Parent Feedback Forces Fresh Revisions on ESA Handbook

A proposed revision of the Empowerment Scholarship Account (ESA) handbook was tabled during a State Board of Education meeting on Monday due to strong opposition regarding the implementation of price caps on various purchases. The motion to adopt the draft handbook received no second and was not voted on as several speakers voiced their concerns.

This decision defers the handbook’s approval, leaving board members, the Department of Education, and a parent handbook committee to address the issues raised by parents before considering another round of revisions. The board must finalize the handbook by May 1, but the path forward is uncertain following this backlash.

John Ward, executive director of the ESA program, expressed surprise at the lack of adoption, noting uncertainty about the feedback the state board would provide for future revisions. The ESA handbook serves as a user manual for account holders, outlining necessary documentation and purchase criteria. It is mandated to be updated annually to comply with State Board of Education rules.

Tensions related to the ESA handbook began earlier this year. The board opted not to adopt a handbook for 2024, continuing with the existing manual amid claims of insufficient input from ESA account holders. Following this decision, the Department of Education formed a parent committee to develop a new handbook, which was later subjected to review and approval by the state board.

An initial draft of the 2025-26 handbook was introduced on March 3, with feedback sought from account holders the following day. This draft quickly garnered criticism, particularly regarding the proposed price caps.

If approved, the price caps would limit ESA account holders to specific spending limits on various educational items. For instance, the caps set $500 for home economic equipment, $4,000 for instruments, and $3,000 for SmartBoards over the program’s duration. Ward described the price cap issue as a “lightning rod,” with nearly 170 pages of public comments primarily addressing this concern.

Arizona State Superintendent Tom Horne reiterated that the Department of Education must ensure compliance with state laws regarding valid educational expenses. He affirmed that the authority to define eligible expenses rests with the department, reflecting a balance between flexibility and regulation.

Originally proposed by the ESA Parent Handbook committee, the price caps aimed to clarify reasonable spending under the program and streamline the reimbursement process. However, adjustments made by the department, including lower caps and specific time limits for certain purchases, raised further concerns among account holders, especially regarding students with disabilities.

Stacey Brown, a committee member, criticized the final draft for omitting initial intentions to exempt students with disabilities from price caps. Nevertheless, Ward highlighted that provisions for such exemptions were included, requiring documentation from specialists to justify expenses.

Board members, emphasizing the need for detailed explanations in the handbook regarding the application of price caps, called for increased clarity. When it came time to vote on the proposed handbook, Horne’s motion failed to receive support from any board members.

Despite the setback, Horne expressed optimism about gaining board approval in the next meeting, scheduled for April 28. In the interim, he indicated that the board would collaborate with the Department of Education to refine the handbook and address the concerns raised.

Sean Ross, executive director of the State Board of Education, stated that members would seek further feedback from stakeholders and clarify how any newly imposed restrictions might affect students with disabilities. He confirmed the handbook would return for discussion in April, and the board intended to communicate its recommendations to the department shortly.

As for the ESA Parent Handbook Committee’s future, chair Janelle Wood indicated uncertainty about reconvening. However, she expects forthcoming changes will primarily focus on enhancing clarity regarding spending caps.