A recent report from the University of Utah’s Kem C. Gardner Policy Institute reveals that approximately 7 % of Utah third graders are currently reading at grade level, a figure that aligns with findings from a state audit showing little sustained improvement in K-3 literacy scores over much of the last decade.
New legislative targets and retention
The data comes as Utah prepares for significant shifts in education policy. While the state has reached its previous goal of 70% third-grade literacy, a new law, SB241, which takes effect July 1, raises the target to 80% by the year 2030. This legislative change also introduces third-grade retention, a measure that will hold students back one year starting in 2030 if they struggle to meet reading standards.
Potential impact of grade retention
According to findings published by Moab Times on June 26, 2026, if current reading rates remain static, as much as 30% of Utah's third graders could eventually face grade retention. The state audit presented to lawmakers during a June 16 meeting characterized the outcomes of recent literacy investments as mixed.
First-grade performance gaps identified
The lack of progress is particularly evident in first-grade performance. Auditors found that gaps in first-grade reading tests contribute to the state's overall lack of movement in third grade, as more students enter second grade requiring intensive interventions. The audit stated that this gap suggests early literacy instruction may not be adequately supporting the development of foundational skills.
Challenges in verifying investment results
State Superintendent Molly Hart addressed the findings following the June 16 meeting, noting that the primary challenge is the inability to verify if investments are yielding results. "The core issue for us that this audit pointed out was that we could not determine whether our investments were improving student outcomes," Hart said. She emphasized that the focus of the State Board of Education must be on ensuring clear expectations, visible performance, and consistent monitoring across the state.
Funding for literacy initiatives
The financial scale of Utah's literacy efforts is significant. In 2022, under SB127, known as the early literacy outcomes improvement law, legislators allocated roughly $18.5 million in one-time and ongoing funding to support 20 different projects. This included mandates for all schools and districts to adopt evidence-based "science of reading" curricula and intervention programs.
Teacher training and federal funding
Prior to these 2022 investments, the state utilized over $1 billion in federal COVID-19 relief funds to implement Language Essentials for Teachers of Reading and Spelling (LETRS) training. According to Utah State Board of Education documents, this funding covered approximately 8,000 educators, impacting an estimated 155,000 students. While that specific federal funding expired in September 2023, state bridge funding helped continue the program, with over 10,000 educators now enrolled in the training.
Despite the high enrollment in teacher training, auditors identified serious flaws in the oversight of the LETRS program. The audit found no direct link between the completion of LETRS training and increased reading scores, partly because the Utah State Board of Education lacks the necessary data infrastructure to make such a determination.
Furthermore, the audit criticized the self-driven nature of the video-based training. Auditors noted that because assessments are "open book" and at least one online resource provides answers to all test questions, the lack of oversight may allow individuals to complete the training without actually improving their instructional understanding. The report also highlighted that there is currently no passing score requirement; certification merely indicates that an educator has completed the material.
The effectiveness of literacy coaches has also seen inconsistent results. Under the 2022 law, funding was provided for coaches at 48 underperforming schools. While four schools removed coaches following measurable improvements in reading scores, thirteen other schools removed them due to various reasons such as school closures.
A notable disparity was found between these groups: there was a 13 percentage-point difference in outcomes between schools that kept coaches until significant improvement was seen and those that removed them for other reasons. Overall, the audit described literacy outcomes in schools utilizing coaches as uneven.
There are, however, measurable successes when leadership is involved. The audit found that schools where principals and administrators participate in literacy-based professional development see higher percentages of students reading at grade level compared to schools where leaders do not participate. During the 2025 school year, this administrative involvement was a primary driver of improved student outcomes.
This focus on policy and leadership intersects with broader discussions regarding Utah's long-term stability. In a May 12, 2026, discussion on the Lawbalization podcast, Natalie Gochnour, director of the Kem C. Gardner Policy Institute and associate dean at the University of Utah, explored how policy decisions shape the state's economic success story. Gochnour highlighted that while Utah benefits from workforce strength and upward mobility, long-term prosperity also relies on social capital, trust, and navigating challenges such as housing, education, and the future of the Great Salt Lake through frameworks like "mutual accommodation."
As Utah transitions to the new requirements of SB241 this July, the state faces the challenge of meeting an ambitious 80% literacy goal by 2030. With the audit highlighting the need for better data infrastructure and more rigorous oversight of teacher training, the path toward sustained academic improvement remains a central focus for state educators and policymakers.
