SHAKER HEIGHTS PUBLIC LIBRARY
Board of Trustees
Regular Meeting
Monday, June 12, 2006
Attendance
Members Present: Mrs. Karon, Mr. McGovern, Mr. Miller, Mr. Schorgl, Mrs. Shatten, Dr. Whyte
Members Absent: Dr. Benning
Staff Present: Mr. Dickinson, Mrs. Hays, Ms. Miller, Mr. Piskac, Mr. Pulver
Others: Evelyn Krent, League of Women Voters Representative;
Jane Wood, This Week in Shaker
Mr. McGovern called the regular meeting of the Shaker Heights Public Library Board of Trustees to order at 6:34 p.m. in the Bertram Woods Community Room.
2006-49 Dr. Whyte moved and Mrs. Karon seconded the motion to approve the May 8, 2006 regular meeting minutes.
Roll Call: Ayes: Mrs. Karon, Mr. McGovern, Mr. Miller, Mr. Schorgl, Dr. Whyte
Nays: None
President’s Report
A. Board Retreat Recap
Mr. McGovern said the Board decided to pursue a community based strategic plan process and scheduled a special Board meeting on Wednesday, June 14 at 7:30 a.m. in the Main Library Boardroom to discuss strategic planning with Main Stream Enterprises, Inc. Mr. McGovern encouraged community attendance and participation.
B. TEL Update
Mr. McGovern reported that public officials prevailed in a non-partisan effort to remove the TEL amendment from the November ballot as a constitutional amendment, but the modified TEL (SB 321) would still cap spending on the state’s General Revenue Fund. Mr. Schorgl added that the jury is still out on the legalities of legislative enforcement with the modified TEL amendment. Mr. McGovern cautioned Board members that libraries could be indirectly affected by state level spending caps if state legislators shift state expenditures from the state’s General Revenue Fund to the local government fund (LLGSF).
A. Financial Statements
Mr. Piskac reviewed the May 2006 revenue and expenditure financial statements and reported the library received $2,746,113.70 ($2,737,192.17 - 2005), which is $8,921.53 higher than 2005 after interfund revenue is subtracted. He commented that the State Income Tax and Personal Property revenue is the same as 2005 and Real Estate Property Tax revenue is in line with last year. In addition, Mr. Piskac commented that he received notice from the Ohio Library Council that the first of three “hold harmless” payments for Personal Tangible Property from the Ohio Department of Taxation will be disbursed in the near future. He said the hold harmless payments are not additional revenue, but replacement revenue for the Tangible Property tax revenue being phased out by the state. He also said the year-to-date investment revenue was nearly twice the 2005 amount. Next, Mr. Piskac reviewed the summary expenditures statement and reported the library expended $2,730,416.94 ($2,512,086.96 - 2005), which is approximately 8% higher than 2005 after interfund expense is subtracted. He explained that Salaries and Benefits were $83,923.74 more than last year and Supplies were $10,769.09 more than last year. Also, he said that Purchased and Contracted Services were $17,511.09 less than last year and Library Material and Information purchases were $105,024.73 more than last year. In addition, the library spent $35,707.91 more on Capital Outlay than in 2005. Mr. Piskac said the purchase of the library truck and public computer workstations were the reason for the increased Capital Outlay during 2006. He said even though the library has spent $218,332.98 more this year in comparison to 2005; the library is still within budgetary appropriations. Then, Mr. Piskac reviewed the month-to-date and year-to-date bank reports and reported $304,985.65 of monthly revenue and $590,980.65 of expenditures resulting in an ending bank balance of $1,408,772.27. He also reported year-to-date revenue of $2,493,139.13 and $2,477,442.37 of expenditures resulting in a bank balance of $1,408,772.27. Mr. Piskac said the library’s cash position increased from $1,393,075.51 (beginning of year) to $1,408,772.27 as of May 31, which represents a $15,696.76 increase in net cash. He said the library has not received a Real Property revenue advance recently, which decreased the library’s net cash position. However, the library’s net cash position will increase in July when Real Property advance(s) are received. Next, Mr. Piskac reviewed the Combined Fund Report and reported the General Fund unexpended balance was $1,262,078.13 and the unencumbered balance was ($ 216,071.75) which is due to $1,478,149.88 of encumbrances. He said the total encumbrances include a recent $131,000 purchase order for the new carpeting at Main. He reported the unexpended balance for all funds was $1,408,772.27 and the unencumbered balance for all funds was ($75,812.61). Lastly, Mr. Piskac reviewed the May 2006 investment report and reported the ending investment balance is $1,356,472.06. He commented that the balance in the Star Ohio Building Fund was transferred to the Star Main account and was used towards the annual City lease/bond renovation note repayment. He also said the cell tower revenue is accumulated in the Star Ohio Building Fund every month and transferred to the Star Ohio Main account in May each year until the City lease/bond renovation note is repaid.
