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HomeMy WebLinkAboutPackets - Council Packets (731) AGENDA ORO VALLEY TOWN COUNCIL STUDY SESSION APRIL 8, 2009 ORO VALLEY TOWN COUNCIL CHAMBERS 11000 N. LA CANADA DRIVE STUDY SESSION - AT OR AFTER 5:30 p.m. CALL TO ORDER ROLL CALL 1. Oro Valley Public Library Review Committee - Status Report to Council BUDGET STUDY SESSION 1. Magistrate Court 2. Oro Valley Water Utility 3. Administrative Departments a) Information Technology b) Human Resources c) Finance d) Town Manager e) General Administration & Debt Service fl Town Clerk g) Economic Development h) Town Council i) Legal ADJOURNMENT POSTED: 04 01 09 4:00 p.m. ejk The Town of Oro Valley complies with the Americans with Disabilities Act (ADA). If any person with a disability needs any type of accommodation, please notify the Town Clerk's Office at (520)229-4700. TOWN OF ORO VALLEY Page 1 of 1 COUNCIL COMMUNICATION MEETING DATE: 04/08/09 TO: HONORABLE MAYOR AND COUNCIL FROM: JERENE WATSON, ASSISTANT TOWN MANAGER SUBJECT: Status Report from Oro Valley Public Library Review Committee SUMMARY: On February 4, 2009, the Town Council appointed a citizen review committee charged to look into Library operations for potential cost savings.. The committee was asked to review the past and current Intergovernmental Agreements (IGA) with Pima County on library operations and the cost: land and facility ownership; shared costs negotiated; library district funding and new funding mechanisms; in-person library services v. virtual services and trends; and other potential cost-saving actions. The committee was given until mid June to study and develop recommendations for Council consideration. DISCUSSION: The Committee has met every other week since February 9th has covered and will be covering the topics which are listed in the Scope of Work Schedule. This schedule, along with agendas and minutes from meetings held, are found in Exhibit A. To this point, the committee has been in their fact finding phase with invited guests presenting on requested topics, committee member reporting on the results of interviews and field trips, and additional benchmark and regional, state and national data has been developed by Town staff for the committee. This detail is available in the master binder for Council review at any time requested. As part of the charge, the committee was asked to bring back a status report on April 8 to the Council which will be presented tonight by Committee Chair Doug McKee assisted by Vice Chair Jayne Kuennemeier or other members of the committee. This report is provided for information only. ATTACHMENTS: Exhibit A, Scope of Work Schedule, Agendas and Minutes from meetings held February 9 through April 6, 2009. 4-A-14".-- erene Watson, Assistant Town Manager ad\14".., David Andrews, Town Manager EXHIBIT A Library Review Committee's Scope of Work PHASE I - FACT FINDING/RESEARCH WEEK 2 (Feb. 23) TOPIC PROPOSED PRESENTERS 1. Differences between Branch and Affiliates Dick Johnson, Jayne Kuennemeier a. Why was OV originally set up as an affiliate? b. The Professionals perspective Nancy Ledeboer, Jane Peterson c. The Users perspective 2. Pima County Branch performance vs National and State Averages Nancy Ledeboer a. Before District take over b. After District take over c. Before and After Total cost of operating the Tucson/County Branch libraries including the Tucson cash payments after turnover 3. OV Affiliate vs Pima County Branches Nancy Ledeboer, Jane Peterson a. Youth services b. Adult services c. Technology d. Administration WEEK 3 (Mar. 9) 4. Key features of the Tucson turnover IGA Tobin Rosen, Nancy Ledeboer a. Guiding principles b. Scope of the IGA— For the 11 libraries located within the city limits of Tucson. c. Was there another IGA covering the other libraries outside the Tucson city limits; e.g. Nanini? What were the terms of that prior to and after the take over? Was Tucson reimbursed 100% for their operating costs? d. Tucson payments to County e. Rental v ownership of buildings f. Maintenance of buildings and grounds, parking lot g. Employee transfers h. Local City control i. Service guarantees 5. County Free Library District Powers & Responsibilities Tobin Rosen, Nancy Ledeboer & Ann Day a. Guiding principles/objectives b. Status of the Sells (Venito Garcia), Tohona O'Odham Nation and Tucson (Pasqua-Yaqui) Tribal Libraries c. Tucson-Pima Library Board i. Does it still exist ii. How are members selected iii. Does OV have a member? If not would this change? iv. What is the Board's responsibility and authority? v. If it is only an advisory board, are their recommendations frequently overridden by the District Board of Directors? d. District Board of Directors Tobin Rosen, Nancy Ledeboer i. How are members selected? Or is it just the Board of Supervisors? ii. Responsibility/Authority TOPIC PROPOSED PRESENTERS 1 of 4 Library Review Committee's Scope of Work e. Taxing power/limits f. Can the Library District issue revenue bonds for capital improvements without voter approval like the Fire Districts do? If so, why hasn't it done so instead of using the larger county bond issues which required voter approval? 