The purpose of the financial accountability rating system [Texas Administrative Code (TAC), Title 19, §109.1001] is to ensure that school districts and open-enrollment charter schools are held accountable for the quality of their financial management practices and achieve improved performance in the management of their financial resources. The system is designed to encourage Texas public schools to manage their financial resources more effectively in order to provide the maximum allocation possible for direct instructional purposes. The system will also disclose the quality of local management and decision-making processes that impact the allocation of financial resources in Texas public schools.

Additional information can be found in TAC §§109.1001-1004 and Texas Education Code (TEC) §§39.201-39.204.