Loading...
HomeMy WebLinkAbout2010-08-24 - AGENDA REPORTS - WITHDRAW LACO PUBLIC LIBRARY (2)IMS Agenda Item: CITY OF SANTA CLARITA AGENDA REPORT C PUBLIC HEARING City Manager Approval: Item to be presented by: Darren Hernandez DATE: August 24, 2010 SUBJECT: WITHDRAW FROM THE COUNTY OF LOS ANGELES PUBLIC LIBRARY SYSTEM AND ESTABLISHMENT OF AN INDEPENDENT MUNICIPAL LIBRARY DEPARTMENT: Administrative Services RECOMMENDED ACTION City Council: 1. Conduct a public hearing regarding withdrawal from the Los Angeles County Free Library system and establishment of an independent municipal public library system for the City of Santa Clarita. 2. Pass, approve, and adopt a resolution of the City Council of the City of Santa Clarita to withdraw the City of Santa Clarita from the Los Angeles County Free Library System and assume the responsibility for the provision of library services within the City of Santa Clarita, and taking other actions related thereto. 3. Award a contract to Library Systems & Services, LLC for public library management services through June 30, 2016, in the annual amounts not to exceed: $135,000 for Fiscal Year 2010-11; $3,117,633 for Fiscal Year 2011-12; $3,877,312 for Fiscal Year 2012-13; $3,935,472 for Fiscal Year 2013-14; $3,994,504 for Fiscal Year 2014-15; and $4,054,421 for Fiscal Year 2015-16. Authorize the City Manager to sign all contract documents related thereto, subject to the approval as to legal form by the City Attorney. BACKGROUND On July 13, 2010, City Council set a public hearing for August 24, 2010 to consider withdrawing from the Los Angeles County Free Library System and assuming the responsibility for the provision of public library services within the City of Santa Clarita. �� --n :17'� m • m The residents of the City of Santa Clarita are served by the County of Los Angeles Public Library (County Library) through libraries in Canyon Country, Newhall, and Valencia. The City of Santa Clarita is the largest city in Los Angeles County, and one of the largest in California, to not operate its own municipal public library. The primary sources of funding used to provide County Library services within Santa Clarita are the ad valorem property tax and the voter -approved special library parcel tax. Annually, the County Librarian provides the City of Santa Clarita with a statement detailing the cost of operating the three Santa Clarita library branches and the library . tax revenue collected by the County Library within Santa Clarita. The City of Santa Clarita — Net Contributor to the Los Angeles County Public Library For Fiscal Year 2008-09, the total revenue collected within the City of Santa Clarita by the County Library was $6,486,502, and the cost for the County Library to operate the three library branches serving the Santa Clarita Valley was $6,069,834, resulting in a remaining surplus from within the City of Santa Clarita of $416,668. (Staff estimates that including the property tax and special library tax revenue from the unincorporated Santa Clarita Valley, the valleywide surplus is $2,619,833 for FY 2008-09. In addition, on this basis for Fiscal Years 2003-04 through 2008-09, staff estimates the cumulative surplus earned by the County Library from the Santa Clarita Valley to be $14,413,637.) In prior years, the City has requested the County Library use the surplus they earn from the Santa Clarita Valley to build new library facilities for the Santa Clarita Valley, in particular the construction of the new library in Old Town Newhall. We were informed that the County Library will not fund construction of our new facilities, because the funds are used to provide library services elsewhere within their service area. It should be noted the County Library financed the tenant improvements for the storefront library in Castaic, the recent refurbishment of the Valencia Library, the current build out of the City -built Canyon Country Library, and the construction of a brand new library in the relatively sparsely populated community of Acton. Public Library Service Options There are three options for providing library services within the City of Santa Clarita: • Remain with the County Library. • Withdraw from the County Library, and operate the libraries with City -hired employees. • Withdraw from the County Library, and operate the libraries through a contract. with a professional, public library management services firm. Proposed Public Library Service Enhancements Under City operation, the City could significantly enhance public library services for the City of Santa Clarita. In particular, staff proposes to: • Increase the hours at Canyon Country and Newhall libraries by ten (10) hours each per week, or 19%, to keep both open later during weeknights and to open both on Sunday, thus matching the schedule of the Valencia library. N • Increase the annual budget for book purchases by 22%, from $450,000 to $550,000. The current and proposed operating schedules for the Canyon County and Newhall libraries are as follows: The City of Santa Clarita owns the Canyon Country Library and will own the Old Town Newhall Library upon completion, which is anticipated in 2012. The County Library owns the. Valencia Library and the existing Newhall Library. Should the City Council choose to operate Santa Clarita's libraries, the City could purchase the Newhall Library and the Valencia Library from the County Library (or locate a replacement elsewhere), and would need to purchase the collections (books and materials) of all three libraries from the County Library. Process for Assuming Operation of Santa Clarita's Libraries Withdrawal from the County Library is at the sole option and decision of the City Council, following a public hearing, as provided for in Section 19116 of the California Education Code. Upon withdrawal, the City is entitled to receive all property tax revenues allocated to the County Library from within the City of Santa Clarita, according to the City Attorney. The significant steps in the withdrawal process are as follows: • The City Council, after a public hearing, notifies the County Board of Supervisors that the City wishes to withdraw from the County Library effective the following July 1. • The City Council has the right to acquire any or all County Library facilities located within the City and the personal property therein related, including books. Upon receiving notice that the City intends to acquire library facilities from the County, the County may donate the facilities or personal property to the City or sell the facilities or personal property to the City at no more than fair market value. A process is detailed in State law, including timelines, for determining fair market value. The County must transfer the library facilities and/or personal property to the City not later than the following July 1. 