Mr. Piskac recommended the Board of Trustees approve the May 31, 2006 financial statements as submitted.
2006-50 Mr. Schorgl moved and Mrs. Karon seconded the motion to accept the May 31, 2006 financial statements.
Roll Call: Ayes: Mrs. Karon, Mr. McGovern, Mr. Miller, Mr. Schorgl, Mrs. Shatten, Dr. Whyte
Nays: None. Motion carried.
B. Cleveland Foundation Financial Report
Mr. Piskac reported the Shaker Heights – Cleveland Foundation balance ending March 31, 2006 is $174,726.14 and the amount of income available for use by the library is $27,966.
Special Report – Local History Collection
Mrs. Hays provided a comprehensive overview of the services offered by the Local History Department of the library.
Director’s Report
A. Written Report
New Business
A. Collection Agency Proposal
Mr. Dickinson presented a proposal from Unique Management Services, Inc. for collection of delinquent library materials. Mr. Dickinson said the library currently sends delinquent notices but does not actively pursue delinquent patrons. Mr. Dickinson said Unique Management Services would pursue delinquent accounts of $25 or more in materials. He said that Unique Management Services is used by area libraries and is effective. Mr. McGovern asked how significant the problem of delinquent materials is. Mr. Pulver responded that over an eight year period there are approximately 5,000 outstanding cardholders with at least $30 in overdue material(s). Dr. Whyte inquired about the guidelines in determining when an item is considered lost? Mr. Pulver said after six weeks, an item is considered lost and noted on the cardholder’s account. Mr. McGovern asked what tactics are currently used by the library? Mr. Pulver said the Circulation Department sends the patron a delinquent notice. Mr. Miller asked Mr. Dickinson about pricing issues and Mr. Dickinson said the cost of the collection effort is passed on to the delinquent patron so there is no cost to the library for using the service. Mrs. Shatten asked Mr. Dickinson how long the company has been in business. Mr. Dickinson said about ten years. Mrs. Karon asked Mr. Dickinson about how many notices would a patron receive? Mr. Dickinson said the library could set up any type of notice schedule with Unique Management Services. Dr. Whyte asked if late fees would continue after an item was reported missing. Mr. Dickinson said late fees stop after the cardholder reports an item missing or the item maximum has been reached. Mr. Schorgl asked about an escape clause in the contractual terms with using the company. Mr. Dickinson said the library would merely stop sending delinquent accounts to them. Mr. Dickinson also commented that approximately 2/3 of all delinquent material cardholders live outside the Shaker Heights area.
Mr. Dickinson recommended the Board of Trustees approve the use of Unique Management Services for the collection of delinquent library materials over $25 per cardholder.
2006-51 Mr. Schorgl moved and Mrs. Shatten seconded the motion to approve the use of Unique Management Services for the collection of delinquent library materials over $25 per cardholder.
Roll Call: Ayes: Mrs. Karon, Mr. McGovern, Mr. Miller, Mr. Schorgl, Mrs. Shatten, Dr. Whyte
Nays: None. Motion carried.
B. Gifts to be accepted and appropriated to the designated funds
Marilyn Kammer Memorial Fund (209-6510)
Randy Kammer
In memory of Mike Brenner, $100.00
Mary Jane Gabardi, and Anita Rodgers
In memory of Joan Veach Dillon $25.00
2006-52 Dr. Whyte moved and Mrs. Karon seconded the motion to accept and appropriate the above gifts.
Roll Call: Ayes: Mrs. Karon, Mr. McGovern, Mr. Miller, Mr. Schorgl, Mrs. Shatten,
Dr. Whyte
Nays: None. Motion carried.
C. Personnel Actions
Mr. Dickinson presented a request from Ms. Rosemary Nugent to transfer 170 hours of accumulated sick time from CAMLS to Shaker Heights Public Library. After discussion, Board members tabled the request and advised Mr. Dickinson to develop a policy to handle these types of employee requests.
None
Announcements
The next regular Board meeting is scheduled for September 11 in the Main Library Boardroom at 6:30 p.m.
Adjournment
There being no further business, Mr. McGovern moved and board members unanimously agreed to adjourn the regular board meeting at 7:55 p.m.
_______________________________________
Ken McGovern, President
_______________________________________
David D. Piskac, Clerk-Treasurer
_______________________________________
Donna Whyte, Secretary