The State Board of Education (SBOE) tentatively voted during its June 26, 2024, meeting to veto two of five applicants hoping to open new charter school chains with Texas tax dollars. 

Charter schools are funded by taxpayers but managed by private entities, which are often located out of state. Finalists are selected each year by Texas Education Agency (TEA) staff and presented to the board, which has veto authority over new charter applications.  

SBOE members questioned each finalist and heard public testimony regarding the applicants at Wednesday’s meeting. The board will hold a final vote Friday to formalize its decision. 

The board voted late Wednesday to veto Infinite Minds in Arlington by a vote of 7-5 and Visionary STEM Academy in Terrell ISD by a vote of 9-3.  

The board unanimously voted to approve Pathway Academy, which would be located within Big Spring, Coahoma, and Forsan ISDs. Members also voted to award contracts to Texas Girls School in Lake Travis and Leander ISDs and Unparalleled Preparatory Academy in Manor ISD.  

Several SBOE members raised concerns about the overall quality of this year’s finalists and questioned why TEA staff recommended awarding state funds despite glaring red flags identified under basic questioning Wednesday. 

Members pointed out that charter schools are intended to be innovative and that some of the applicants failed to show their schools offer anything different from what is currently offered by the local school district in which they would be located and siphoning away funds. 

Public testimony included input from charter school supporters as well as community members concerned about the negative impact of the new charter school chains on local school funding. Several testifiers pointed out the amount of taxpayer funding that would be diverted to the new chains and the number of charters that have failed to meet enrollment expectations after opening. 

The day began with a presentation from TEA Commissioner Mike Morath presenting a snapshot of the charter school industry in Texas. The state currently pays for 179 charter school chains comprising 886 campuses and 420,391 students. 

Since 2014, the agency has closed 47 charter chains and 90 campuses. The applicants the board approves this week will secure an initial five-year contract for state funding and will be eligible for further expansion at the commissioner’s discretion. 

SBOE members asked Commissioner Morath a series of pointed questions Wednesday morning about the agency’s expansion of charters and failure to launch by a number of charter schools previously approved by the board. 

Member Aicha Davis (D-Dallas) sharply questioned Commissioner Morath over the lack of special education teachers in charter schools that receive special education funding. Davis cited Texas Academic Performance Reports (TAPR) that indicated some charter schools serving special education students employed no special education teachers at all despite being legally required to do so. Commissioner Morath heatedly denied the allegation and claimed the TAPR data is incorrect. 

Member Pam Little (R-Fairfield) asked whether the agency can enforce contingencies agreed to by applicants during their final review by the board. The commissioner answered that contingencies are often legal and binding in the contract and that the agency checks to ensure compliance during the first year of operation. 

Member Marisa Perez-Diaz (D-San Antonio) asked whether the general public is being made aware of charter schools facing interventions in the same way TEA publicizes school districts receiving interventions. The commissioner said the process is the same and laid blame on media for any disparity in coverage of school district interventions over those involving charter schools. 

Member LJ Francis (R-Corpus Christi) asked whether the agency proactively recruits certain types of charter school chains. The commissioner answered that he didn’t think so but acknowledged that TEA staff provide incubation support for those that want to become charter operators.