MINUTES OF THE MEETING THRALL PUBLIC LIBRARY DISTRICT OF MIDDLETOWN AND WALLKILL BOARD OF TRUSTEES December 9, 2015 I. Attendance Mrs. Crown called the roll. Present Mrs. Lois Ruckert, President (arrived @ 5:14pm) Mrs. Tonia Crown, Vice President Ms. Marlena Lange, Secretary (arrived @ 5:32pm) Ms. Barbara Kay, Financial Officer Mr. Richard C. Bell Mrs. Rosa Boyd Mr. Carl Berkowitz Mr. Matthew Pfisterer, Director Absent None Visitors None II. Agenda A. Roll Call G. Financial Officer's Report B. Minutes H. Committee Report C. Visitor Comments I. Old Business D. Correspondence J. New Business E. President's Report K. Adjournment F. Director's Report III. Discussion and Recommendation A. Mrs. Tonia Crown, Vice President, opened the meeting at 7:00pm and led the pledge to the flag. B. Minutes Mr. Berkowitz moved for adoption of the minutes of the November 4, 2015 meeting. Mr. Bell seconded. Ayes: Crown, Berkowitz, Bell, Boyd, Kay - 5 Noes: None Motion declared approved. (12/09/15 - 72) C. Visitor Comments No visitors. D. Correspondence A copy of all correspondence sent to each Board member is attached to the official minutes. Mr. Bell explained his vote against the RCLS budget last month. (The following is what was read to the Board by Mr. Bell): I have been asked to explain why I continue to vote against the RCLS budget and I can sum it up in a few words. I don't believe they are being fiscally responsible as they could be and one of the reasons for that fiscal irresponsibility is the Service Fee which they pass on to the member libraries. It has been stated that RCLS is doing all it can to keep spending down in the wake of the state cutbacks and their need for the service fee from the member libraries. As you will recall, I questioned the need for a 35% increase in the 2014 budget for Travel and Conference fees. As it turns out, while RCLS budgeted $45,143 for this item, they actually spent $27,738. So they didn't really need that increase. A further examination of the 2014 RCLS budget finds that RCLS actually spent @$112,737 less than they told the libraries they needed for operation. Carrying things further, they asked the Libraries to provide $104,000 in service fees. That means all of the service fees, plus some additional funds went into the RCLS reserve fund. Do we as participants in that fund know anything about it? Like how much is there, what it is used for, who approves spending fund, what is the RCLS goal for that Fund. In other words, when is the reserve fund big enough. We have been told that the reserve fund is needed to avoid borrowing when state checks are late arriving. Well, if the borrowing rate is 3% a year, I estimate that if RCLS had no income from the state for six months RCLS would have to pay about $21,000 in interest. Instead, it charges $104,000 to the libraries. Since 2014, RCLS has dropped the Service Fee down to $97,093. I also wanted to compare RCLS spending on various items with the spending in other Library Systems across the state. I looked into those systems north and west of Westchester County because I felt they would be more representative of the RCLS system. Unfortunately, I could not find enough budgets for other systems to make any comparisons meaningful. However, I did find payroll figures for 16 of the 17 systems in the upstate area. I then used 2011and 2015 figures for some comparisons which I believe are actually 2010 and 2014 salary figures that were posted in 2011 and 2015. Since the reports do not identify whether an employee is full-time or part-time, I used a salary of $15,000 a year or more as the base line for a full-time employee. Here are my findings: RCLS has 24 such employees. The average system has 14. Only one other system in the state has a higher number of employees, North Onondaga with 25. The average payroll for a Library System, is $602,867. RCLS has a payroll of $1,387,492. Note: The 2016 RCLS Budget has a payroll of $1,588,150. While we are told that RCLS has made staff cuts