6. Pima Library Foundation Nancy Ledeboer a. Role in managing the libraries b. Financial support — how much? WEEK 4 (Mar. 23) 7. What is total real net cost (cash flow) after county reimbursements Stacey Lemos to Town to continue under current IGA?\ 8. What is cost to OV residents of the County Library District? a. Actuals - 1986-2008 behind Tab 6 in the Notebook b. Anticipated over next 5 years Nancy Ledeboer i. If there is no change in the OV Library IGA ii. If Library District absorbs full cost of operating OV Library including remaining bond payoffs and at the current levels of service 9. What is County rationale for not reimbursing OV's full costs? Nancy Ledeboer, Ann Day and possibly other Supervisors a. How can the County's rationale be changed? b. If the County's rationale cannot be changed, does that imply that if the County takes over, it will reduce staff and other services to the same net cost to the Library District that it is now incurring with the IGA reimbursements? WEEK 5 (Apr. 6) 10. What cost saving measures can be taken to reduce the Net cost to OV? Jane Peterson under the current IGA? Stacey Lemos 11. If County takes over, what will change? Nancy Ledeboer, Jane Peterson a. Staffing levels b. Programs c. Technology d. Administration e. Friends of The Library 12. If County takes over, under what terms? Nancy Ledeboer or Attorney a. Who will own the building — now 50-50 shared Tobin Rosen b. Who will pay for building and grounds maintenance? c. How much annual rent? d. What is cost to terminate/renegotiate the current IGA? e. Other costs? f. Guaranteed staffing level? g. Friends of The Library h. Degree of local OV control? Status Report to Council April 8, 2009 WEEK 6 (Apr. 20) TOPIC PROPOSED PRESENTERS 2 of 4 Library Review Committee's Scope of Work 13. How important is belonging to the County System? Nancy Ledeboer a. The Internet access Jane Peterson b. Reservations and Sharing c. Purchasing power d. Other 14. What are the disadvantages to belonging to the County System? Nancy Ledeboer Jane Peterson 15. Could the OV Library function effectively without belonging to the Jane Peterson County System? a. Added costs? b. Impact on service c. Availability of books, etc d. Time to get a book that is not in the OV collection WEEK 7 (May 4) 16. Net total cost (annual cash flow) for all alternatives? Stacy Lemos a. Current IGA with identified cost savings b. Re-negotiated IGA i. Eliminate or greatly increase reimbursement limits to common sense levels. ii. Reinstate items now not reimbursable c. Deliberations on turn over to County under terms analogous to Tucson's turnover d. Deliberations on turn over to County under OV's terms i. County transfers their 50% interest in the building to the Town and Town rents building to County for 25 years at $1/year. ii. Alternatively, Town transfers our 50% interest in the building to the County and County takes over the remaining bond debt. Land ownership remains with the Town. Town rents land for 25 years at $1/year iii. County takes over full cost of maintenance of building, grounds, exterior art work and parking lot iv. Town retains road from Naranja and maintenance, grants easement to County for access. v. Town makes no payments to County. No termination payments. Renegotiated IGA, not a terminated IGA. vi. Employee transfers — same as Tucson turnover vii. County agrees to buy IT service from OV for support of OV library viii. County guarantees Friends of Library continued floor space to existing location and square footage being used for the Book Shoppe e. Go it alone by getting Statutes Changed Tobin Rosen i. Withdraw from Library District and become exempt Jerene Watson from District tax State Legislator? ii. Eliminate City tax limits for library iii. Strategy for achieving the changes iv. Probability of success and timing WEEK 8 (May 18) Phase II - Develop a Recommendation All Committee Members WEEK 9 (Jun. 2-5) May 31 is Memorial Day 3 of 4 Library Review Committee's Scope of Work Phase III - Prepare Final Report All Committee Members WEEK 10 (Jun. 8-12) Phase IV Communicate Results All Committee Members PRESENTATION June 17, 2009 with recommendations After June 17, 2009: Present to and/or discuss with Pima Library District Board of Directors?? 4 of 4 Oro Valley Public Library Review Committee Formative Meeting Kachina Conference Room (in Administration Building) 5:30 — 7 p.m. February 9, 2009 AGENDA 5:30 — 6:00 Welcome: Jerene Watson • Introductions of staff to committee • Introductions of committee members • Review of the Agenda 6:00 — 6:10 Work of the Committee: Jerene Watson • Review of the Committee Charge • Review of binders & materials distributed • Committee member backgrounds review 6:10 — 6:30 Election of Committee Chair and Vice-Chair Tobin Rosen (Refer to background information hand-out) 6:30 — 6:50 Discussion on Work of the Committee: Committee Chair • Do you want subcommittees & assignments • How to delegate o Homework assignments all? o Subcommittee assignments and reports? o Other? 