Private K-12 Schools NAICS 611110

May 6, 2025 - Texas Governor Signs Largest US School Voucher Program In US Into Law

• Texas governor Greg Abbott signed into law a bill making more than five million students eligible to use state funds for private schools. Private K-12 schools in other states may benefit if similar laws are passed elsewhere. Texas, the 16th state to make all students eligible to receive public funds for private education, is allocating $1bn for the first two years of the program to offer parents vouchers to pay for school. Advocates say school vouchers put control of children’s education into the hands of parents. Opponents say they drain money from public schools and predominantly benefit wealthier children. More than 1 million US students use state money or benefit from tax credits to pay for private school, according to EdChoice, an advocacy group supporting vouchers.
• President Trump signed an executive order instructing US Education Secretary Linda McMahon to start dismantling the US Department of Education. The executive order states that "Ultimately, the Department of Education’s main functions can, and should, be returned to the States." The US Department of Education had announced earlier the layoff of 1,300 staffers, nearly half of its workforce. Education Secretary McMahon described the layoffs as a “significant step toward restoring the greatness of the United States education system”. Preliminary figures cited by USA Today show that the Federal Student Aid Office, which handles student loan and financial aid disbursement, and the Office for Civil Rights, which protects students and teachers from discrimination, will be most affected by the layoffs.

• There are 34 states with private school choice programs in early 2025, according to FutureED. Twelve states have passed laws allowing any student, regardless of income or need, to apply for government funding to subsidize their private, religious, or, in some cases, homeschool education. About 569,000 students in the eight states where such universal programs were active in 2023-24 received public subsidies for private schooling, according to FurureED. Students in states with active programs represented 55% of all US students attending private school with public funding in 2024, at a cost to taxpayers of about $4 billion, according to FutureEd. About 40% of the nation’s 50 million elementary and secondary students will be eligible for public subsidies when all current private school choice programs are active.
• Private K-12 school industry employment has rebounded from pandemic-era lows and remained above pre-pandemic levels in early 2025, according to the US Bureau of Labor Statistics. Private K-12 school revenue is forecast to grow at a 3.86% compounded annual rate from 2025 to 2029, slower than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc. Sources of revenue for private schools include tuition, private grants, donations, fundraisers, and income from endowments.