The proposed bill aims to enhance fiscal responsibility by establishing income limits for students eligible for the Arkansas Children's Educational Freedom Account Program starting in the 2025-2026 school year. It amends existing eligibility criteria by removing the provision that allowed students enrolling in kindergarten for the first time to qualify. Instead, it introduces new categories of eligibility, including children of active-duty military personnel and students previously enrolled in underperforming public schools.

Additionally, the bill outlines specific income thresholds for families to qualify for the program. Students from families with a gross income not exceeding 250% of the federal poverty level will be fully eligible, while those with incomes between 250% and 350% will receive only 50% of the prior year's funding, and those with incomes between 350% and 400% will receive 25% of the funding. This restructuring aims to ensure that the program is more targeted and financially sustainable while still providing educational opportunities to students from varying economic backgrounds.

Statutes affected:
HB 1761: 6-18-2506(a)