The Texas Legislature is closing in on a plan to direct $1 billion toward “education savings accounts” this year — which would allow parents to use state funding to pay for private school tuition, transportation, therapy and other education-related items.
Versions of this idea, long referred to as “school vouchers,” have been floated for decades in Texas with little success.
But after a number of new Republican lawmakers who support the idea were elected last year, the conversation has quickly shifted away from whether education savings accounts (ESAs) will happen in Texas — to what an eventual ESA program will look like.
The House and Senate each have their own version, with key differences that could make a big difference in which Texans benefit and how the ESA program impacts public schools.
For the lawmakers tasked with finding a compromise on the ultimate plan, such nuances will mean everything in the coming weeks.
The Texas House has never passed an ESA bill before, and its members haven’t agreed with the Senate on very much of anything in recent years.
As lawmakers now try to come together on a plan that will radically change the way the state educates its more than 5.5 million students, here are all the details that are likely to matter most.
Who can use an education savings account?
Leaders in the Texas Senate passed their bill to create an ESA program in February, which would offer an across-the-board amount of $10,000 to all participating students.
Based on the $1 billion pot of funding, lawmakers estimate that would allow ESAs to serve about 100,000 students.
If the demand outweighs the program’s funding, Senate Bill 2 would require that 80% of the money go to low-income families first — defined as families making $160,000 a year or less.
On the other side of the capitol, the House’s version of an ESA bill includes far more stipulations to prioritize low-income families and students with special needs.
First priority would go to special needs students from families who make less than $160,000. After that, students from families making less than $62,400 per year would receive priority. The next group includes families making between $62,400 and $156,000, and the last priority group are families making $156,000 or more.
House Bill 2 is scheduled to have its first committee hearing on March 11.
Will ESAs hurt public school funding?
Among the other ways the House is seeking to shape an eventual ESA plan is by leveling the playing field with public schools, which have been among the biggest opponents of the idea.
Public schools receive state funding based on their enrollment levels, and an exodus of students using ESAs to enroll in a private school would cause the remaining students to suffer from the loss of funding, public school advocates say.
Members in the House have long been sensitive to that dynamic, and their bill would allow students who are approved for ESAs to receive 85% of the average amount of state and local dollars that the school district they are zoned to attend receives per student.
That number varies based on the district — with the average value coming in roughly even with the blanket $10,000 per student the Senate is proposing.
But the value of the ESA could fall if a public school’s funding model is upset by students leaving, meaning lawmakers who want to increase the value of ESAs are incentivized to also increase public school funding.
House leaders ultimately want this year’s ESA bill tied to a big increase in public school funding that was supposed to happen last session, but got derailed by the ESA fight.
How much money would a student get from an ESA?
Under the Senate’s version, $10,000 per year.
Under the House version it’s more complicated. But a student at San Antonio ISD would ultimately get about $1,500 less than the state average for their ESA, according to a San Antonio Report analysis.
The Texas Education Agency estimates the average student allotment in the state is $12,815 in local and state funds only. Based on the percentage designated by HB 3 — 85% — most students who receive an ESA would have access to $10,200 for education-related costs.
While the base amount districts receive from the state is $6,160 per student, student allotments in Texas school districts vary based on the district’s property tax rates and student demographics, such as student needs and the programs they enroll in.
State funding also decreases based on a student’s daily attendance. For example, a basic allotment for a student with 100% attendance is $6,160 for the school district, but if their attendance decreases to 90%, the basic allotment for the district decreases to $5,544.
In San Antonio Independent School District, the average student allotment from state and local funds was $10,436 for the 2024-2025 school year, district spokesperson Laura Short said.
An average SAISD student who wanted to opt into the ESA program to seek schooling elsewhere could potentially receive $8,871.
Both bills would require a student’s parent or guardian to apply for the program and the money would be sent directly to them.
The two chambers are also in agreement that ESA funds can only be used for “approved purchases.” For example, textbooks bought must be on an approved list by the State Board of Education.
How much does private school cost in San Antonio?
