If you’re concerned about doing business in Arizona with Empowerment Scholarship Account (ESA) families — fear not! Arizona families engage in a contract with the Arizona Department of Education when they accept their ESA dollars. Account holders (usually parents) are the ones who are accountable for how their ESA funds are spent, and if they are used in accordance with the law.
If you’re launching a service business such as offering tutoring or teaching services of any kind, in any subject, you’ll need to ensure the following:
- Provide an invoice that aligns with the Department of Education standard. This is pretty basic, but a key is making sure that the student’s name is on the invoice.
- Do not require proof of an ESA contract to do business (that contract is between the parent and the state, so asking for proof of an ESA contract is not required or recommended).
- If you’re invoicing as an individual (sole proprietorship), you’ll need to give ADE a copy of your high school diploma or college degree from a state, regional, or national accrediting organization.
- If you’re going to continue and be a facility or business, ADE needs a copy of your accreditation OR a completed attestation form that attests that every tutor (including yourself) has a high school diploma or higher.
Getting paid by ESA account holders
To utilize the online payment platform that Arizona currently is contracted with, you’ll need to register as a vendor with ADE and ClassWallet here. Parents can choose to pay you for services through the online vendor payment system, they can pay out of pocket and get reimbursed, or they can utilize their ESA debit card.
The ADE ESA handbook is approved annually by May 1st, and it outlines what Arizona laws and rules require for approved expenses. If you’re unsure of whether or not your services or products are approved, you have a few options