13 CURRENT ENHANCED SCHEDULE HOURS SCHEDULE HOURS Sunday CLOSED 0 1 PM - 5 PM 4 Monday 10 AM - 8 PM 10 10 AM - 9 PM 11 Tuesday 10 AM - 8 PM 10 10 AM - 9 PM 11 Wednesday 10 AM - 8 PM 10 10 AM - 9 PM 11 Thursday 10 AM - 6PM 8 10 AM - 9 PM 11 Friday LOAM-6PM 8 LOAM-6PM 8 Saturday 10 AM - 5 PM 7 10 AM - 5 PM 7 Total Hours: 53 Total Hours: 63 The City of Santa Clarita owns the Canyon Country Library and will own the Old Town Newhall Library upon completion, which is anticipated in 2012. The County Library owns the. Valencia Library and the existing Newhall Library. Should the City Council choose to operate Santa Clarita's libraries, the City could purchase the Newhall Library and the Valencia Library from the County Library (or locate a replacement elsewhere), and would need to purchase the collections (books and materials) of all three libraries from the County Library. Process for Assuming Operation of Santa Clarita's Libraries Withdrawal from the County Library is at the sole option and decision of the City Council, following a public hearing, as provided for in Section 19116 of the California Education Code. Upon withdrawal, the City is entitled to receive all property tax revenues allocated to the County Library from within the City of Santa Clarita, according to the City Attorney. The significant steps in the withdrawal process are as follows: • The City Council, after a public hearing, notifies the County Board of Supervisors that the City wishes to withdraw from the County Library effective the following July 1. • The City Council has the right to acquire any or all County Library facilities located within the City and the personal property therein related, including books. Upon receiving notice that the City intends to acquire library facilities from the County, the County may donate the facilities or personal property to the City or sell the facilities or personal property to the City at no more than fair market value. A process is detailed in State law, including timelines, for determining fair market value. The County must transfer the library facilities and/or personal property to the City not later than the following July 1. 13 Fiscal Analysis Suminary Should the City Council choose to operate the City's libraries, in the first year (FY 2011-12) it is estimated City Library revenue (property tax, special tax, and operating revenue) would total approximately $6.4 million. The cost of managing the three libraries depends on whether this is performed through City -hired employees or through a contract with a public library management services firm. Operating the libraries through City -hired employees would cost approximately $5.1 million, and operating through a public library management services firm would cost $3.9 million. In either model, the surplus between revenue and expenditures would finance (pay off over a period of time) start-up expenses and facility capital (construction and purchase) costs. Fiscal Analysis and Projections Below is a comparative financial analysis of the two library service options (staffing with City employees or contracting with a public library management services firm). Total Revenue: Library Operations: Start -U /Fp acility Financing_ Total Expenditures: City -Hired Staff $6.4 million $5.1 million $1.3 million $6.4 million Operations Contract $6.4 million $3.9 million $2.5 million $6.4 million Operating Santa Clarita's libraries using City -hired employees would result in $1.3 million available to finance start-up and facility capital costs; this would support a financing in the amount of $16 million. After paying start-up costs estimated at $8 million for items such as the purchase of furniture, fixtures, collections, and library facilities, this would yield $8 million for facility capital costs. Operating Santa Clarita's libraries through a contract with a public library management services firm would result in $2.5 million being available to finance start-up costs and facility construction costs; this would support a financing in the amount of $33 million. After paying start-up costs estimated at $8 million, this would yield approximately $25 million for facility capital costs. Facility capital costs could include paying for construction of the new library in Old Town Newhall (which would unencumber approximately $25 million budgeted by the Redevelopment Agency that could be used for $25 million for additional redevelopment activities in Old Town Newhall) or for the construction of a new library to replace the existing Valencia library. Purchase of Library Facilities California Law provides that, at the sole option of the City Council, any or all of the County Library facilities within the City may be acquired upon withdrawal at "fair market value." An appraisal report, dated July 3, 2009, determined the fair market value of the Valencia Library to 4k be approximately $4.62 million. An appraisal has not been completed on the existing Newhall Library, which is considerably smaller and less valuable than the Valencia Library. Other Startup Costs Other costs would include purchasing at fair market value the existing collections of the Canyon Country, Newhall, and Valencia libraries, the purchase of additional books to augment an opening day collection for the Old Town Newhall Library, and various furniture, fixtures, and equipment for the Canyon Country, Newhall, and Valencia libraries. All of these costs would be financed using the library tax revenue allocated to the City should the City Council choose to operate Santa Clarita's libraries. We estimate total start-up costs to be approximately $8 million. Comparison of City Public Library Service Alternatives Should the City Council decide to operate the City's libraries, the two options for providing public library services are through City -hired employees or through a contract with a public library services management firm. Quantity and Quality of Service: Both of these options would provide a similar level and quality of public library services for the community. In both scenarios, the City Council would. set the overall policy parameters and service level