Student Funding

Use of Funds 

Utah Fits All Scholarship accounts may be used for a wide range of education expenses and services beginning in the 2024–2025 school year. Education expenses can include tuition and fees of a qualifying provider; tutoring services; testing fees; special needs services and therapies; individual classes and activities; educational materials and curriculum costs; educational applications and software; classes, courses, and extracurricular opportunities; contracted services; including individual classes and extracurricular activities from a local education agency (public school); and numerous other approved expenses for the ESA student’s education. The program manager has created a searchable database for families to find allowable and prohibited expenses, by category, allowing families the greatest flexibility and use of funds. Families may utilize up to $750 per student per school year of ESA funds for transportation services to and from a local approved provider. 

Funding Amount and Source 

Funding for the program is limited by appropriations, which restricts participation. The Utah legislature appropriated $82.5 million for the Utah Fits All Scholarship Program for its first year of operation. This appropriation limits enrollment to no more than 10,000 students, or less than 2% of Utah’s K–12 student population. Utah Fits All Scholarship Program students receive $8,000 for their educational expenses in 2024–2025. Accounts are funded at 84% of what would be spent on a student at a public school.  Accounts do not allow for carryover, and remaining funds will be recaptured at the end of each school year to be disbursed the following year. 

(Last Updated July 15, 2024) 

Student Eligibility

Students must be residents of the state of Utah, and eligible to participate in public school in kindergarten through grade 12 to access the Utah Fits All Scholarship Program. Students may not receive funds from the Utah Fits All Scholarship Program while also receiving a scholarship from the Carson Smith Opportunity Scholarship Program. Home-based ESA students are also eligible. If enrollment exceeds available program funding, accounts shall be awarded in the following order: students who used an account in the previous school year, students with a family income at or below 200% of the Federal Poverty Level ($62,400 for a family of four in 2024–2025), students with a sibling who uses an ESA at the time of application or in the immediately preceding school year, and then students with a family income between 200% and 555% of the Federal Poverty Level ($173,160 for a family of four in 2024–2025).   

(Last updated July 15, 2024) 

EdChoice Expert Feedback

The Utah Fits All Scholarship Program is the state’s first education savings account and the only school choice program in Utah available to all students. The previously enacted Carson Smith Special Needs Scholarship Program (voucher) and Special Needs Opportunity Scholarship Program (tax-credit scholarship) are designed for students with special learning needs. The Utah Fits All Scholarship Program is a historical step for granting students and their families educational freedom and choice in Utah. While a significant victory, several opportunities are available to expand the program and reduce barriers to school choice. Funding for the program is limited by appropriations and restricts participation. Accounts are funded at 84 percent of what would be spent on a student at a public school. The ratio and ESA value of $8,000 is healthy in comparison to other programs. The legislature’s appropriation of $80 million, however, limits enrollment to no more than 10,000 students, or less than one percent of current Utah students. This will further limit the number of students able to enroll if future legislatures do not increase appropriations. The program additionally provides for increased teacher pay: $8,400 per educator if the ESA program is funded and in effect, $4,200 if not. Given the broad staffing surge trend, this is a noteworthy shift in prioritizing education dollars to the classroom. To expand access, policymakers should include an escalator providing increased funding to the program automatically as participation increases without requiring legislative action. Increasing ESA awards to be equal to per-pupil spending would provide access to greater, more equitable educational choice. Funding all, or part of the Utah Fits All Scholarship Program through existing state education funding sources would allow the per-pupil expenditure to follow students, increasing ESA awards without additional liabilities on the state budget. Families are required to reapply each year for the Utah Fits All Scholarship Program. Students, or their parents, are additionally required to annually submit a portfolio describing their educational opportunities and achievements to remain eligible. These requirements on students and families create an unnecessary burden and increase administrative costs for the program, reducing the amount of funding that can go to ESAs. The state board is required to follow existing Utah procurement rules and issue a request for proposals when selecting a program manager. However, the program creates additional regulations that an organization be a non-profit entity without any affiliations to international organizations. Requiring a procurement process to be followed supports transparency and accountability when choosing a program manager and ensures a quality administrator is selected. The additional requirement on potential organizations disqualifies experienced, otherwise qualified candidates, potentially driving the administrative costs higher and limiting eligible program managers. Removing additional requirements on families, program managers, and providers will allow for lower administrative costs, more accessible participation and increase education choice in Utah. (Last Updated May 31, 2024) 

Rules and Regulations

Program Guidelines

• Income Limit: None. Priority given to previous ESA holders, siblings of ESA holders, families under 200% x Federal Poverty Level, and families with income between 200% and 555% of the Federal Poverty Level.
• Prior Year Public School Requirement: None
• Enrollment Cap: None
• Account Value: $8,000
• Testing Mandates: None. Parents may request testing through the program manager.
• Budget Cap: $82.5 million (2024–25)
• Special Needs Pathway: None

Participant and Family Guidelines

• Education Requirements: Statement in application by parents that the qualifying provider selected for the student’s enrollment or engagement is capable of providing education services for the student.
• Parent Supplemented Funds/Scholarships: Allowed
• Disbursement/Payment Frequency: TBD
• Reimbursement Allowed: Yes
• Miscellaneous:
  • To maintain eligibility, submit the results of an optional assessment or a portfolio describing the student’s educational opportunities and achievements under the program.
  • Only use funds for qualified expenses under Utah Code 53F-6-401.
  • Annual reapplication
  • Assumes financial responsibility for the education of the student, including expenses incurred beyond those paid for by the ESA.

Education Provider Guidelines

• Accreditation/Approval: Program manager approves qualifying providers’ applications
• Employment Standards: There is a background check and ongoing monitoring requirement for the program manager and its employees, not for qualifying providers
• Nondiscrimination: Qualifying providers must comply with federal anti-discrimination provisions
• Calendar/Curriculum/Attendance: N/A
• Financial: The program manager must contract for an annual audit
• Miscellaneous: Service provider that changes ownership ceases eligibility until new owner submits new application to program manager

Scholarship Organization Guidelines

• Scholarship to Contribution Ratio: 84%
• State Reporting: The Program manager annual report requires contributions, numbers of people on waitlist, # disbursed, strategies to reach families under 200% FRL
• Financial: Program manager must contract for audit of scholarships
• Priority: Priority order is renewing students, then renewing plus <200% FRL, siblings of renewing students, then 200% to 555% FRL
• Miscellaneous: N/A

(Last updated December 11, 2024)

Governing Statutes

Utah Code 53F-6-401 through 53-F-6-414 

(Last updated July 15, 2024) 

Legal History

In May 2024, a lawsuit was filed by Utah’s largest teachers’ union challenging the program and remains ongoing. Legislation to create the program was passed with referendum proof votes in the legislature, preventing a ballot initiative to recall the program. The Partnership for Educational Choice, a joint project between EdChoice and Institute for Justice, intervened in defense of the program on behalf of parents who benefit from the program. The litigation is still pending in trial court.  

(Last updated August 16, 2024)