Financial supervision is provincial intervention in municipal finances when a municipality faces serious fiscal distress. Provincial governments have authority to oversee, direct, or take control of municipal finances when municipalities cannot pay debts, fail to meet provincial financial requirements, or face other fiscal emergencies. Supervision intensity varies: lighter intervention might involve enhanced reporting requirements and provincial financial advice, while severe distress could trigger provincial appointment of supervisors or administrators who take control of municipal decisions. Supervision aims to restore fiscal health while protecting residents and creditors. Municipalities under supervision may face restricted borrowing, required service changes, and limited council authority. While supervision is rare, it exists as a backstop ensuring municipal services continue even when local governance fails financially. The threat of potential supervision motivates municipalities to maintain sound financial management.