As Texas launches school choice program, clarification sought on 'adversary' schools

As Texas begins launching its new school choice program, the state comptroller’s office is seeking clarification on applications submitted by private schools with potential connections to foreign adversaries.

Gov. Greg Abbott signed a new bill into law this year creating Texas’ first Education Savings Account program, Texas Education Freedom Accounts (TEFA). TEFA, effective in the 2026–27 school year, provides taxpayer-funded ESA grants of roughly $10,000 to roughly 100,000 students. The new pilot program enables eligible parents to send their child to a school of their choice. TEFA funds apply to private school tuition, educational expenses for homeschoolers, tutoring, career and technical education programs, among other expenses.

New processes began rolling out in October. This month, educators and schools began applying to participate in TEFA. Within 10 days of receiving applications, more than 600 private schools and more than 200 education service providers, including tutors, had applied, The Center Square reported.

Among them are private schools potentially connected to an organization Abbott designated as a foreign terrorist organization, the Council on Islamic American Relations (CAIR), as well as schools connected to the Chinese Communist Party (CCP).

Abbott took a series of initiatives against CAIR and Sharia law in Texas this year and signed a bill into law banning foreign adversaries from purchasing land in Texas. He also signed other bills into law targeting adversarial countries, including threats posed by China.

In response, CAIR sued, maintaining it is not a terrorist organization and doesn’t fund terrorism. Chinese nationals in the country on visas also sued to halt the foreign adversary ban, which the Fifth Circuit just squashed.

In a letter to Attorney General Ken Paxton, Acting Comptroller Kelly Hancock requested clarification about certain private schools’ eligibility to participate in TEFA.

“Recent findings have raised significant legal and taxpayer protection concerns,” Hancock wrote. “Potential TEFA applicants accredited through a TEPSAC-approved agency, Cognia, are based at an address that have hosted publicly advertised events organized” by CAIR, Hancock notes. He points to Abbott designating CAIR “as both a ‘foreign terrorist organization’ and a ‘transnational criminal organization,’” expressing concerns.

Texas private schools are accredited by one of 19 agencies approved by the Texas Private School Accreditation Commission (TEPSAC). Georgia-based Cognia claims to be “a forward-thinking nonprofit organization” with a global network of educators at 40,000 institutions in more than 100 countries.

“It has been brought to my attention that another Cognia-accredited school may be owned or controlled by a holding group linked to foreign adversaries seeking influence over U.S. education, specifically, an adviser to the Chinese communist government,” Hancock continued. “These circumstances appear to implicate newly enacted laws restricting property ownership, control, and financial influence by foreign adversary entities in Texas.”

Hancock requested a legal opinion from Paxton on whether a private school accredited by a TEPSAC-approved agency like Cognia is legally disqualified from participating in TEFA. This includes if they have known direct or indirect affiliations, including shared facility use or partnerships with FTOs or TCOs, and “ownership, governance, property interests, operational control, or financial influence traceable to individuals or entities associated with a foreign adversary as defined under Texas property-security and foreign-influence statutes.”

Hancock expressed concerns that the private schools might also be disqualified from TEFA under provisions of SB 2, an education funding bill that became law this year, which includes stipulations and oversight of TEFA and other programs.

“Because these determinations carry substantial statewide implications, a formal Attorney General Opinion is necessary to ensure uniform compliance and legal certainty,” Hancock said. “The people of Texas deserve the highest assurance that no taxpayer dollars will be used, directly or indirectly, to support institutions with ties to a foreign terrorist organization, a transnational criminal network, or any adversarial foreign government.”

Hancock requested clarification and expressed concerns after Texas officials have been leading on the issues of banning Sharia law, targeting Islamic terrorism and CCP threats, The Center Square reported.