Post on 22-Dec-2015
Michigan’s Libraries
• Michigan Library Community
• Library Funding Streams
• Mi Dashboard – Metrics and Outcomes• Value for Government• Health and Education• Economic Strength
• Erosion of Library Funding-Perfect Storm
• What’s at Stake
Michigan Library Community
Academic Libraries (University, Community College, Private) – 100
Public Libraries (City, Township, District ) – 385
K- 12 Libraries (Public, Academies) – 1,000
Public Library Cooperatives - 11
State Income; 2.16%
Federal Income; 0.04%
Millage; 72.61%
Appropriated Tax, 8.87%
Penal Fines; 7.11%
Local/PPT, 9.20%
Public Libraries - Operating Income by Source - FY 2009Michigan's public libraries received over $444 million total operating income, an average of $44.61 received to provide
service for each Michigan resident.
PA 89
STATE AID TO PUBLIC LIBRARIES ACT (EXCERPT)Act 89 of 1977
397.566 State aid for public libraries
Simple translation – public libraries shall receive a total $1.50 per capita
Distribution:
1/3 – public library1/3 - library cooperative1/3 - public library to buy cooperative library services- swing aid
“Shared Sacrifice” – 76% Cut Since 2000
$0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
$16,000,000
Years starting in 1972 - 2012
State Aid to Public LibrariesPA 89 Statutory Requirement $1.50/total per capita - $15 million
08-09 Current funding $0.96/ capita - $10 million09-10 SB 247 Senate Proposed Budget $ 0.75/capita- $7.5 million
11-12 Budget $3,445,700 + $950,000 for MeL
Penal Fines
STATE CONSTITUTION (EXCERPT)CONSTITUTION OF MICHIGAN OF 1963
§ 9 Public libraries, fines.Sec. 9.
The legislature shall provide by law for the establishment and support of public libraries which shall be available to all residents of the state under regulations adopted by the governing bodies thereof. All fines assessed and collected in the several counties, townships and cities for any breach of the penal laws shall be exclusively applied to the support of such public libraries, and county law libraries as provided by law.
MiDashboard – Metrics and Outcomes
Value for Government
Statewide Collaboration, Group Purchasing, Cost Savings
Value for Government
Statewide Collaboration, Group Purchasing, Cost Savings
MeL Databases
• Cost of MeL Databases $ 5,000,000• Statewide Replacement Cost $72,000,000
Case Studies –Actual Replacement Costs
• Western Michigan University $ 417,400• Oakland Community College $ 321,500• Portage District Library $ 497,697
MeLCat Interlibrary Loan
• Current Cost of MeLCat Delivery for 400 libraries $ 741,000• Replacement Cost for Materials $ 23,125,000
Value for Government
MeL by the Numbers
Unique Users in MeL Databases 1,211,455
Searches in MeL Databases 2009 38,523,800
MeLCat Interlibrary Loans 2010 1,000,000
Increased Demand for MelCat Loans 2010 33%
Value for Government
Access to Government Online Services
The State is moving information online and expecting citizens to comply
Filing for unemployment onlineDownloading tax forms and filing for taxes onlineRenewing your driver’s license online
Every library in Michigan has computers and internet access9,536 computers with internet access in public libraries
When citizens cut off their internet they go to their libraries 64% of libraries - only source of free Internet access in their
communities1/3 of Americans don’t have access to the internet at home
Capital Area District Library – wireless usage 116% increase in 6 months
Escanaba Public Library – 30% increase in computer users last yearBenton Harbor Public Library – 30% increase in computer usage
Value for Education
Education and Literacy
Lifetime learning – Pre-K through Senior Citizens
Children’s Programs Summer Reading, Ready to Read programs and more 08-09 served 2 million children
MeLibrary provides online testing K-12, ACT, AP Tests, GED, PSAT
MORE - aligned with MI Department of Education content standards
Economic Strength
Workforce Development
People use libraries to apply and search for jobs online at libraries 96% of libraries provide career, job search and resume preparation
materials/assistance MI Works Agencies refer clients to libraries
78% of libraries partner with MI Works locally 7 libraries serve as service centers for MI Works
Every library is connected to MeLibraryLearning Express online database for certification & training
