Texas HB1878 prohibits charter schools from using funds for out-of-state schools and mandates penalties for violations.

Texas HB1878 amends the Education Code to prohibit charter holders from spending funds received for an open-enrollment charter school to support a school located outside the state. Exceptions are made for money spent under a contract to provide goods or services to the charter school. If a violation is found, the commissioner must withhold funds equal to three times the amount spent in violation. The commissioner may also revoke the charter of an open-enrollment charter school if the charter holder has spent at least $100,000 in violation of this section.

Texas HB1878 prohibits charter schools from using funds for out-of-state schools and mandates penalties for violations.

Texas HB1878 amends the Education Code to prohibit charter holders from spending funds received for an open-enrollment charter school to support a school located outside the state. Exceptions are made for money spent under a contract to provide goods or services to the charter school. If a violation is found, the commissioner must withhold funds equal to three times the amount spent in violation. The commissioner may also revoke the charter of an open-enrollment charter school if the charter holder has spent at least $100,000 in violation of this section.