HB 2853 and Arizona ESA Universal Eligibility: What Changed and What It Means

What HB 2853 Changed

House Bill 2853, signed into law in 2022, expanded the Arizona Empowerment Scholarship Account from a targeted program serving specific student populations to universal eligibility for Arizona-resident K–12 students who meet age and enrollment requirements.

Before HB 2853, eligibility was limited to specific categories, including students with disabilities (IEP or MET), children attending D- or F-rated public schools, military dependents, foster care and adopted children, Native American reservation residents, and siblings of current ESA students.

After HB 2853, Arizona residents may qualify under universal eligibility without an income cap, prior public school attendance requirement, or district residency restriction. Students must meet the age requirements (kindergarten students must be five by January 1 of the contract year) and cannot be enrolled in a public or charter school while holding an ESA contract. By FY 2026 Q4, enrollment reached nearly 100,000 students, with 71% entering under universal eligibility.

The Scale of the Expansion

By FY 2026 Q4, annualized program costs exceeded $1.09 billion, making the expanded ESA program a major component of Arizona's K–12 education budget.

The program's scale has prompted budget and oversight debate. Proposals for income caps, testing, and spending restrictions have appeared in legislative and ballot discussions.

Proposition 212: The Current Ballot Challenge

Proposition 212, on the 2026 ballot, would restrict universal eligibility by imposing a $150,000 household Federal Adjusted Gross Income cap for general applicants starting in the 2027–2028 school year. Students with disabilities, military dependents, and students assigned to D or F-rated schools would be exempt from the income cap.

The proposition would also ban purchases of luxury goods, appliances, and non-educational items — codifying restrictions that ADE already enforces through the Unallowable List but giving them statutory force.

If it passes, universal applicants above the threshold would be subject to the proposed cap starting in 2027–2028, subject to the stated exemptions. Consult the final ballot language and ADE guidance for transition details.

What Universal Eligibility Means for Your Family

If you are an Arizona resident with a K–12 age child who meets the program's age and enrollment requirements, you may apply. There is no waitlist, no lottery, and no application cap. Every qualified student who submits a complete application and signs an agreement is entitled to funding.

You do not need to have previously attended a public school. You do not need to demonstrate financial need. You do not need to show dissatisfaction with your current school.

The practical question is whether the ESA is the right path for your family — because signing the contract comes with obligations (no public school enrollment, no STO scholarships, no county homeschool affidavit, mandatory record-keeping) and opens your educational spending to state compliance oversight.

Understand the Full Picture

The Arizona ESA Parent Guide explains not just eligibility but every obligation that comes with signing the contract — so you can make an informed decision about whether the ESA's benefits outweigh its compliance requirements for your family's situation.

See more Arizona guides →