External auditors give McAllen ISD a clean opinion; unassigned general fund balance at $105.7 million

McAllen, Texas — External auditors presented a clean audit and the district’s annual comprehensive financial report for the year ended June 30, 2025, to the McAllen ISD board on Jan. 13.

Ricky Longoria, managing partner at Burton, Macumber & Longoria LLP, introduced partner Luis Lopez, who summarized the governance letter and audit results. “We are rendering an unmodified opinion, which is a clean opinion,” Lopez said. He noted the district implemented a new accounting standard for compensated absences and that management corrected misstatements identified during the audit.

Lopez highlighted the district’s unassigned general fund balance: “At 06/30/2025, your unassigned fund balance in your general fund was $105,745,927,” he said, adding that this amount represents roughly 156 days of expenditures, substantially above the 75‑day TEA benchmark for financial accountability.

Auditors also reported a single audit for federal awards (the district spent more than $48 million in federal funds) with no instances of noncompliance, and no significant deficiencies or material weaknesses were identified in internal control testing. Auditors recommended continued monitoring of the health insurance fund, which required a transfer of about $3.8 million from the general fund in the last fiscal year to cover rising costs.

The board approved the annual comprehensive financial report by motion (6–0).