6:50 — 7:00 Housekeeping: Committee Chair • Discussion of frequency of meetings • Selection of standing meeting date, times and location 7:00 p.m. Adjourn • �o�P�1.EY °UNDED 191 Oro Valley Public Library (OVPL) Review Committee Meeting Action Minutes from February 9, 2009 (5:30 p.m.) Town of Oro Valley—Admin Bldg—Kachina CR Attendees: Sharla Darby, Wheeler Taft Abbet Branch Library Manager Mary Kim Dodson, OVPL Librarian Alistair Innes, Committee Member Joseph"J.R." Johnson, Committee Member Nancy Ledeboer, Pima County Library Director Jayne Kuennemeier, Committee Member Doug McKee, Committee Member Susan Mears, Committee Member John Musolf, Committee Member Kathy Pastryk, Committee Member Jane Peterson, OVPL Administrator Clarence "Gene"Riser, Committee Member Jerene Watson, Assistant Town Manager Tobin Rosen, Town Attorney Stacey Lemos, Finance Director Arinda Asper, Recording Secretary Members of the Public in Attendance: Bill Adler Discussion Points • Committee members and staff introductions • Ms. Watson reviewed the agenda, presented the charge to the committee, and reviewed and discussed select portions of the OVPL Review Committee binder. • Mr. Rosen discussed Open Meeting Law and Conflict of Interest, explained how these topics apply to this committee, provided guidance to the committee members so that they know how to comply with these laws, and answered specific relevant questions posed by committee members. • Ms. Watson explained that the committee was to present a status report to Town Council by April 8, 2009, and a final report by June 30, 2009. • Mr. Rosen guided the committee through the election of Chair and Vice-Chair. • Committee members posed questions to the Chair and Vice-Chair candidates, and committee members engaged in discussion relevant to their decision. ACTION: Doug McKee was elected Chair; Jayne Kuennemeier was elected Vice-Chair. • Committee discussed the need for a comparison between the Pima County and Town of Oro Valley Library systems. • Committee requested that Dick Johnson be invited to speak on the history of the library and why the library was an affiliate of Pima County Library System. • Committee member Innes discussed his fact-finding interview, and indicated he would provide his list of questions for the committee to use as a guide. • Committee discussed the alternatives of forming subcommittees or making assignments, and it was agreed that assignments were preferable, where two to four members would work on an assignment together and report on their progress as they move through the process. It was further decided that sub-committees would be considered on a topic-by- topic basis. • Committee discussed whether fact-finding by interviews or fact-finding by library staff presentations was best course of action, and it was decided that a four-person fact-finding interview assignment would be made. The four persons assigned were Mr. Musolf, Ms. Kuennemeier, Mr. Innes, and Ms. Pastryk; they will conduct interviews and report back to the committee. • Committee decided that meetings would be held on Mondays, from 5:30 p.m. to 7:30 p.m., beginning on February 23, 2009. Next Meeting • Monday, February 23, 2009 @ 5:30 p.m. —Town Of OroValley (Kachina CR) Adjourn • Meeting adjourned at 7:19 p.m. Oro Valley Public Library Review Committee Kachina Conference Room February 23, 2009 5:30 — 8 p.m. AGENDA 1. Call to Order/ Roll Call Doug McKee 2. Review of Minutes Doug McKee 3. Distribution of Additional Materials Jerene Watson 4. Process of Committee Administration Doug / Jerene • Procedures For Requesting Information • Pre-meeting Distribution of Agenda, minutes and other materials • How to distribute • When 5. Differences between Branch and Affiliates Dick Johnson & • Why was OV originally set up as an affiliate? Jayne Kuennemeier • The Librarian Professionals' perspective Nancy Ledeboer & Jane Peterson • The Users perspective 6. Pima County Branch performance v National & State Averages Nancy Ledeboer • Before District take over • After District take over • Before and After Total cost of operating Tucson/County Branch libraries(incl. Tucson cash payments after turnover) 7. OV Affiliate v Pima County Branches Nancy Ledeboer • Youth services Jane Peterson • Adult services • Technology • Administration • Interview results Alister Innes, John Musolf, Kathy Pastryk & Jane Kuennemeier 8. Draft of Committee's Scope of Work Doug McKee • Discussion, Suggestions, Changes 9. Future Agenda Items — Next Meeting Doug McKee • Items 4-6 of the Scope of Work • Other 10. Wrap Up Doug McKee • Next Meeting Date • Public participation — Post Meeting dates, Vista, Other Doug McKee • Adjourn ACTION SUMMARY TOWN OF ORO VALLEY ORO VALLEY PUBLIC LIBRARY (OVPL) REVIEW COMMITTEE MEETING REGULAR SESSION FEBRUARY 23, 2009 KACHINA CONFERENCE ROOM 11000 N. LA CANADA DRIVE REGULAR SESSION AT OR AFTER 5:30 PM CALL TO ORDER ROLL CALL Attendees: Sharla Darby, Wheeler Taft Abbet Branch Library Manager Alistair Innes, Committee Member (Voting Member) Mary Kim Dodson, OVPL Librarian Joseph "J.R." Johnson, Committee