The Steamboat has left the dock, and it’s sailing straight for your front office. On May 14, the Wyoming Supreme Court unanimously lifted the injunction that had frozen the Steamboat Legacy Scholarship Act, Wyoming’s school voucher program, for nearly a year (Degenfelder v. WEA, 2026 WY 54). Applications reopened this month. In May of 2025, when the Act first became effective, roughly 4,000 families signed up for the program, which provides $7,000 per student for an education savings account to families who withdraw their students from public school. Income-qualified families — at or below 250% of the federal poverty level, roughly $80,000 for a family of four — can also draw ESA funds for pre-K costs, so if your district runs a pre-K program, this affects you too.
Here’s the catch: the Court didn’t rule the Act constitutional — it just said that the program could be active while the rest of the case is litigated. The real fight over whether the Act violates the Wyoming Constitution is still playing out in Laramie County District Court, where intervenors filed a motion for judgment on the pleadings on June 23. But the justices seemed to telegraph that the court will ultimately rule that the Act does not violate Wyoming’s state constitution.
Translation: this case could wrap up fast, or drag on through a lengthy appeal.
Either way, the money is moving now, and the fallout for enrollment, staffing, and program planning lands this fall, well before anyone gets a final answer on the constitutional question.
Five things to do now
Track withdrawals in real time. Parents have 15 days after the state approves their ESA contract to notify your district in writing. Make sure front-office and enrollment staff know a formal withdrawal letter is coming — WDE guidance treats the family’s acceptance email from the Wyoming ESA program as sufficient notice.
Decide now whether you’ll sell services to ESA families. Districts may sell individual classes, activities, and programs to ESA students, but only under a formal parent contract, and you can’t count these students for ADM funding, award credit, or put anything on a transcript. ESA funds cover far more than tuition; they cover tutoring, AP exam fees, uniforms, even homeschool internet costs. Expect requests that go beyond a basic class list. If you’re considering it, loop in your school district’s legal counsel before you draft or sign anything.
Brief your special education team today. There are two critical issues your special ed team needs to know about ESA enrollment:
For students who are already identified as special ed students, your team will have to issue prior written notice confirming their withdrawal from school. You will also need to consider what equitable services you will owe these students when they are not enrolled.
For students who are not identified as special ed, you will still owe child find obligations. It is very likely that your district will receive evaluation requests from families who have no intention of ever enrolling.
Standardize your records-request process. FERPA lets you transfer a complete record to a qualified school that enrolls a former student. Build one clean, repeatable process now, before the requests start piling up.
Budget for both outcomes. The district court could still strike the Act down, and the WDE has signaled it won’t claw back funds already properly disbursed. The safest thing to do is to run your enrollment and revenue projections twice, once assuming the program survives, once assuming it doesn’t.
Questions? Reach out to us at ksb@ksbschoollaw.com.
