Date: August 5, 2009

To: Board Finance Committee

From: M. McCathy-Anderson Chair

RE: 2010 city budget options

New direction for the 2010 city budget was received on July 10. I have attached the budget file and included below is a chart outlining the costs related to Option 1. Additional option narratives are provided in priority order below as well.

City Library Budget	2009	2010		2010
		Mayor	Variance	Library	Impact
Current Status	2,733,453	2,699,189		2,699,189
Supplemental Board Funds	37,490		28,587	66,077
Total General Fund	2,705,483	2,699,189		2,765,265 (Option 1)	Hiring freeze - one FTE, deferred facilities maintenance, elimination of paper notices for overdues and holds, cancel 3 databases, additional CIP funding to complete acoustics final phase
Remaining non budgeted Board Funds	18,009			8,820	Designated to acoustics final phase

Option 1: Eliminate 3 databases that have less use when compared to others; delay acoustics project until 2010; supplement 2010 city budget in the additional amount of $28,857 from Board Funds budget for a total of $59,557 for ongoing operational costs.

· Cancel 3 databases: $17,840

· Acoustics project delayed until 2010

o Anticipate 2% cost increase due to delay

o Would reduce amount available for acoustics to $10,000

§ $30,000 plus the 2% increase would be needed from CIP

Option 2: Supplement 2010 city budget in the amount of $38,557 from Board Funds budget;

· This would eliminate the reserve from the Board Funds budget

· Acoustics project delayed until additional funding is available

Option 3: Reduce downtown library hours and cut one staff

· Decrease from 68 hours per week to 64 per week

o Anticipated cost savings of $4,700

o Hours at RCPL-North would not be changed – because of the operation as a school library, North operates at an average of 38 hours per week

· Freeze/eliminate one FTE staff

o Anticipated cost savings in wage and benefits, $33,611

EQUAL OPPORTUNITY EMPLOYER