Member (Voting Member) Nancy Ledeboer, Pima County Library Director Jayne Kuennemeier, Committee Co-Chair (Voting Member) Doug McKee, Committee Chair (Voting Member) Susan Mears, Committee Member (Voting Member) John Musolf, Committee Member (Voting Member) Kathy Pastryk, Committee Member (Voting Member) Jane Peterson, OVPL Administrator Clarence "Gene" Riser, Committee Member (Voting Member) Joy Nelson, Committee Member (Voting Member) Jan Norbury, Committee Member (Alternate Voting Member) Jerene Watson, Assistant Town Manager (joined meeting in progress) Tobin Rosen, Town Attorney Arinda Asper, Recording Secretary Guest Speaker: Dick Johnson Public Attendees: Brenda Erickson, Don Kirk, Jinks Kirk Discussion Points • ACTION: Minutes from February 9, 2009 meeting were approved, with request that next minutes list the voting members of the committee. • Joy Nelson (voting member) and Jan Norbury (alternate voting member), representing the Green Valley Library, introduced themselves. • Committee members were reminded to send any email or materials to Jerene Watson or Arinda Asper for dissemination (via email or at meetings) to the committee. • Co-Chair J. Kuennemeier and Guest speaker Dick Johnson provided an in-depth narration of the Library's history. • At the request of Chair McKee, guest speaker Dick Johnson elaborated on the benefits of retaining the Library under Town control. 02/23/09 Minutes, Oro Valley Public Library Review Committee 2 • N. Ledeboer provided additional perspective based on her analysis of the IGAs. • Committee members posed questions to Mr. Johnson. • Committee held extensive discussion about the differences and similarities between the TOV and Pima County Libraries. • Committee discussed the difference between a Library branch and affiliate. • Committee learned about Pima County's Collection Development Team, and how Oro Valley can, but is not required, to use that resource when making purchases. • Committee learned how City of Tucson and Pima county funding was affected when Pima County took over the Library system. • Mr. Rosen explained that State law limits a municipality's ability to assess Library taxes, and also pointed out that enactment of an additional property tax in Oro Valley would be unlikely. • Mr. Musolf, Ms. Kuennemeier, Mr. Innes and Ms. Pastryk each reported on their interview assignment findings. Each report included both positive and negative evaluations of the Pima County Library system. • Committee discussed the one consistent complaint that building maintenance had suffered following the City to County library transfer. It was further agreed that if the Town's library was integrated into the County system, the County could contract with the Town for building maintenance, in a manner similar to the County's current agreement concerning two libraries who are on City of Tucson property • Committee discussed the option of inviting one of the Board of Supervisors (specifically, Ann Day) to speak about the Library's future. Committee chose to table this discussion. • Additional materials, provided by committee members, will be disseminated at the next meeting. Next Meeting • Monday, March 9, 2009 @ 5:30 p.m. — Town Of Oro Valley (Kachina CR) Adjournment • J. Kuennemeier moved to adjourn, G. Riser seconded the motion, and meeting adjourned at 8:41 p.m. Prepared by: Arinda Asper Senior Office Specialist Oro Valley Public Library Review Committee Kachina Conference Room March 9, 2009 5:30 — 8:30 p.m. AGENDA 1. Call to Order / Roll Call Doug McKee 2. Review of Minutes Doug McKee 3. Distribution of Additional Materials Tobin Rosen 4. Friends of the Libraries Doug Forester a. Green Valley Friends Joy Nelson b. Oro Valley Friends Alistair lnnes 5. Key Features of the Tucson Turnover IGA Tobin Rosen, Nancy Ledeboer 6. County Free Library District Powers & Responsibilities Tobin Rosen Nancy Ledeboer 7. Pima County Foundation Nancy Ledeboer 8. What Other Counties Are Doing Doug McKee 9. Future Agenda Items — Next Meeting Doug McKee • Items 7-9 of the Scope of Work 10.Wrap Up Doug McKee • Next Meeting Date • Adjourn • ACTION SUMMARY TOWN OF ORO VALLEY ORO VALLEY PUBLIC LIBRARY (OVPL) REVIEW COMMITTEE MEETING REGULAR SESSION MARCH 9, 2009 KACHINA CONFERENCE ROOM 11000 N. LA CANADA DRIVE REGULAR SESSION AT OR AFTER 5:30 PM CALL TO ORDER ROLL CALL Attendees: Sharla Darby, Wheeler Taft Abbet Branch Library Manager Mary Kim Dodson, OVPL Librarian Alistair Innes, Committee Member Joseph "J.R." Johnson, Committee Member Jayne Kuennemeier, Committee Co-Chair Nancy Ledeboer, Pima County Library Director Doug McKee, Committee Chair Susan Mears, Committee Member John Musolf, Committee Member Kathy Pastryk, Committee Member Jane Peterson, OVPL Administrator Clarence "Gene" Riser, Committee Member Tobin Rosen, Town Attorney Arinda Asper, Recording Secretary Guest Speaker: Doug Forester, OV Friends Treasurer/Library Volunteer of the Year Public Attendees: Bill Adler Discussion Points • ACTION: February 23, 2009 meeting minutes were approved with no changes. • Materials provided by, or at the request