Civil Service, nursing, police & fire certification
Economic Strength
Economic Development
Economic Gardening -market research and business start-up information
MeL is the open-source portal for small business market research
Libraries have small business centers and business librarians
Portage District Library, Grand Rapids Public Library, Capital Area District Library
Erosion of Library Funding Streams“Perfect Storm of Cuts”
Tax Capture and Renaissance Zones
Diversion of Penal Fines to Other Sources
Slashing State Aid to Public Libraries
Elimination of Personal Property Tax
Library Millages Dropped 4-10% Last 3 Years
Erosion of Library FundingTax Capture
Locally voted dedicated millages are being eroded by tax capture mechanisms
1312 tax capture authorities – more than townships in Michigan
Capturing or diverting dedicated millages: libraries, 911, police & fire, counties, Community colleges, k-12, seniors
Total capture/diversion - $150,000,000 - 2006
Downtown Development Authorities Corridor Improvement Authorities Brownfield Redevelopment Authorities Local Development Finance Authorities Historic Neighborhood Authorities Neighborhood Enterprise Zones SMART Zones
Erosion of Library FundingTax Capture
Unintended Consequences of Tax Capture on Library Millages Libraries losing $10-15 million annually from dedicated library millages
Portage District Library - $98,085/year Paw Paw District Library - $23,000/year Grand Rapids Public Library - $400,000/year Detroit Public Library - $ 4 million/year Battle Creek - $ 830,000/year Herrick District – Holland - $ 263,116/year Capital Area District Library - $658,000/year Royal Oak Public Library – $121,700/year Litchfield Public Library – budget of $60,000/$27,960 Howell District Library - $19,819/ DDA & TIFA Benton Harbor Public Library – $10,000/year Saginaw District Library – $49,505/year VanBuren District Library - $25,000/year
Erosion of Library Funding Renaissance Zones
MICHIGAN RENAISSANCE ZONE ACT (EXCERPT)Act 376 of 1996
125.2692 Reimbursement to intermediate school districts, local school districts, community college districts, public libraries, and school aid fund
Libraries lose $ 3 million annually from dedicated millages
Reimbursement eliminated in FY 10 & FY 11 budgetsRestored for K-12 in 2011 budget – but not for libraries
Hart Public Library - 37% of total operating budget Grand Rapids Public Library - $389,021 annual loss Kalamazoo Public Library - $ 94,548 annual loss Willard Public Library - $ 87,833 annual loss
Erosion of Library Funding Elimination of Personal Property Tax
Elimination of the Personal Property Tax would be one more severe blow to public library budgets. Some examples of cuts are below.
Detroit Public Library $ 6.8 million Portage District Library $ 535,385 Ann Arbor District Library $ 659,000 Clinton-Macomb Public Library $ 270,433 Kalamazoo Public Library $1.2 million Muskegon Area District Library $ 168,283 Independence Township Library $1,084,179 Chrystal Falls District Library $ 39,612 Battle Creek District Library $ 700,000 Hackley Public Library $ 111,525
Erosion of Library Funding Penal Fines
Constitutionally Mandated Penal Fines are Diverted to Other Uses
Michigan Vehicle Code Motor Carrier Act Motor Carrier Safety Act Code of Criminal Procedure
Laws give 70% to other uses / 30% to libraries
What’s At Stake?
Implosion of MeLibrary –statewide databases and MeLCat interlibrary loan
Closure of 11 library cooperatives and unknown pension liabilities
State matching funds and maintenance of effort (MOE) requirement
State aid to public libraries serves as the primary MOE requirement to sustain the $5 million from LSTA that pays for MeL and MeLCat
Required amount - $10 million
State has received two waivers from the federal government
State Library Funding
Budget Lines 2010-11 2011-12
Library of Michigan $4,566,900 $3,879,200
State Aid to Public Libraries $5,750,000 $3,445,700School Aid Fund $1,500,000Michigan eLibrary $ 950,000
State Library Funding
Maintenance of Effort Categories FY 2012
LOM –Statewide Services $ 200,000State Aid to Public Libraries $ 3,445,700Michigan eLibrary $ 950,000
Total $ 4,595,700
MLA Budget Request
State Aid to Public Libraries $ 5,750,000Michigan eLibrary $ 1,500,000
Total $ 7,250,000
Hold Library Funding Harmless at last year’s level: $7,250,000