% of participants, as other income groups are better served by existing Certified School Tuition Organization (STO) tax credit scholarships.
Despite these figures, Attorney General Kris Mayes echoed Governor Hobbs’ concerns, threatening a lawsuit and an investigation into participating families for “waste, fraud, and abuse.” However, with Republicans holding slim majorities in the legislature, Governor Hobbs currently lacks the legislative support to roll back the school choice expansion.
The Future of Education in Arizona and Beyond
Arizona’s universal ESA program signifies a profound shift, offering families true self-determination in their children’s education. Parents are no longer bound by zip code, able to choose from private schools, homeschooling, tutoring, micro-schools, or other educational solutions. The program imposes no new restrictions on families, no testing requirements for eligibility, and non-public institutions are not required to report results, emphasizing choice and flexibility.
Superintendent of Public Instruction Tom Horne stated that students enter the ESA program when “their parents decide that the local public school is not meeting their child’s academic needs.” He expressed hope that the “competition provided by ESA will cause the personnel in schools that may be losing some students, to further improve their programs and their support for academic achievement.”
The success of Arizona’s bold commitment to education freedom has been richly rewarded, inspiring calls for other states to adopt similar policies. As Victor Riches, President and CEO of the Goldwater Institute, affirmed, “families deserve the right to choose the best education option for their children, regardless of zip code.” With the universal ESA program now firmly in place, Arizona continues to lead the way, offering a powerful model for the future of education nationwide.
