{"id":383226,"date":"2026-07-23T01:23:08","date_gmt":"2026-07-23T01:23:08","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-tx\/383226\/"},"modified":"2026-07-23T01:23:08","modified_gmt":"2026-07-23T01:23:08","slug":"texas-longstanding-robin-hood-school-finance-system-will-face-a-new-legal-challenge","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-tx\/383226\/","title":{"rendered":"Texas\u2019 longstanding \u201cRobin Hood\u201d school finance system will face a new legal challenge"},"content":{"rendered":"<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Midland ISD will sue Texas officials over the state\u2019s so-called Robin Hood funding system for public schools, a significant attempt at forcing lawmakers to revisit how they go about ensuring low-income campuses benefit from resources similar to those that wealthier campuses enjoy.<\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">The West Texas school trustees voted unanimously Tuesday to proceed with a lawsuit against Education Commissioner Mike Morath and state leaders, arguing that funding restrictions imposed by the Legislature prohibit them from raising and spending money to meet the needs of their students.<\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">\u201cWe can sit here on this stage, and we can complain about it,\u201d Midland ISD Board President Josh Guinn said before the vote. But nothing changes, Guinn added, \u201cuntil you have four people \u2014 elected school board members \u2014 in the state of Texas say, \u2018Enough\u2019s enough. You\u2019re going to stop stealing our community\u2019s money.\u2019\u201d <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Guinn said in an interview that he expected the district to file the lawsuit by 5 p.m. Wednesday but could not yet confirm whether it occurred. Texas Education Agency officials declined to comment on Midland\u2019s decision to sue. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Frustrations over funding include a decades-old state mandate known as recapture in which districts in wealthy communities relinquish excess dollars raised locally to districts that struggle to generate property tax revenue. Recapture has survived at least three legal challenges in the last 30 years \u2014 in 1995, 2005 and 2016, respectively. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Located in a community rich in oil and gas, Midland will pay the state more than $83 million for recapture this school year, according to the <a href=\"https:\/\/midlandisd.community.diligentoneplatform.com\/document\/22bce204-4065-4c81-862d-e3146070ec7f\/\" rel=\"nofollow noopener\" target=\"_blank\">lawsuit draft<\/a>. That represents 27% of the district\u2019s $313 million generated locally. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Property taxes make up the majority of public school funding, while state dollars generally fill remaining gaps along with some federal aid. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">The Midland school trustees contend that recent changes to Texas\u2019 education funding system, dating back to 2019, unfairly deprived local communities of decision-making power over how they tax residents, instead granting much of that authority to the education commissioner.<\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Rather than allowing local school boards to set taxes within a certain range determined by the state, districts do so at the rate decided by the commissioner or risk losing state funding, they argue. Meanwhile, state leaders imposed requirements on how districts spend money raised locally, which the Midland trustees say prevents them from addressing their particular needs. Local needs vary across Texas\u2019 more than 1,200 districts, they note. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Texas\u2019 recapture system, often called Robin Hood, was enacted in 1993 after underfunded schools \u2014 led by the predominantly Hispanic and low-income Edgewood district in San Antonio \u2014 sued the state over substantial disparities in resources between their children and those attending school in wealthier communities. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Back then, recapture mostly affected wealthy suburban and oil-rich districts. In 1994, <a href=\"https:\/\/txsc.org\/issues-in-focus-recapture\/\" rel=\"nofollow noopener\" target=\"_blank\">34 school districts<\/a> redistributed funding through the system, according to the Texas School Coalition. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Now, hundreds of districts \u2014 including those in major urban communities with declining enrollment and high numbers of students in poverty \u2014 pay more in recapture because of their local economies\u2019 growth. The Austin school district \u2014 one of the largest in Texas \u2014 reported paying <a href=\"https:\/\/austincurrent.org\/2026\/04\/20\/texas-austin-aisd-school-budget-finance-deficit\/\" rel=\"nofollow noopener\" target=\"_blank\">roughly $8.3 billion<\/a> through recapture between 2000 and 2025. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Midland is among the top 10 districts in Texas sending money back to the state for recapture, according to education agency data.