The West Virginia Board of Education could vote this week to take over Boone County's public school system.
State board members tell The Charleston Gazette-Mail that the county board has twice refused the state schools superintendent's orders to make severe employee pay and benefit cuts and submit a "fiscally sufficient" budget for this fiscal and school year.
Officials expect to address the issue at a Wednesday meeting in Charleston.
State board member Gayle Manchin says Boone's budget for 2016-17 isn't balanced and needs to be fixed.
Boone school officials have blamed their financial woes on a sudden, drastic decrease in property tax revenue from bankruptcies of major coal companies.
The state board, which includes nine voting members, already controls parts of the Gilmer County and Fayette County school systems.