(The Center Square) – An amendment approved by a Finance, Ways and Means subcommittee in the Tennessee House of Representatives not only reduced the proposed expansion of the Education Freedom Scholarships, but also created a reporting requirement.
The amendment presented by Cookeville Republican Ryan Williams would add 10,000 new scholarships for the 2026-27 school year, in addition to the 5,000 included in the original law, for a maximum of 35,000. Gov. Bill Lee requested that lawmakers double the amount of scholarships from 20,000 to 40,000.
Williams said the amendment creates what he called a “pecking order” as to who receives the scholarships. Current recipients would be considered first, followed by students in households whose income does not exceed 100% of the amount required for the student to qualify for free or reduced-price lunch, followed by those whose income does not exceed 300% of that same level.
School districts could also recoup funding due to enrollment losses if they can demonstrate that students are lawful U.S. residents.
Williams said House Majority Leader William Lamberth of Portland helped him amend the bill so it could be done in a more “conservative way.”
“The members know I am very passionate about the way we spend money around here and I believe this amendment in this consequential bill does do in fact that,” Williams said.
The amendment also requires an annual report on scholarship recipients, including their county of residence, whether they were in a public school when they applied, and their annual household income.
Democrats and Republicans have called for more data about scholarship recipients. House Bill 1544/Senate Bill 1643 would require the Education Department to provide a report on who received the scholarships, which school they attended, and their parents’ income. The House version of the bill failed to make it out of committee.
Applications for the Education Freedom Scholarships increased significantly in the program’s sophomore year. More than 56,000 students applied for the 2026-27 school year, while more than 38,000 applied for the 2025-26 school year, according to the Tennessee Department of Education.
The Senate Finance, Ways and Means Committee advanced Lee’s proposal on Tuesday, which would award the $7,530 scholarship to 40,000 students for the 2026-27 school year. Lee included funding in his fiscal year 2027 budget proposal.
A spokesman for Lee said previously that it’s clear parents want choices.