<\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Rather than using recapture as a tool for educational equity, the Midland trustees argue that state leaders use it in place of funding schools properly. They say recapture does not account for the fact that more than half of the district\u2019s students qualify for free or reduced-price lunch, which the state and federal governments consider a measure of poverty. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">\u201cProperty wealth is not educational wealth. You cannot teach a child with a mineral appraisal,\u201d Midland ISD trustee Matt Friez said Tuesday. \u201cYou need a teacher standing in front of the child. The recapture formula sees the minerals beneath our feet and does not adequately see what it costs out here in Midland to hire and retain a great teacher above them.\u201d <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">When the Texas Supreme Court found recapture constitutional in 2016, it noted that lawmakers still needed to make improvements to public school funding. More than two-thirds of districts had sued in that case.<\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">School administrators have since argued that state leaders have not prioritized investments in traditional neighborhood campuses but instead pushed to grow charter schools and create a voucher program that allows families to use public funding for private or home schooling.<\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">When lawmakers approved funding changes in recent years, they did so with <a href=\"https:\/\/www.texastribune.org\/2025\/07\/03\/texas-public-education-funding-house-bill-2\/\" rel=\"nofollow noopener\" target=\"_blank\">more restrictions<\/a> on how districts could spend the money, arguing that schools had not focused enough on improving student outcomes. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">\u201cThey\u2019re setting the tax rate. We collect the taxes. We send it to the state,\u201d Guinn, the Midland school board president, said Wednesday. \u201cThen we get blamed as a local district and local board member for taxes being high. It\u2019s just a revolving door.\u201d<\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">It is unclear whether additional school districts will join Midland\u2019s lawsuit. <\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">The legal challenge from Midland, a community that reliably votes Republican, comes as top GOP state leaders such as <a href=\"https:\/\/directory.texastribune.org\/greg-abbott\/\" rel=\"nofollow noopener\" target=\"_blank\">Gov. Greg Abbott<\/a> push to <a href=\"https:\/\/www.texastribune.org\/2025\/12\/09\/greg-abbott-schools-property-tax-cut-election-2026\/\" rel=\"nofollow noopener\" target=\"_blank\">abolish school property taxes<\/a>. Kevin O\u2019Hanlon and Kara Belew will represent the West Texas district in the lawsuit, according to the draft filing.<\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">O\u2019Hanlon represented the Texas Attorney General\u2019s Office in Edgewood v. Kirby \u2014 the landmark school finance case that led to the creation of recapture. Belew has served as statewide budget director for Abbott, as one of the Texas Education Agency\u2019s top finance experts and as a senior policy adviser for the conservative Texas Public Policy Foundation.<\/p>\n<p class=\"Box-_wrDxHtU__Box-sc-10sa3ie-0 Text-nO2aZ44r__TextBase-sc-s2hv5x-0 jJNfBD fSvavs article-text\">Disclosure: Texas Public Policy Foundation has been a financial supporter of The Texas Tribune, a nonprofit, nonpartisan news organization that is funded in part by donations from members, foundations and corporate sponsors. Financial supporters play no role in The Texas Tribune\u2019s journalism. Find a complete\u00a0<a href=\"https:\/\/www.texastribune.org\/support-us\/corporate-sponsors\/\" rel=\"nofollow noopener\" target=\"_blank\">list of them here<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":"Midland ISD will sue Texas officials over the state\u2019s so-called Robin Hood funding system for public schools, a&hellip;\n","protected":false},"author":2,"featured_media":383227,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[2300,287,1563,29336,11538,7908,1564,27,48077,2810,29,293,28,16816,375],"class_list":["post-383226","post","type-post","status-publish","format-standard","has-post-thumbnail","category-texas","tag-midland","tag-politics","tag-public-education","tag-school-finance","tag-state-agencies","tag-state-funding","tag-state-government","tag-texas","tag-texas-education","tag-texas-education-agency","tag-texas-headlines","tag-texas-legislature","tag-texas-news","tag-uncategorized","tag-west-texas"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/383226","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/comments?post=383226"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/posts\/383226\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media\/383227"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/media?parent=383226"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/categories?post=383226"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-tx\/wp-json\/wp\/v2\/tags?post=383226"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}