Special Education Funding
Texas Education Freedom Accounts™ (TEFA) allow students with disabilities who receive a TEFA award to receive additional funding if they have a qualifying Individualized Education Program (IEP) and attend a participating private school.
Here are four things parents should know about special education funding and TEFA:
- A student must have a current IEP on file with the state to qualify for additional funding.
A student enrolled at a participating private school who does not have a current IEP on file will receive $10,474 for the 2026-27 school year.
A student enrolled at a participating private school with an IEP from the 2023-24 school year or more recent may receive up to $30,000.
For TEFA recipients attending a participating private school, funding will be posted to student accounts in quarterly installments.
2. A student’s special education funding is based on two factors: Where they live and the instructional code on their IEP.
TEFA special education funding is based on the amount a student’s school district would have received if they attended a public school. To calculate funding for these students, the program matched the student’s district of residence with the amount of funding the district would have received based on the instructional arrangement/setting code on the student’s IEP.
Note: Funding amounts provided in the award notice are subject to change upon confirmation of district of residence.
Funding is capped at $30,000 for TEFA students. Most students will receive less than the maximum.
A breakdown of districts and funding amounts by instructional arrangement/setting code is available in this spreadsheet provided by the Texas Education Agency.
Funding amounts are set by statutory formulas and reflect what a school district typically receives for an enrolled student in each instructional arrangement, are adjusted for district size, and vary from district to district, even for students with similar needs. The same funding formulas apply to all TEFA students regardless of whether a student has been enrolled in a public school or not.
3. The funding belongs to the student – not any participating school or vendor.
Families have the power to decide where their TEFA funding is spent.
In addition to private school tuition, parents can use funding to access tutoring, therapies, online learning, or other qualifying educational expenses.
Any funding that remains at the end of this school year can roll over as long as the student with the account continues to participate in the TEFA program.
4. You may appeal a funding decision or award amount.
If your child did not receive a TEFA award or you believe the award amount is incorrect you may submit an appeal. The appeals process allows us to review your funding amount based on information provided with your application.
Appeals can be started by contacting help.tx@withodyssey.com, and cannot be initiated by contacting the Texas Education Agency or your local school district. More information is available here.