St. Clair Township Placed in Fiscal Emergency

Thursday, May 15, 2014

Columbus – Significant deficit fund balances prompted Auditor of State Dave Yost today to place St. Clair Township (Butler County) in a state of fiscal emergency.

“Now is the time to address these deficits,” Auditor Yost said.  “Developing and following through on a recovery plan won’t be easy, but the financial health of the township depends on it.  My office stands ready to help wherever we can.”

The St. Clair Township Trustees contacted the Auditor of State’s office to request a fiscal analysis to determine whether the township’s financial condition justified a fiscal distress declaration.  After conducting the analysis, the Auditor of State’s office determined that the township had deficit fund balances of $24,914 and $190,159 at December 31, 2012 and December 31, 2013, respectively.  

The township will now come under the oversight of a Financial Planning and Supervision Commission.  A financial plan must be developed by the board of trustees and approved by the commission within 120 days of its first meeting to address the township’s financial crisis.  The Auditor of State’s office serves as the financial supervisor to the commission and may provide accounting training and assistance.

A township 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 township which results in the reduction in the minimum levy of another subdivision; 4) significant past due accounts payable; 5) substantial deficit balances in township funds; and 6) a sizeable deficiency when the township’s treasury balance is compared to the positive cash balances of the township’s funds.

A full copy of this fiscal emergency declaration may be accessed online.



The Auditor of State’s office, one of five independently elected statewide offices in Ohio, is responsible for auditing more than 5,800 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.

Carrie Bartunek
Press Secretary