Established in 1970, from its founding, the Heritage School maintained an open admissions policy, although initially no black students applied nor were enrolled.

[11] The IRS decision to grant tax exempt status to the school was investigated by Senate Select Committee on Equal Education Opportunity.

Senator Walter Mondale asked IRS commissioner Randolph W. Thrower to explain why the school had been granted tax exempt status in light of a report that the school's headmaster told an NAACP investigator that "no black applicants were expected" but the investigator's children could apply if they "had $750 in their ass pocket.

"[10][12]: 2021 [13][14] Commissioner Thrower, who was himself a champion of civil rights,[15] dismissed Mondale's allegations of racism on the grounds that "sometimes charges are inaccurate and sometimes they are recklessly made.

"[16] The following year the school's board agreed to waive the tuition for enrollment for black enrollees selected for admission.