Barber’s Hill Ed Foundation Stars in “Lawfare”

Students, Teachers Receive Less than 2% of $175 million Fund

By Gloria Way

  Barbers Hill Education Foundation (BHEF) has come under local and statewide scrutiny since its executive director, Dr Gregg Poole, allegedly with the approval of its board, filed a lawsuit against State Representative Terri Leo Wilson, naming her in the individual capacity, for “defamation of BHEF” through social posts and comments Wilson made to The Texan’s reporter Holly Hansen. The Texan is an online news organization that focuses on politics.

  BHEF is the largest foundation in the country with over $175 million in its foundation. Of the $175 million, less than 2% is awarded annually to teachers and student projects. According to Texas Education Foundation Network, education foundations in Texas are created as independent nonprofits to partner with school districts, bridge funding gaps, and enhance student achievement through community support. They raise private funds for innovative classroom programs, professional development, and resources, often supporting needs that fall outside traditional tax-based budgets. BHEF is a non-profit 501©3 and is tax exempt.

  Questions have arisen about whether the foundation is engaged in illegal conduct relating to the Brickyard Apartment complex in Mont Belvieu which is a partnership between BHEF and Americus Holdings (Americus Brickyard Partners LTD).. BHEF bought 19 acres from Americus Holdings in the amount of about $6.5 million for a luxury apartment complex to be built in Mont Belvieu. An Americus Holdings Vice President is also on the BHEF board. Questions of conflicts of interest have been raised in whether a tax-exempt organization such as an education foundation can carry an extraordinary amount of assets ($175 million) while awarding less than 2% of its worth to teachers and students, whether an education foundation which is tax exempt can be partners in a for profit endeavor (Brickyard Apartments), whether it is ethical and/or appropriate for the sitting superintendent of the independent school district (Greg Poole), be the executive director of the same school education foundation. In some areas, it is illegal but in general, a school district superintendent can act as the executive director or hold a board position in their district’s affiliated non-profit education foundation. While not legally prohibited in many places, this arrangement often causes scrutiny regarding potential conflicts of interest, “double-dipping” into public funds, and reduced transparency in oversight. Critics have raised transparency concerns about how much money goes back to the ISD versus being held or spent elsewhere.

 Wilson has questioned whether a BHEF board member (Nathan Watkins) who is VP of Americus Holdings and will benefit personally through his association as VP of Americus Holdings is “legal or illegal” and if this particular director who is running against her in the 2026 Texas State Representative District 23 GOP primary is “running to make legal what may be illegal”. Here is the timeline:

• The BHEF originally sued Wilson on February 11, seeking a temporary restraining order, temporary injunction, and a permanent injunction against Wilson, arguing that her allegation would “irreparable tarnish” the foundation’s “good name and charitable purposes”. Wilson has filed a motion to dismiss the lawsuit under the Texas Citizens Participation Act, which protects individuals from lawsuits that arise from their exercise of free speech on matters of public concern. Her motion argues the foundation cannot produce clear and specific evidence to support its claims for defamation or business disparagement. Her legal team has also asked the court to award her attorney fees and costs if the case is dismissed under the TCPA.

   In a statement to The Baytown Sun, Wilson said, “My opponents are getting desperate. I have raised several important questions on behalf of taxpayers and my constituents. Now it seems like the individuals going after me will do whatever it takes to avoid transparency – even to the point of sending a cease-and -desist letter, and now apparently trying to sue me. What are they trying to hide? This is lawfare at its finest. I will keep fighting for my constituents – the taxpayers who demand transparency and accountability.”

• A hearing was held on Monday, February 23^rd, in the 344^th District Court, Judge Randy McDonald presiding. There is no temporary restraining order against Wilson and the BHEF is trying to drop its lawsuit against Wilson. The foundation filed a “notice of nonsuit” (a procedural move in Texas that expresses an intent to drop the case), indicating it wants to dismiss the lawsuit against Wilson. However, Wilson has opposed letting the foundation simply drop the case without judicial review — saying she will contest the nonsuit at a hearing scheduled for April 7, 2026.

 Robert Montoya, The Texas Scoreboard, reports that the lawsuit has brought attention to the relationship between Barbers Hill ISD and BHEF. The school district’s 2024 audit noted that it “maintains the Foundation’s accounting records” for a fee, and included BHEF in its audit as a “discretely presented component unit” that is supposed to be a “legally separate” entity.  Montoya reports that “the district can’t handle a nonprofit’s books, and the district can’t sell services,” according to Dr. Mary Bone. As a former Round Rock ISD trustee, Bone has experience dealing with the relationships between school districts and adjacent foundations. Another question asked is who is paying and how much BH ISD superintendent Greg Poole is being paid as BHEF executive director. Montoya also reported that there is also significant crossover between BHEF and Barbers Hill ISD staff. Half of the foundation’s leadership are current or former school district leaders, including Superintendent Greg Poole. BHEF admitted in its lawsuit filing that “Barbers Hill ISD Board of Trustees exercises significant control by virtue of the membership of the Education Foundation’s governing board.” Bone has also raised questions about BHEF’s financial management. On February 18, she posted that of the more than $29 million in revenue from Fiscal Year 2021, BHEF gave back to the district 2.3 percent in the form of grants. It was also widely reported that from 2019 to 2021, the district (Barbers Hill Independent School District) sent more than $41 million to BHEF.

  While BHEF is seeking to drop its lawsuit, Leo Wilson must agree since she previously filed a motion to dismiss under the Texas Citizens Participation Act. “They are now trying to no suit, after we put an anti-slapp on them. I look forward to the dismissal hearing on April 7. We will not be accepting the no suit.”

  Montoya reports that Fort Worth Attorney Tony McDonald believes BHEF is in the wrong. “The foundation should be sanctioned for abusing the legal system to sue Rep Leo-Wilson with nonsense legal claims. The people responsible for this ridiculous lawsuit should be ashamed for filing a frivolous lawsuit to try to influence an election.”