Texas’ Senate Bill 2, which would create an education savings account (ESA) system statewide, has a limited number of accountability measures by way of testing, financial responsibility and demographic reporting. The bill gives families access to public money to pay for private school tuition and some homeschooling costs.

Last year when Sen. Pete Flores, R-24, who co-authored the bill, spoke about his support of education saving accounts (ESA) funding, he said he would ensure there were accountability measures.

“My review of any legislation will continue to ensure that various state measures for student academic performance are met, including numerous accountability measures,” Flores said in 2024. “While private schools traditionally are not subject to the same open records requirements as public institutions, legislation could include requiring private schools that accept ESA funds to comply with specific open records laws related to their use of funds.”

Financial responsibility

Under SB 2, Texas parents would receive $10,000, (or $11,500 for students with disabilities or $2,000 for homeschooled children who qualify), that could be used toward private school education.

The bill cites (Sec. 29.359) that the money received under the program “… may be used only for the following education-related expenses incurred by a participating child at a pre-approved education service provider or vendor of educational products.”

The bill also states parents must submit a request for the money with an unnamed “certified educational assistance organization” which will verify requests with the guidelines under Section 29.359. This must be done in 10 business days but has no consequences in the event the deadline is missed. Additionally, the bill does not require private schools or parents to comply with open records laws related to their use of funds.

Testing

Private schools that would receive ESA funding would not be required to administer state STAAR tests, which are required at each grade level in public schools.

Instead, private schools would have to have students annually complete a “nationally norm-referenced assessment instrument.” The type of testing schools would have to administer is not specified.

Demographic reporting

The bill requires any private school participating in the program would have to collect demographic information about its students, including details like age, gender, race, ethnicity, disability status and ZIP code. These data points would be compiled and submitted annually to the state, just as is required for public schools.

Private schools would also be required to produce a report on the number of applications received and accepted, the results of testing completed and college, career or military readiness. The report would also require schools to include how the program has affected “public and private school capacity and availability.”

To ensure funds are being used as intended, the bill would also compel the comptroller to contract with a private entity to audit accounts belonging to the enrolled students, private schools, vendors or “educational assistance organizations.”

These audits would help the state to suspend accounts of participating students if funds are used improperly.

Public school funding

Public school districts are funded through a combination of local property taxes and state funding, alongside other factors like student demographics, attendance and district characteristics.

For example, the basic allotment that the Fredericksburg Independent School District receives from the state per student is $6,160, according to Jill Minshew, FISD’s assistant superintendent of business and finance. The state hasn’t increased its public education basic allotment, since 2019. “Funding for public schools is complicated,” Minshew said.

The state provides extra funding based on student attendance in areas such as special education, dyslexia, bilingual education, career training and school safety.

“When taking all the allotments into account, FISD received $10,295 per student in the 2023-24 school year,” Minshew said.

If a student moves to an accredited private school, FISD could lose between $6,160 and $10,295 per student.

The Harper ISD does not have private schools within its district.

Johan Villatoro also contributed to this report.