SHAKER HEIGHTS PUBLIC LIBRARY
Board of Trustees
Regular Meeting
Monday, June 13, 2005
Attendance
Members Present: Dr. Benning, Mr. Bergholz, Mrs. Karon, Mr. McGovern, Mr. Parsons, Mr. Schorgl, Dr. Whyte
Members Absent:
Staff Present: Mr. Dickinson, Mr. Piskac, Mr. Pulver, Ms. Miller, Mrs. Schiller
Others: Evelyn Krent, League of Women Voters Representative
Mr. Bergholz called the regular meeting of the Shaker Heights Public Library Board of Trustees to order at 6:30 p.m. in the Bertram Woods Branch community meeting room.
Mr. Bergholz asked board members to review tonight’s agenda and welcomed any comments for additions or deletions. Hearing none, board members unanimously approved the agenda.
2005-45 Mr. Parsons moved and Mrs. Karon seconded the motion to approve the May 9, 2005 regular board meeting minutes.
Roll Call: Ayes: Dr. Benning, Mr. Bergholz, Mrs. Karon, Mr. McGovern, Mr. Parsons, Mr. Schorgl, Dr. Whyte
Nays: None. Motion carried.
A. Financial Statements
Mr. Piskac asked if there were any questions regarding the May 31, 2005 financial statements. There were none. Mr. Piskac reviewed the May 2005 year-to-date revenue and expenditure financial reports and reported the library received $2,738,907.17 ($3,101,683.90 – 2004). Next, Mr. Piskac reviewed the following year-to-date revenue line items:
State Income Tax – The library received approximately $3,500 more state income tax revenue than last year.
Real Estate Revenue – The library received $19,678 more than last year after removing the $480,077.46 overpayment received last year. The Clerk-Treasurer notes the overpayment was returned to the county in June 2004.
Patron Fines and Fees – The library received $4,660 more than last year primarily due to the 2004 fine free week.
Interest on Investments – The library has received $13,776 more than last year due to higher interest rates and a shift in investment fund deposits.
Contributions – Contributions to the library declined by $2,483 in comparison to last year.
Rent from Cellular Tower(s) – The library is now receiving an additional $500 per month from Sprint. In addition, the library receives $550 per month from Cingular and $1,500 per month from Alltel. In 2006, the library will receive a total of $30,600 per year from all cell tower rental. For 2005, the library should receive $26,550 in cell tower rental.
Other Reimbursements – The library received a $6,072 insurance reimbursement in 2004 from the 2003 Bertram Woods renovation project.
Mr. Piskac closed the revenue discussion by indicating that if the county overpayment and inter-fund transfer revenue are removed, the library received $35,589.99 more revenue than last year. Next, Mr. Piskac reviewed the summary expenditures statement and discussed the following expenditure line items.
Salaries and Wages – The vacancy of the director position contributed to the positive variance.
Retirement Benefits – The negative variance is due to the OPERS ending date for May that included payment for three pay periods in April. Last year, May was a three pay month and the OPERS period payment was in June. Mr. Piskac said the OPERS timing difference will even out after the OPERS June payment and the library will have the same OPERS timing difference in the fall.
Travel and Meeting Expenses – Search expenses for director position were incurred in 2005.
Utilities – The library’s budget billing for natural gas was recalculated for 2005. Monthly budget billing amounts were increased for both library locations by approximately $1,300 per month.
Professional Services – The negative variance is due to the related tax fees for the 2004 real estate tax revenue overpayment, which were not recorded until the overpayment issue was resolved in June. The negative variance will even out at the end of June 2005. This line item also includes $8,800 for the biennium audit.
Library Materials and Information – The library spent more this year on materials than last year due to the 2004 Sirsi conversion.
Capital Outlay – The library finished the Bertram Woods renovation in 2004 and completed payments in early 2005. Since the Bertram Woods renovation, the library has not spent any funds on any major renovation projects except for some cement work at Bertram Woods.
In concluding the expenditure report, Mr. Piskac said if the inter-fund transfer expense is removed, the library spent $5,813 more dollars than last year for all expenses.
Mr. Piskac commented that the fund balance report shows a $13,025.76 ending balance for all funds. Mr. Piskac said the general fund is showing a negative fund balance due to the timing difference of real estate advances and the issuance of blanket purchase orders. Mr. Piskac said the general fund will have a positive ending balance for the rest of the year once the real estate advances are received.
Mr. Piskac reported the year-to-date bank report shows the library receipts ($2,488,907.17) are outpacing expenditures ($2,263,818.16) and the ending May bank report is showing a $1,538,672.42 ending balance.
Lastly, Mr. Piskac noted the monthly investment summary report shows a steady increase in ending investment account balance and rate of return on investment.
Mr. Piskac recommended the Board of Trustees approve the May 31, 2005 financial statements as submitted.
2005-46 Dr. Benning moved and Mr. Parsons seconded the motion to accept the May 31, 2005 financial statements.
