HomeMy WebLinkAbout1995-05-08 MinutesFAYETTEVILLE PUBLIC LIBRARY BOARD OF TRUSTEES
Minutes of May 8, 1995, Meeting
Attending: Mark Burdette, Carol Phillips, Steve Singleton,
Michael Thomas -- Board of Trustees; Linda Harrison, Fayetteville
Public Library director; Karen puree, Ozarks Regional Library
director; Mary Jo Godfrey, Lynaire Hartsell, June Jefferson,
Lolly Maxey, Susan Sissom, staff; Steve Davis, City of
Fayetteville.
President Thomas called the regular meeting to order at 4:03
p.m.
Staff and board members introduced themselves to Steve Singleton,
the new board member who replaced Ann Prichard. Singleton then
told the group about his background. He moved to Fayetteville
in 1974 to attend the University of Arkansas; he received a
master's degree in English and went on to work as editor of
publications and then as communication manager at Tyson Foods
for 152 years. Last March he opened his own business in public
relations and commercial photography. He also has background
in personnel matters at Tyson.
Sissom noted corrections to the 3 p.m. meeting that Jefferson
had given her; the corrections were to the names of Boatmans
Trust representatives, Mark Lungaro and Theresa Ewing, and to
take note of the fact that only Thomas and Jeff Koenig had been
present at the special meeting. The minutes were approved with
corrections (Burdette, Phillips).
Harrison reported that she had written to the Northwest Arkansas
Times after the library had received a notice that the
subscription rate had gone up. She told the board and indicated
in the letter that the library had never paid for a subscription
to the local newspaper and could not afford $39 for the
subscription. The library will continue to receive the paper
without charge, she said.
Harrison next referred to a memo she had written Davis regarding
money that had been added to the library's operating budget
for 1995. The question was whether this money would become part
of the library's target budget figure for 1996. It was necessary
to know this before the library board began making plans for
a citywide millage campaign for library funding. She told the
board that Davis had said the target -budget amount would be
based on all the extra money the library had received to arrive
at the final 1995 operating budget figure.
Singleton asked if the city would continue to financially support
the library if a citywide millage were approved by voters.
Harrison and Thomas said this is the question for which they
were still awaiting an answer.
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Harrison next turned to a letter to the board from Duree
concerning the cost of services provided by the regional library
that the Fayetteville Library would have to pay through contract
fees if Fayetteville had to drop out of the regional system.
(This would happen if Fayetteville pursued a citywide millage
rather than a countywide millage.)
Duree explained that she had used previous figures and an applied
5 percent increase to come up with a projection for the 1995
budget figures. She came up with a figure of $148,000 for 1995
if Fayetteville had to pay the regional library for services
in the event that it had a city millage and was not part of
the regional system.
She added that other variables exist, such as a year-long
discussion of changing the state -aid formula and what other
libraries in the regional system need. The amount charged back
to the Fayetteville library would depend on the amount of service
that the library asks for. Harrison asked Duree what figure
she used to determine the cost of cataloging services.
Duree said there was no one figure for the cataloging services.
She said the study was based on dividing out the salary of the
catalogers and the cataloging service; the amount was derived
from the salary of the cataloger and the amount of time that
person spent cataloging for each facility. She based the figures
on the amount of items the regional cataloger processed in 1993,
she said. Duree said the amount would vary from year to year.
Harrison said she thought it important to point out that the
year 1993, on which Duree based the cataloging figures, was
also the year that the Fayetteville Public. Library saw its book
budget drop from $73,000 to $36,000. Therefore, the Fayetteville
facility did not have as many items to be cataloged during that
year.
Phillips said the portion of Duree's report that bothered her
the most was the next -to -last paragraph, which said the
Fayetteville library would NOT receive a branch allotment from
the Washington County Library Fund if a city millage were
approved, and the library would have to make up $216,339 in
the loss from the county if a city millage were considered.
Singleton asked why Fayetteville would not receive a branch
allotment if a city millage were levied. Harrison answered that
it was because the levy would be city-wide. Duree said in that
event, the county would no longer be collecting any library
millage from the City of Fayetteville.
