Demand for Education Freedom Accounts spikes as more Arkansas families become eligible for funds

LITTLE ROCK, Ark. – At the same time students are adjusting to being back in class for the new school year, Arkansas is having to adjust to a growing demand for funds to send students to schools of their choice.

Under the Arkansas LEARNS Act, more families in the state are now eligible for Education Freedom Accounts (EFAs), which use state funds to expand school choice. This sends thousands of dollars to each eligible student for costs associated with private school enrollment and tuition.

As of Aug. 26, the Arkansas Department of Education reports 13,427 students have qualified for EFAs for the 2024-2024 school year. There are currently 17,208 applicants for the EFAs, with that number still growing.

The phased approach for eligibility for EFAs began at 1.5% during the 2023-2024 school year, then jumped to 3% for the current 2024-2025 school year. It will fully expand to 100% by the 2025-2026 school year.

For the 2023-2024 school year, state data shows approximately 5,700 applicants and 4,800 participants for the EFA program.

Parent Alison Cunningham said her daughter’s learning challenges associated with ADHD put her family in a desperate position in her public school. After reaching out to Opportunity Arkansas and learning her daughter qualified for an EFA due to that disability, Cunningham said she was able to enroll her in Valley Christian in Russellville.

Last year, in her first year at the private school, Cunningham said her daughter went from needing to be held back in public school to making the honor roll in private, with a newfound sense of confidence.

“This private school protects their innocence. they’re allowed to be kids and it’s just been a lot more stress-free,” Cunningham said. “They really enjoy Wednesday chapel service… the content is… they’re going at the pace of the student”

Cunningham’s son is also now enrolled in kindergarten at the school thanks to eligibility expansions under EFAs this year.

“I would not be able to put both children in a private school in this economy without the EFA program,” she said.

In a statement, Opportunity Arkansas claimed the increase in demand for EFAs demonstrated the support around the state for “educational freedom.”

“Once again, it’s clear Arkansans support education freedom—and they need it, as evidenced once again by these latest numbers,” the statement read in part. “More families applied than there’s room for! What a great sign that there is high demand for this program, and thank goodness it will be available to every Arkansas child this time next year. “

The price tag associated with the EFA program continues to receive mixed reviews, however, with public school advocates expressing concern over its impact on public schools and students.

April Reisma, president of Arkansas Education Association and a public school special education teacher, said her first concern is special education students leaving public schools, which receive federal funding, to go to private schools that might have less resources for their needs.

She referenced one student she has already seen leave her school for a private school and then come back within two months because the family discovered the school did not follow the student’s individual education plan.

Reisman noted she feels the phased approach rapidly jumping from 3% this year to 100% next year is “not sustainable” long term.

“Taking more and more money away from that pot is just going to leave them even in a more desperate position,” Reisma said. “We complain about how public school isn’t meeting the need of our students, but how can they if they never had the ability to have all the resources necessary?”

Cunningham, on the other hand, said her daughter has received the exact same resources at the private school compared to the public school.

Education Freedom Accounts provide funding up to 90% of the State’s prior year per-student foundation funding amount, up to around $6,600 for the 2023-2024 school year. According to the ADE website, the limitless EFA approvals for students are still subject to available funding as determined by the State Board of Education.

According to the fiscal impact statement for the LEARNS Act, the total cost for year one was $297.5 million for all incentives provided under the law, including teacher raises and literacy coaches. The total cost for year two is estimated to be $343.3 million.

The statement notes that the first two years of LEARNS Act implementation sets aside $46.7 million for year one and $97.5 million for year two. The summary does not include numbers expected for the third year, once the EFAs are expected to become available to all students.

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