of, committee members were distributed. • The Green Valley Friends will give a report at the next meeting. • Guest Speaker Doug Forester, OV Friends Treasurer, presented a written report to the committee, elaborated on his report, and answered committee members' questions. • OVPL has two types of volunteers. Ninety are OV Friends volunteers, who work in book sales, in the bookshop, and who facilitate the OV Friends' donation funding. The OVPL has approximately 100 volunteers who perform various tasks in the library and are managed by the Library's volunteer coordinator. • Ms. Ledeboer explained that except for the Metro Friends (who are more organized, have their own building, have a paid warehouse manager), money donated to the libraries is for programs and not for operational expenses. The Library Friends activities are not monitored or managed by Pima County or the Library District. • OVPL staff explained their collection development process, comparing purchase of books from both Amazon.com and Baker & Taylor. • OVPL does not have an adequate budget for book purchases, and the OV Friends' donations supplement that budget. • Ms. Lemos answered questions about how the OV Friends donations are accounted for in the TOV financial system, in a deposit payable account. • Mr. Rosen explained that a written agreement between the Town and a non-profit is not necessary in order to have the non-profit donate money to the OVPL. Ms. Kuennemeier 03/09/09 Minutes, Oro Valley Public Library Review Committee 2 explained that a past TOV Resolution acknowledged the existence of the OV Friends non-profit and that they would be donating money to the Library. • Ms. Mears shared her concern about some non-objective language contained on the Oro Valley Friends website, and said that she felt it was be beneficial to look on the committee's assignment with an open mind, and based more on fact than on emotion. • In response to a question about what should be included in future IGAs, Mr. Forester said he could not answer that question. Mr. Rosen said that serious concerns could be included in an IGA. Mr. Innes offered important points that should be included in IGAs. • Mr. Rosen discussed the key features of the turnover IGA and subsequent lease agreement that was drafted to address details. Ms. Ledeboer contributed to the explanation of the process that took place when the IGA was signed. • Ms. Ledeboer offered insight of how the 2.5% reduction in the County's budget has affected the libraries, and explained how the future IT upgrade would affect the OVPL. • Mr. Rosen explained the Library District's powers and responsibilities and referred to the copies of relevant State statutes, including the statute that allows cities or towns to assess a tax to help maintain a library. • The Pima County Board of Supervisors acts as the Library District Board and sets the budget, the tax rate and approves policies. The next Board meeting is on March 16th, and OVPL Review Committee members are invited to attend. The Library District Board is not to be confused with the Library Advisory Board, which is a different entity. invited to attend. • Library bonds can be issued, but it is usual County strategy to package bonds. • Pima County has the right to rename libraries; this could be an issue with the OVPL. Ms. Ledeboer said that renaming of libraries, a sensitive issue, has been done jointly with the affected jurisdiction. An IGA could include a provision that the library not be renamed. • Ms. Ledeboer gave an explanation of the purpose and history of the 12-person board Pima County Foundation, which is separate from the Friends' non-profits. • Mr. McKee reported on what other counties are doing, and offered spreadsheets to explain his research. • The OVPL cannot charge a fee to Pima County residents who use the OVPL. • Future Agenda Items: o Internet Filtering System —A suggestion was made to have J. Peterson ask K. Verville to address this issue. o Change of items from March 23 and April 6 dates to accommodate staff who have a meeting conflict on April 6. Next Meeting • Monday, March 23, 2009 @ 5:30 p.m. —Town Of Oro Valley (Kachina CR) Adjournment • A motion was made, and seconded, to adjourn. Meeting adjourned at 8:03 p.m. Prepared by: Arinda Asper Senior Office Specialist Oro Valley Public Library Review Committee Hopi Conference Room March 23, 2009 5:30 — 8:30 p.m. AGENDA 1. Call to Order/ Roll Call Doug McKee 2. Review of Minutes Doug McKee 3. Questions on materials distributed at prior meetings 4. Distribution of Additional Materials 5. Library Advisory Board presentation Marjorie Gerdes 6. Computer Filtering/IT Differences Jane Peterson Kevin Verville 7. Green Valley Friends of Library Joy Nelson 8. What is Real Net Cost (cash flow) after County Reimbursement to Town to continue under current IGA Stacey Lemos 9. What is cost to OV residents (Property Taxes) of the Stacey Lemos County Library District a. Actuals (1986-2008) - behind tab 6 in notebook b. Anticipated over next 5 years i. If there is no change in OV Library IGA ii. If Library District absorbs full cost of operating OV Library including remaining bond payoffs and at current levels of service 10.What cost savings measures can be taken to reduce Stacey Lemos the Net cost to OV under the current IGA Jane Peterson a. RFID b. Other 11.Other Revenue Possibilities — if no change in the IGA Stacy Lemos a. Increase Sales tax — How much of an increase would be needed? b. Other? 