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Home My WebLink About09/18/2001, C4 - AMENDMENT #5 TO CITY/COUNTY LIBRARY JOINT POWERS AGREEMENT council MmfisD' j acEnda Repoit u.mN�sG C I T Y O F SAN LU IS O B I S P O FROM: Wendy George,Assistant City Administrative Officer Prepared By: Betsy DeJarnette,Assistant to the City Administrative Officer �ka SUBJECT: AMENDMENT #5 TO CITY/COUNTY LIBRARY JOINT POWERS AGREEMENT CAO RECOMMENDATION Approve and authorize the Mayor to execute an amendment to the City/County Library Joint Powers Agreement to continue increased hours of operation on Wednesday evenings, until terminated by either party, in exchange for financial support to the County from the City. DISCUSSION Background In July, 1996, the County advised the City that the Library's overall financial health was suffering and would steadily decline without corrective action. A five-year financial forecast had revealed that the Library's budget has a structural deficit in the range of$300,000 annually. Revenue losses from State take-aways, coupled with general increases in the cost of operations, had worked to erode the Library's long-term financial stability. To partially remedy this deficit, the County requested that it be allowed to reduce the weekly hours of operation to 48 by closing at 5:00 p.m. on Wednesdays instead of 8:00 p.m., and opening an hour earlier, at 10:00 am. on Fridays. Because this reduction followed upon an earlier reduction in 1993 from 54 hours to 50 hours, the Council reluctantly agreed to this change in the Joint Powers Agreement(JPA). In March, 1997, the County reported to the City that there had been significant public concern about the loss of Wednesday evening library hours. To reopen the Library for three hours on Wednesday evenings, the County requested annual City funding in the amounts of $12,500 and $12,900 for the 1997-99 fiscal years. The Council acknowledged that approving this funding request would not address the long-term financial concerns that exist with the Library budget. However, recognizing the community need for more Library hours, the Council did approve the request as part of the 1997-99 Financial Plan and amended the existing JPA to reflect the increased hours of operation. The JPA was amended again in August, 1999 to continue Wednesday evening hours of operation for fiscal years 1999-2000 and 2000-01, in exchange for payments of $13,300 and $13,700 respectively. Continued City Contributions In response to a request by the County to continue its partnership for operation of the library's Council Agenda Report—Amendment#5 to City/County Library JPA Page 2 Wednesday evening program, Council again allocated $13,700 per year in the 2001-03 Financial Plan. As reflected in the attached letter and in conversations with County library personnel, a lack of adequate and diversified tax revenues will continue to prevent the County from assuming financial responsibility for the increased hours. Because this program is a valued service to the citizens in our community, and because future funding will remain, according to the County, "precarious, at best", staff is recommending that the contract no longer be limited to two years but rather be extended until either party chooses to amend or terminate the agreement. Therefore, staff is recommending that the language in the JPA be modified to: 1) reflect the approved financial support for the next two years 2) continue the agreement automatically until such time that the contract is terminated or amended by either party,and 3) tie future payment increases to the U.S. Bureau of Labor Statistics consumer price index for all urban consumers (CPI-U) all-city average for the prior calendar year, effective July 1 of each year. FISCAL IMPACT Funding of$13,700 for 2001-02 and 2002-03 was approved as part of the 2001-03 Financial Plan. Future funding will need to be approved in respective Financial Plans and, per the amendment to the JPA, will be adjusted annually on July 1 of each year by the annual percentage change in the U.S.Bureau of Labor Statistics(or successor agency)consumer price index for all urban consumers (CPI-U)all-city average for the prior calendar year. Attachment JPA Amendment Letter from the County Requesting Support C�-2 AMENDMENT#5 CITY-COUNTY LIBRARY JOINT POWERS AGREEMENT WHEREAS, the City of San Luis Obispo and the County of San Luis Obispo entered into a Joint Powers Agreement on October 3, 1989, for the ownership and operation of a City-County Library; and WHEREAS, the parties desire to amend said agreement to maintain increased hours of operation, until terminated by either party, in exchange for financial support to the County from the City; NOW,THEREFORE,THE PARTIES HERETO AGREE AS FOLLOWS: • Paragraph five of the 1989 agreement is hereby amended by the addition of the following sentence at the end of the paragraph: "The Library will be open from 5:00 p.m. to 8:00 p.m. on Wednesdays in exchange for payments from the City to the County of$13,700 for years 2001-02 and 2002-03, with future payment adjusted annually on July 1 of each year by the annual percentage change in the U.S. Bureau of Labor statistics (or successor agency) consumer price index for all urban consumers (CPI-U)all-cities average for the prior calendar year." • Amendment No. 4 approved by the City Council and the County Board of Supervisors on August 17, 1999 is hereby superseded by this amendment. In all other respects,the existing agreement between the parties remains in full force and effect. This amendment will be effective on the last day of execution set forth below. Amendment No. 5 —City/County Library JPA Page2 COUNTY OF SAN LUIS OBISPO CITY OF SAN LUIS OBISPO Katcho Achadjian Allen Settle Chairperson of the Board of Supervisors Mayor Approved by the City Council this day of , 2001. Approved by the Board of Supervisors this day of , 2001. ATTEST: Julie Rodewald Lee Price Clerk of the Board of Supervisors City Clerk Amendment No: 5 - City/County Library JPA APPROVED AS TO FORM: JAMES B LINDHOLM JEFFREY JORGENSEN COUNTY COUNSEL CITY ATTORNEY By: Deputy County Counsel *itto y , Sari Luis Obispo Cit p y c.ountyLibrary P.O. Box 8107, San Luis Obispo, CA 93403-8107 995 Palm Street (805) 781-5991 Library Administration (805) 781-5784 March 9, 2001 To Members of the City Council, City of San Luis Obispo Re: 2001/2003 Budget Allocation.for San Luis Obispo City-County Library This letter is to thank you for your support and to urge the City of San Luis Obispo to continue its partnership with the San Luis Obispo City-County Library with an allocation of$13,700 each year in your two-year budget. The San Luis Obispo City-County Library budget is precarious, at best. The amount of and mix of funding sources typically doesn't meet expenditure levels. This is true for several reasons and is not easily manipulable. A primary cause for this shortfall is the Library's dependence on the unitary tax, derived principally from PG&E. Over the years, some funding increases have been accomplished via subventions from the State (Public Library Fund) and the SLO County General Fund. At this time, the City of San Luis Obispo is the only city helping to support its own branch. Plans are in development to encourage the other five incorporated cities with branch libraries to pay their own fair share. Fund-raising efforts are increasing via the thirteen Friends of the Library groups and the Foundation for SLO County Public Libraries. However, a lack of adequate and diversified tax revenues is the fundamental problem. The City of San Luis Obispo's financial support enables us to be open for service on Wednesday evenings. The community gets a good value for the money. Our surveys indicate that having the Library open more hours in the evenings and on weekends is the number one priority for our community. During the past year the San Luis Obispo City Library: • checked out 373,954 items • answered 66,388 questions • introduced preschool-age children to the love of books through storytimes • encouraged children to read through the summer reading program RECEIVED MAR 1 -1 911101 SLO CITY (:1 f=Vij E �4 provided computers/Internet access and tutored Internet novices • delivered information through a variety of formats-- books, audiovisual materials, electronic databases and programs— to meet the needs of a diverse community Through your financial support, you partner with us to provide materials and services to people seeking knowledge, life-long learning and recreation. On behalf all the people who use our library, thank you for your past support and consideration of continued support. Sincerely, 9&. Judy Rohr Chief Librarian fi