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Understanding the New Texas Education Savings Account (ESA) Program

February 01, 20266 min read

Understanding the New Texas Education Savings Account (ESA) Program

What Families of Students With Disabilities Need to Know

Texas has recently passed a new school choice initiative that will begin in the 2026–2027 school year. As details continue to emerge, many families are hearing terms like voucher or Education Savings Account (ESA) for the first time—and understandably have questions.

This is especially true for families of students with learning disabilities, ADHD, autism, or other support needs, where educational decisions often come with additional legal and service considerations.

This guide explains what the Texas ESA program is, how it works, and what families of students with disabilities should carefully consider before making educational decisions.

What Is the Texas Education Savings Account (ESA) Program?

Texas has created a new school choice program officially called the Texas Education Freedom Account. It functions as an Education Savings Account (ESA)—sometimes informally referred to as a voucher-style program.

Instead of all state education funding going directly to public school districts, eligible families may apply to receive state-funded dollars in an individual account for their child. Families can then use those funds to pay for approved educational services outside of the traditional public school system.

The goal of the program is to give families greater flexibility and more options in how and where their child is educated.

When Does the Program Start?

The ESA program is expected to launch in the 2026–2027 school year.

Applications, eligibility rules, and approved provider lists are still being finalized. Families should be aware that this program will not begin immediately next school year, and participation in the early years will likely be limited.

Because funding is capped, the initial rollout is expected to be competitive.

Who Can Apply?

Texas families with school-aged children may apply. However, because funding is limited:

  • Not every student who applies will automatically receive an ESA

  • If applications exceed available funding, a lottery system will be used

Certain groups—including students with documented disabilities—may receive priority in the lottery (more on that below).

How Much Funding Does a Family Receive?

The amount of ESA funding depends on the student’s eligibility and educational needs.

  • Most general education students are expected to receive approximately $10,000 per year

  • Students who qualify for special education services through an IEP may receive significantly more—up to approximately $30,000 per year

The increased funding is intended to help families cover the cost of more intensive educational supports and services.

What Can ESA Funds Be Used For?

A common misconception is that voucher funds can only be used for private school tuition. Under the Texas ESA program, funds may be used for a wide range of approved educational expenses, including:

  • Private school tuition and fees

  • Specialized tutoring

  • Educational therapy or related services

  • Academic intervention programs

  • Homeschool curriculum and instructional materials

  • Online learning programs

  • Assistive technology or educational software

  • Transportation to approved providers

  • Educational testing or evaluations

This flexibility means families may use ESA funds not only for private school, but also for individualized supports such as tutoring, therapy, or evaluations, as long as providers are approved through the program.

Does a Child Have to Attend Private School?

Not necessarily—but there are important limitations. The ESA program is designed for families seeking alternatives to full-time public school enrollment, such as:

  • Private school

  • Homeschooling

  • Hybrid or customized education models

However, students generally cannot remain fully enrolled in public school while also receiving ESA funds. In most cases, families must choose between:

Public school enrollment with services provided under federal special education law,

or

Participation in the ESA program, with services purchased privately

Some limited part-time participation may be allowed in specific situations, but full dual enrollment is not the standard model.

How Does This Work for Students With Disabilities?

This is one of the most important considerations for families.

When a student leaves public school to use ESA funds:

  • The student may no longer be covered under the full protections of federal special education law (IDEA)

  • Public schools are legally required to provide services through an Individualized Education Program (IEP)

  • Private schools are not required to offer the same services or protections

  • An IEP does not automatically transfer to a private school setting

This means families may have fewer legal rights to enforce services once they exit the public school system.

For some families, ESA funding may provide access to highly specialized or individualized supports that work better than public options. For others, remaining in public school may continue to offer stronger protections and guaranteed services.

Disability-Based Priority in the Lottery (Even Without an IEP)

An important update for families is that students with documented disabilities may receive priority access in the ESA lottery system.

Notably:

  • A child does not need an IEP to be considered for disability-based priority

  • Documentation must come from a qualified professional trained in identifying the disability

This means students who are homeschooled or attending private school may still qualify for priority if they have documented diagnoses such as:

  • Dyslexia

  • ADHD

  • Autism spectrum disorder

  • Speech or language disorders

  • Learning disabilities

  • Other documented developmental or educational disabilities

Acceptable documentation may include:

  • A psychoeducational evaluation

  • A medical diagnosis report

  • Documentation from a licensed professional

One Key Distinction to Understand

  • Disability documentation may improve lottery priority

  • An IEP is what determines eligibility for the higher funding amount

A student may receive priority access due to a diagnosis, but only students with an IEP may qualify for the increased special education funding level.

Will My Child Keep ESA Funds Each Year?

In general, once a student is accepted into the Texas Education Freedom Account program, the student is expected to remain eligible in future years as long as program requirements continue to be met.

The ESA is designed as an ongoing educational account, not a one-time award.

Families typically do not need to reapply from scratch each year, but may be required to complete an annual renewal, which may include verifying that:

  • The student still lives in Texas

  • The student is participating in a qualifying educational setting

  • ESA funds are being used according to program rules

What If We Apply and Don’t Receive Funding the First Year?

Because funding is limited, some students may not receive ESA funding in the first year. If this happens:

  • Families may apply again in future years

  • Students may be placed on a waiting list

  • Additional spots may open as the program expands

Not being selected one year does not prevent families from trying again.

Key Takeaways for Families

The Texas ESA program may offer meaningful opportunities—especially for families seeking specialized instruction, tutoring, therapy supports, or private educational options.

At the same time, families of students with disabilities should carefully consider:

  • What services their child currently receives in public school

  • What services would need to be purchased privately

  • Whether leaving IDEA protections is in the child’s best interest

  • How disability documentation affects lottery priority versus funding level

There is no one-size-fits-all answer.

Need Help Understanding Your Child’s Eligibility?

If your child has a documented disability, learning difference, ADHD, or academic challenges, a comprehensive evaluation can help clarify:

  • Diagnosis and learning needs

  • Recommendations for educational planning

  • Whether documentation may support ESA priority eligibility

  • What supports may be needed in public or private settings

Our team is here to help families navigate these new options with clarity, confidence, and informed decision-making.


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