12.Future Agenda Items — Next Meeting Doug McKee a. Guiding Principles - Come prepared to discuss, modify and approve at the next meeting i. Maintain Level of Service ii. Maintain sense of ownership by volunteers, Friends of the Library and users iii. Continue use of the System Wide Collections iv. Maintain availability of library for all County as well as OV residents v. Provide a funding mechanism which 1. Is reliable and adequate for providing a library at levels of service which meet, at a minimum, the national norms 2. Minimizes the impact on Oro Valley Town expenses 3. Not subject to political whims 4. Is considered by Oro Valley residents to be a `fair" return of their property taxes collected by the County Library District S. Provides a funding mechanism for future expansion if OV annexes Arroyo Grande b. Definition of Alternatives i. Continue under current IGA ii. Renegotiate IGA 1. Everyone come prepared at the next meeting with thoughts about what the minimum objectives of this renegotiation should achieve iii. Turn Over To County 1. Everyone come prepared at the next meeting with thoughts about what would be minimum acceptable terms for OV 2. Also come prepared with thoughts on what the major impacts on users may or would be. iv. Go it alone 1. With State Law Changes 2. Without State Law Change v. Other c. Status Report To Council d. Other 13.Wrap Up Doug McKee • Next Meeting Date • Adjourn ACTION SUMMARY TOWN OF ORO VALLEY ORO VALLEY PUBLIC LIBRARY (OVPL) REVIEW COMMITTEE MEETING REGULAR SESSION MARCH 23, 2009 HOPI CONFERENCE ROOM 11000 N. LA CANADA DRIVE REGULAR SESSION AT OR AFTER 5:30 PM CALL TO ORDER ROLL CALL Attendees: Sharla Darby, Wheeler Taft Abbet Branch Library Manager Mary Kim Dodson, OVPL Librarian Alisdair Innes, Committee Member Joseph "J.R." Johnson, Committee Member Jayne Kuennemeier, Committee Co-Chair Nancy Ledeboer, Pima County Library Director Doug McKee, Committee Chair Joy Nelson, Committee Member Susan Mears, Committee Member John Musolf, Committee Member Kathy Pastryk, Committee Member (arrived at 6:15 p.m.) Jane Peterson, OVPL Administrator Clarence "Gene" Riser, Committee Member Jerene Watson, Assistant Town Manager Stacey Lemos, Finance Director Tobin Rosen, Town Attorney Arinda Asper, Recording Secretary Guest Speakers: Marjorie Gerdes, Pima County Library Advisory Board Cat Strong, OVPL Technology Librarian Kevin Verville, Information Technology Director Public Attendees: Bill Adler, Bob Delaney Discussion Points o ACTION: March 9, 2009 meeting minutes were approved with the following correction: the Pima County Board of Supervisors acts as the Library District Board, and sets the budget, the tax rate and approves policies. The Library District Board is not to be confused with the Library Advisory Board, which is a different entity. o Ms. Gerdes, who has been with the OVPL Friends since their inception, gave an overview of the Pima County Library Advisory Board, explained the Board's purpose, composition and philosophy, and answered questions. o Mr. Verville gave a PowerPoint presentation titled OVPL Library Technology Snapshot, identifying minor areas of distinction technologically between PCPL and OVPL, and answered questions. o Ms. Strong gave a PowerPoint presentation on Web 2.0 and Library 2.0 concepts, identifying minor areas of different usages between PCPL and OVPL, and answered questions. 03/23/09 Minutes, Oro Valley Public Library Review Committee 2 o Ms. Nelson gave an overview of the Green Valley Friends of Library, explained their programs, processes, and history, and answered questions. o Ms. Lemos gave a presentation (with accompanying materials) on the following topics: ■ Cost to OV residents of the County Library District ■ Cost savings measures that can be taken to reduce the Net cost to OV under the current IGA ■ Other revenue possibilities o Mr. Adler, who had requested to address the committee, offered his viewpoint on the potential transfer of the library to Pima County. He agrees with Mr. Doug Forester (Treasurer for Friends of the OVPL who spoke at the last meeting) in that the community likes things as they are, but differs with some in the community in that he is willing to pay for it and is in favor of the increased utility tax. He further recommended the utility tax be doubled, with the increased revenues earmarked for the library. o Ms. Peterson elaborated on the cost savings measures recently taken by the Library which were outlined in an email distributed to the committee. She reported that a suggestion had been received to ask Pima County for 100% reimbursement of costs to operate OVPL, more than covered by the library tax, and also suggested that the County give OVPL more