United ISD scores 92 on TEA FIRST review; auditor issues clean opinion, staff outline reserve policy

United Independent School District officials told trustees at a Jan. 14 workshop that the district received a 92 out of 100 on the Texas Education Agency''s Financial Integrity Rating System of Texas (FIRST) for 2022–23 and that an external audit produced an unmodified, or "clean," opinion on the district''s 2024 financial statements.

San Flores, who leads the district''s finance presentations, described the FIRST framework of 21 indicators and four "ceiling" (critical) indicators that trigger automatic failure if unmet. "Oh, by the way, we did score 92 points out of a 100 points," Flores said, emphasizing the result reflects multiple departments' compliance work.

The presentation explained a common accounting distinction under Governmental Accounting Standards Board (GASB) rules. Flores said the district''s government-wide net position shows a negative $97,000,000 when certain long-term pension and capital appreciation bond entries are recognized, but that reversing specific GASB entries would add back about $276,000,000 and yield a positive net position of roughly $179,000,000. "This is standard," Flores said, noting the approach affects many Texas districts.

Alfred Veda, managing CPA at Kaskos & Associates, presented the independent audit highlights and confirmed an unmodified opinion for the year ended Aug. 31, 2024. Veda said the audit identified no material weaknesses or significant deficiencies in internal control. He summarized key financials: general fund revenues of approximately $466,000,000, expenditures of roughly $484,000,000 (a reported deficit near $17,000,000), and an unassigned fund balance of $78,000,000.

Using those figures, Veda calculated an operational run-rate and reported that the unassigned balance equates to about 60 days of operations. "We normally recommend between 60–90 days," Veda said, adding that United ISD''s 60-day level is within professional guidance though short of a three-month target.

Trustees and staff discussed solvency indicators tied to cash on hand, current-asset ratios and administrative cost thresholds. Flores reported specific indicator scores (for example, 8 out of 10 on some solvency measures) and said the district historically has adopted budgets with small deficits while relying on cash and other resources to manage operations.

Finance staff said they will continue monitoring cash and worked examples of how GASB adjustments affect net position reporting. The audit and FIRST results, along with backup schedules and an auditor''s report, will be presented as part of the next board packet for formal consideration.