Alabama's CHOOSE Act Expands School Choice to All Families

MONTGOMERY, Ala. -- The Alabama Legislature's 2024 CHOOSE Act, formally the Creating Hope and Opportunity for Our Students' Education Act (Act 2024-21), has fully expanded eligibility for education savings accounts (ESAs) to all K-12 students statewide as of the 2026-2027 academic year. Signed into law by Gov. Kay Ivey on March 7, 2024, the program began with $100 million from the Alabama Education Trust Fund, prioritizing low-income families -- those at or below 300% of the federal poverty level, up to $93,600 for a family of four -- in its first two years. By 2027, universal access kicks in, delivering refundable tax credits of $7,000 per student at participating private schools or $2,000 per homeschooled child, capped at $4,000 per household.

Administered by the Alabama Department of Revenue, the CHOOSE Act Fund supports expenses like tuition, textbooks, online programs, tutoring and special education services at approved education service providers. The first 500 accounts targeted special-needs students, followed by priorities for siblings of participants, children of active-duty military from 'priority schools' under the Alabama Accountability Act, and income-based allocations. Sponsors Sen. Arthur Orr, R-Decatur, and Rep. Danny Garrett, R-Trussville, hailed it as a 'pathway to universal school choice,' potentially serving over 14,000 students initially with room for growth. Participating schools retain autonomy in admissions, curriculum and testing, barring discrimination by race, color or national origin, while allowing religious criteria.

Supporters, including ExcelinEd in Action, praise the flexibility for families in growing districts like those in Shelby County and Madison, where public enrollment strains resources. Yet Alabama Arise and the Economic Policy Institute decry it as a drain on public schools, projecting hundreds of millions siphoned annually from the Education Trust Fund amid chronic underfunding. Private schools need not match public standardized tests or hire certified teachers, raising concerns in urban areas like Birmingham, where public systems already lag. As applications open for 2026-2027 via chooseact.alabama.gov, the program tests Alabama's balance between parental options and public education equity.