How Do You Prevent Fraud in the Program
Parents wanting their child to participate in the ESA program will have to sign an agreement that outlines the proper uses of the funds and that imposes penalties for the misuse of ESA funding.
Providers of services and materials who want to be a part of the ESA program will need to be approved and will be assigned special codes and procedures for their participation (this list will constantly be growing as parents seek out new providers and materials for their children).
The state will conduct regular audits of the program to ensure compliance and uncover any abuses, and will prosecute those committing fraud.
ESA debit cards would likely be issued that would provide real-time reporting and approval or denial of spending under the program.
Where Else Have ESAs Been Tried
Arizona passed the first ESA legislation in 2011 and now Florida, Nevada, Tennessee, and Mississippi have enacted ESA legislation in their states.