The Mt. Healthy City School District says the Ohio Department of Education & Workforce (ODEW) has approved its financial recovery plan.
Ohio State Auditor Keith Faber declared a fiscal emergency at Mt. Healthy Schools in April of last year, due to its projected budget deficit of $10.7 million. Soon after, a state financial planning commission was established to assume control of the decision-making power previously held by Mt. Healthy's Board of Education and to monitor the district's finances.
Since the fiscal emergency was declared, the school district has eliminated many of its student services and programs and laid off more than 100 full-time employees to save money. School bus services for most of the district's older students also were cut.
Students and staff felt the budget cuts immediately. Earlier this year, some Mt. Healthy teachers told WVXU their class sizes increased dramatically, and that they felt overworked. High school students also told WVXU they were upset about new required fees to participate in sports and other extracurricular activities. Seniors graduating in the spring said they were disappointed their graduation ceremony had been downsized as a cost-saving measure.
On Cincinnati Edition Monday, Mt. Healthy Superintendent Sarah Wilson, who was elevated to the top job this summer, said it was difficult to make so many cuts, but it was necessary to show the school community the district is serious about pulling itself out of the financial hole.
"That really should demonstrate to our community that we're working hard and are dedicated to really good stewardship of public funds," Wilson said.
Next steps
Though the financial recovery plan has been approved, there's still more work left for district leaders. Mt. Healthy Schools is forecasted to have a positive cash balance for the 2026 and 2027 fiscal years, but a budget shortfall is still projected for fiscal years 2028 and 2029.
ODEW says Mt. Healthy's approved recovery plan must be implemented as submitted, but the school system can make additional budget reductions with approval from the financial planning commission.
Even with ODEW's approval, the state's financial planning commission will remain in place at Mt. Healthy and retain its decision-making power until the state auditor declares the school district is no longer in a fiscal emergency. Currently, Mt. Healthy and Trimble Local Schools in Athens County are the only Ohio public school districts in a fiscal emergency.
Mt. Healthy Schools also has a crucial levy on the ballot in this upcoming election. The district says if approved, the levy will generate more than $1.5 million annually, allowing Mt. Healthy to retain more of its staff and keep some of its extracurricular programs.
The district has struggled to gain local support. It hasn't passed a new levy since 2003, and similar levy proposals appeared on ballots in Fall 2024 and Spring 2025, but were not approved by voters. District leaders say if the levy isn't successful, Mt. Healthy will likely need to eliminate staff, programs for the arts, and likely athletics.
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