in order to save money, the RCLS payroll has actually increased by $18,192 since 2011. The average payroll in the other systems has decreased by an average of a little over $46,000 during the same period. The average salary for a system Director is $84,250 a year. RCLS pays our Director $155,160. The next highest paid Director receives a salary of $109,279. Both Directors have been in their current positions for at least the last 5 years. During the last few years it has been suggested that RCLS follow the lead of the Mid- Hudson system and outsource its book delivery system. That was rejected because of the possibility of a union strike. Union strikes tend to be infrequent and of short duration in this day and age, but we continue to pay many thousands of dollars every year to maintain our system. We continue to be told that there is a need to maintain a laundry list of services for our Libraries, some of which are readily available for free at the State Library offices in Albany. The state has imposed a cap on the amount of money that can be raised through taxation, but there is no cap on the amount of money RCLS can impose on the libraries through service fees. The only way to voice discontent with this system. Is by rejecting the RCLS budget. During the last few years we have paid many thousands of dollars to RCLS for service fees. I have shown that all of the current fees are going to the RCLS reserve fund which we have no control. Would I object to the RCLS budget if it did not have service fees? Probably not. Mid- Hudson and at least one other system in the state collect a small amount of money from users for inter-library loans. We are told this is not legal. I think the problem is a matter of control. It is easier to know how much is available and where it is coming from if you impose a fee on the library instead of taking revenue collected for inter-library loans. RCLS is in control of the service fees…they don't know from year to year exactly how much to count on from book fees. We would be making dramatic and drastic cuts to our service program if we did not have income from the Friends of Thrall Library. To me, that doesn't mean we sit back and do nothing about our fiscal problems until the day the Friends can't make up the difference. four-thousand dollars is just a small amount in our budget, but I feel we need to keep the money here. It would help to pay off the coming boiler repairs, for instance. State funding increases for libraries are not a sure thing. Libraries have been the recent recipients of increased funding, although it is still below the amount dictated by state law, because our Assembly and Senate people have been able to trade their library support for some other part of the budget. What if the price for the trade becomes too high? Then library aid will be cut and RCLS will turn to the service fees to make up the difference. To sum up I continue to oppose the service fees because they act as a disincentive to RCLS to make real meaningful financial cuts and because it provides RCLS with an unlimited reserve fund, something that is not available to any individual library above certain guidelines. I believe RCLS counts on library trustees to accept what they are saying and accept whatever fee is imposed. It is only by continuing to oppose the RCLS budget that we can make our voice heard, and hopefully some other libraries will start asking the same questions. Mrs. Crown moved for Mr. Pfisterer to present Mr. Bell's letter to the RCLS Board on behalf of the Middletown Thrall Library Board of Trustees. Ms. Kay seconded. Ayes: Ruckert, Crown, Bell, Boyd, Kay, Lange - 6 Noes: None Abstain: Berkowitz -1 Motion declared approved. (12/09/15 - 73) E. President's Report Mrs. Ruckert discussed having the Director evaluate the full-time staff. Mr. Berkowitz moved to approve Mr. Pfisterer evaluating the full-time staff, using the form in the Clerical/Custodian contract within the next six months. Mr. Pfisterer will create