leeway to maintain the sense of community. o Ms. Watson explained the suggestion to go to the entire Board of Supervisors was for the purpose of asking decision makers who have the authority to act to respond to their constituency. She also reminded the committee that the status report to Town Council was soon approaching. o Mr. Musolf identified 10-12 things that he has financial questions about, and agreed to meet independently with Ms. Peterson and Ms. Lemos. o The following Future Agenda Items were discussed: ■ HR evaluation ■ Economic Development goals ■ Guiding Principles ■ Performance measures from comparably-sized towns and larger municipalities ■ Budget in guiding principles ■ Exact questions that Town Council asked Next Meeting • Monday, April 6, 2009 @ 5:30 p.m. —Town Of Oro Valley (Hopi CR) Adjournment • A motion was made, and seconded, to adjourn. Meeting adjourned at 8:17 p.m. Prepared by: Arinda Asper Senior Office Specialist Oro Valley Public Library Review Committee Hopi Conference Room April 6, 2009 5:30 — 8:30 p.m. AGENDA 1. Call to order/Roll Call 2. Review of Minutes 3. Distribution of additional material 4. Library Service Levels a. How defined b. Comparisons 5. Guiding Principles a. Financial i. For Town ii. For OV Residents b. Other 6. Definition of Alternates a. Continue with only minor cost improvements b. Continue with a new source of dedicated revenue to eliminate/reduce negative impact on Town's General Fund c. Renegotiate IGA to increase reimbursements to 100% of operating expense i. Reasons County should do this ii. Reasons County will not want to do this iii. Who are the real County decision influencers, decision makers iv. Reasons why OV wants to maintain "Affiliate" Status v. Non-reimbursable expenses vi. Impact on Library District Tax Rate d. Turn over to County i. Under what terms 1. Employees 2. Bldg 3. Parking Lot 4. Road from Naranja 5. Outside Art Work 6. Friends 7. Collections 8. Town owned electronics hardware/software 9. IT Support 10.Maintenance support 11. No payments to County 12.Advisory Board — at least one OV representative 13. Name of Library 14. Impact on Library District Tax Rate e. Go It Alone — with no State Law changes f. Go It Alone — with change in State Law to allow Cities and Towns to set a separate library district without being taxed by County District. 7. Future Agenda Items 8. Next Meeting Date 9. Adjourn Meetings • 5 Meetings so far Library Review Committee • 1St was organizational Interim Status Report 4-8-09 • All meetings well attended • Good Participation • Good cooperation from all who have been asked to supply information • Wealth of info provided is overwhelming t 2 What We Have Learned Key State Statutes • Financials 1. Impossible to avoid Library District Tax 2. County Lib District is a political taxing subdivision with • Better Understanding of Branch Libraries all the powers,privileges of a City or Town • Differences between Affiliate and Branches 3. District SHALL levy a tax sufficient to pay all expenses of the District. But the SHALL has never been • County performance after take over of Tucson's challenged/tested. Libraries 4. District tax is a secondary tax-thus no limit on yearly increases,but Supervisors are prone to apply primary • Friends of the Library limits which is in conflict with item 4. • Library Advisory Board 5. Allows a Town to have property tax for Library use. 1 But limits amount to 1.5 mills(approx$1 million). For -Each Supervisor appoints two people comparison,Lib District Rate for 2008 was 3.393 mills -Has little input to Budget 2 But would Voters approve?7?? 3 4 An OV Financial Problem OV Library Tax, Op Cost, Reimbursements • $700,000 of OV General Fund needed to supplement — — County District Funding Because: - County only reimburses lesser of 50%of 94%of cost to operate or$613,944 2500000 --- - — . _ - - $178,000/yr from General Fund for next 4 years to finish paying 2000000 off OV Construction Bonds -+-oV lb Prop Tax • OV Property Owners pay property tax to County Library 1500000 — OV LI,Op Cost District nearly twice what it costs in total to operate the �� -FCFLDRertb Library and about 4 times the amount of District reimbursement 500000 u- • OV Property Owners also pay property tax to pay off o County Bonds which included$to build the Library 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 5 6 1 Library Impact on General Fund & Property Reimbursements Owners—08/09 Reimbursable Expense $1,260,385 I Expense Non-Reimbursable 5 7,946 6000% _ Total Cost 1,318,331 so 00% . ___ ..__.- _��..____ ..._ _ Less County Reimbursements 591,783 4000% —i--Reit%d Op Cost ��..._.._.. _4_ __ Net General Fund Impact 726,548 3000% ___.__.. .____._ _.