expectations for public library services. In both scenarios, the City Manager, on behalf of the City Council, would be responsible for the overall management of excellent service delivery. In both scenarios, the employees providing public library services, whether employed by the City or a professional public library services firm, would be responsible and accountable for meeting performance measurement standards used to determine how well service level expectations are being met. In both scenarios there is full accountability to the City Council, on behalf of the public, for the management and operation of the City's public libraries. Cost Differences: As noted above, the cost of providing public library services through City employees would be approximately $5.1 million, and the cost of providing public library services through a contract with a public library management firm would be approximately $3.9 million. The difference in cost between these two options is due primarily to two factors: the lower cost of employee retirement in the private sector, and the extensive depth and range of experience within a large public library management services firm. The City would have to hire experienced senior public library administrative staff, while such expertise already exists within a large public library management services firm. Transition and Assumption of Public Library Services: Coordinating the transition of the provision of library services from the County Library to the City of Santa Clarita would require immediate and vast public library management experience. The transition date of July 1, 2011, presents a tight timeline using City -hired employees, because we would have to recruit and hire a City Librarian and other top library employees, a process which could take several months. For a public library management services firm, nine months would be a sufficient amount of time to successfully complete such a transition. Such a firm could immediately commence transition activities. This would ensure we are prepared to commence public library services July 1, 2011. Other Considerations Access to Collections Access to collections is important, and under City operation, could be continued through participation in a cooperative such as the Southern California Library Cooperative (SCLC). As a member of SCLC, Santa Clarita's public libraries would have direct access to items in the Los Angeles County Public Library collection, the City of Los Angeles Public Library collection, the Orange County Public Library collection, and the collections of the other library members of SCLC. Membership in SCLC provides public libraries with access to collections totaling over 29.6 million items. Santa Clarita's public library staff could borrow a title from whichever public library can provide it the quickest, so patrons placing orders will get materials quickly. Most area public library systems charge patrons to borrow items from the collections of other public library systems (inter -library loans). The County Library, for example, charges patrons $3 per item for inter -library loans. Should Council decide to operate Santa Clarita's public libraries, staff recommends the City charge no fee for patrons borrowing books through inter -library loan. Professional Quality of Staff and Services of Contract Employ The public library management services firm LSSI employs public library professionals to staff the libraries they operate for their client cities. For example, 31% of the staff of the Moorpark City Library (which is operated for Moorpark by LSSI) has a master's degree in library science (MLS). Librarians who work for LSSI are paid competitive salaries and benefit packages, typically including a matching 401k retirement program. LSSI has a strong track record of successfully operating public libraries under contracts with cities and counties. Earlier this year, the retired Chief Deputy County Executive Officer of Riverside County published a white paper entitled "The Riverside County Library System: Thirteen Years of Innovation, Experimentation, and Progress." This white paper, a copy of which is attached to this report, details the successful partnership that has been developed between Riverside County and LSSI. LA County Library Budget Cuts Los Angeles County recently cut the budget of the County Library by $8.8 million. As a result, the County Library has closed many branches a day or two each week or shortened hours. The County Library has also eliminated the Adult Literacy program. The Deputy County Librarian was quoted in a newspaper saying, "If some air conditioning unit dies that wasn't supposed to die for another five years, we're out of luck. If too many (computers) die at the same time, we may have to reduce the number of computers for the public." While our three local libraries were not cut by the County this year, there is no guarantee they would not be cut in the future. In addition, during a meeting with the County Librarian on April 7, 2010, City staff was informed that with the opening of the new library in Old Town Newhall, the County Library would need to reallocate resources from the Canyon Country and Valencia branches to serve the new, larger Old Town Newhall library. Such a reallocation would result in service reductions at the Canyon Country and Valencia branches. Despite repeated requests for details of this anticipated resource reallocation, the County Library has not provided further information. Protection of Library Tax Revenue In a posting on SCVTalk.com, the County Librarian stated: "If you leave County service, the property tax coming to the City will be part of the City's General Fund. That means that the City is not obligated to use it for library services. City libraries will have to compete for funding with other city service including police." In fact, State law (Section 19116(b) of the Education Code) provides that the library property tax revenue that would be received by the City of Santa Clarita is restricted and "shall be allocated to and used to maintain library services." Therefore, these funds could not go into the General Fund, and a City public library would not compete for resources with other City services. Special Libraa Tax On June 3, 1997, the electorate in the "Enhanced Service Area" of the Los Angeles County Public Library, inclusive of the City of Santa Clarita, approved a special library tax by a vote of 70.00% in favor and 30.00% opposed. Within the