SHAKER HEIGHTS PUBLIC LIBRARY
Board of Trustees
Regular Meeting
Tuesday, May 12, 2009
Attendance
Members Present: Mr. Anderson, Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Members Absent: Ms. Allen (arrived as meeting was adjourning)
Staff Present: Mr. Dickinson, Ms. Miller, Mr. Piskac, Ms. Switzer
Others: Evelyn Krent, League of Women Voters Representative
Dr. Whyte called the regular meeting of the Shaker Heights Public Library Board of Trustees to order at 6:34 p.m. in the Main Library Boardroom.
Approval of Minutes
Dr. Whyte asked for a motion to approve the April 14, 2009 regular meeting minutes.
2009-45 Mr. Miller moved and Mr. McGovern seconded the motion to approve the April 14, 2009 regular meeting minutes.
Roll Call: Ayes: Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Nays: None. Motion carried.
Mr. Anderson arrived at 6:36 p.m.
President’s Report
A. Memorial Day Parade
Dr. Whyte said she would participate in the upcoming Memorial Day parade with Mr. Dickinson.
B. Other
Dr. Whyte reported that she met with Mr. Dickinson and Mr. Piskac prior to tonight’s meeting to discuss the impact of State funding reductions on the library. Dr. Whyte said State funding for the month of May was 26% lower than the May 2008 funding level. Mr. Dickinson said the Ohio Library Council is projecting an estimated 15-20% State funding decrease for calendar year 2009 compared to 2008. Mr. Dickinson passed out a handout outlining library budgetary reduction options already taken by the library and potential budgetary actions. He said the budgetary options are broken down into two categories, “invisible” and “visible” budgetary cuts. Mr. Dickinson reported that the library has already reduced appropriations for existing blanket purchase orders and said Ms. Switzer is working on the employee time bank. Mr. Dickinson recommended the library could also reduce the materials budget further. Mr. Anderson voiced concern over any further reductions to the materials budget. Mr. Dickinson said the library originally budgeted for a 7%, or $125,000, reduction in State funding. He said the library has reduced the budget by another 5% to 12% or $215,000 due to current year reductions in State funding. He recommended an annual budgetary reduction of 17% or $305,000 in State funding until the July reports are received.
A. Financial Statements
Mr. Piskac reviewed the April 2009 revenue and expenditure financial statements and reported the following:
Revenue Summary
Mr. Piskac reported year-to-date revenue was $2,523,277.75 ($2,113,657.13 – 2008), which is $409,620.62 or approximately 12% more than 2008. He reported the year-to-date Public Library Fund – State Revenue was $521,838.08 for 2009, which was $72,629.08 or 12.2% lower than 2008. He also reported that he learned today that the May distribution would be $62,082.54 lower, or 26% less than last year. He said the combined January to May distribution amounts would be approximately $134,512.98 or 16.6% lower than 2008. He reported the Real Estate Property Tax revenue was $501,842.50 higher or 35% higher than 2008 tax revenue due to the replacement levy. Mr. Piskac commented that the 2009 first half collections are approximately 1% lower than last year, but said the current collection rate was very good given the condition of the economy. He said the library did receive a $237,520.31 HERB disbursement in April. Mr. Piskac said the library investment interest revenue continues to be significantly lower due to low interest rates and lower available cash for longer-term investments.
Expenditure Summary
Mr. Piskac reported year-to-date expenditures were $1,812,861.10 ($1,834,063.73 – 2008), which is $21,202.63 less than 2008. Mr. Piskac reported the Insurance Benefits expenditure line item was lower this month due to the change in health insurance carriers from Anthem to UnitedHealthcare (UHC). He said the library did not receive the May invoice in April due to delays by UHC in setting up electronic billing. Mr. Piskac said the library would pay the May invoice on May 1 and said the electronic billing should be on schedule going forward. Mr. Piskac said the library received a $4,753.04 invoice from Anthem regarding the employer HRA portion from the last benefit year, which will increase the total library portion paid to Anthem to $49,773.62. He said the library still has a $5,226.38 liability under the past Anthem plan and reported the library paid a significantly higher health insurance portion than the Structured Employee Benefits of Ohio (SEBO) $13,750 estimate. Mr. Piskac also noted the year-to-date Library Materials Control Services is higher than 2008 due to timing differences with Cleveland Public Library invoicing.