Burdette said that Duree had said, then, that Fayetteville would
need $365,000 to make up for services and allotments it now
receives as part of the Ozarks Regional Library system. That
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amount represents what it would take to achieve status quo in
1995. Duree said it was an estimate "with disclaimers." Burdette
asked about the $34,000 figure in the second paragraph. Duree
said that represented the amount the regional library would
receive from state aid for serving the Fayetteville library.
Two different forumlae are used in figuring state aid, she said:
a county formula and a city formula. In Rogers, for example,
library officials use a city formula to figure the amount of
state aid that would come to the regional library, because Rogers
contracts for services with the regional library. Fayetteville
would do the same thing if it approved a city millage that would
take it out of the county funding formula.
In other words, Duree told Burdette, Fayetteville would have
to make up roughly $365,000, because she had already deducted
the $34,000 figure when she estimated items in the report.
Thomas went on to explain to Singleton that Rogers, which is
supported by a city millage, is not a part of the Ozarks Regional
Library system, but they pay for their services. In examining
its financial situation, the Fayetteville library board
discovered that Fayetteville had been subsidizing services to
Rogers, and Duree examined costs associated with the service.
Rogers is now paying a higher amount for services.
The $365,000 figure probably represents one mill of tax, members
told Singleton. Therefore, Burdette said, the library would
need to ask for two mills from city voters to increase its
funding base by one mill. Duree said getting one mill would
address the loss of the county mill; an additional mill would
give the library an additional estimated $365,000.
If, however, the library asks for two mills and the city council
then takes away the money it has been funding to the library,
Harrison said, "then we're in trouble." Phillips said she thought
the board needed to look long and hard at asking for a city
millage, particularly if the city council does not pledge
continued support from city revenues. Phillips added that the
Springdale voters might be more willing to join in seeking a
countywide millage since that city's library has fallen on harder
times financially, needing to build a new facility and losing
money on its voluntary millage because of a different collection
method. Duree said Springdale officials would know if collections
on the voluntary millage were down at the end of 1995 or the
beginning of 1996.
Burdette said he thought it very important to pass this
information along to the city, because city officials were
pressing library officials to break away from the regional system
and go out for a millage alone. Burdette said he was unsure
if city officials were aware of the size of the budget money
and the cost of services gained through the regional affiliation.
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If city officials did not realize the amount of money and
services, Phillips said, it was because they had not read
documents that were before them, because the library had given
the information to the city on previous occasions. Thomas agreed.
Burdette asked if the board could make a copy of Duree's report
and emphasize the $365,000 figure and send it to the city
council, so that the city could be sure of the amount that the
board was discussing. Duree said she would put a postscript
on the report and send it to Harrison.
Thomas explained to Singleton that Springdale had presented
itself as anti -tax in last year's elections for school and
library millage, defeating both measures. Thomas said that
Fayetteville voters had approved the library millage by a vote
of some 70 percent, while Springdale voters had voted just the
opposite. In Washington County, he added, some 3,500 persons
did not mark the millage question at all, because the measure
was included on the ballot with other measures that were struck
down by the Supreme Court before the election. Harrison noted
that although support in Fayetteville was strong in the last
election, the board should reassess its chances.
Duree said that a telephone poll might be conducted to determine
what sorts of services patrons wanted and how much financial
support they were willing to give.
Singleton noted that all service figures had declined in 1995
over 1994. He suggested broadening the scope of persons served
before seeking a millage vote and creating an environment where
the city council "ignores the voters' wishes at their peril."
Thomas said that philosophy was at the the heart of the board's
decision after the millage was defeated to go before the city
council and ask for a discretionary mill. He said that the
council had shown that that step was something it was not willing
to do, "even though the people spoke."
Duree said the opening of Rogers' new library had had an impact
on both Fayetteville and Springdale, in attendance, circulation
and other matters. Both declined in attendance and circulation,
she said. Rogers residents that previously had used Fayetteville
and Springdale were now using a more aesthetically pleasing
facility with more parking than it previously had had. The Rogers
facility also is open until 9 p.m., she said.
Harrison said she had told Thomas that it had been her experience
that attendance and circulation figures cycled in six- or seven-
year peaks and that Fayetteville's figures had been very high
in 1994. Figures also reach plateaus, she and Duree said.