City of Santa Clarita, the special library tax was approved by a vote of 71 % in favor and 29% opposed. The County Librarian stated in The Signal that should the City withdraw from the County Library the City could not collect the special library tax. The City Attorney has researched this issue and determined that, contrary to the comments of the County Librarian, upon withdrawal from the County Library the City can levy and collect the special library tax approved by the voters of the City of Santa Clarita. Enhanced Local Control of Public Library Services As part of the County Library, many of the services, functions, and decisions related to local public library services are made by County employees at their Downey headquarters of the County Library. Should the City Council decide to operate the City's libraries, decisions that would be made locally would include the books and materials to be purchased, the employees to be hired, the special programs to be hosted, the fees to be charged, and the policies to be administered. All decisions relative to public library services in Santa Clarita would be specific to and for Santa Clarita. Stakeholder Outreach/Community Engagement Over the past six weeks, the Council Library Ad Hoc Committee and City staff has conducted extensive outreach to key community stakeholders. The organizations and groups contacted include the following: Chamber of Commerce; Chamber of Commerce Government Committee; Canyon Country Advisory Committee; Canyon Theater Guild; Child and Family Center; Old Town Newhall Association; Newhall Redevelopment Committee; Saugus School District; Hart High School District; Sulphur Springs School District; Newhall School District; YMCA; Boys & Girls Club; Newhall Community Center stakeholders; College of the Canyons; ParentTeachers Associations; Zonta; and Friends of the Santa Clarita Libraries. To further disseminate information to the public at large and seek feedback, the City created the website SantaClaritaLibrary.com and published a column in The Signal. Request for Proposals (RFP) for Public Library Services and Award of Operations Contract The City of Santa Clarita issued a request for proposals (RFP) for the delivery of public library services within the City of Santa Clarita. One proposal was submitted by Library Services & Systems, LLC (LSSI). An evaluation panel composed of staff from the City Manager's Office, Administrative Services, Community Development, and Public Works reviewed the proposal. All members of the panel deemed the proposal to be comprehensive and responsive. Staff contacted client references, and the reviews were satisfactory. In addition, staff visited several public libraries in Riverside and Ventura counties operated under contract by LSSI and has interviewed LSSI personnel. Based on the review of the proposal submitted, site visits, interviews, and reference checks, staff recommends LSSI be awarded a contract to operate the public libraries of the City of Santa Clarita. ALTERNATIVE ACTIONS 1. Remain with the County Library 2. Withdraw from the County Library, and operate the libraries with City -hired employees. 3. Others action as directed by the City Council. FISCAL IMPACT There will be no impact to the General Fund. All costs and expenditures detailed herein would be fully funded through Public Library Fund revenue that is legally restricted and can only be used for providing public library services. A loan of $250,000 from the General Fund to a new Public Library Fund would be authorized as part of adoption of the resolution. ATTACHMENTS Resolution Pros and Cons L.A. County Cities Riverside County Library White Paper Cost Summary CITY OF SANTA CLARTTA NOTICE OF PUBLIC HEARING The City Council of the City of Santa Clarita will hold a public hearing at its regular meeting on Tuesday, August 24, 2010, at 6:00 PM or as soon thereafter as may be heard in the Council Chambers, Santa Clarita City Hall, 23920 Valencia Boulevard, Santa Clarita, California, to consider the following action: WITHDRAW FROM THE COUNTY OF LOS ANGELES PUBLIC LIBRARY SYSTEM AND ESTABLISHMENT OF AN INDEPENDENT MUNICIPAL LIBRARY A written staff report will be available at or before the hearing. Following an oral staff report at the beginning of the hearing, all persons wishing to address the Council will be provided up to three (3) minutes to address the Council. These time limits may be changed at the discretion of the Council. Written comments may be presented to the Council at any time prior to the close of the public hearing. At the conclusion of testimony, the Council will deliberate and its decision will be memorialized in a written resolution. If you wish to challenge the action taken on this matter in court, you may be limited to raising only those issues you or someone else raised at the public hearing described in this notice, or written correspondence delivered to the City of Santa Clarita at, or prior to, the public hearing. Sarah P. Gorman, Esq. City Clerk Publish Dates: July 31, 2010 August 7, 2010 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CLARITA TO WITHDRAW THE CITY OF SANTA CLARITA FROM THE LOS ANGELES COUNTY FREE LIBRARY SYSTEM AND ASSUME THE RESPONSIBILITY FOR THE PROVISION OF LIBRARY SERVICES WITHIN THE CITY OF SANTA CLARITA, AND TAKING OTHER ACTIONS RELATED THERETO WHEREAS, the City of Santa Clarita is within the service area of the County of Los Angeles free library system; and WHEREAS, Section 19116(a) of the California Education Code, authorizes a city whose jurisdiction is within in the County of Los Angeles to withdraw from the county free library system and assume responsibility for providing public library services by providing the board of supervisors of Los Angeles County notification that the city no longer desires to be a part of the county free library system; and WHEREAS, Section 19106 of the California Education Code requires that before a city council gives notice of withdrawal from the county free library system, the city council shall publish at least once a week for two successive weeks prior to the giving of notice, in a newspaper designated by city council and circulating throughout the city, notice of the contemplated action, giving the date and the place of the meeting at which the contemplated action is proposed to be taken; and WHEREAS, a public hearing duly noticed in accordance with the requirements of Section 19106 of the California Education Code was conducted on August 24, 