Follow the Money: The Real Dangers of Texas House Bill 2 (HB 2)
A Deep Dive into the Privatization of Public Education in Texas
Despite being marketed as a necessary “school finance” reform, Texas House Bill 2 (HB 2) is not about helping public schools—it is a multi-billion-dollar financial framework designed to expand unaccountable charter networks, reward politically connected insiders, and entrench public-private partnerships that turn children into data points for profit.
This bill, under the guise of educational investment, siphons public funds away from classrooms and hands them to private operators with little to no transparency. It benefits a small group of elite players and further undermines democratic control of public education in Texas.
1. The Illusion of a “School Finance” Bill
While HB 2 proposes a long-overdue increase to the Basic Allotment—$395 per student—this is dwarfed by the funds allocated to:
Charter school expansion
Merit-pay and incentive-based staffing reforms (TIA, TEI, ACE)
Gates Foundation-aligned initiatives through Commit Partnership
HB 2 is not a fix for school funding. It’s a redirection of public funds toward technocratic, data-driven reform models and infrastructure expansion for charters—not local public schools.
2. Charter Schools: The Real Financial Winners
Charters Get a Bigger Boost Than Public Schools
"A charter school is entitled to receive for each student in average daily attendance an allotment of $459 for use in funding facilities."
— HB 2, Section 1.05 (HB 2 Full Text)
This increase—from $152 to $459—is nearly triple the previous allotment and stacked on top of:
"A charter school is entitled to receive...a small and mid-size allotment..."
— HB 2, Section 1.06
Charters already receive more than $1,000 per student under the small/mid-size allotment. In comparison, school districts only see a $395 increase in Basic Allotment—with none of the extras.
3. Charter Facility Funding Skyrockets
"Section 12.106(f), Education Code, is repealed."
— HB 2, Section 1.07
This repeals the $60 million annual cap on charter facility funds. Projections show:
$190 million in 2025–2026
$199 million in 2026–2027
Total of $389 million, with no local vote required
4. Expanded Use of Public Funds, No Strings Attached
"Property purchased or leased with funds received...including real property and improvements...is considered to be public property."
— HB 2, Section 1.08
The bill expands what charter facility funds can be spent on—not just classrooms, but also:
Real estate acquisition
Refinancing
Vehicles and equipment
Charter boards can make these decisions without any public vote or TEA reporting.
5. No Public Oversight
"A charter holder is not considered to be a governmental entity and is not subject to laws...including open meetings, public information, and public purchasing."
— HB 2, Section 1.09
This strips charters of the accountability required of public school districts:
No local elections
No open records
No bond approvals by voters
No public participation in decision-making
6. Pattern of Charter Financial Abuse
Examples of existing misuse of taxpayer funds by Texas charter networks:
IDEA Public Schools: Purchased a $1 million luxury hotel while under investigation for improper spending
Harmony: Pays over $1M/year to lease facilities from a related nonprofit charging above market rates
Pioneer Technology & Arts: Spent $5 million in rent to companies connected to its superintendent
ILT: Approved $400M in junk bonds without local approval—costing taxpayers exponentially more
7. Who’s Really Behind HB 2?
Todd Williams, a former Goldman Sachs investor, leads the Commit Partnership—funded by the Gates Foundation and TEA Commissioner Mike Morath. Williams:
Was appointed 4 times by Governor Abbott
Drafts bills like HB 2 via his Texas Impact Network
Financially supports Public Education Committee Chairs: Rep. Brad Buckley and Sen. Brandon Creighton
HB 2 reflects his agenda: workforce-aligned, data-tracked, charter-centric education reform.
URGENT: Action Needed Before April 3rd
The Texas House Public Education Committee will be meeting to consider and vote on HB 2 on Thursday, April 3rd.
No public testimony will be allowed
BUT it is a public meeting
Texans must show up in person to demonstrate opposition to this bill
📍 Location and Time: John H Reagan State Office Building (JHR 140) 8:00 am
Conclusion: Vote NO on HB 2
HB 2 is not about improving school finance. It is about privatizing education, enriching insiders, and gutting public oversight.
Say NO to:
Backdoor charter expansion
Financial mismanagement
Data-mining of children
Unelected private boards controlling tax dollars
Tell lawmakers:
Protect public schools. Demand accountability. VOTE NO on HB 2