Harrison also said that the cut in the book budget had had an
effect on the library's figures, because it had been unable
to supply patrons with the books they were demanding,
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particularly with current fiction. Thomas said he didn't agree
with the cycle figures simplybecause the population had
increased so drastically.
Jefferson noted that, despite trends in figures, the library's
use was still historically higher than it had ever been. The
numbers are higher than they ever have been, she said. Singleton
asked if figures per capita would not have to be used to arrive
at a correct figure of usage. Jefferson said that the figures
the library had compiled would bear out her statement, if
Singleton would like to look at the data. That's one of the
things the library has done, she said, to back up requests for
increases in the budget. Singleton said he hoped the figures
would speak for the library if any city officials had questions
about budget requests.
Duree noted that Springdale had added on to its facility in
1986, and the figures had reached a plateau in Fayetteville
during that time. It was another example of a change in
facilities, she said, in an area with overlapping patrons who
had the choice of more than one library.
Burdette asked, based on Duree's report, if the idea to ask
for two mills from city voters was now out of the question.
Phillips said she didn't feel good about pulling out of the
regional system, because she thought the Fayetteville received
more than figures actually show from being a part of the system.
Thomas said he was not favorably inclined to leave the system.
Phillips said she had been told by a member of the city
administration that the library board would not "get anywhere"
until an election were held on a millage vote. She said she
told the city administrator that the board did not have the
funds to hold an election and that person had said to ask the
public for money, because until the board did, the city would
not add any money to the library budget. It was mentioned, she
said, that a special election would be held (to decide a liquor -
by -the -drink proposal), and Phillips said she did not favor
tying a library millage to an election on alcohol service. That
person told her that the library should hold its own election,
then, because the city would not offer any financial support
until the millage was addressed. She said she mentioned that
Fayetteville voters had approved the county millage and tried
to suggest that that vote meant residents would favor the city's
using a discretionary mill for library services until a library
millage could be passed. The individual to whom she was speaking
said that the council would not consider such a measure.
Burdette said that meant that an election was necessary to secure
city support. Harrison and Phillips said that there was more
to the question of a citywide millage than the figures that
had been discussed. Harrison noted that the Fayetteville library
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would possibly have to hire a person to catalog material, and
there was no space for such a person in the physical confines
of the building, for example. Burdette asked Duree and Harrison
to point out all the advantages of the inter -local agreement
when Duree's report was sent to the city. Burdette said he hadn't
understood all the implications. "Rub their nose in it," Thomas
advised.
Thomas advised that only one board member go to meet with the
city officials to comply with the Arkansas Freedom of Information
Act. If two or more persons were to meet with city officials,
he said, the press would have to be notified.
Harrison then called attention to the regional library calendar.
Thomas asked that a Fayetteville board member attend the May
10 meeting with Julie Hart of the state library. Duree said
budget matters would be discussed.
The board briefly discussed the county board meeting minutes.
Thomas also briefed Singleton on budget matters that had been
discussed at several previous meetings.
Turning attention to the librarian's reports, Harrison said
the statistical report already had been discussed. Duree noted
that Rogers had been closed during a large part of February
1994, and the reopening showed a boost in Rogers' figures and
declines in Fayetteville's and Springdale's.
In response to Burdette's question on the decline in volunteer
hours at Fayetteville, Harrison said that Ray Shipman was not
working as much, and Gene Godfrey was not working at all, and
the hours dropped drastically from that. Volunteers are not
reporting their time well either, Harrison noted. Godfrey had
worked almost full-time, Jefferson said.
Harrison explained the figures in the salary coluumn to Thomas
(the larger number represents an annual figure and the smaller
the monthly figure) and also said that some bill payments had
not been made in time to enter them on the financial report.
Thomas told Singleton that the city had agreed to send out
letters on overdues. Singleton received background budget
information. Singleton questioned the cost of personnel, saying
the library had been closed on Saturday until April. He was
told that the same amount of staff members had done the same
amount of work in five days instead of six. The librarian's
reports were accepted (Phillips, Burdette).
