Heights Schools Must Repay $35K In Misused Tax Money: Auditor

Cleveland Heights OH

14 May, 2021

2:58 PM

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CLEVELAND HEIGHTS, OH — The Cleveland Heights-University Heights Schools illegally used nearly $35,000 in public money to fund polling on an upcoming school levy, the state auditor reported this week. Auditor of State Keith Faber released a 2020 financial audit of the Heights schools with a finding for recovery totaling $34,675, arguing the district improperly used public money to fund polling on an upcoming levy. "The law is clear about using public funds on campaign activities like polling," Faber said. "School districts must be extremely careful in using electioneering techniques paid for by taxpayers. In this case where the polling was clearly directed at 'levy voters' and sought information regarding the upcoming levy, it was illegal and the district should know better." The district disputed the auditor's findings but said it planned to abide by his order. "While we are disappointed in the Finding for Recovery and the auditor's unprecedented misapplication and extension of the law, we will abide by the auditor's decision. The Board will continue to support our employees throughout this process," said James Posch, president of the Heights Board of Education. Following a finding for recovery, the Board can either repay the money highlighted by the auditor, or county or state prosecutors could pursue legal action against the district. The district has not decided what steps to take next, spokesperson Cathan Cavanaugh told Patch. Where The Finding Comes From Heights schools officials in October 2019 entered into an agreement with R Strategy Group to identify a polling firm and draft a public opinion poll of likely voters, the audit said. The district had not yet decided to place a school levy on ballots, the audit said. Heights schools agreed to pay $6,000 directly to R Strategy Group and to reimburse it for polling done by Lake Research Group. In total, the district agreed to spend $34,675, the audit said. District treasurer Scott Gainer authorized the payment. Superintendent Elizabeth Kirby signed off on the content of the polling questions, several of which directly concerned the upcoming levy, including whether or not the respondent would vote for the levy, the audit said. Polling took place after the Board of Education passed a resolution requesting certification from the county auditor on Nov. 5, 2019, according to the audit. The polling results came in the form of a report titled, "Findings Based on a Survey of 500 Likely March 2020 Primary Voters." Five of the six bullet points in the report contained references to voters and their opinions. An additional section of the report was entirely devoted to why voters might support or oppose a school levy, the audit said. Faber said the district's use of public money for these services was a violation of Ohio codes. He held Gainer and Kirby responsible for the misuse of funds, an unprecedented move, according to the district and the Ohio Association of School Business Officials. "Holding a treasurer/CFO financially liable in cases where he or she has performed all duties with reasonable care is contrary to Ohio law and will eventually have a chilling effect on districts' ability to find highly qualified individuals for the position of treasurer/CFO. The uncertain and inconsistent application of Ohio law is damaging for Ohio public schools; for the employees who administer, teach, and serve in those schools; and, ultimately, for the children who attend those schools," said Jim Rowan, executive director of the Ohio Association of School Business Officials. The district argued that Kirby had no control over the school system's purse strings and merely advised on the questions for the poll. "With this finding for recovery, the auditor is implying that it is a misuse of funds when a government entity spends money to ask for your feedback on critical issues, including an issue that may appear on a ballot," Posch said. The full report from the Auditor of State is below. Cleveland Heights University Heights CSD 20-Cuyahoga FINAL by Patch on Scribd