a form for the Librarians. Ms. Kay seconded. Ayes: Ruckert, Crown, Berkowitz, Bell, Boyd, Kay, Lange - 7 Noes: None Motion declared approved. (12/09/15 - 74) F. (A copy of the Director's Report sent to each Board member is attached to the official minutes.) G. Financial Officer's Report Mr. Pfisterer reported on the accounts and balances. H. Committee Reports Finance Committee: Ms. Kay moved that the regular monthly disbursements for October 2015 in the amount of $90,663.95 having been audited by Rosa Boyd and found to be correct, be approved. Ms. Kay moved that the regular monthly disbursements for November 2015 in the amount of $76,376.53 having been audited by Lois Ruckert and found to be correct, be approved. Mr. Berkowitz seconded. Ayes: Ruckert, Crown, Berkowitz, Bell, Boyd, Kay, Lange - 7 Noes: None Motion declared approved. (12/09/15 - 75) BUDGET TRANSFER #3 Ms. Kay moved that the Board of Trustees of Middletown Thrall Library accept the following budget transfers: TO: L7410.8502.12.0000.5 Office & Library Supplies $ 2,000.00 FROM: L7410.8450.12.0000.0 Building Utilities $ 2,000.00 TO:L7410.8506.12.0000.5 Circulation Control $ 1,000.00 L7410.8514.12.0000.5 AV Supplies $ 2,000.00 FROM: L7410.8411.12.0000.0 Postage $ 3,000.00 TO:L7410.8462.12.0000 Service Contracts $13,000.00 FROM: L7410.8540.12.0000.5 Repairs & Maintenance $13,000.00 TO:L7410.8440.12.0000.0 Professional Services $ 1,000.00 FROM: L7410.8449.12.0000.0 Election Costs $ 1,000.00 TO:L7410.8164.12.0000.6 Cleaners Part-Time $ 5,000.00 FROM: L7410.8167.12.0000.6 Clerical P/T $ 5,000.00 (to cover overdrafts) Ms. Lange seconded. Ayes: Ruckert, Crown, Berkowitz, Bell, Boyd, Kay, Lange - 7 Noes: None Motion declared approved. (12/09/15 - 76) Building & Grounds: Ms. Lange reported on Building & Grounds. Plumbing repairs have been completed on the second floor men's room urinal and the first floor women's room toilet. Both are now working properly. Mr. Pfisterer signed the agreement as per Board vote with the local engineering firm for services related to the design and installation of a new boiler system for the library. We have installed a new WiFi network on the second floor of the library building which will extend a strong public internet signal throughout the library's second floor. We have received no reports or evidence of insect infestation in the building. Nominating Committee: Ms. Lange reported that everyone she asked to be an Officer agreed to the following positions: President: Tonia Crown Vice-President Richard Bell Financial Officer: Barbara Kay Secretary: Carl Berkowitz I. Old Business Mr. Pfisterer reported that there is no further information on the 2016 PILOT. Ms. Kay moved to adopt a 403B Plan with OMNI'S third party Administrative Services. Ms. Lange seconded. Ayes: Ruckert, Crown, Berkowitz, Bell, Boyd, Kay, Lange - 7 Noes: None Motion declared approved. (12/09/15 - 77) J. New Business Mr. Pfisterer discussed Library Circulation Trends. Ms. Kay moved to increase the part-time staff the same percentage as the full-time contracts and part-time staff earning $14.00 or less per hour will receive an additional twenty-five cents per hour in 2016. Mrs. Crown seconded. Ayes: Ruckert, Crown, Berkowitz, Bell, Boyd, Kay, Lange - 7 Noes: None Motion declared approved. (12/09/15 - 78) Mr. Berkowitz moved to go into executive session at 6:10pm to discuss salaries. Mrs. Crown seconded. Ayes: Ruckert, Bell, Berkowitz, Kay, Crown, Lange, Boyd - 7 Noes: None Motion declared approved. (12/09/15 - 79) The Board returned from executive session at 6:23pm. Ms. Kay moved to accept the Administrative salaries for 2016. Ms. Lange seconded. Ayes: Ruckert, Bell, Berkowitz, Kay, Crown, Lange, Boyd - 7 Noes: None Motion declared approved. (12/09/15 - 80) L. Adjournment Ms. Lange moved to adjourn the meeting at 6:24pm. Mr. Berkowitz seconded. Ayes: Ruckert, Bell, Berkowitz, Kay, Crown, Lange, Boyd - 7 Noes: None Motion declared approved. (12/09/15 - 81) Respectfully submitted, Marlena