S.B. No. 1067 aims to prohibit public institutions of higher education, as well as their employees and spouses, from soliciting or accepting gifts, grants, donations, or investments from certain foreign entities deemed a risk to U.S. national security. The bill introduces a new section, 51.984, to the Education Code, defining "designated countries" based on assessments from the U.S. director of national intelligence and the governor's designation after consulting with the Department of Public Safety. It specifies that institutions and their employees cannot accept contributions from governmental entities, political parties, or companies headquartered in these designated countries if they have ownership interests from such entities.

Additionally, the bill mandates that employment contracts for higher education employees must include a prohibition against the specified conduct, and any funds received in violation of this section must be returned to the originating entity. The Texas Higher Education Coordinating Board is authorized to adopt necessary rules for implementation. The provisions of this act will take effect on September 1, 2025, and contracts entered into before this date will be governed by the previous law.

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