Bank Reports
Mr. Piskac reported the month-to-date deposits of $365,204.94 were $12,708.10 less than month-to-date withdrawals of $377,913.04 and the library transferred $165,000 from Star Ohio to the operating account during April to cover payroll. He also reported the year-to-date deposits $2,523,277.75 were $710,416.65 greater than year-to-date withdrawals of $1,812,861.10. Mr. Piskac said the library would expend more cash than cash received during May because no real estate advances are expected until July. Lastly, he said the ending bank balance was $1,369,752.46, which is $710,416.65 higher than the January 1 cash balance.
Combined Month-to-Date/Year-to-Date Fund Report
Mr. Piskac reported the General Fund had an unexpended balance of $1,275,947.60, $1,394,403.89 in encumbrances, and an unencumbered balance of ($118,456.29). He said the high encumbrance balance is due to the library’s annual blanket purchase orders and he added a $55,000 purchase order to UnitedHealthcare on April 1 for the library’s liability portion for health insurance claims through March 31, 2010. Mr. Piskac also reported the unexpended balance for all funds was $1,369,752.46, $1,433,841.05 in encumbrances, and ($64,088.59) in unencumbered funds. Mr. Piskac also commented that the unexpended balance of the General Fund would decrease in May and June due to no real estate tax receipts. He said the library is expecting to receive second half real estate receipts in July and August, which would increase the unexpended balance of the General Fund. He further said the unexpended balance would decrease after August for the remaining months of the 2009 calendar year until January 2010 real estate advances are received.
Investment Report
Mr. Piskac reported the April 2009 investment balance was $1,102,654.13 and the Star interest rate decreased to 0.39% from 0.41% in March. He said the library transferred $165,000 from Star Ohio to the library’s operating account during April to cover payroll.
Mr. Piskac recommended the Board of Trustees approve the April 30, 2009 financial statements as submitted.
2009-46 Ms. Shatten moved and Mr. Miller seconded the motion to accept the April 30, 2009 financial statements as submitted.
Roll Call: Ayes: Mr. Anderson, Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Nays: None. Motion carried.
B. 2010 Tax Budget
Mr. Piskac presented the 2010 Tax Budget and said the library is requesting $3,709,082.00 in general property tax from the county budget commission, which is the same amount indicated on the library’s projected real estate tax revenue. After reviewing the various 2010 tax budget schedules, he anticipates the ending balance of the General Fund to be $119,076, which is consistent with the library’s budgetary forecast. He said the Tax Budget request is based on 97% collection and commented the current collection rate under the Schedule A is approximately 94.35%. Mr. McGovern commented that the property reevaluations next year could reduce real estate revenue. Mr. Piskac said after property reevaluations are done, the effective rate would be changed to ensure the same level of revenue generation as approved under the replacement levy in 2008.
Mr. Piskac recommended the Board of Trustees approve the 2010 Tax Budget as submitted.
2009-47 Dr. Hutt moved and Mr. Anderson seconded the motion to approve the 2010 Tax Budget as presented.
Roll Call: Ayes: Mr. Anderson, Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Nays: None. Motion carried.
C. Main Library Roof Repair Quote
Mr. Piskac said Mr. John Harchar, Maintenance Manager, obtained a $3,500 quote from Willham Roofing to perform roof maintenance repairs at the Main library on a time and material basis. Mr. Harchar has budgeted $3,500 for roof maintenance repairs and does not anticipate the repairs to exceed $3,500.
