The U.S. Supreme Court is set on Wednesday to hear arguments in a bid led by two Catholic dioceses to establish in Oklahoma the nation's first taxpayer-funded religious charter school in a major test of religious rights and the separation of church and state in American education.

A case that could weaken the separation of church and state goes before the Supreme Court on Wednesday as the justices consider whether Oklahoma can approve the first-ever religious public charter school.

A decision to allow a Catholic school to become a publicly funded charter would profoundly impact American education, experts say.