McAllen ISD earns perfect score on state financial accountability (FIRST)

McAllen Independent School District reported Oct. 21 that it earned an "A" — a superior achievement rating — and a perfect score under the Texas Financial Integrity Rating System of Texas, commonly called School FIRST.

The rating, presented during a public hearing, measures fiscal management and compliance using the district annual financial report and PEIMS data. The district reported it met all four ceiling indicators that would otherwise trigger an automatic failing grade if unmet.

District officials said McAllen ISD filed an unmodified audit opinion, made timely payroll- and agency-related payments, and had a positive net position. "McAllen ISD's net position was $319,000,348.05," the district reported during the hearing. The district also reported a three-year increase of 13% in assigned and unassigned fund balances and 132 days of cash on hand — above the state threshold of 60 days.

Lorena Garcia, identified in the hearing as deputy superintendent for business and operations, walked trustees and the public through School FIRST indicators and detailed categories where the district received full points. She said the district posted required financial information and discussed local, state and federal funding within 120 days before adopting the budget, per state rules.

Board members did not ask follow-up questions during the public hearing. The district opened the meeting to audience comment at the end of the presentation; none were offered. Superintendent Dr. Gutierrez and trustees publicly thanked the business office and school staff for the result.

Why this matters: School FIRST is the state's primary mechanism for assessing fiscal management at Texas school districts. A top rating signals compliance with state financial rules and is commonly used by stakeholders to evaluate a district's financial stability.

The district made the School FIRST presentation available at the meeting and offered paper copies to attendees.