Burdette reported that forms for the volunteer committee had
been submitted for approval to the city, but the committee had
not received an answer. The volunteer director has changed the
time frame for processing the volunteers because she is making
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a trip to China, Burdette said, so the call for volunteers will
go out in the Friends of the Fayetteville Public Library
newsletter at a different time. The whole process is "on hold"
for the time being, Burdette said. The call for volunteers will
go out first to the 700 -member Friends group, he said, and it
can be augmented if necessary.
Thomas questioned if the board was restricting itself too much
in relying on the city and county for funding. He asked Singleton
to review sources for funding, including endowments and other
matters. Duree suggested contacting attorneys who set up wills
and trusts. Thomas asked Singleton to take alternative funding
as a responsibility.
Phillips asked Sissom to include follow-up reminders at the
bottom of the minutes. She mentioned writing a letter to the
Washington County Observor as an example. She also noted speaking
to LaGayle McCarty about questions from the previous meeting.
The board addressed this matter, and Maxey said she was
comfortable with the problem -child policy.
Godfrey added that matters regarding the genealogy department's
computer equipment that were brought up at the previous meeting
had been addressed.
Phillips also asked about Koenig's offer to find volunteers
to input data for the overdues program. Harrison said the library
had heard nothing from Koenig on the subject. Hartsell reported
that the circulation department was inputting data and that
one member of the department was away on vacation, delaying
the need to complete the process. Hartsell said she hoped that
when that person returned, the data would be caught up to the
point of meeting that staff member's needs.
Phillips asked again about discretionary millage from the city
council. Thomas said no members were willing to consider that
for library funding.
Harrison then brought up a follow-up on whether the library
is a city department and a companion question of letters of
determination regarding the library's donations being
tax-deductible by the Internal Revenue Service (IRS). Harrison
said she is to meet with Jerry Rose, city attorney, and his
assistant on the matters.
On the IRS questions, Harrison said Sandra Smith of the IRS
said that the library is in good shape on the endowment program
in genealogy (501-C-3 of to IRS code). On the tax-exempt status,
she said, the matter (501-A) may be in question with the IRS
code. The determination hinges on the library's
"instrumentality," she said, and she asked the board for
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directions. Phillips suggested calling the IRS for direction.
Harrison said she knew that a letter of determination had existed
before 1959, when the library operated under the library
association. Phillips asked if the library could be a
tax-deductible entity and still be part of the city. Davis said
it could. Phillips directed Harrison to ask for guidance at
the local IRS office.
The board then asked again if the library were part of the city
government. Harrison quoted a 1931 law regarding libraries and
then noted how the law changed in 1991 to say that libraries
had to be organized by ordinance. According to Rose, Harrison
said, the fact that Fayetteville had accepted the library in
1959 by resolution was "one strike against us." Another strike,
she said Rose told her, was the fact that the board members
are not sworn in. Rose brought up other library policies that
don't strictly follow the city's methods, Harrison said.
Phillips suggested talking to the former auditor to see what
information could be developed regarding the IRS status.
Thomas asked about the Springdale library's organization. Duree
said it was basically the same as Fayetteville's, but Springdale
library funds go through the city treasury, and Fayetteville's
do not. The Springdale Library Board of Trustees control
endowments, gifts, etc. The City of Springdale pays the library's
operating expenses, she said.
Burdette said he didn't think the library had a problem.
Harrison said Rose had told her that he would represent her
and the library in any legal difficulties, which strengthened
the connection with the city.
Davis noted that the library board and the advertising and
promotion commission were the only two governing entities within
city government that were authorized to spend money.
Thomas said he didn't understand why there was a question about
the library's being part of the city, when the city council
appoints library board members and the city attorney says he
will defend the library in lawsuits.
Maxey announced that the summer reading program would start
in the schools the next day.
Singleton asked Harrison to solicit staff members for ideas
on alternative funding.
The board meeting adjourned at 5:38 (Burdette, Phillips).
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Respectfully submitted by:
Susan M. Sissom
Staff Member
Follow-up Reports:
Linda Harrison: Status of library as city department
IRS matters
Former auditor's report
Steve Singleton: Alternative funding
