Arkansas's Education Freedom Accounts program grew from 15,000 students to just under 45,000 students in three years, now serving just under 9 percent of state-supported K-12 students, according to the 2025-26 Arkansas Education Freedom Accounts Program Annual Report from the University of Arkansas Department of School Reform.
The program began three and a half years ago with eligibility limited to low-income students and those with special disabilities. It has since expanded to become a universal scholarship program available to virtually all Arkansas students who do not attend public school.
Misty Gallo, a doctoral fellow at the University of Arkansas, led the report examining the program's impact. Just under 26 percent of ESA recipients switched from public schools. The remaining 75 percent were already enrolled in private schools or were homeschooled.
The fiscal analysis found the program's gross commitment was $307 million, with estimated public school formula savings between $54 million and $62 million, for an estimated total cost of about $250 million. The base ESA funding amount in the 2025-26 school year was $6,864 per student, compared to the average total cost of public education in Arkansas of about $13,000 per student.
Gallo noted the report also examined private school supply in Arkansas to determine whether sufficient options exist to prevent tuition increases that could exclude lower-income families from accessing private school alternatives.