Frisco ISD received all 100 out of 100 possible points on the calculation to determine the District’s rating under the Financial Integrity Rating System of Texas (FIRST).
Created by the 77th Texas Legislature in 2001, FIRST was designed to hold Texas public schools accountable for the quality of their financial management practices and ensure they improve those practices. It serves to provide additional transparency to public education finance and meaningful financial oversight and improvement for school districts.
Frisco ISD has maintained the top rating of “superior” since the program’s inception. In the most recent rating period, which is based on financial information from the 2018-19 fiscal year, FISD earned all 100 possible points. Approximately 88 percent of Texas districts achieved a superior rating for 2019-20 for earning a score between 90 and 100.
The FIRST ratings are calculated using 15 financial indicators, including metrics that evaluate administrative cost expenditures and compare assets to short-term liabilities and debt. The system also checks the accuracy of a district or charter’s financial information submitted to TEA and looks for any financial vulnerabilities or material weaknesses in internal controls as determined by an external independent auditor.
All school districts and charters are required to report information and financial accountability ratings to parents and taxpayers. In addition, districts and charters must hold a public discussion or hearing regarding its financial report.
Frisco ISD hosted its public hearing and presentation on the FIRST rating during the recent October Board meeting. Click here to watch the video.