Mr. Piskac recommended the Board of Trustees approve the not to exceed $3,500 quote from Willham Roofing for roof repairs at Main library on a time and material basis.
2009-48 Mr. McGovern moved and Ms. Shatten seconded the motion to approve the not to exceed $3,500 quote from Willham Roofing for roof repairs at Main library on a time and material basis.
Roll Call: Ayes: Mr. Anderson, Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Nays: None. Motion carried.
D. Notebook Computer Purchase Modification
Mr. Piskac said he received a purchase order request from Mr. Zapp, Technology Manager, to order a replacement notebook computer and desktop PC for security camera monitoring. Mr. Piskac reported the library budgeted $1,500 for a replacement notebook computer and the purchase order is for $1,714.16. Mr. Piskac said the desktop PC was budgeted as one of the 36 replacement computers, but is recommending a not to exceed budgetary amount of $2,000 for the notebook computer.
Mr. Piskac recommended the Board of Trustees approve the not to exceed $2,000 budgetary amount for the security notebook computer.
2009-49 Mr. McGovern moved and Mr. Anderson seconded the motion to approve the not to exceed $2,000 budgetary amount for the security notebook computer.
Roll Call: Ayes: Mr. Anderson, Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Nays: None. Motion carried.
E. Appropriation Modification – Bertram Woods Branch Fund 208
Mr. Piskac recommended the following appropriation modification for the Bertram Woods Branch Fund 208 as follows:
Account
Number Description Current Revised
3340 Grounds keeping $5,100 $5,100
5210 Land Improvements 3,300
5410 Building Improvements 3,728
Total: $8,400 $8,828
Mr. Piskac said the appropriation modification was for the Surface Engineering purchase order to perform maintenance repairs on the Bertram Woods parking lot.
Mr. Piskac recommended the Board of Trustees approve the appropriation modification to the Bertram Woods Branch Fund 208 as submitted.
2009-50 Mr. McGovern moved and Mr. Miller seconded the motion to approve the appropriation modification to the Bertram Woods Branch Fund 208 as submitted.
Roll Call: Ayes: Mr. Anderson, Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Nays: None. Motion carried.
F. Patron Replacement Chairs
Mr. Piskac recommended the Board of Trustees approve the additional $7,203.56 of bond funds for 20 patron replacement chairs as described in the Ohio Desk proposal.
2009-51 Ms. Shatten moved and Mr. Anderson seconded the motion to approve the additional $7,203.56 of bond funds for 20 patron replacement chairs as described in the Ohio Desk proposal.
Roll Call: Ayes: Mr. Anderson, Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Nays: None. Motion carried.
G. Other
Cleveland Foundation Report
Mr. Piskac handed out the 2009 Fund Activity Statement for the Shaker Heights Public Library Fund with the Cleveland Foundation. He reported the fund appears to have stabilized at a $2,315.27 unrealized loss for the first quarter. He said the fund lost approximately $39,000 during 2008. Mr. Piskac reported the ending balance of the fund was $109,070.48 and 2009 income available for spending is $6,703.
Comprise Technologies – Automatic Payment Machine (APM) Proposal
Mr. Piskac reported that he received an APM proposal from Comprise Technologies to upgrade the second floor APM to the same model as on the first floor. He said the discounted cost of the upgrade was $6,275, which is not the price the library was anticipating given the on-going problems with the current APM. He said that he would wait to see if he could get a better price from Comprise.
A. Written Report
Mr. Dickinson provided a summary of meetings he attended.
B. Library Lease Renewal
Mr. Dickinson said Assistant County Prosecutor Mrs. Joyce Dodrill has finalized the changes to the lease terms to establish the occupancy year as 1993. Mr. Dickinson said Mrs. Dodrill recommends that the library Board authorize him to exercise the two ten year lease renewal options with the City, which would extend the library lease to August 29, 2033.
