Arizona school voucher program causes budget meltdown
by Eli Hager
In 2022, Arizona pioneered the largest school voucher program in the history of education. Under a new law, any parent in the state, no matter how affluent, could get a taxpayer-funded voucher worth up to tens of thousands of dollars to spend on private school tuition, extracurricular programs or homeschooling supplies.
In just the past two years, nearly a dozen states have enacted sweeping voucher programs similar to Arizona’s Empowerment Scholarship Account system, with many using it as a model.
Yet in a lesson for these other states, Arizona’s voucher experiment has since precipitated a budget meltdown. The state this year faced a $1.4 billion budget shortfall, much of which was a result of the new voucher spending, according to the Grand Canyon Institute, a local nonpartisan fiscal and economic policy think tank. Last fiscal year alone, the price tag of universal vouchers in Arizona skyrocketed from an original official estimate of just under $65 million to roughly $332 million, the Grand Canyon analysis found; another $429 million in costs is expected this year.
As a result of all this unexpected spending, alongside some recent revenue losses, Arizona is now having to make deep cuts to a wide swath of critical state programs and projects, the pain of which will be felt by average Arizonans who may or may not have school-aged children.
Among the funding slashed: $333 million for water infrastructure projects, in a state where water scarcity will shape the future, and tens of millions of dollars for highway expansions and repairs in congested areas of one of the nation’s fastest-growing metropolises — Phoenix and its suburbs. Also nixed were improvements to the air conditioning in state prisons, where temperatures can soar above 100 degrees. Arizona’s community colleges, too, are seeing their budgets cut by $54 million.