Arizona’s Empowerment Scholarship Account Program: Everything You Need to Know

What is the Arizona Empowerment Scholarship Account Program?

Arizona's Empowerment Scholarship Account Program (ESA) is a state program that allows all K-12 students in Arizona access to funding that can be spent on the educational needs of their children. This program was the first of its kind in the nation. When it first began in 2012, scholarships were limited to students who met certain criteria like having a current IEP or 504, being zoned in a D or F rated school, or having parents who were on active military duty. 

In 2022, the Arizona State Legislature passed a bill expanding Arizona’s ESA program to every K-12 student in Arizona. Now, Arizona’s Universal ESA program serves over 85,000 students across the state.

The program provides families with an education savings account (ESA) to customize their child’s education. These funds go into an account that parents can use for microschools, homeschool, private tutoring, private school, virtual school, or part time schooling, as well as extra educational tools and supplies like books, computers and notebooks. ‍

The program is managed by the Arizona Department of Education (ADE).  ADE has partnered with Class Wallet to distribute and manage scholarship funds. 

How do I apply for the Arizona Empowerment Scholarship Account Program?

Applications for Arizona’s ESA program are accepted year round. Parents can start an application by going to ADE’s ESA website and clicking on the “Apply Now” button. The process is simple and quick, requiring some basic details about families and students. Parents will need to provide a 

• birth certificate, 
• social security number, 
• proof of identity, and
• proof of residency.

Additional documentation if applying for a student who has a current IEP, 504, or other qualifying diagnosis.

After completing an application, parents can expect to receive a contract from ADE within 3 weeks. 

Upon receiving the contract, parents should withdraw their student from public or charter school prior to signing the contract. 

After signing the contract, you’ll be able to access ClassWallet and begin using your funds. 

When you sign the contract, you agree to certain terms and conditions including…

• Using a portion of the funds to provide an education in reading, grammar, mathematics, social studies, and science. 
• Complying with any restrictions the department of education sets on how funds are used (the ESA Parent Handbook outlines what constitutes an allowable expense). 
• Providing for all of your child’s educational needs. While you can still bring your child into your neighborhood public school to be evaluated for potential learning disabilities, your school is no longer required to service any diagnosed needs your child may have. You can apply for additional funding if your child qualifies as having a disability. 

How much funding will my student receive?

Student ESA scholarships are funded at 90% of the base level student funding they would receive if they were attending a public or charter school. That amount varies depending on the district of residence and grade level, but the average scholarship amount is around $7,500. 

Note: in Arizona, kindergarten students are only partially funded, so kindergarten scholarship amounts are typically between $4,000-5,000. 

You can find a full list of approximate funding amounts on the ADE website.

AZ ESA funds are given to students on a quarterly basis. The funding starts from the quarter the contract is completed. Here are the current quarterly funding dates: 

• Quarter 1: July 1 - September 30
• Quarter 2: October 1 - December 31
• Quarter 3: January 1 - March 31
• Quarter 4: April 1 - June 30

You can then use these funds to pay for educational expenses (like a Prenda microschool 😉). 

Where can I find more information?

Check out the Arizona ESA Networking group on Facebook to connect with families and vendors currently using the program.

You can also check out the Arizona Department of Education’s ESA site for things like the ESA Parent Handbook and ESA Parent Guide.

Prenda has also put together a guide to the Empowerment Scholarship Account program that helps explain the program in a little more depth.

Can I use state scholarship funds for Prenda Microschools in Arizona?

YES! Prenda is an approved vendor for the Empowerment Scholarship Account program! 

If you're interested in starting a microschool in Arizona, enter your email below to get instant access to a quick video that explains what Prenda is and how we can help you get your microschool up and running. 

If starting a microschool isn't something you have the bandwidth for right now, share Prenda with a friend you think would be a great microschool guide!

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