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AUSTIN — Texas Governor Greg Abbott has signed into law one of the nation’s most sweeping school voucher programs, marking a historic shift in public education policy in the state.
Senate Bill 2, approved by the Legislature and signed on May 3, 2025, creates a $1 billion school voucher initiative that allows families to use public funds for private school tuition and other educational expenses.
The program, which will be administered through education savings accounts (ESAs), is scheduled to begin in the 2026–2027 academic year.
Each eligible student will receive approximately $10,000 annually to attend a participating private school.
Students with disabilities may qualify for up to $30,000 per year, and families who homeschool will be eligible for $2,000 annually to cover curriculum and related costs.
Eligibility for the program is broad but includes caps to prioritize low- and middle-income families.
Households earning more than 500% of the federal poverty level may account for no more than 20% of total participants.
In cases of oversubscription, a lottery system will be used to distribute funds, giving priority to students with special needs and those from economically disadvantaged backgrounds.
The new law represents a major legislative victory for Abbott, who has made school choice a central plank of his education agenda.
Following a failed push for vouchers in previous sessions, Abbott supported political challengers in the 2024 primary season to unseat opponents of the measure, reshaping the legislative makeup to pass the bill in 2025.
Critics of the measure, including rural Republicans and public education advocates, warn that diverting funds from the state’s public schools—already grappling with teacher shortages and budgetary constraints—could deepen educational inequities across Texas.
Supporters argue that the law enhances parental choice and introduces competitive incentives for all schools to improve.
With the signing of Senate Bill 2, Texas joins over 30 states with publicly funded voucher or ESA programs, positioning itself as a leader in the national school choice movement.
The Texas Comptroller’s Office will oversee the implementation, compliance, and disbursement of funds as the state prepares for rollout over the next year.