City of Yorkville Library Board Community Relations Committee met May 24.
Here is the minutes provided by the committee:
The meeting was called to order at 7:00pm by Committee Chairman Jason Hedman and roll was called.
Roll Call:
Jason Hedman-yes, Russ Walter-yes, Susan Chacon-yes
Absent: Rosie Millen
Others Present:
Library Board President Darren Crawford, Library Director Shelley Augustine, Daniel Chacon
Recognition of Visitors:
Mr. Hedman recognized the guests.
Public Comment: None
New Business:
Discussion of Library District
Mr. Hedman said the discussion would start with examining the costs to form a Library District and then considering other aspects. Mr. Walter received a list of city services provided to the library, from the City Finance Director, as well as information from Mr. Tom Lindblom of BKFD.
The committee discussed the various costs associated with the services now provided by the city. They reviewed the costs of Paylocity, a payroll service, which BKFD uses. Governmental Accounting, an accounting firm, was suggested for overseeing bills, managing the tax levy and other accounting services. The city currently manages health/life insurance as well as IMRF management. Setup costs may also be incurred for these services. Additional benefits package information will be researched.
Other costs considered were parking lot maintenance, mowing, grounds cleanup, snow removal, equipment inspections, light bulb replacement, electricity, water, gas, water and trash collection. It is believed the electrical costs are 95% paid through a franchise agreement and Mr. Hedman asked if electrical usage information could be obtained. The committee would like to bundle some of these costs.
Mr. Hedman suggested looking at comparable size budgets from nearby districts to determine if any other expenses have been overlooked. Sugar Grove and Morris were mentioned and they will also be asked about accounting service costs and a benefits broker. Mr. Walter said he will contact a broker who presented info for a District formation 10 years ago.
The committee then turned to the legal costs of actually forming a District. Mr. Crawford stated the library attorney said the cost is $16,000 if the city agrees, or more if a referendum is required. Mr. Walter said a timeline will be needed and May 1st next year, should be the start date if a District is formed. Mr. Crawford noted that it is a 6-month process once the resolution is approved.
Since the library bonds are handled through the city, Mr. Crawford will ascertain if this complicates the bond process.
The committee questioned if the library would continue to receive levy money if they go to District in the middle of the tax levy year or if there would there be a funding gap while transitioning from a Public Library to District Library. Ms. Augustine will research RAILS for funding overlaps.
Mr. Hedman recapped the items that will be researched further:
--Employee benefits, broker and costs
--Lawn mowing, snow removal, parking lot
--Added utilities, trash, electric
--Cost for accounting services
--Review other budget line items
--Legal costs, difference between referendum and city council approval
--Building bond
--Funding gap, timing
If $80,000 to $150,000 of additional expenses were added to the budget, it could be a financial burden for the library, said Mr. Hedman. The benefit of a District is to annex additional areas. Questions to be answered are.....will the increased tax base be enough for the additional costs, is there enough demand to offset the cost, how much annexing is necessary to bring the needed revenue? To break even, approximately 400 additional homes or 10% of households outside of Yorkville, would be needed for the District. Ms. Chacon said the committee must also consider that the cost of some city services may increase.
Mr. Hedman said that once the committee has a good grasp of the expenses, the next step is to determine the feasibility of a District. A marketing pitch with strong messaging is needed to help citizens understand why the library is seeking a District. The committee suggested canvassing the Bristol area for interest levels perhaps by using mailers, going door to door or contacting HOA's. Mr. Hedman said the Friends of the Library would also be a great resource. According to Mr. Crawford, three Aldermen have already endorsed the District idea. Mr. Hedman asked if Mr. Walter had the documents from the first fact-finding for review.
The full Board will be updated with cost estimations and other information.
Adjournment:
The meeting was adjourned at 8:23pm.
https://www.yorkville.il.us/ArchiveCenter/ViewFile/Item/4052
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