Tennessee’s $447M School Voucher Law Now in Effect

Tennessee’s largest expansion of school vouchers is now law. Governor Bill Lee has signed the $447 million program, opening 20,000 taxpayer-funded scholarships for private school tuition and education expenses.

The program removes restrictions that previously limited vouchers to Memphis, Nashville, and Chattanooga, making them available statewide. Families can receive $7,300 per student, per year. Initially, half of the scholarships will be reserved for low- and middle-income families, but after the first year, all income limits will be removed.

Public schools won’t see immediate cuts to funding, but because Tennessee funds schools based on student enrollment, funding follows students when they leave. The law includes a temporary provision to keep state funding for public schools, but once it expires, district budgets will reflect the loss of students. Schools in Weakley, Carroll, and Henry counties will have to evaluate how this affects local funding.

Unlike public schools, private schools that accept voucher money are not required to follow state curriculum standards, testing, or enrollment policies. They do not have to admit all students who apply, and they are not required to provide special education services. Amendments to require voucher students to take state tests and prevent discrimination against students with disabilities were both voted down by lawmakers.

Supporters say school choice gives parents more control over their children’s education. Opponents, including some rural Republican lawmakers, argue that public tax dollars are being funneled into private schools with little oversight.

The program will begin in the 2025-26 school year. Applications are expected to open later this year. The McKenzie Banner will continue reporting on how this affects local schools, funding, and families.