Rethinking ESA Policy Design: A New Approach to Financial Accountability
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| Title: | Rethinking ESA Policy Design: A New Approach to Financial Accountability |
|---|---|
| Language: | English |
| Authors: | Katherine Bathgate, EdChoice |
| Source: | EdChoice. 2025. |
| Availability: | EdChoice. 111 Monument Circle Suite 2650, Indianapolis, IN 46204. Tel: 317-681-0745; e-mail: info@edchoice.org; Web site: http://www.edchoice.org |
| Peer Reviewed: | N |
| Page Count: | 8 |
| Publication Date: | 2025 |
| Intended Audience: | Policymakers |
| Document Type: | Reports - Evaluative |
| Descriptors: | School Choice, Accountability, Educational Finance, Incentives |
| Abstract: | As more families turn to Education Savings Accounts (ESAs) to customize their children's education, many are finding the system unnecessarily complex and restrictive. This paper argues that states can reduce misuse and improve program integrity not by tightening controls, but by shifting incentives. Drawing lessons from other successful government programs, two key reforms are proposed: (1) allow all ESA dollars to roll over and be used for future years and eligible postsecondary expenses; and (2) allow parents to spend ESA dollars without pre-approval, but make them directly responsible for purchases instead of relying on administrators and vendors to be the judges and arbiters. These reforms would encourage families to spend ESA funds more carefully by letting them save unused dollars for future education expenses, including college. At the same time, they reduce red tape by trusting parents to make purchases directly while holding them accountable for misuse through clear legal consequences. As ESA programs continue to grow across the country, this new framework provides state leaders with a roadmap for smarter, simpler implementation of ESAs. [This document was created with State Policy Network.] |
| Abstractor: | ERIC |
| Entry Date: | 2025 |
| Accession Number: | ED677222 |
| Database: | ERIC |
| FullText | Text: Availability: 0 CustomLinks: – Url: https://eric.ed.gov/contentdelivery/servlet/ERICServlet?accno=ED677222 Name: ERIC Full Text Category: fullText Text: Full Text from ERIC |
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| PLink | https://search.ebscohost.com/login.aspx?direct=true&site=eds-live&db=eric&AN=ED677222 |
| RecordInfo | BibRecord: BibEntity: Languages: – Text: English PhysicalDescription: Pagination: PageCount: 8 Subjects: – SubjectFull: School Choice Type: general – SubjectFull: Accountability Type: general – SubjectFull: Educational Finance Type: general – SubjectFull: Incentives Type: general Titles: – TitleFull: Rethinking ESA Policy Design: A New Approach to Financial Accountability Type: main BibRelationships: HasContributorRelationships: – PersonEntity: Name: NameFull: EdChoice – PersonEntity: Name: NameFull: Katherine Bathgate IsPartOfRelationships: – BibEntity: Dates: – D: 01 M: 07 Type: published Y: 2025 Titles: – TitleFull: EdChoice Type: main |
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