Financial Compliance


Annual Financial and Compliance Reports

Each year, charter schools, education service centers (ESCs), and school districts must have their annual financial and compliance reports (AFRs) audited by an independent auditor. The resulting AFR must be submitted to the Texas Education Agency (TEA) for review.

Depository Contracts

A school district or charter holder must have a depository contract with any bank into which TEA deposits state funds. For requirements and procedures related to depository contracts, select one of the following:

Electronic Submissions

Charter schools, ESCs, and school districts are required to submit their AFRs in electronic format. The electronic format submission consists of two files: a PDF file and a GASB data text file. (The text file is not required from charter schools.) In addition, most charter schools and school districts are required to submit their state compensatory education district and campus improvement plans in a PDF.

Financial Accountability System Resource Guide (FASRG)

The FASRG describes the rules of financial accounting for school districts, charter schools, and education service centers.

Financial Exigency

When the financial resources of a school district are insufficient to support its instructional programs or it is unable to finance the full compensation of staff for the current or next fiscal year.

Financial Integrity Rating System of Texas (FIRST)

The state's school financial accountability rating system ensures that Texas public schools are held accountable for the quality of their financial management practices. The system is designed to encourage Texas public schools to better manage their financial resources to provide the maximum allocation possible for direct instructional purposes. For ratings, requirements, and procedures related to FIRST, select one of the following:

Fiscal Year Start Date Change

The fiscal year of a school district begins on July 1 or September 1, as determined by the board of trustees of the district. To change the fiscal year start date, districts must file a Notification of Intent to Change the Fiscal Year Start Date form with TEA.

Interest on Refunds for Cosmetology and Barber Schools

Each year, the Commissioner must set and publish deterrence-level interest rates on refunds for cosmetology and barber schools in accordance with the Texas Occupations Code.

Public Funds Investment Act Training Exemption

To claim an exemption from investment training requirements, a school district must annually submit an affidavit identifying the exemption criteria that apply to the district.

School Health and Related Services (SHARS)

The SHARS program allows Texas public schools and shared service arrangements (SSAs) to request reimbursement for Medicaid health-related services.

State Compensatory Education

State Compensatory Education includes programs and/or services designed to supplement the regular education program for students identified as at risk of dropping out of school. The purpose is to increase the academic achievement and reduce the dropout rate of these students.

Student Attendance Accounting Handbook (SAAH)

SAAH contains the official attendance accounting requirements that all public school districts and open-enrollment charter schools in Texas must meet.

Superintendent Payment Disclosure Form

The Superintendent Payment Disclosure form must be filed with TEA not later than 60 days following execution of an agreement to make payments of any kind to a departing superintendent or any payment under such an agreement, whichever is sooner.

Contact Information for Financial Compliance Staff  

The area code for all numbers is 512.

Phone Number
Office of School Finance
Leo Lopez 463-9179 Associate Commissioner of School Finance
Amy Harrison 463-9618 Executive Assistant for Associate Commissioner
Phone Number
Financial Compliance Division
Main Line 463-9095 General Inquiries
David Marx 463-2945 Director of Financial Compliance
Dahlinda Alaniz 463-9366 State Compensatory Education
Phone Number
Financial Desk Reviews
Paul Moreno 475-2228 Manager
Tiffany Martin 936-1776 Team Lead
Peggy Watts 936-6328 Team Lead
Sabrina Garcia 463-9907 AFR Desk Reviews
Mary Lu 475-1284 AFR Desk Reviews
Thanh Quach 463-7652 Depository Contracts/Fiscal Year Changes/Superintendent Buyouts
Laura Cavazos 463-8976 AFR Desk Reviews
Phone Number
Student Attendance
Justin Jons 475-1778 Manager
Christina Page 463-9530 Team Lead
Matt Kabanuck 463-9287 Team Lead
John Munoz 475-2032 FSP Reviews
Yang Yang 475-3476 FSP Reviews
Tam Mai 475-2155 FSP Reviews
Eric Herring 463-9228 FSP Reviews
Phone Number
Financial Accountability
Robin Aldridge 463-3940 FASRG/Financial Exigency/FIRST
Patrick Baker 936-4628 Bids & Contracts/Investigations/Transportation & CPA Reviews
Telvina Cole 936-6186 Bids & Contracts/Investigations/Transportation & CPA Reviews/SAMP
Phone Number
Rule Making
Joe Herrera 463-7708 Manager
Padmaja Sathyanaran 475-2012 SAAH/New Charter Applications
Angela Foote 463-6639 SHARS
Annette Petrusso 463-9073 Technical Writer


A Financial Compliance Division mailing list has been established to provide e-mail notifications of important deadlines and website updates. To subscribe, go to the TEA email updates page, enter your e-mail address, and select Financial Audits from the list on the next page.