From Policy to Program: How Cultural Institutions Can Benefit from Education Savings Accounts

Dec 15

Picture this: a parent walks into your museum or summer camp registration desk with a state‑issued education account card in hand. They’re not asking if you take credit cards; they’re asking if you accept Education Savings Account (ESA) funds to enroll their child in your programs. If that feels like a futuristic idea, it’s not. It’s the present of educational funding in Texas and other states unfolding before our eyes. And unless cultural institutions learn about ESAs now, they’ll be on the outside looking in as families gain purchasing power with public dollars.

This isn’t about political posturing. It’s about how money flows from government coffers into the hands of families, and then into learning experiences delivered by organizations like yours. That’s impact and revenue.

School Choice Isn’t a Buzzword — It’s a Structural Shift in Who Controls Education Dollars

In the United States, “school choice” has grown from niche policy experiments into mainstream legislative action in nearly two dozen states. Traditional school funding once meant dollars flowed from the state to districts based primarily on where a child lived. School choice shifts that logic: resources follow the learner, not the ZIP code. One of the most flexible mechanisms for doing that is the Education Savings Account (ESA). Unlike simple vouchers, ESAs let families use public education funds for a wide range of approved educational goods and services, not just private school tuition. Parents can pay tutors, buy curriculum materials, enroll in online courses, or fund out‑of‑school learning experiences. (EdChoice)

This broader spending authority is exactly what makes ESAs interesting to cultural institutions. They’re not niche scholarships; they’re redirected public dollars that can be spent on diverse learning experiences.

What Are ESAs? (Plain Language Breakdown)

An Education Savings Account is a publicly funded, government‑authorized savings account for educational purposes. Families accepted into an ESA program have state education dollars deposited into an account they control (often via a managed marketplace) and use them to pay for approved educational expenses on behalf of their child. These expenses often include private school tuition and fees, tutoring, textbooks, instructional materials, online courses, and sometimes even transportation to approved providers.

Here’s the key structural insight: ESAs broaden the market for education services. They turn families into purchasers of educational products and services that meet defined standards, and they compete with traditional district funding models. If that sounds like a curriculum marketplace, that’s because on some level, it is.

Deep‑Dive Case Study: Texas Education Freedom Accounts (TEFA)

Texas is launching one of the most significant ESA programs in the nation, Texas Education Freedom Accounts (TEFA), under Senate Bill 2, with about $1 billion allocated for the 2026–27 school year. This is expected to be the largest day‑one ESA program in the U.S..

A few high‑impact facts cultural leaders should know:

Launch and timeline: Provider/vendor applications will open soon (late-2025 / early-2026); family applications begin Feb 4, 2026, for the 2026–27 year. (Texas Comptroller)
Funding amounts:
- Most participants receive roughly 85 % of average per‑pupil state funding (estimated ~$10,800 annually) if enrolled in an approved private/pre‑K program.
- Students with disabilities may receive up to around $30,000.
- Homeschooled students receive ~$2,000 per year for approved expenses. (This is an important point - homeschoolers qualify for less).
Approved expenses: Tuition, instructional materials, tutoring, textbooks, uniforms, assessment costs, transportation to/from approved providers, educational therapies, technology (with limits), etc.

Crucially, ESAs do not automatically apply to any vendor; families must use funds only with approved providers and vendors who apply and are accepted into the TEFA marketplace. This is where cultural institutions enter the picture: if you register and meet program requirements, your educational services could become approved spending destinations for TEFA dollars. That’s the revenue opportunity. (Texas Education Freedom Accounts)

Before You Ask “Can We Do Camps?”, Let’s Talk About What Counts as an Education Expense

Across states and in Texas’ TEFA, ESA programs define lists of approved educational expenses that are educational in nature, not simply recreational. In TEFA’s case, approved categories explicitly include educational services and materials that could align with museum programs, summer camps, workshops, or experiential learning if they are framed with instructional intent and measurable learning outcomes.

Examples often seen in ESA lists (varies by state, but Texas aligns with these):

Tuition and fees for educational programs (could also apply to online programming)
Textbooks and instructional materials
Private tutoring or supplemental instruction
Assessment and academic testing costs
Specialized therapies (when not covered by other benefits)
Transportation to and from educational services
Educational technology (with caps) (Texas Education Freedom Accounts)

That transportation to and from educational services and instructional materials line is often overlooked, but it’s where hands‑on, place‑based learning providers can start thinking creatively: if you quantify learning goals and standards, your offering can be an eligible expense.

What the Research Landscape Says About ESAs and School Choice Growth

It’s not just Texas. ESA programs are expanding nationally; there are more than 20 state programs, all allowing parents increasing control over how to spend education dollars. (Marketbrief)

National research and policy trackers show a few consistent patterns:

ESAs allow parents to customize education for their child, often beyond what traditional schooling offers, which increases demand for diverse learning services. (The Policy Circle)
Programs vary in scope and approved expenses by state policy, but many include tutoring, instructional materials, technology, and out‑of‑school learning activities alongside tuition. (NCSL)
Surveys indicate that when families have control, demand for alternative educational environments (including non‑school learning) rises. (EdChoice)

This isn’t a small blip, it’s a market shift in how publicly backed educational resources get spent, and a clear signal that the supply side of education (providers beyond traditional schools) is growing to meet that demand.

Step‑by‑Step: What Cultural Institutions Should Do Now

Get ahead of the rules. TEFA and other state ESA programs are still rolling out detailed implementation guidance. Sign up for updates from agency portals so you know when provider/vendor applications open and what the eligibility requirements will be. (example: Texas Comptroller)
Audit your offerings. Look at your camps, learning series, workshops, and virtual programs through an instructional lens. Is there a documented learning outcome? Standards alignment? Assessment component? Build those educational hooks explicitly into your product descriptions.
Prepare to apply as a provider. ESA programs like TEFA require participating vendors to meet compliance criteria and register before parents can spend funds with them. That’s not automatic — it’s a decision point where many cultural institutions will need guidance and preparation.
Educate your audiences. And your staff! Parents, partners, and referral networks often don’t know ESAs exist, or that they can spend funds on out‑of‑school learning. Help them understand eligibility and how your programs fit. Build clear marketing language around “ESA‑eligible learning experiences”. Also, this is likely to be a significant shift in the types of audiences you are bringing in to your programs, so make sure your staff understand the reasoning, the opportunities, and the strategy of your outreach.
Measure and communicate impact. Funders and families increasingly want evidence of learning. Define measurable learning outcomes for your programs and communicate them clearly, as that’s what makes them ESA‑friendly. “We brought in over 4000 students last year and they all gave us high marks on our survey,” won’t cut it. You need to explain the positive benefits of their experiences n your space, beyond basic attendance metrics.

Why This Matters Strategically

You don’t have to buy into every argument in the school choice debate to see this: schools are no longer the only holders of public education funding. As ESA programs grow, so does parental control over how state dollars are spent on learning. Families increasingly make spending decisions based on quality, fit, and relevance, not geography or district assignment.

That means your institution could be part of a new education ecosystem where learning outside traditional schooling is both recognized and funded. It’s not a fringe opportunity, it’s emerging public policy with real dollars attached. Those who understand it early have a competitive advantage.

If you’re looking to start strategic planning around efforts to expand your reach, but don’t know where to begin, reach out and let’s talk.