Taxpayer Workaround Exposed: Texas Non-Profits Fund College for Illegal Immigrants

Texas non-profit groups are bypassing state and federal restrictions by funding college tuition for illegal immigrants through newly created mutual aid funds. This comes after a federal court struck down the Texas Dream Act, which had allowed non-citizens to pay in-state tuition. Despite the ruling, activists are working to keep illegal immigrants enrolled in Texas public universities using private donations.

In June 2025, a federal judge invalidated the Texas Dream Act, ending in-state tuition eligibility for undocumented students. The ruling forced public colleges to charge these students out-of-state rates—typically three times higher. The decision affected an estimated 20,000 students across Texas campuses.

On July 11, 2025, left-leaning organizations Students Engaged in Advancing Texas (SEAT) and Texas Students for DEI (TXS4DEI) launched a mutual aid program titled “Keeping the Texas Dream.” The program aims to offset tuition costs for illegal immigrants now subject to out-of-state rates. Although it doesn’t cover full tuition, the fund narrows the financial gap to maintain student enrollment.

At the University of Texas at Austin, a separate group called Rooted launched its own initiative on August 3 to offer similar assistance. Backed by student and alumni activists, the Rooted Financial Assistance Program is designed to continue support for illegal immigrants, directly opposing the court’s decision and state policy.

Critics warn that these efforts represent a coordinated attempt to subvert the law through private financing. While technically legal, the programs raise significant concerns about undermining immigration policy, misusing nonprofit status, and diverting attention and resources from citizens and legal residents.

Legal challenges are expected as lawmakers and watchdog groups examine the long-term legality of such private funding channels within public institutions.

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