The bill amends the Lindsey Nicole Henry Scholarships for Students with Disabilities Program by updating eligibility criteria and expanding the scope of the scholarship. It changes the terminology from "disabilities" to "special needs" and removes the requirement for students to have an individualized education program (IEP) at the time of scholarship request. Additionally, it eliminates references to public schools, allowing parents or guardians of students with special needs to apply for scholarships for private school enrollment without needing to meet previous public school attendance requirements. The bill also introduces an annual meeting requirement between parents or guardians and private school representatives to discuss necessary services for the child's special needs.

Moreover, the bill outlines the responsibilities of the State Department of Education in managing the scholarship program, including calculating scholarship amounts and overseeing payments to private schools. It establishes a process for addressing proposed actions against participating private schools, requiring notification to parents and allowing schools to request administrative hearings. The bill also clarifies that the state and educational entities will not incur liability regarding the scholarships and ensures that regulatory authority over private schools remains limited. Additionally, it grants the Department the power to reduce state aid to non-compliant school districts and mandates an annual report on scholarship statistics. The act is set to take effect on July 1, 2025, with an emergency clause for immediate implementation upon passage.