Mr. Dickinson recommended the Board of Trustees authorize him to exercise the two ten year lease renewal options with the City, which would extend the library lease to August 29, 2033.
2009-52 Mr. McGovern moved and Ms. Shatten seconded the motion to authorize Mr. Dickinson to exercise the two ten year lease renewal options with the City, which would extend the library lease to August 29, 2033.
Roll Call: Ayes: Mr. Anderson, Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Nays: None. Motion carried.
C. Architect Contract
Mr. Dickinson reported the architect contract with Mr. Duane Van Dyke was finalized. He said Mr. Van Dyke’s attorney was late in responding so the architect contract was not put on the School Board meeting agenda for tonight. He said that he would go to the School Board meeting after the Library Board meeting to see if it could be added to the meeting agenda.
D. Proposed Senior Housing Project
Mr. Dickinson reviewed notes from his April 30 meeting with Mr. Stuart Friedman from the Partnership for Income Restricted Housing Leadership (PIRHL). Mr. Dickinson said PIRHL still plans to maintain the current 162 parking spaces and provide an additional 44 parking spaces for residents. He reviewed the three site plans for the “Library Court” apartments and said the PIRHL preferred site plan has an L-shaped structure built close to the Chagrin entrance and a shared lot located between the new apartments and Sunrise with 68 spaces accessible from both Chagrin and the library lot. Under the preferred site plan, 14 additional new spaces would be created between the Community Center and the Library to maintain the current 162 parking spaces. Mr. Dickinson reported that PIRHL will complete the traffic study by May 18 and will appear before the City Planning Commission on June 2 for their second presentation.
E. Ohio Library Council Funding Update
Mr. Dickinson said he received an email from Ms. Linda Murray of the Ohio Library Council stating the May 2009 PLF was 26% less than the May 2008 PLF. He also reported the current state biennium budget has a $900 million shortfall with about two months left. Mr. Dickinson said the state would use the rainy day fund to balance the current biennium budget but would be short for the HB1 biennium budget, which is now in the Senate. With the current budgetary shortfalls, Mr. Dickinson said it would be harder to keep OPLIN and Library Services for the Blind and Physically Handicapped from being funded though the Public Library Fund, which currently are being funded by the General Revenue Fund under the House bill version.
F. Personnel Policy Manual Revision
Mr. Dickinson handed out draft copies of the library personnel policy manual. He said the Executive Team reviewed input from Supervisors and made policy changes and recommendations, which are in red or lined out. Mr. Dickinson requested Board members review the draft copy and said it would be on the June Board meeting agenda for approval.
New Business
A. Gifts to be accepted and appropriated to the designated funds
Unrestricted Contribution – Individual (101-6510)
Lisa Bayer and John Gehner
In memory of Sarita Herron $25.00
Marilyn Kammer Memorial Fund (209-6510)
Randy Kammer
In memory of Alyse Diamond $25.00
In memory of Coy Cornelius $25.00
2009-53 Mr. Miller moved and Ms. Shatten seconded the motion to accept and appropriate the above gifts.
Roll Call: Ayes: Mr. Anderson, Dr. Hutt, Mr. McGovern, Mr. Miller, Ms. Shatten, Dr. Whyte
Nays: None. Motion carried.
B. Personnel Actions
Rachel Vaughn, Adult Services Associate, Level 109, half-time, resigned effective April 5, 2009
Katalin Washington, Senior Account
Clerk, Level 109, full-time, hired effective April 6, 2009
Community Concerns
None
Announcements
None
Adjournment
Dr. Whyte said that there being no further business, board members unanimously agreed to adjourn the regular board meeting at 7:46 p.m. The next regular meeting of the Shaker Heights Public Library Board of Trustees will be Tuesday, June 9, 2009 at 6:30 p.m. in the Bertram Woods Community Room.
_______________________________________
Dr. Whyte, President
_______________________________________
David D. Piskac, Fiscal Officer
_______________________________________
Kurt Miller, Secretary