Governor Lee, Majority Leaders introduce Education Freedom Act of 2025
Legislation part of comprehensive commitment to invest additional $500 million into education in Tennessee
FOR IMMEDIATE RELEASE: Nov. 6, 2024
NASHVILLE, Tenn. —Tennessee leaders today filed the Education Freedom Act of 2025, launching a new era of student success and putting the Volunteer State on the pathway to having the best public schools in the nation.
House Bill 1/Senate Bill 1 establishes statewide school choice, giving every Tennessee family the opportunity to choose the educational path that best suits the needs of their child. The legislation makes historic investments in public education while preserving the future fiscal integrity of public schools
The Education Freedom Act of 2025 includes:
20,000 scholarships for Tennessee students starting in the 2025-26 school year
10,000 reserved for students at or below 300% of income qualifying for free or reduced-price lunch, have a disability, or are eligible for the existing ESA program
Ensures state funding to school districts will never decrease due to disenrollment
Scholarship amounts equal to the per pupil base funds allocated to public school students each year - $7,075 as of the most recent school year
Funds will be deposited into an account to be used for tuition, fees and other qualified education expenses
350+ private schools eligible to voluntarily receive Education Freedom Scholarships as Category I-III schools
Schools will maintain their independence and educational freedom, preventing unnecessary government overreach while expanding school choice for families
5,000 additional scholarships with universal eligibility added each year after 75% of total scholarships are taken in the prior year to ensure controlled, fiscally responsible program growth
“For more than a year, I have worked in partnership with the General Assembly to introduce a unified school choice plan that empowers parents when it comes to their child's education and further invests in Tennessee’s public schools and teachers,” said Gov. Bill Lee. “Every child deserves an opportunity for success regardless of their income or ZIP code, and I look forward to delivering on this promise with the Education Freedom Act.”
“As we continue to invest in public education, nearly doubling the amount of state funding over the last decade, parents and families deserve the freedom to use their hard-earned tax dollars to provide the best opportunity for their children to achieve,” said House Speaker Cameron Sexton, R-Crossville. “Families should not be limited by their zip code, failing school system or their income. Giving parents the ability to choose for their child will provide more opportunities and reduce poverty throughout our state. Increased competition for a student’s enrollment will make schools, school systems, and administrators meet the need for a higher quality of education.”
“School choice is a critical piece of the education puzzle,” said Lt. Gov. Randy McNally, R-Oak Ridge. “Expanding options for parents will ensure choice, not geography, determines student success. I am grateful for Governor Lee's leadership on this issue and look forward to working through the details of this legislation with my fellow legislators in the coming year.”
“We have made incredible progress to improve education opportunities for Tennessee children, and we are not done,” said Senate Majority Leader Jack Johnson, R-Franklin. “This important initiative is the next step in advancing our student-centered approach by empowering parents to make the best decisions for their individual children, regardless of their zip code. The legislation is backed by many years of work. After countless hours of conversations with parents, teachers, administrators and other stakeholders on the best path forward, this bill strikes the right balance. It allows parents to use their tax dollars for private school alternatives, while maintaining accountability and supporting our public school teachers. I look forward to the General Assembly considering and ultimately passing this legislation when we convene in January.”
“This legislation leaves no stone unturned when it comes to providing the very best educational path to set the next generation up for success,” said House Majority Leader William Lamberth, R-Portland. “Public schools are the foundation of our educational system, and they’ll continue to be the option of choice for most families. This bill empowers parents – not the government – to make decisions about the unique needs and diverse interests of their children. Our students deserve no less.”
The Education Freedom Act of 2025 also includes significant investments in Tennessee’s public schools and teachers including:
$2,000 bonus for every teacher in the state
80% of all sports wagering dollars dedicated to building and maintaining K-12 public school facilities, particularly for emergency needs as well as at-risk and distressed counties
Tennessee remains committed to supporting public schools through an estimated $275 million in additional state funding provided through TISA. Starting teacher pay will also increase to $47,000 in FY25-26 – an increase from $35,000 in 2019, placing the state 16th in the nation.
The 114th Tennessee General Assembly is scheduled to convene on Jan. 14, 2025.
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