$1 Billion EDUCATION Bill PASSES – Wow!

Texas Governor Greg Abbott has signed a landmark $1 billion school voucher law that will allow families to use taxpayer dollars for private education, marking one of the most significant education policy shifts in the state’s history.

At a Glance

  • Governor Abbott signed the $1 billion school voucher program that will provide up to $10,000 per student for private schooling
  • Students with disabilities can receive up to $30,000, while homeschooled students will get $2,000 annually
  • The program launches in 2026 and is expected to cost up to $4.8 billion by 2030
  • Critics argue the bill benefits wealthier families while potentially diverting funds from public schools
  • The legislation marks the first time the Texas House has approved a private school voucher bill

Historic Educational Reform for Texas

Governor Greg Abbott signed Senate Bill 2 into law on Friday, creating one of the largest school voucher programs in the United States. The program will allow Texas families to access state funds through education savings accounts to pay for private school tuition and other educational expenses. The landmark legislation passed both the Texas House and Senate after years of previous failed attempts, with the program set to take effect September 1, though the first vouchers won’t be available until late 2026. 

The new law provides $10,000 per year for most students attending accredited private schools, up to $30,000 for students with disabilities, and $2,000 for home-schooled students. The program will be managed through state-controlled education savings accounts functioning as specialized bank accounts for educational expenses. While most Texas families will be eligible regardless of income, the program prioritizes students with disabilities and those from lower-income families.

Strong Political Support Despite Opposition

The school choice bill received strong support from key Texas political figures including Lieutenant Governor Dan Patrick and Speaker Dustin Burrows. Attorney General Ken Paxton praised the legislation as a significant advancement for educational freedom in Texas. Even President Donald Trump weighed in with his endorsement of the measure, calling it “a gigantic Victory for students and parents in the Great State of Texas.”

However, the bill faced significant opposition from Democrats and some rural Republicans who argued it could harm public schools by diverting necessary funding. Critics contend the program will primarily benefit families who already have children in private schools or can afford to supplement the voucher amount, as many private schools charge tuition rates higher than the $10,000 provided by the program. 

Program Details and Requirements

To participate in the program, private schools must be accredited and have operated for at least two years. Unlike public school students who take the STAAR test, students in the voucher program will only need to take a nationally recognized exam. Families cannot simultaneously enroll their children in both the voucher program and public schools. The state will produce annual reports on the program’s impact and participant satisfaction, with a private auditor ensuring compliance and penalties for fraudulent use of funds. 

“Today, Texas parents and school children secured a major victory. This universal school choice bill is a historic step in ensuring that students will have the freedom to seek the educational option that is right for them, not be trapped in schools that fail to meet their academic needs,” Attorney General Ken Paxton said.

The program’s initial $1 billion allocation covers the first two years, but projections suggest costs could rise to $4.8 billion by 2030 as more families participate. This substantial financial commitment represents one of the most significant education funding shifts in Texas history, redirecting taxpayer dollars from the public education system to private and religious schools through individual family choices. 

Financial Impact and Future Outlook

Texas joins a growing number of states implementing school choice programs, though its version stands out for its size and scope. The financial implications will be closely watched as the program develops. While supporters argue the vouchers will create healthy competition and improve educational outcomes across all schools, opponents worry about the long-term impact on public school funding, particularly in rural districts where private school options are limited.

With implementation still more than a year away, Texas education officials now face the task of creating the infrastructure to manage these education savings accounts and establishing oversight mechanisms to prevent fraud. The program represents a fundamental shift in how Texas approaches education funding and parental choice, potentially setting the stage for similar reforms in other conservative-leaning states across the country.