2010; and WHEREAS, Section 19116(c) of the California Education Code provides that if there are one or more county library facilities within the territorial boundaries of the withdrawing city at the time the withdrawing city provides notice that the city no longer desires to be a part of the county free library system, the withdrawing city shall have the right to acquire any or all of those facilities from the county and the county shall, no later than July 1 of the base year ("base year" being the fiscal year commencing on the July 1 following the December 2 following the date of the notice given pursuant to Section 19116(a) of the California Government Code indicating that the city no longer desires to be a part of the county free library system), transfer to the withdrawing city each facility to be acquired and the personal property therein related to the provision of library services; and WHEREAS, pursuant to the provisions of Section 19116(d) of the California Education Code, the board of supervisors of the County of Los Angeles may require as a condition of transferring a library facility pursuant to Section 19116(c) of the California Education Code that the library services provided by the City of Santa Clarita to its residents also be available on the same basis to the residents of the surrounding jurisdictions; and /0 WHEREAS, the City Council of the City of Santa Clarita desires to withdraw from the Los Angeles County free library system effective July 1, 2011, and to acquire library facilities and/or personal property therein related located within the City of Santa Clarita pursuant to the provisions of Sections 19116(a) and 19116(c), respectively, of the California Education Code. NOW, THEREFORE, the City Council of the City of Santa Clarita does hereby resolve as follows: SECTION 1. The foregoing recitals are true and correct, and the City Council hereby so finds and determines. SECTION 2. Pursuant to the provisions of Section 19116(a) of the California Education Code, the City Council of the City of Santa Clarita hereby determines, and notifies the board of supervisors of Los Angeles County, that the City of Santa Clarita no longer desires to be part of the Los Angeles County free library system and that the City of Santa Clarita will assume responsibility for the delivery of public library services within the City of Santa Clarita effective July 1, 2011. SECTION 3. The City Council of the City of Santa Clarita hereby determines, and notifies the board of supervisors of Los Angeles County, that the City of Santa Clarita intends to acquire property pursuant to the provisions of Section 19116(c) of the California Education Code, specifically: the Newhall Library facility, parking area and the personal property therein related; the Valencia Library facility, parking area and the personal property therein related; and the personal property therein related to the Canyon Country Jo Anne Darcy Library. SECTION 4. Pursuant to the provisions of Section 19116(d) of the California Education Code, the Board of Supervisors of the County of Los Angeles may require, as a condition of transferring the Valencia Library facility, that the library services provided by the City of Santa Clarita to its residents also be available on the same basis to the residents of the surrounding jurisdictions. SECTION 5. The City Manager, Assistant City Manager, Deputy City Manager, City Attorney, City Clerk and/or their designees are hereby authorized to take such actions as the City Manager deems necessary to carry out, effectuate, implement, and fulfill the actions taken and authorized by the City Council pursuant to this resolution. SECTION 6. Fund 309 (Public Library Fund) is hereby created. The amount of two -hundred and fifty thousand dollars is hereby loaned from the General Fund Capital Projects Reserve to the Public Library Fund (Fund 309) and is hereby appropriated for the purpose of implementing the actions herein taken and authorized by this resolution. Said loan shall accrue interest a rate equal to the rate of return on investments of the City's cash and investment portfolio and said loan shall be repaid at such time as possible by the Public Library Fund. SECTION 7. This resolution shall take effect immediately upon adoption. 2 •lf SECTION 8. The City Clerk is hereby directed to transmit a certified copy of this resolution to the board of supervisors of Los Angeles County. PASSED, APPROVED AND ADOPTED this 24th of August 2010. MAYOR ATTEST: CITY CLERK STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA ) I, Sarah P. Gorman, City Clerk of the City of Santa Clarita, do hereby certify that the foregoing Resolution was duly adopted by the City Council of the City of Santa Clarita at a regular meeting thereof, held on the day of 2010, by the following vote: AYES: COUNCILMEMBERS: NOES: COUNCILMEMBERS: ABSENT: COUNCILMEMBERS: CITY CLERK 3 '/C�- STATE OF CALIFORNIA ) COUNTY OF LOS ANGELES ) ss. CITY OF SANTA CLARITA ) CERTIFICATION OF CITY COUNCIL RESOLUTION I, , City Clerk of the City of Santa Clarita, do hereby certify that this is a true and correct copy of the original Resolution 10- adopted by the City Council of the City of Santa Clarita, California on , 2010, which is now on file in my office. Witness my hand and seal of the City of Santa Clarita, California, this _ day of 2010. City Clerk By Deputy City Clerk 4 t/ C O U l4�, ai vi > a 0- .. U 0 a) 'D U y c COm� N cz O L c6 J a U) _J a) C .U) N 41 c9 N M U O C c6 aUU O c c c �j a) U a) to Co Q o N - > co a) > a) U N N42) .N.. L O ca p d O v cn O L p U c4 a �L U o- a > o m a) N C c 0 a) a c a T m o o @ o- o o U p p '_D c Cow � ' Q) d @6 U ' .a c-- Z c (c3DgO a o T T 0 UOUa 0 m U a) (Q U a) (wU oa -p -o p o U 0 o E o m c T .. 