Roll Call: Ayes: Dr. Benning, Mr. Bergholz, Mrs. Karon, Mr. McGovern, Mr. Parsons, Mr. Schorgl, Dr. Whyte
Nays: None. Motion carried.
B. Audit Update
Mr. Piskac reported that today he received the biennium audit report from the Auditor of State office conducted by James G. Zupka CPA, Inc. for calendar year 2003 and 2004. Mr. Piskac said the library received an unqualified opinion for both years and the management letter only mentioned some specific budgetary line item differences in 2003 from Board approved amounts. Mr. Piskac commented that the library was not required to present financial statements according to new GAAP standards because the auditor completed fieldwork before April 1, 2005. Mr. Piskac also said he would update the Board on any future CMI software upgrades to present the library’s financial statements in the new GAAP “look alike” format. Mr. Piskac summarized that the new accounting reporting format for the next audit requires the library to list revenues and expenditures by each program. Mr. Piskac said that since the library does not normally charge a program fee, all library programs would show a “program loss.” However, Mr. Piskac said this program loss would be offset against all library revenue. Mr. Piskac summarized that the new reporting model would be program driven rather than entity driven.
Director’s Report
A. Written Report
· Mr. Dickinson discussed his written report format and explained that he listed the meetings and continuing education that he participated in since the last board meeting.
B. Meeting Room Policy
Mr. Dickinson proposed a working document of the following meeting room policy to the Board of Trustees. Under the General Section, Mr. Dickinson said that he added back the 1994 language regarding use of the meeting rooms by political and religious groups. Mr. Dickinson reviewed the remaining meeting room policy and discussed the Fees and Refunds and Terms of Use in the policy. After Mr. Dickinson’s review of the policy, the Board of Trustee’s suggested removing the residency requirement in the General Section. Under the Fees and Refund section, the Board of Trustees authorized refunds only if the library was not able to provide the space. Under the Terms of Use, the Board of Trustee’s requested a blanket no liability clause including death to participants using the meeting rooms. Mr. Dickinson said he would obtain the legal language from the county prosecutor’s office this week. Mr. McGovern recommended the library compare its meeting room charges with the meeting room policy of the city. The Board of Trustees inquired about the amount of the late fee serving as a deterrent and the cost benefit of providing a meeting room service to the community. Mr. Bergholz commented that the fees charged for meeting rooms is obviously not enough to cover the cost of providing meeting rooms, but the library is a community resource and the meeting rooms should be considered a service to the community. Mr. Bergholz added that if the true cost of providing meeting rooms were reflected in the rental fees, some community groups would not be able to afford to hold meetings at the library. Mr. Dickinson requested the Board of Trustees approve the proposed meeting room policy with the discussed items as library policy. Mr. Dickinson said that he would provide the Board of Trustees a final meeting room policy after the county prosecutor adds the disclaimer for liability. (The Clerk-Treasurer notes the final copy will be added to these meeting minutes as the final Board approved meeting room policy.)
2005-47 Mr. Schorgl moved and Mr. Parsons seconded the motion to accept the proposed meeting room policy including the discussed working document addendums.
Roll Call: Ayes: Dr. Benning, Mr. Bergholz, Mrs. Karon, Mr. McGovern, Mr. Parsons, Mr. Schorgl, Dr. Whyte
Nays: None. Motion carried.
New Business
A. Gifts to be accepted and appropriated to the designated funds
Unrestricted Contribution – Individual (101-6510)
In memory of Robert Campbell
Raymond Thomas $25.00
Marie Valentine 80.00
Bertram Woods Branch Fund (710-6510)
Helen and Donald Freiberg 25.00
Marilyn Kammer Memorial Fund (711-6510)
Randy Kammer
In memory of Robert Bedenbaugh, Jr. 20.00
Frances Belman Fund (712-6510)
Marsha Moses 100.00
In honor of Frances Belman
2005-48 Dr. Benning moved and Dr. Whyte seconded the motion to accept and appropriate the above gifts.
Roll Call: Ayes: Dr. Benning, Mr. Bergholz, Mrs. Karon, Mr. McGovern, Mr. Parsons, Mr. Schorgl, Dr. Whyte
Nays: None. Motion carried.
B. Personnel Actions (information only)
Luren Dickinson, Director, hired effective May 2, 2005
Rosemary Margulies, Circulation Services Assistant, Level 106, resigned effective May 17, 2005
Dorothy Anthony, Adult Services Librarian, Level 111, retired effective May 31, 2005
Maureen Brodar, Full-time, Youth Services Librarian, Level 111, hired effective May 31, 2005
Community Comments
None
Announcements
Adjournment
There being no further business, Mr. Parsons moved and Dr. Benning seconded to adjourn the regular board meeting at 7:20 p.m. The next regular meeting of the Shaker Heights Public Library Board of Trustees will be Monday, September 12, 2005 at 6:30 p.m. in the Main Library Boardroom.
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David Bergholz, President
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David D. Piskac, Clerk-Treasurer
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Mimi Friedman Karon, Secretary