By OBBM Network Editorial Staff

Derived from an episode of Let’s Talk Local with Sarah Zubiate Bennett.

Texas is quietly rewriting the rules of land ownership, turning a $60 billion school fund into a bulwark against foreign influence and a catalyst for domestic industry.

Turning State Land into School Funding

Commissioner Dawn Buckingham described the Permanent School Fund as “the oldest and largest sovereign wealth fund for public education” in the nation, now sitting at roughly $60 billion. That wealth is generated primarily from oil, gas and real‑estate revenues on state‑owned lands. By directing those proceeds into the fund, Texas can lower property taxes for families across the state, whether their children attend public schools or private academies.

Buckingham emphasized the direct link to everyday Texans: “That $6 billion that we have given them in oil and gas revenue and real estate revenue … is directly benefiting them and helping lower their property taxes.” The fund’s growth, she noted, also means more money for school construction, teacher salaries and technology upgrades, reinforcing the state’s commitment to education.

Guarding Against Foreign Land Purchases

Foreign ownership of Texas land has become a national‑security focus, especially when entities from China seek strategic assets. Buckingham recounted a past incident where a Chinese‑backed buyer attempted to acquire a parcel adjacent to an Air Force base, intending to build a wind farm and a landing strip for military jets. “We passed a bill at that time to deny him allowing to tie into our grid,” she said, illustrating the state’s proactive stance.

She also detailed how the commission scrutinizes corporate structures: “We had an Australian company … we noticed everyone had a Chinese surname, a Chinese accent, and they were educated in China. It turned out to be a Chinese shell company.” This vigilance extends to the Permanent School Fund’s investment rules, which prohibit partnerships with Russian or Chinese firms, ensuring that the fund’s assets remain under American control.

Rare‑Earth Minerals: A Texas Opportunity

Perhaps the most striking development is the discovery of a rare‑earth deposit near Round Top. Buckingham explained that rare‑earth minerals are essential for smartphones, jet engines and countless defense applications. “China controls more than 90 % of all global processing of rare earth minerals,” she warned, underscoring the strategic vulnerability.

Texas now has a deposit that could become a “hundred‑year deposit,” potentially yielding “tens of billions of dollars” for the Permanent School Fund. The royalties and bonus payments from mining would be constitutionally dedicated to the fund, creating a new, sustainable revenue stream that also reduces reliance on foreign processing.

Balancing Economic Growth and Environmental Concerns

While the economic upside is clear, Buckingham acknowledged the environmental challenges of rare‑earth processing, which can create Superfund sites. She stressed the need for responsible development: “The problem is the processing of these minerals is not environmentally friendly. It creates a superfund site wherever they’re processed.” The state plans to partner with companies that meet strict environmental standards, aiming to extract value without compromising community health.

She also highlighted the broader community impact: the Round Top area currently lacks basic services such as grocery stores and medical clinics. Development could bring jobs and infrastructure, improving quality of life for local residents.

National Security and the Future of Texas Land Policy

Buckingham framed the land office’s work as part of a larger national‑security mission. “The race for AI is a national security race. China does not want us to win it,” she said, linking rare‑earth independence to America’s technological edge. By keeping strategic minerals and land under U.S. control, Texas contributes to a resilient supply chain that supports both civilian and defense needs.

Looking ahead, the commissioner emphasized a forward‑looking approach: “When you’re seeing an issue, you have to look ahead and say, in a perfect world, what would this situation be? Then work backwards, how do we get there?” This mindset drives the commission’s aggressive stance on foreign land purchases, resource development, and education funding.

In sum, Dawn Buckingham’s initiatives illustrate how state land policy can serve multiple goals—strengthening public education, safeguarding national security, and fostering economic growth—while keeping Texas taxpayers’ interests at the forefront.

The full episode of Let’s Talk Local with Sarah Zubiate Bennett is available on OBBM Network TV.