0) c _T E o LD o U U o o f CU — -p U ' o Q a) o WQCWfY ca a) a) o a) Z O Z J f— O Z IL— c c O cu �i U Q, 0 m U U Q U @ ocn c0 O d ` T w °� .Q U m Q. @ N O °6 o a) cn °6 O. a) > a >` N O (U6 O c cL0 U "0 U c 7 =p O c N cu U C c '> a) N O N C L O D1 O C O C Q) m N c_ a c w O> °' a c- > O O N C: C: m a) O w U c 0 O O w Q c Z Z � c D m @ °� c — p `n cif ac ) coo m o O 'o o a) cm o O a O 06 N C N .a L 0 U) M `a c i L .a 0 U) m U N rn v vix - U x Y Uo .c3 -0 N N .6 3 m >, O O 7 O C >, O O 0 0 c -O �p a) E > y a NO O a) O .0 N ,0 a w E N a a � c a Q OO OU O o c OU °� C)- c a OU OU p o c ai m @ m L .2 w0 a) > E Oa � U U cn cn U T a) 'c Q c0 O 2 a) 'C a m i O O O O L L @ T a) N @ a a c9 O"- a) a) N a a (d O 41 D a) O L U (9 CL CL � 7 E E T Co m E E a m > a Q) a) O O — O O U a c O (0 — O o, U W Q U U c a O U` C7 U a) 0 o U C d y a) L c(D a -°'a y rn (n N �' a` o � o cn = o o a` M a l4�, Los Angeles County (bold = independent of the County Library) Cities Los Angeles Long Beach Glendale Santa Clarita Pomona Torrance Pasadena Palmdale Lancaster EI Monte Inglewood Downey West Covina Norwalk Burbank South Gate Compton Carson Santa Monica Hawthorne Alhambra Whittier Lakewood Baldwin Park Bellflower Lynwood Redondo Beach Pico Rivera Montebello Huntington Park Monterey Park Gardena Diamond Bar Paramount Population 4,045,873 492,642 207,157 177,045 163,405 148,965 148,126 147,897 145,243 126,053 118,878 113,379 112,666 109,695 108,029 102,816 99,242 97,960 91,439 90,014 89,259 86,945 83,486 81,281 77,110 73,147 67,488 66,867 65,668 64,747 64,434 61,781 60,360 57,969 �S Los Angeles County (bold = independent of the County Library) Cities Rosemead Arcadia Cerritos Glendora La Mirada Covina Azusa Bell Gardens La Puente Rancho Palos Verdes San Gabriel Culver City Monrovia Bell West Hollywood Claremont San Dimas Manhattan Beach Beverly Hills Temple City La Verne Lawndale Walnut Maywood Cudahy South Pasadena San Fernando Calabasas Agoura Hills Duarte South EI Monte La Canada Flintridge Lomita Hermosa Beach Santa Fe Springs Population 57,422 56,491 54,870 52,362 50,092 49,552 48,743 46,766 43,256 42,964 42,762 40,694 39,327 38,762 37,563 37,242 36,874 36,505 35,983 35,683 34,046 33,540 32,299 29,971 25,879 25,792 25,230 23,725 23,337 22,953 22,391 21,276. 21,056 19,527 17,790 E0 Los Angeles County (bold = independent of the County Library) Cities Artesia EI Segundo Hawaiian Gardens Palos Verdes Estates Malibu Commerce San Marino Signal Hill Sierra Madre Westlake Village Rolling Hills Estates La Habra Heights Avalon Hidden Hills Rolling Hills Irwindale Bradbury Industry Vernon Population 17,552 17,002 15,900 14,046 13,700 13,536 13,455 11,402 11,116 8,867 8,185 6,140 3,532 2,016 1,967 1,724 948 798 95 l� The Riverside County Library System: . Thirteen Years of Innovation,- Experimentation, and Progress Gary Christmas, MLS Chief Deputy County Executive Officer (retired) County of Riverside, Executive Office June 17, 2010 The Riverside County Library System: Innovation, Experimentation, and Progress Introduction and Celebration The following is an excerpt of a conversation overheard recently at our Palm Desert Library. A man speaking to his wife, "I guess there isn't much point to libraries anymore when everything is on the Internet." Her response: "Oh, no, these libraries are busier than ever. You should see this library–there is tons of people here every day. And the La Quinta Library? You can barely find a place to sit, there are so many.people there!" We hear repeatedly how libraries are more important—and more used—now than ever, in a time when resources of all types, public and private, are being stretched to meet demand. Indeed, in response to that stretching, more than 2400 libraries nationwide have cut back their hours; many have had to close entirely. In stark contrast to such sad statistics, our library hours, programming, and materials here in Riverside County have increased. Additionally, our efforts have been lauded—here in California and by national organizations. The purpose of this paper is to describe how we've arrived at this momentous point. An Important Management Difference A mid-1990s state -mandated proposition in California shifted property taxes to education, resulting in a dramatic reduction in library funding. Riverside County's Board of Supervisors and County staff recognized they could no longer afford status -quo operations and defined a way to manage this precious public asset—our community's libraries—with the discipline and analysis more typically found in private organizations. We established a public-private partnership that could yield increased services within the available funding. The public libraries in Riverside County are funded by a 1.15% ad valorem property tax dedicated to the library. In the 13 -years of this public-private partnership, we have not had to seek an increase in this percentage rate. Rather, as new development came to the County and as property values increased, the value of this 1.15% allocation grew accordingly. However, the County Supervisors had the foresight to regularly earmark a portion of this revenue to build an unrecognized fund balance dedicated for library funding, exclusively. Monies from this budget have only been spent on an as -needed basis to balance the budget. Over time, a library reserve budget was built by conservatively budgeting revenues and by not increasing expenses. This is an enviable financial situation that never existed under the previous contractual arrangement with the City of Riverside which managed the County's libraries for 85 -years. Iq Under the strict terms of this new partnership agreement, we also gained more control over the services and usage of monies that voters and the County's municipal partners demand and deserve. The results of this agreement were soon visible and dramatic, as described later in this document. During the 13 years of the partnership: • Supplemental funding of approximately $5 million in grant money has been secured by our private partner, thereby greatly enhancing what we can accomplish over and above what tax revenues can support. • Extra expertise—in technology, fund-raising, and community outreach --has been brought to bear on our library operations through talents available elsewhere in our partner's network of other libraries that are operated through similar public-private partnership models which now total 64 public library facilities nationwide. • Support services provided by our partner, including accounting, automation support, training, and human resources, have been consolidated, resulting in far less overhead. Understandably, in the years since their initial decision, our County Board of Supervisors has twice unanimously voted to extend this public-private partnership agreement for additional 5 - year periods. Specific Steps in Creating the Partnership In 1997, we solicited bids by using a standard procurement process for the County. We prepared and issued a Request for -Proposals that stated in no uncertain terms what we wanted to contract for and how we would judge proposals. One of our primary objectives was to regain local control over setting library policies. We insisted in the RFP that it was part of