How Can Utah Expand Microschool Access with ESA Demand Outpacing Supply?
Utah's education savings account (ESA) program received roughly 27,000 applications but could only fund 10,000 scholarships, revealing a critical supply gap in microschools. Host Michael Horn and Libertas Institute policy analyst Jon England examine the regulatory barriers—particularly zoning and building codes—that constrain microschool formation, and discuss how recent Utah legislation is working to remove those obstacles. They also highlight the need for business and operational support for educators and parents looking to launch sustainable microschools.
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Key takeaways
Utah's ESA program received 27,000 applications but only 10,000 scholarships were available, exposing a major microschool supply shortage.
Utah passed legislation allowing microschools (≤100 students) in all zoning areas and reducing building occupancy requirements to lower the barrier to entry.
Many microschool founders are educators or parents lacking entrepreneurial skills, making business support in operations, marketing, and finance a critical need.
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Across the country, education savings accounts (ESAs) are reshaping how families think about schooling, but in Utah, surging demand is outpacing available options. Last year, roughly 27,000 students applied for Utah's ESA program, but only 10,000 scholarships were available. While parental interest in alternative education is booming, a new bottleneck is emerging: the supply of microschools.
While parental interest in alternative education is booming, a new bottleneck is emerging: the supply of microschools.
So, how can Utah meet the growing demand for small, innovative schools and remove the regulatory roadblocks that stand in the way?
In this episode of The Future of Education, host Michael Horn speaks with Jon England, an education policy analyst at the Libertas Institute and former school principal, about what's fueling the microschool movement in Utah. Together, they explore how new state laws are helping founders overcome zoning hurdles, reduce building occupancy regulations, and create more flexible learning environments for families.
Key takeaways from the conversation…
- Utah's ESA demand far exceeds supply, with 27,000 applications and just 10,000 scholarships, highlighting the urgent need for more microschool options.
- Zoning and building regulations are major barriers to school creation. Utah addressed this issue by passing a law to allow microschools (defined as 100 students or fewer) in all zones and reduce unnecessary building code requirements.
- Business acumen is a growing need for microschool founders—many are educators or parents, not entrepreneurs, and require support in sustainable operations, marketing, and financial planning.
Jon England is an education policy analyst at the Libertas Institute, where he focuses on advancing school choice, removing regulatory barriers, and supporting alternative education models like microschools. He brings over 14 years of experience in public education as a former teacher and principal, and co-hosts the Dimond Education Podcast. His career is built on a foundation of classroom leadership, education reform, and service, including eight years in the U.S. Marine Corps Reserve.
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About the author
Michael Horn speaks and writes about the future of education and works with a portfolio of education organizations to improve the life of each and every student. He is the co-founder of and a distinguished fellow at the Clayton Christensen Institute for Disruptive Innovation, and host of the Future of Education podcast on MarketScale.
