Finance+Week+4+Part+1

My district landed at the very top of the Above-Standard Achievement category. We were actually hit in the fund balance category. We received no points whatsoever, thus keeping us from the Superior Rating. Believe it or not, we got hit for having too much money in the fund. This is certainly far more enviable than the opposite, but an issue that has to be monitored none-the-less. Ironically, this was probably a very prudent position for both administration and our board to take with the uncertainty of funding across the state. Below are the components I found to be the most important. Although I could find no specific “component” section, I felt these best articulated the intent of the FIRST program. I am aware of the individual indicators, but felt you were looking for something a little more generic. My thoughts are as follows:

Three most important components of the Financial Integrity Rating System of Texas:

//Justification //: It provides a measureable instrument through which a district can measure its “financial health” based on components the State of Texas sets forth. //Justification //: The system is designed to both encourage and ensure that districts are maximizing funding for **instructional purposes**.
 * **Accountability **- ensures that districts have a valid, objective system to measure financial compliance and efficiency.
 * **Monitoring **- it develops an instrument with measureable components and weighs them in order to paint an overall financial picture while setting out specific objectives that districts can work on to improve their ratings.

//Justification: //This helps ensure accountability in both the local management of funds, as well as accountability in the decision-making process as to how funds are actually spent.
 * **Disclosure **- It sets forth a **transparent** accountability rating that is accessible to the public. This allows stakeholders to view financial ratings in easy to understand “layman’s terms.”

My group is working on consensus and it will be posted on both the professor’s blog and wiki, along with my comments on my colleagues’ thoughts.