Similarities and Differences between a Fiscal Independent District and a Fiscal Dependent District - Essay Example

The paper "Similarities and Differences between a Fiscal Independent District and a Fiscal Dependent District" is an outstanding example of an essay on finance and accounting. The school districts in a fiscal independent district collect and analyses information on behalf of the district decision-makers. This is done by highly qualified accountants to ensure proper management of the fiscal resources of that district. This financial analysis is very important to all the stake holders of the school, that is, the school administration, the sponsors, the government and also the parents.

(Hartman, 2003) In a fiscal independent district, the CEOs are responsible for providing financial reports directly to the treasury and also providing the public with financial, attendance reports and revenue limits for the fiscal review and account on the utility of the school resources. Under the education code section 42647, a unified school district with at least 10,000 AD is fiscally independent for warrant processing and no auditing is done by the county financial office since they are independent to carry out their own editing.

After auditing the reports are taken to the county and if they do not reconcile with the deposits, the independent fiscal district school is fined. The fiscal dependent districts, on the other hand, are responsible for the analysis of information regarding budgets, attendance reports, as well as the revenue limits in a fiscal financial year. However, the auditing of their accounts lies solely on the hands of the county and they are not allowed to give information directly to the treasury before passing it to the county which does the final audit of results and keep records available to the public too.

(Odden and Piscus, 2008) Accountability of the school funds is very crucial as it influences the achievement of the set academic goals hence necessary in both fiscal dependent and fiscal independent districts.