Tennessee's $7,530 private-school vouchers will remain in place for 35,000 students after a three-judge panel dismissed a constitutional challenge to the program on Monday, Oct. 19.
The ruling in Davidson County Chancery Court ended a nearly yearlong lawsuit against Gov. Bill Lee and state education officials over the Education Freedom Scholarship program, The Tennessean reported. The decision keeps the $260 million-plus program running through the 2026-27 school year, according to Tennessee Lookout.
Both Williamson and Maury counties ranked among the top 10 counties for voucher recipients during the program's first year, according to Tennessee Department of Education data reported by WSMV in November 2025. County-level numbers for the current school year have not been released.
The case, Young et al. v. Lee et al., was filed by parents from counties across Tennessee. They argued the program would "drain funds from under-resourced public schools and send hundreds of millions in taxpayer dollars to unregulated private schools," according to The Tennessean. The plaintiffs also argued the vouchers violated the state constitution's Education Clause.
The panel rejected both claims.
Chancellor John Rambo, Judge Joseph Howell and Chancellor Anne Martin found that Tennessee's constitution does not prohibit funding private education, even though it requires a system of free public schools, Tennessee Lookout reported. The panel ruled that any challenge to public-school funding levels should target the laws governing that funding, not the separate voucher program.
The plaintiffs were backed by the ACLU, the Southern Poverty Law Center (SPLC), Education Law Center and Southern Education Foundation. Whether those groups plan to appeal is not clear from available records.
Families backed by the Beacon Center of Tennessee and EdChoice Legal Advocates intervened in the lawsuit to defend the program. EdChoice called the dismissal "an important victory" for Tennessee parents who want to keep their children in schools where "they're happy, learning and thriving," Tennessee Lookout reported.
The program launched in 2025 with 20,000 scholarships and expanded to 35,000 for the current school year. Applications jumped from 40,000 in the first year to 56,000 this year, according to figures Gov. Lee cited in a March 2026 op-ed in The Leaf-Chronicle. The program can grow by 5,000 students annually, depending on legislative funding.
During the first year, the majority of voucher recipients in the top 10 counties came from families with incomes exceeding $170,000, WSMV reported.
The voucher program's future is also a flashpoint in the governor's race. Sen. Marsha Blackburn supports expansion and has cited a 17,000-family waiting list. Democratic challenger Jerri Green wants to defund the program and redirect money to public schools. Other candidates have called for ending or freezing the program, WSMV reported.
The program can expand by up to 5,000 students each year if the legislature approves the funding.
