This brief updates the fiscal analysis of the West Virginia Hope Scholarship Program through FY 2025, the program’s third year in operation. The analysis estimates the program’s impact on the state budget and on local taxpayers, and provides context for how Hope affects public school revenues. It also considers how the fiscal picture may change as Hope becomes universally available beginning with the 2026–27 school year.

• Hope participation nearly doubled in FY 2025, increasing from 5,443 students in FY 2024 to 10,530 students. Participation grew from 0.9% of public school enrollment in FY 2023 to 4.4% in FY 2025.
• The FY 2025 Hope scholarship amount was $4,921 per student, equal to 24.3% of the $20,249 average total revenue per student in West Virginia public schools and 62.3% of the $7,899 statewide average foundation funding per student.
• Using the full annual scholarship amount for every participant, the estimated Hope program cost was $54.4 million in FY 2025. This represents 1.1% of the $4.8 billion in total funding for West Virginia public schools and 0.2% of the $27.0 billion in total state spending on all public services.
• Assuming 90% of Hope participants are switchers, or students who would otherwise attend public school, the estimated reduction in state formula funding associated with Hope was $73.5 million. Compared with the $54.4 million program cost estimate, this implies approximately $19.1 million in net savings to the state budget in FY 2025.
• Public school districts experienced an estimated $73.5 million reduction in state formula funding associated with Hope switchers. That reduction was equivalent to about 1.5% of FY 2025 statewide public school revenue, meaning roughly 98.5% of the statewide revenue base remained intact. Across districts, the corresponding share ranged from about 96.9% to 100%.
• Because the estimated reduction in district revenue was smaller than the reduction in enrollment, estimated revenue available per remaining public school student increased from $20,249 to $20,768, up $519 per student.
• The program generated an estimated $35.2 million in net fiscal benefits for local taxpayers in FY 2025, based on approximately $108.7 million in estimated short-run variable cost savings and a $73.5 million estimated reduction in state formula funding to districts.
• Universal eligibility will likely increase participation by students already outside the public school system. These non-switchers add program costs without directly generating offsetting public school savings. For context, the FY 2025 Hope award was 62.3% of the statewide average foundation funding per student, implying a state budget break-even switcher rate of about 62%. The long-run benchmark is lower, 24.3%, because a larger share of public school costs can adjust over time.