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State Board adopts ESA handbook update despite member’s objections
Summary
The Arizona State Board of Education voted 7–1 to adopt the ESA handbook for FY 2026–27 with only date changes proposed by ADE; President Haley cast the lone no vote citing concerns about handbook wording on what counts as 'reasonably related' purchases.
The Arizona State Board of Education on Tuesday adopted the Department of Education’s proposed ESA (Empowerment Scholarship Account) handbook for the 2026–27 school year, voting 7–1 after department staff recommended no substantive changes beyond date updates.
Art Harding, chief of operations for the Arizona Department of Education, told the board the department recommended only technical updates because last year’s adoption included substantive revisions and the department is still early in implementation. Harding said ADE’s outreach and a newly staffed parent liaison, plus a drop in handbook‑specific calls to ADE’s ESA helpline, supported the recommendation to hold changes for another year. ADE presented data that it considers low rates of unallowable spending—about 1.9% of transactions were judged unallowable and roughly 0.3% were characterized as more serious—figures Harding described as evidence most families use ESA funds as intended.
President Haley said she voted no, repeating concerns she raised last year about handbook language that allows ADE to approve “expenses that are reasonably related to educational and vocational purposes.” Haley said that phrasing remains too vague and asked for clearer statutory or rule citations for enforcement decisions. ‘‘While I am a strong supporter of ESA, out of continued concern about that language I will be voting no,’’ she said.
Vice President Hagerman, Superintendent Horn and other board members supported ADE’s recommendation and said keeping the handbook stable this year will avoid additional confusion for families and allow the department to continue implementing recent changes. Dr. Cruz Rivera said the board should not make significant changes now because possible citizen initiatives on the November ballot could add confusion for families, and he said ADE should revisit the handbook after the election.
The motion to adopt the handbook as presented passed on a roll‑call vote, 7–1. President Haley voted no; Vice President Hagerman, Superintendent Horn, board members Catney, Dr. Clay, Dr. Cruz Rivera, Member Haynie and Member Krevikus voted yes. ADE staff agreed to provide the board with additional summaries of parent outreach and to clarify wording points that board members flagged.
What’s next: The board adopted the handbook with the department’s recommendation that substantive changes be deferred while ADE continues implementation and parent engagement; some members asked that ADE return with clearer documentation of outreach and with clarity on statutory bases for enforcement actions.
