Kentucky Supreme Court Strikes Down Charter School Funding Law

The Kentucky Supreme Court unanimously ruled that House Bill 9, which established public funding for charter schools, is unconstitutional. The court's decision, delivered on February 19, 2026, affirms that state funds are designated solely for "common schools," as defined by the Kentucky Constitution. Justice Michelle Keller, writing for the court, emphasized that public education funds cannot be allocated to charter schools without voter approval, reinforcing strict constitutional protections around education funding.

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House Bill 9 was passed by the Republican-controlled Kentucky General Assembly in 2022, overriding a veto from Democratic Governor Andy Beshear. The law aimed to create a funding mechanism for charter schools, which have been legal in Kentucky since 2017 but had not opened due to funding issues. The legislation faced immediate legal challenges, culminating in the Supreme Court's ruling that charter schools do not meet the constitutional definition of common schools, as they can limit enrollment and operate independently of local school boards.

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The court's opinion highlighted that Kentucky's Constitution mandates an efficient system of common schools, and any diversion of public funds requires voter consent. The justices noted that the constitutional framework for education funding is stricter in Kentucky than in many other states, where broader definitions of common schools exist. The ruling also referenced the overwhelming rejection by Kentucky voters in 2024 of a proposed constitutional amendment that would have allowed public funding for charter schools.

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The decision has significant implications for the future of charter schools in Kentucky. While the court did not evaluate the effectiveness of charter schools, it made clear that any changes to the funding structure must come through a constitutional amendment or voter approval. Critics of the ruling argue that it limits educational options for families, particularly in low-income communities, while supporters maintain that it protects the integrity of public education funding.

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In response to the ruling, Governor Andy Beshear stated, "Taxpayer dollars should stay with our already underfunded public schools, and now they will. This is a win for our kids and our future." House Speaker David Osborne criticized the decision, claiming it usurps the authority of the General Assembly and perpetuates a failing status quo. The National Alliance for Public Charter Schools described the ruling as "the most poorly reasoned legal opinion in the 35 years of the charter school movement," arguing it restricts access to quality educational options.

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Opponents of the ruling, including the Bluegrass Institute, expressed concern that the decision could jeopardize the funding of various educational programs that do not fit the court's definition of common schools. They argue that the ruling could have broader implications for existing educational initiatives in Kentucky. Conversely, advocates for public education, such as the Prichard Committee for Academic Excellence, praised the ruling for upholding the constitutional protections of public education funding.

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The ruling leaves the door open for future legislative efforts to establish charter schools in Kentucky, contingent upon a successful constitutional amendment or voter approval. As the debate over educational funding continues, the Kentucky General Assembly may seek to address the court's concerns while navigating the political landscape shaped by this significant ruling.

Kentucky Supreme Court rules charter school funding law unconstitutional under state constitution