__ ___ -Remo%of OV Tax Debt Repayment/yr for 4 years 178,181 -- 10 00% Total Impact for next 4 years $904,729 000% - -- - - - Direct Impact on Property Owners 2003 2004 2005 2006 200' 2008 2009 2010 2011 2912 2013 OV Prop Tax to County Library District $2,330,000 OV Prop Tax for Library Construction/Expansion 773 included in County Bonds Library Const Funding $(000) Current IGA OV Friends County Total Bonds • Term—5 yr ending June 30, 2012 Land 1996 700 700 -Renewable for another 5 years Original Const 2001 3,255 65 2,000 5,320 • Termination-Specific Requirements& Expansion 2005 62 116 1,100 1,278 Penalties which could be substantial Bond Interest 7777 7777 ?77? • Renegotiation-Silent-No Provisions Total 4,017 181 3,100 7,298 • Reimbursement Lower of 50%of allowable expenses or Land Ownership 100% Max of$617,944(Escalates at 1%/yr) Bldg Ownership 50% 50% Final Debt Pay 7/1/13 ? 9 10 How Other Counties Fund Guiding Principles Their Libraries - FY 2006-2007 • Some City-Some County 12 of 15 1. Reduce/Eliminate Library Impact on General -Total of City Cost reimbursed-5.3% Fund -Tax Rates are low-.050 to.200 2. Restore equity of Library District Tax to All County Funded-3 of 15 Benefits received for OV residents Tax rates-.320 to.570(.570 includes bonds to build 3. Maintain sense of ownership by volunteers, the libraries)Pima's tax rate was.3675 Friends of The Library and Users Maricopa 12 City/7 County Libraries 4. Continue access to County wide collections City Funding$77 million+$0.6 million County 5. Maintain current level of service County-$18 million for 7 Libraries 6. Continue availability of OV Library for all District Tax Rate-0.0507 County as well as OV residents 11 12 2 Key Operational Differences Alternatives Affiliate vs Branch 1. Current IGA+ New Revenue 1. Local Control vs Centralized a. Same tax increases being discussed at Budget 2. How Collection is managed Reviews&Dedicated Library Property Tax 2. Renegotiate IGA for Improved Terms 3. Internet Filtering—Different Software, but 3. Turn over to County functionally very similar 4. Go It Alone with State Law Changes to 4. IT Support eliminate double taxation and allow Town to 5. Maintenance Support establish a Library District 6. Check Out Method—Soon to be same as a. Will require major revision and support from County(RFID vs Bar Code) Maricopa Towns. Time to accomplish could be long b. Will have to buy out County's share of Bldg-$3-4 7. $Amount of Friends Support&Method of million+ handling Friends contributions 13 14 Opportunities For Cost Reduction Key Questions - Renegotiation Are Limited • Convert RFID to County's Bar Code Method 1. Why only 50% for reimbursements • Reduce Hours of Operation—Not a good choice a. Precedent stemming from time when —Branch Libraries have increased Hrs. Tucson operated 10 County and 10 City • Reduce staff and thus programs—goes in wrong Libraries? direction b. No Statutory Requirement • User Fees—Not possible unless County c. County Control? imposes a county wide fee. At best-a minimal revenue source. 15 16 Key Questions - Renegotiation Key Questions — TurnOver 2. Why are some necessary expenses not 1. What will change? allowed for reimbursement? 2. What are minimum acceptable terms? a. Bldg Maintenance 3. Employees b. Janitorial 4. Bldg—Rent or Sell 5. Parking Lot, Road, Landscaping,Art Work c. Parking Lot Maintenance d. Landscaping Service 6. IT&Maintenance Support(Contract to OV??) 7. How to give OV some influence over e. Employee Travel&Training over$2,500 budgeting/policies of the system ($131/employee?) 8. Name of the Library 17 18 3 Summary What's Left To Do • Very strong Community support for Library 1. Define Minimums For each Alternative • OV Service level is equal to or better than 2. Concentrate on an IGA Renegotiation County Branches and Turnover. • Are benefits of Satellite Operation (Local 3. Evaluate Impact On Town, Library Users, Control)worth the$ cost to the General Employees and OV Property Owners Fund (Committee and Public appears to 4. Develop one or more recommendations be split on this) 5. Prepare Final Report 6. Present Final Report to Council June 17 19 20 4 WATER UTILITY BUDGET OUTLINE FY 09-10 1 . Water Utility Funds a. Utility Enterprise Fund b. Potable Water System Development Impact Fee Fund c. Alternative Water Resources Development Impact Fee Fund d. All funded by rates, fees and/or charges for water service e. All three funds are separate from General Fund 2. Utility Enterprise Fund a. Administration i. Majority is Debt Service ii. CAP and CAGRD Payments and obligations iii. Significant decreases in 1 . Outside Professional Services, Travel & Training, Meters 2. Personnel - Decrease due to 1 .5 FTE Reduction a. Instead of Operator 1 — change to Cust Sery Rep 3. Conservation Assistant — half time 4. Programs Impacted a. Decrease in Customer response time b. Billing data evaluation & payment posting delays c. Reduction in Water Audits &Conservation Education b. Engineering & Planning i. Significant decreases in 1 . Outside Professional Services 2. Personnel - Decrease due to 1.0 FTE Reduction a. Construction Inspector 3. Programs Impacted — Field Inspections c. Production & Distribution i. O&M Reductions — 11 .6% and 4.4% 1 . Electric costs, Travel & Training, No new vehicles ii. No FTE Reductions 3. Capital Projects a. Existing System Improvements — WIFA Loan b. Expansion Related Programs — Bond proceeds c. CAP Design — WIFA Loan d. Bond redemption to reduce overall debt service