Abstract Stochastic acceleration in the heliosheath appears to be a likely mechanism by which Anomalous Cosmic Rays (ACRs) are accelerated. However, most stochastic acceleration mechanisms are not appropriate. The energy density in the ACRs and in the interstellar pickup ions out of which the ACRs are accelerated greatly exceeds the energy density in the turbulence in the heliosheath. Thus, a traditional stochastic acceleration mechanism in which particles are accelerated by damping the turbulence will not work. A stochastic acceleration mechanism has been developed in which the total energy of the pickup ions and the ACRs is conserved. Energy is redistributed from the core pickup ions into a suprathermal tail to create the ACRs. A model for the acceleration of the ACRs in the heliosheath, based on this stochastic acceleration mechanism, is presented. The model provides reasonable fits to the spectra of suprathermal particles and ACRs observed by Voyager.