Tennessee school vouchers bill 2025: What to know about the proposal

Vouchers will be back under consideration by Tennessee lawmakers in 2025, with tweaks from last year's failed bill.

While core elements of the proposal are similar to the unsuccessful voucher proposals in the House and Senate last year, the Education Freedom Act of 2025 includes a one-time $2,000 bonus for all of Tennessee's public school teachers.

The new plan guarantees state funding to make up any gaps public school districts could see from enrollment drops. It also establishes a new funding source for school building construction and maintenance.

Here's all you need to know about the new vouchers proposal under consideration early next year.

Who would be eligible for a school voucher?

If approved without amendments, SB1/HB1 would allow a maximum of 20,000 vouchers for the 2025-26 school year.

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The first 10,000 will be reserved for students whose family's annual household income is less than 300% of the income threshold set to qualify for free or reduced-price lunches, and for students with disabilities.

For the 2024-25 school year, the income threshold means students from a family of four with annual income less than $173,160. Knox County's median household income is $70,265.

The other 10,000 will be available to all students regardless of income or disability status.

Students enrolled in home schools and church-related programs will not be eligible to participate.

How much is each voucher worth?

Each voucher is $7,075 per year per student to help pay for private school tuition and fees.

What can vouchers be used for?

If approved, vouchers can be used for the following purposes:

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  • Tuition and fees for private schools

  • Textbooks and uniforms required by private schools

  • Tutoring services

  • Transportation to and from school by approved providers

  • Technology and hardware for educational purposes

  • Summer or specialized academic programs

  • Fees for postsecondary entrance exams or certifications

  • Educational therapy services

Where will the funding for vouchers come from?

The money comes from the state. No local or federal funds will be used for vouchers under the proposed bill.

Are there any testing requirements for students who receive vouchers?

Students in grades 3-11 who receive vouchers will have to take a standardized test each year. Data from this testing will be submitted to the state's Research and Education Accountability office.

Will there be any requirements for private schools that enroll students with vouchers?

The proposed bill stresses that private schools remain autonomous and there's no expansion of the state’s regulatory authority over private schools that enroll students with vouchers.

If my kid receives a voucher, will that count as taxable income for me?

No, voucher money will not be counted as taxable income of parents or guardians.

Will this mean a reduction in state funds for Knox County Schools?

The bill includes a provision guaranteeing that state funding for each school district will not decrease from the previous school year. This is aimed at quelling concerns from both sides that vouchers would effectively defund school districts.

How much do private schools cost in Knox County?

There are 52 private schools registered in Knox County, according to data from the Tennessee Department of Education. This includes schools with religious affiliation. They enroll nearly 10,000 students altogether.

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The county's biggest private schools are Christian Academy of Knoxville and Webb School of Knoxville. The tuition fees at those two schools range from just over $14,000 a year to nearly $26,000 a year.

Areena Arora, data and investigative reporter for Knox News, can be reached by email at areena.arora@knoxnews.com. Follow her on X @AreenaArora and on Instagram @areena_news.

This article originally appeared on Knoxville News Sentinel: Tennessee school vouchers bill 2025: What to know about the proposal