our "zero -based" planning and restructuring; that is, reforms would be required for the entire endeavor, not just working with "new money" or tinkering around the edges. We asked prospective respondents to give us "out-of-the-box" proposals for providing "traditional" public library services in a non- traditional way. In addition, we were careful to ensure that: We would receive the highest levels of service within the County's dedicated funding for libraries, not just accept the lowest bid. We would draw on expertise from the California State Library in a consulting role, evaluating proposals. We would meet company representatives in person before any selection so we could ask questions on the spot and assess their motivation and decision-making. We received proposals from three sources — the Riverside County Office of Education, the San Bernardino County Library and Library Systems & Services, LLC (LSSI). The contract was awarded to LSSI, a private library management company headquartered in Germantown, Maryland, with West Coast offices established here in Riverside County to facilitate a close relationship with us. We became the first local government organization in the United States to outsource the management of day-to-day library operations to a private company. We are, therefore, a public institution with a private partner; our partnership is structured to assign to each partner the functions that it does best. Important Early Steps Public entities have long incorporated different employment models for library staff in different roles. They draw at times on part-timers, temporaries, substitutes, volunteers, contractor technical staff, and interns as well as full-time professional staff. The Riverside County public- private partnership model added to this array another paradigm for the organizational environment of public libraries: the employment of formerly public employees by a private company. This removed some expensive aspects of their employment from our budget, but we had structured the contract to make sure we still had a voice in the hiring of key library management positions. LSSI offered employment to all existing library staff. The new LSSI employees received their same rate of base pay, accumulated vacation time and vacation accrual rates. Their prior investment in the California Public Employees' Retirement System (Ca1PERS) was protected. They also became eligible for Social Security for the first time and they were given the option of participating in their new employer's 401-K plan and other LSSI employee benefits. They also became part of a merit -based, results -oriented awards system for salary increases and promotion. The arrangement has proven satisfactory for most: many of those incumbent employees are still working within our system; more than fifty received 10 -year service awards from LSSI in 2008; and currently, Riverside County, through LSSI, is providing employment for 214 professional librarians and paraprofessionals. Another innovation was the establishment of regions or zones within our large county so our citizens receive the best services and materials regardless of where they live. Here's how we have benefited from that: • We are able to establish operational procedures that allow the local libraries to work more cohesively because of their proximity. • Regional policies and shared services in zones can better reflect the needs and culture of these smaller "slices" of the County. • Funding for the libraries is fairer because each zone has its own library usage and property tax figures. • Patrons in each zone have access to their own Principal Reference Center with specialists and select materials instead of relying solely on one reference collection at a central library. 0 M Immediate Results Within the first year of this partnership we saw significant improvements: • A $900,000 decrease in operations costs; • A doubling in our materials budget which has since grown approximately ten -fold to almost $2 million annually; • 34% increase (on average) in expanded library operating hours (which have now more than doubled); • 15% increase in circulation of our materials; • More programming relative to the needs of each community, resulting in greater participation at library -sponsored events; • Saved people's jobs, avoiding the possibility they might have to relocate in order to continue working as librarians, or start entirely new careers. These accomplishments were immediately noted and enjoyed by our citizens and others. We even received a national award from the National Council for Public -Private Partnerships. 5 Years Later -- Impressive Improvements Within just the first five years of this partnership—without changing the library's funding sources, increasing taxes, or imposing usage fees—we had accomplished: • 86% increase in operating hours, system -wide, including popular, new Sunday hours; • Doubling of staffing, including the influx of more master's degree -level staff, • Continued expansion of the materials budget; • 10% increase in circulation of our materials; • Significant technology upgrades including: --Addition of more than 200 new public -access intemet terminals; -- Installation of a $140,000 computer system for staff usage to better track collection items for our patrons and to contain operating costs; -- Upgrade to high-speed Internet access in our facilities; • Access to far more materials for our patrons because of more far-reaching delivery of materials among our facilities; Doubling of mobile library service throughout the county; • Construction of new library buildings and renovations to existing properties • Established a new joint use library facility with the Perris Union High School District • Our partner paid for an independent financial audit, by an outside firm, for improved transparency and accountability of public dollars for our citizens. All of this, and more, was accomplished during the first five years of this public-private partnership. 