Village of Grover Hill Placed in Fiscal Emergency

Thursday, January 11, 2018

Columbus – Auditor of State Dave Yost today placed the Village of Grover Hill (Paulding County) in a state of fiscal emergency after a fiscal analysis revealed a fund deficit and treasury deficiencies. 

An analysis performed by the Auditor’s Local Government Services Section (LGS) determined that the village meets the criteria for a fiscal emergency due to a deficit in the Sewer Operating Fund totaling $122,916 and $91,192 as of Dec. 31, 2016 and Sept. 30, 2017, respectively. 

The analysis, requested by Mayor John Moon, also noted a sizeable deficit in the village’s treasury balance. The deficit exceeded one-sixth of treasury receipts by $126,226 and $117,251 as of Dec. 31, 2016 and Sept. 30, 2017.

“A proactive approach is vital to a swift financial recovery,” Auditor Yost said. “I encourage village officials to act sooner rather than later to tackle these financial shortcomings. As always, my office is available to help.”

The village of 402 people will now come under the oversight of a financial planning and supervision commission. Within 120 days of its first meeting, the commission must develop a plan to eliminate the fiscal emergency conditions. The Auditor of State serves as the “financial supervisor” to the commission.  

A village is placed in fiscal emergency if any one of the six conditions described in Section 118.03 of the Ohio Revised Code exists. The six conditions are: 

  1. Default on a debt obligation;
  2. Failure to make payment of all payroll; 
  3. An increase in the minimum levy of the village which results in the reduction in the minimum levy of another subdivision; 
  4. Significant past due accounts payable; 
  5. Substantial deficit balances in village funds; and 
  6. A sizeable deficiency when the village’s treasury balance is compared to the positive cash balances of the village’s funds.

A full copy of this fiscal emergency declaration is available online.

Map of Grover Hill's location in southeast Paulding County


The Auditor of State’s office, one of five independently elected statewide offices in Ohio, is responsible for auditing more than 5,900 state and local government agencies.  Under the direction of Auditor Dave Yost, the office also provides financial services to local governments, investigates and prevents fraud in public agencies and promotes transparency in government.

Beth Gianforcaro
Press Secretary