Arkansas Children’s Educational Freedom Account Program

Student eligibility was targeted in years one and two, and transitioned to fully universal by year three (2025–2026). Students with disabilities, those who are homeless or in the foster care system, Succeed Scholars, children of active-military families, those living within the boundaries of F-rated schools or Level 5 intensive support school districts, and students entering kindergarten became eligible first, up to a cap of 1.5% of total public enrollment. For the 2024–2025 school year, eligibility expanded to students within attendance zones of D- or F-rated schools, students with parents who are military veterans or reservists, first responders, or law enforcement officers, up to a cap of 3% of total public enrollment. In 2025–2026, its final eligibility expansion, all K–12 students who are eligible to attend public school in Arkansas are eligible for the program. The enrollment cap is removed. _(Last Updated July 15, 2024)_

Arkansas’s Children’s Educational Freedom Account Program is a tuition first education savings account model. The program allows for broad use of funds on qualifying educational services, but participating students must first be enrolled in a private school. Home-based educated students may also participate in the program after filing a Notice of Intent to Homeschool document with the State Department of Education. Qualifying expenses for education savings accounts include private school tuition and fees, supplies, testing fees, uniforms, and other education expenses as determined by participating schools, such as supplies, equipment, and educational services for students with disabilities. Eligible expenses also include curriculum, supplemental materials, tutoring, technology (excluding TVs and video games and cell phones), fees for college credit and admission exams, fees for career training courses and industry credentials, ESA management fees, transportation, textbooks, and all other expenses approved by the Division of Elementary and Secondary Education of the Arkansas Department of Education, beginning in the 2024–2025 school year. Students may not use more than 25% of their funds on either transportation costs, or on the total costs per year for extracurricular activities, physical education activities, or field trips within the state of Arkansas. _(Last Updated May 2, 2025)_

The Arkansas ESAs are typically equal to 90% of the state’s foundation funding spent per student in the prior education year ($7,771 in 2024–2025). Previous participants in the Succeed Scholarship program receive 100% of the state’s foundation funding spent per student in the prior education year. Unused funds from the 2023–2024 school year were returned to the state on July 1, 2024. Starting with the 2025–2026 school year, any unused funds may roll over from year to year up to a maximum amount determined by the Arkansas Department of Education. Education Freedom Accounts are funded through Arkansas’ education funding formula, and any Arkansas student who wishes to participate may receive funding, once the program is fully phased in (2025-2026). _(Last Updated July 15, 2024)_

A legal challenge is currently pending. In June 2024, several public school parents sued, arguing that the EFA program diverts money from public schools. _Faulkenberry_ et al. v. _Arkansas Department of Education_ , No. 60CV-24-4630 (Pulaski Cty. Cir. Ct.). A prior legal challenge was unsuccessful. On October 12, 2023, the Arkansas Supreme Court ruled 5-1 in _Arkansas Department of Education v. Jackson_ that the Arkansas legislature used proper procedures to enact the emergency clause of the LEARNS Act, which allowed the act to go into effect immediately. Citizens for Arkansas Public Education and Students (CAPES) had argued that the legislature violated the state constitution by forgoing a separate roll-call vote for the emergency clause. A circuit court halted the program’s implementation, but the Arkansas Supreme Court stayed that injunction a month later in _Arkansas Department of Education v. Jackson_ , 2023 Ark. 105, 669 S.W.3d 1. Now deciding on the merits, the Arkansas Supreme Court held that the emergency clause was valid because the House and Senate journals— “the sole evidence of legislative proceedings” and “the official record of the General Assembly’s votes” —recorded a separate roll call vote. _Arkansas Department of Education v. Jackson_ , 2023 Ark. 140. _(Last updated September 20, 2024)_