The School Reform Commission on Thursday signed an "education accountability agreement" with state Education Secretary Ronald Tomalis and Mayor Michael Nutter.
Tomalis says the accord gives state and city officials unprecedented access to data in the district's nearly $2.8 billion budget.
The move is the latest in the education funding crisis that led to 3,000 district employees receiving pink slips earlier this week. More than 1,500 teachers could be laid off.
Officials say the agreement does not guarantee additional funds for the district, whose fiscal woes stem from proposed cuts in state aid, loss of federal stimulus money and a weak economy.