Public Library Funding

1. Public Library Funding New Mexico State Library Commission New Mexico Library Association Annual Conference April 24, 2009

2. US Public Perceptions of Libraries & Funding • 71% of the public say that libraries spend public money well • 52% say that if their local library needed additional funding, they would favor tax increases to generate necessary resources • 78% believe that if a public library were shutdown, something essential and important to the whole community would be lost “Long Overdue: A Fresh Look at Public and Leadership Attitudes about Libraries in the 20th Century” Prepared by Public Agenda with support from Americans for Libraries Council & The Gates Foundation.

3. NM Public Library Landscape 2008 • 118 public library outlets • 91 main libraries, 27 branches • 61 city/county libraries • 17 tribal main libraries, 1 tribal branch library • 12 non-profit (501C3) private libraries • 1 private trust library – agreement with city

4. NM Public Library Expenditures 2008 • Total Expenditure: $44,225,282 • Staff: $28,756,271 (734 FTE) • Library Collection: $6,477,413 • Other: $8,991,598

5. NM Public Libraries Service and Funding Measures – Rate of Increase 2001 to 2008

9. U.S. Census: Annual Survey of State and Local Government Finances • Contains current estimates of government financial activity including: estimates of revenue by type, expenditure by purpose and function, debt, and financial assets by type. Estimates are shown for state and local governments combined, as well as for local governments. • Library Expenditure: Provision and support of public library facilities and services.

10. Annual Survey of State and Local Government Finances --Peer States • 5 States • Within approximately 500,000 – 600,000 in population to NM • Rural Populations • Idaho, Nebraska, Nevada, Utah, West Virginia

13. U.S. Library Funding Models Local Government • General revenue sources • Gross receipts and other sales taxes • Property and excise taxes • Fees and other charges • Library taxing districts (can be cities, counties, townships, regional systems) • Regional asset districts • Local impact fees • Bonds (construction & collections)

14. U.S. Sources of Local Revenue Used to Fund Public Library Operations • Property tax – 43 states • Local sales tax - 19 states • Local government fees – 13 states • Additional tax revenue (excise, sales and income tax) – 31 states

15. Library Taxing Districts Legislation and Source of Funding • 27 States have legislation allowing the formation of library taxing districts • Primarily funded by excise, income, sales and property tax

16. Questions • Where does the money for your library budget come from? • What are some factors that may limit funding or access to funding sources for your library? • Should current funding methods for public libraries be examined? • Are there other sources of local or state funding that public libraries might access? • What could public libraries do to leverage new funding sources?

17. Sources • New Mexico Public Libraries Annual Reports 2000-2008 • U.S. Census Bureau: Federal, State and Local Governments. “State and Local Government Finances 2000 – 2006” http://www.census.gov/govs/www/estimate.html • RPA Inc. PaLa/PCBL Funding Study July 2007 http://library.utah.gov/programs/development/statistics/documents/PaLA_report_interior.pdf • “Long Overdue: A Fresh Look at Public and Leadership Attitudes about Libraries in the 20th Century” Prepared by Public Agenda with support from Americans for Libraries Council and the Gates Foundation.