Memorandum 15-108 Library Budget Information

Memorandum 15-108

TO:                       Homer City Council

THROUGH:       Katie Koester, City Manager

FROM:                 Ann Dixon, Library Director

DATE:                  June 24, 2015

SUBJECT:         Request for Information

The Library was asked to provide information on two topics:

One day of operational cost

Charging for computer use at the Library.

One Day of Operational Cost

The primary cost is staffing. Two people, absolute minimum, are required to keep the Library open. Closing one 8-hour day per week would result in laying off one half-time staff person. Savings would amount to about $31,000 (including insurance). A small savings in utilities could also be expected. Though more difficult to estimate, a guess is around $3,000.

Charging for computer use at the Library

If we were to charge for computer use at the Library we would no longer be eligible for federal E-rate reimbursement for internet access. For the upcoming federal fiscal year (July 1, 2015 – June 20, 2016) that amount is $12,413.76. I advise against this for several reasons:

It’s unlikely that we would we be able to recoup that amount through computer user fees.

The people who are most in need of computer access would be most negatively impacted. Many people of all ages and walks of life cannot afford computer equipment and/or the internet access fees. They use our computers to apply for jobs; run their home businesses; apply for scholarships, certifications and licenses (such as food handling and six-pack); fill out government paperwork (including PFDs); do their taxes and banking; research medical conditions; study for exams; and many other activities of daily life. (Others who can afford home computer access find our computers useful while theirs are in the shop.)

Reduced access to library computers would negatively impact economic activity, for the same reasons listed above.
The internet is an essential access point for information. The basic mission of a public library is to provide access to information for its citizens. Charging for access to information runs counter to the mission of a public library.

It would place a hardship on the many children who use our computers daily.

Tourists are generally highly appreciative of our internet access. Though they might be willing to pay, I’m not sure the amount garnered would make up for the resulting decrease in good will. A friendlier approach might be to have a voluntary donation jar for visitors’ computer use.

               While we cannot charge directly for internet access while receiving federal E-rate funds,   according to Patience Frederiksen at the Alaska State Library we could charge non-residents   for library cards and require as policy that only card-holders may use our services, including         computers. This would require a major policy change, as currently we do not charge residents       who live outside the City of Homer but within our library’s service area. A number of pros and         cons that would impact staff, residents and visitors accompany this issue.

               Conclusion

The Library is one of the most heavily used facilities in Homer, with attendance last year of over 129,600 and circulation of more than 130,039 materials. Clearly, with an average use of nearly 11,000 visits and 11,000 items per month, the Library is filling a variety of important needs in the community, from literacy, information, and education to employment, cultural activity, community gathering, and technical support. Use of the Library has increased steadily over the past several years. It’s important to realize that any reductions to existing services will impact the community.

If budget reductions are necessary, I would prefer to accomplish them by careful selection of line items, rather than a broad stroke such as closing the Library one day per week. Lay-off of trained personnel should be a measure of last resort, as it impacts not only the public but staff workload and morale. I’d like to work with the City Manager to identify places to cut that, hopefully, will not weaken the long-term viability of the Library.