Arizona spent $882 million on its school choice program in fiscal 2025, representing about 8 percent of the state's total K-12 spending and just over 1 percent of all state spending on public services, according to data analyzed by EdChoice. The finding comes as critics and supporters debate the financial impact of voucher, tax credit and Educational Savings Account programs on state budgets.
ProPublica published an investigation arguing that Arizona's choice program is "blowing a hole" in the state's budget. However, defenders of school choice point to federal and state data showing these programs remain a small fraction of overall education spending across most states with such initiatives.
What the Left Is Saying
Progressives and public education advocates argue that even if school choice spending represents a modest share of budgets now, it is growing faster than traditional public education funding. They contend the programs lack accountability measures required of district schools and redirect money away from schools serving high-need students.
The National Education Association has argued that voucher programs reduce resources available to public schools without clear evidence of improved outcomes for participating students. The teachers' union and allied Democratic lawmakers have called for independent audits of program effectiveness before any expansion.
Sen. Bernie Sanders, I-Vt., has said publicly that "education is a right, not a commodity" and opposes what he describes as efforts to privatize public schools through voucher programs. Senate Democrats have repeatedly introduced legislation to condition certain federal funding on states maintaining or increasing investment in traditional public education.
What the Right Is Saying
Conservatives argue that school choice programs empower parents with greater control over their children's education and create competition that improves all schools, including district schools. They note that Arizona's program educated 7.6 percent of students while spending only 5.5 percent of total K-12 funding dedicated to that purpose.
EdChoice, a nonprofit organization that supports school choice, points out that choice programs in most states represent approximately 0.7 percent of total state expenditures — rising to about 1.3 percent in states with universal choice programs. Supporters say this contradicts claims that such programs are "bankrupting" states.
Rep. Jim Banks, R-Ind., and other Republican lawmakers have argued that parents should not be forced to fund schools they do not use. Several red-state legislatures have expanded or introduced new school choice programs in recent sessions, with proponents framing the initiatives as fiscal responsibility and parental empowerment.
What the Numbers Show
According to EdChoice data: Arizona's $882 million choice program represented 8 percent of total K-12 spending, 5.4 percent of state general fund spending, and just over 1 percent of total state spending on all public services including federal matching funds. The state had 1.1 million students in traditional public schools and approximately 85,000 enrolled in the choice program.
National per-pupil spending grew from roughly $13,000 in 2015 to $19,000 in 2025 — a 31 percent nominal increase or about 7 percent after adjusting for inflation, according to Census Bureau data. Traditional public school enrollment has declined in many urban districts while staffing increased: Phoenix Elementary School District lost 39 percent of its students over seven years but grew staff by 5 percent; Chicago Public Schools lost more than 35,000 students (10 percent) while increasing staff by 20 percent.
The Bottom Line
School choice programs represent a small fraction of state spending — roughly 1 percent in most states with such programs. Both sides cite data to support their positions: critics point to rapid growth rates and accountability concerns; supporters note the modest share of total budgets and argue families should not be forced to fund schools they do not use.
The debate is likely to continue as more states consider expanding or creating school choice programs. Budget analysts from both perspectives agree that rising per-pupil spending in traditional public schools — driven partly by declining enrollment in some areas paired with stable or increased staffing — represents a separate but significant factor in education funding discussions.