If education savings accounts are approved, private schools could see an uptick in enrollment from students who previously couldn’t afford them.
But ESAs in their current form aren’t likely to cover the full cost of tuition at many private schools in San Antonio.
- San Antonio Christian School, a prek-12 private school on the North Side of San Antonio, charges $10,250 for preK students to attend the school five days a week. After that, tuition increases up until the high school grade levels up to $17,250 a year. An application and testing fee costs an additional $150 and enrollment fees cost $750.
- Catholic Central High School, an all-boys institution near the city’s downtown area, has a yearly tuition of $14,330 and charges a $200 registration fee.
- The southernmost private schools in San Antonio are St. John Berchmans Catholic School and Town East Christian School.
- St. John’s, a preK-8 Catholic school, has a yearly tuition of $5,000 and charges a registration fee of $300 per student.
- Town East, a Christian preK-12 school, has a yearly tuition of $4,000 for families with one student enrolled. The application fee is $100 and the registration fee for every student is $125. Families must also pay a book fee that ranges from $185 to $550.
Private schools are not subject to regulation from the state and are not required to use any standardized testing. They also don’t have to accept all students, like public schools do.
This has been a major point of contention among lawmakers exploring ESAs in the past, with some lawmakers arguing that all schools receiving public funding need to adhere to the same testing standards and admissions requirements.
In their current forms, however, neither the House nor Senate bills would create any new requirements for private schools that receive tuition money from ESAs.
What about education savings accounts for special education students?
The House’s education savings account bill stipulates that families with special needs students would be eligible for an ESA equal to 100% of the average student allotment in their school district, maxing out at $30,000.
On the other hand, the Senate’s bill determined that families with special needs students would be eligible for $11,500 a year. Both the House and Senate bills proposed that a homeschool student would qualify for a $2,000 ESA.
A 2023 investigation by the Texas Tribune found that there were only five private schools that offer special education in the San Antonio area. One of the schools listed, Achievers Center for Education, has since permanently closed.
Tuition for the other four schools ranges from $240 a week to more than $25,000 for a school year.
According to the Tribune’s report, these are the four private schools in San Antonio that provide special education:
- Torah Academy of San Antonio: $12,500 yearly tuition with a $200 registration fee
- The Winston School of San Antonio: more than $25,000 yearly tuition for all K-12 grade levels with $1,000 new student fee
- River City Christian School: $11,500 yearly tuition for the first child with an $850 enrollment fee (K-12)
- Sunshine Cottage School for Deaf Children: The preschool for the deaf does not list any prices, but their website says the school doesn’t turn away those who can’t afford to pay. The Sunshine Cottage Preschool Program lists their weekly rates between $380 to $240 for parents who need full-time care.
Will the Texas Legislature approve an ESA program this year?
Passing a school voucher-type program is a priority item of Republican Gov. Greg Abbott in the current legislative session, which kicked off in January.
Abbott went on an 18-month campaign to get universal school vouchers passed during the last session, going as far as making it a condition for increasing public school funding.
That effort stretched on through four special sessions with no success, meaning public schools have been making due without the roughly $4.5 billion the Texas Legislature sought to give them two years ago — something some lawmakers don’t want to see happen again, even if they don’t like ESAs.
After 21 House Republicans joined Democrats in voting against vouchers last session, Abbott campaigned to unseat defiant GOP members during the primary elections, and may now have the votes he needs.
In San Antonio that dynamic unfolded in Texas House District 121, where Republican Steve Allison, a vocal opponent of school vouchers, was ousted by Abbott-backed challenger Marc LaHood, who vowed to support them.
If approved by both chambers and signed by the governor, a bill from this session would go into effect Sept. 1.
The state would take a year to develop rules and an application process for the education savings account program, said Jorge Borrego, the K-12 Education Policy Director for Texas Public Policy Foundation.
Funding and program development would fall under the Texas comptroller’s office and five “program manager” positions would be created under the bill. Creation of the program’s website and a pre-approved list of education related expenses would also fall under the comptroller’s purview.
The ESA program would likely start during the 2026-2027 school year.