Lange, Secretary TABLE OF MOTIONS (01/14/15 - 1) Accepted slate of officers (01/14/15 - 2) Designated Middletown Times Herald Record as official newspaper (01/14/15 - 3) Designated the Orange County Trust Company as official bank (01/14/15 - 4) Designated Stifel-Nicholas as Investment Firm (01/14/15 - 5) Appointed Robert Isseks as Library District's Attorney (01/14/15 - 6) Adjournment (01/14/15 - 7) Approval of 12/18/14 minutes (01/14/15 - 8) Approved BUDGET AMENDMENT #8 (12/31/14); BUDGET AMENDMENT #1 (01/14/15) (01/08/15 - 9) Adjournment (02/11/15 - 10) Approval of 1/14/15 reorganizational minutes (02/11/15 - 11) Approval of 1/14/15 minutes (02/11/15 - 12) Executive session (02/11/15 - 13) Approved BUDGET AMENDMENT #2; monthly disbursements for December 2014 and January 2015 (02/11/15 - 14) Executive session (02/11/15 - 15) Adjournment (03/11/15 - 16) Approval of 2/11/15 minutes (03/11/15 - 17) Approved BUDGET AMENDMENT #9 (12/31/2014) (03/11/15 - 18) Approved BUDGET TRANSFER #3 (Final - 12/31/2014) (03/11/15 - 19) Approved monthly disbursements for February 2015 (03/11/15 - 20) Executive session (03/11/15 - 21) Accepted NYS Annual Report for 2014 (03/11/15 - 22) Adjournment (04/08/15 - 23) Approval of 3/11/15 minutes (04/08/15 - 24) Approved monthly disbursements for March 2015 (04/08/15 - 25) Approved 2015 election timetable (04/08/15 - 26) Adjournment (05/13/15 - 27) Approval of 4/8/15 minutes (05/13/15 - 28) Executive session (05/13/15 - 29) Executive session (05/13/15 - 30) Approved monthly disbursements for April 2015; BUDGET TRANSFER #1 (05/13/15 - 31) Adopted Collection Management Policy (05/13/15 - 32) Executive session (05/13/15 - 33) Adjournment (06/10/15 - 34) Approval of 5/13/15 minutes (06/10/15 - 35) Approved monthly disbursements for May 2015 (06/10/15 - 36) Approved BUDGET AMENDMENT # 3 (06/10/15 - 37) Executive session (06/10/15 - 38) Accepted Memorandum of Agreement with Lib./Clerks/Custodians (06/10/15 - 39) Executive session (06/10/15 - 40) Adjournment (07/08/15 - 41) Approval of 6/10/15 minutes (07/08/15 - 42) Executive session (07/08/15 - 43) Approved monthly disbursements for June 2015 (07/08/15 - 44) Approved BUDGET AMENDMENT #4 (07/08/15 - 45) Approved contractual employee for 6 weeks (07/08/15 - 46) Accepted proposed 2016 preliminary budget (07/08/15 - 47) Approved NYS Override Amendment (07/08/15 - 48) Accepted 2014 Library Audit Report (07/08/15 - 49) Adjournment (09/09/15 - 50) Approval of 7/8/15 minutes (09/09/15 - 51) Approved monthly disbursements for August 2015 (09/09/15 - 52) Approved monthly disbursements for July 2015 (09/09/15 - 53) Approved BUDGET TRANSFER #2 (09/09/15 - 54) Adjournment (09/15/15 - 55) Approved 2016 Library District Budget (09/15/15 - 56) Adjournment (10/07/15 - 57) Approval of 9/9/15 minutes (10/07/15 - 58) Approval of 9/15/15 Special Meeting Minutes (10/07/15 - 59) Approved monthly disbursements for September 2015 (10/07/15 - 60) Approved BUDGET AMENDMENT #5 (10/07/15 - 61) Certified Election (10/07/15 - 62) Executive session (10/07/15 - 63) Adjournment (11/04/15 - 64) Approval of 10/8/15 minutes (11/04/15 - 65) Executive session (11/04/15 - 66) Executive session (11/04/15 - 67) Accept proposal for Blueprints for boilers (11/04/15 - 68) Motion failed to approve 2016 RCLS Budget (11/04/15 - 69) Board approved to not accept 2016 RCLS Budget (11/04/15 - 70) Accepted Disaster Plan Amendment (11/04/15 - 71) Adjournment (12/09/15 - 72) Approval of 11/4/15 minutes (12/09/15 - 73) Approved Director to present letter to RCLS Board (12/09/15 - 74) Approved Director to evaluate FT Staff (12/09/15 - 75) Approved monthly disbursements for October and November (12/09/15 - 76) Approved BUDGET TRANSFER #3 (12/09/15 - 77) Adopted 403B Plan (12/09/15 - 78) Approved PT Salaries (12/09/15 - 79) Executive Session (12/09/15 - 80) Approved Administrative salaries (12/09/15 - 81) Adjournment (12/29/15 - 82) Supported agreement between Town of Wallkill and Crystal Run Galleria (12/29/15 - 83) Adjournment