13 Fears Later Since Riverside County began operating its libraries under this innovative business model, the County has realized extraordinary management efficiencies: • Reclaimed control over our public libraries. The County became more accountable for how millions of taxpayer dollars were being spent; • Completed 20 construction projects, including 11 replacement facilities and 9 entirely new libraries, as well as 7 major library renovations; • Introduced an early childhood literacy program that has helped over 15,000 children enter school reading or ready to read since 2002; • Created an English as a Second Language program that has helped thousands of adults learn to speak, read and write English; • Launched an award-winning Latino outreach program called Leer Es Triunfar (Reading Is Succeeding) and become a best -practice example in the state of California for such programs as Dia de los Ninos/ Dia de los Libros; • Initiated and continues to operate six joint -use library facilities shared with local school districts; • Installed a Radio Frequency -Identification (RFID) self-service system in many facilities, so people can check out their own materials, speeding up that process and also preventing theft of materials; • Introduced a new web site providing 24/7 access to reference services, databases, interactive programs, staff blogs, and a chance to comment and interact with others around topics and areas of interest. Users can also request RSS feeds sent to their e- mail, and interact with library staff and services online; • Installed a new print -on -demand system with a $100,000 grant from the State of California so patrons can print, cover, and bind books from computer files. The service is free if patrons return the book to the library's collection after they read it; as an option, they can elect to keep the book and pay a small fee; • Saved people's jobs, avoiding the possibility they might have to relocate in order to continue working as librarians, or start entirely new careers. • We created more than 100 new jobs Recognition The U.S. Green Building Council has recognized us for the first county -owned environmentally friendly building: our LEED-certified Woodcrest Library uses about 22,000 kilowatt hours less electricity in a year than comparable -size branches even though it is open more hours. (And this saves the County about $2,100/year.) Riverside and San Bernardino Counties received $250,000 in grant funding to create a combined automated system that allows residents in both counties access to the combined collections of both libraries. In 2005, the American Library Association awarded Riverside County Library System the prestigious John Cotton Dana Award for its Latino outreach program Leer Es Triunfar (Reading Is Succeeding). 6 In 2008, RCLS was awarded the Raul and Estela Mora Award for its exemplary Dia de los Ninos/Dia de los Libros (Day of the Child/Day of the -Book) celebrations and for leading efforts to have the State Library of California adopt the promotion of statewide "Dia" celebration. California's Council on the Humanities chose the Riverside County Library System to be its sole partner for its "Making a Difference" programs promoting civic engagement in libraries. The Association of Library Services to Children, a division of the American Library Association, selected the Riverside County Library System to host the 2010 May Hill Arbuthnot Honor Lecture, only the fourth time in 40 years that this prestigious event has been held in California. Summary Statistics 24 a 033 fig 612 1x;343 *Circulation for 1999-2000 (previous year's circulation figures included in-house use) These statistics indicate that the steady improvements in library facilities and collections, together with the introduction of innovative services and programs, is beginning to yield significant increases in public use of the library system and its resources. Circulation in the last three years has increased over 70% and attendance at RCLS programs has increased 150% in the same period. The increases shown above in attendance at programs from 1997-98 to 2008-09, including an astounding increase in adult attendance from just over 1,000 to over 61,000 last year, reflect our attempt to create dynamic and exciting programs and services for all ages. Summary: Delivering Important Results The end of the first decade of the 21 S` Century and the start of the second decade will be remembered worldwide in government circles and with taxpayers as a time of high budget deficits, staff and service cutbacks, coupled with challenging, creative and sometimes painfully - contortionist financial juggling. According to the American Library Association, nationwide, the average per capita operating expenditure for public libraries was $34.95 in 2007 (the most recent information available). We have been able to give our citizens more library benefits than ever before, but at roughly half that amount of funding. Riverside County has built a modern 21" century public library system that is award-winning and the innovator of new services and technologies to serve our citizens better, year in and year out. ADDENDUM Significant Infrastructure Projects since start of Public -Private Partnership New Buildings in a New Service Location (10) • Eastvale: school joint use • Mission Trail • El Cerrito: school joint use • Paloma Valley: school joint use • Home Gardens • Romoland: school joint use . • Lakeside: school joint use • Temecula City Library • Mead Valley (status: design phase) • Woodcrest (TEMPORARY store front) New Buildings to Replace Existing Libraries (11) • Anza • Robidoux • Calimesa • San Jacinto — school joint use • Canyon Lake • Sun City • Highgrove (under construction) • Thousand Palms • La Quinta: 10,000 sq. ft. • Woodcrest — First LEED Certified • Mecca building in Riverside County Renovations/Expansions of Existing Libraries (8) • Highgrove • Valle Vista • La Quinta expansion: expanded to 20,000 sq. ft. • Cathedral City Bookmobiles • Palm Desert (design phase) • Canyon Lake expansion • Home Gardens expansion • Grace Mellman • Coachella Valley Bookmobile — replacement • Western County Bookmobile — replacement I &M, Ci vl4 oq W) C. m U& A N 00 tri U y N� O � O O O O O H O O O *-4 O � 0 O tn N 00 C 0�0 O l ^ 'It 69 y o Oi 00 O N O of V) t— App N a' V) V) 00 6A V) W) 69 O 6 6R 69 66 O 6 M et O �P O O O �D O 00 O O V1 M O N O 00 v 'G et 0�0 6NA tn V) 6NA y W L, N 69 69 M d d �O O 10 O O N 00 O 00 O O � C ~ X00100 C rt N O O N N O 10 OQ in M m nb9 m to 69 0'� L, N 69 65 r M � L y 69 4) y C 6A r 4. O 00 O O N 00 O N O O W O N O V) M N O L— O t— C- N � 69 V) V) bN9 0m0 69 69 err 01 O O O M V O 00 O O M *� N O V) N L N C!9 F/3 M N 00 cs3 O � v, � •'T.+ LY^ +ted, 'n V aw k c 44 y U y N� O � O O O O O H O O O W)..y 0 a COC W)00 0�0 *-1 r 69 y o b�9 y9 6A 9 et cn z I �. U)U .c� 6 6R 69 66 O 'G y W d d C � C ~ C L7 L � � cl r � L y 4) y C r 4. v, Ca U y b � .S' O 3 0 a COC y o � � O cn z I U)U .c