Auditor Keith Faber Declares Niles City School District is in Fiscal Emergency

Tuesday, February 26, 2019

Columbus – Auditor of State Keith Faber today placed Niles City School District in a state of fiscal emergency after the school district failed to comply with their state approved financial recovery plan.

On June 14, 2018, the Auditor’s office placed Niles City School District under fiscal watch. Under fiscal watch, the school district was required to develop a plan to restore their finances. If the school district does not comply with the plan, the Auditor of State’s office has statutory authority to place the school district in a state of fiscal emergency.

Documentation provided by the Department of Education shows projected deficits in all of the district’s next five fiscal years. That forecast – approved by the Niles Board of Education – confirms the district has not complied with their previously approved plan.

Based upon these facts, the Auditor of State has placed Niles City School District in a state of fiscal emergency.

“A proactive approach is vital to a swift financial recovery,” Auditor Keith Faber said. “I encourage school officials to act quickly and decisively to tackle these issues. My office is always available to help.” 

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

A full copy of this report is available online.


The Auditor of State’s office, one of five independently elected statewide offices in Ohio is responsible for auditing more than 6,000 state and local government agencies. Under the direction of Auditor Keith Faber, the office also provides financial services to local governments, investigates and prevents fraud in public agencies, and promotes transparency in government.



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