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HomeMy WebLinkAbout050520-08.1ADMINISTRATIVE STAFF REPORT 8.1 TO: Mayor and Town Council May 5, 2020 SUBJECT: 2020/21 Library Services BACKGROUND —_ The Danville Library was built by the Town in 1996 and operates as one of the 26 branches in the Contra Costa County Library system. The Danville Library currently operates Monday through Sunday, 60 hours per week. The County Library funds 35 base hours of service through property taxes collected by the system, while the Town funds an additional 25 hours of service through its General Fund. The cost of the 25 supplementary hours of service funded through the Towri s General Fund is $213,984 for 2019/ 20 and was initially proposed to increase to $230,038 for 2020/ 21. The 60 hours of service is the maximum number of hours provided through any of the 26 branch libraries in Contra Costa County. The Danville Library also benefits from outstanding community support provided by the Friends of the Danville Library and the Danville Library Foundation. DISCUSSION Like other sectors of the economy, local government operations are being significantly impacted by the current COVID-19 pandemic. While the Town has taken steps necessary to reduce operating costs for the balance of the current fiscal year that runs through June 30, planning is now well underway for developing the 2020/21 Operating Budget. The Town Council will be reviewing draft budget scenarios in detail beginning in late May, with the goal of adopting a budget by the June 30 deadline. However, the County Library has advised the Town that a decision on how to proceed with supplemental operating hours for 2020/21 is needed prior to Town consideration of the entire 2020/21 budget. The duration. of the -current pandemic along with the ongoing -economic impacts —will significantly affect the budget process for 2020/21 and beyond. Sales Tax, Gas Tax, Measure J, Transient Occupancy Tax and Parks and Recreation Fees and Charges are among the Town revenues expected to be impacted. At present, staff is developing scenarios for service and expenditure adjustments to offset revenue reductions of $3.5, $5.3 and $7.5 million. There continue to be a significant number of variables and unknowns, and the budget process for the upcoming year is expected to include numerous check -ins and/or updates to ensure that service delivery continues to operate within the Towri s financial means. Options for 2020/21 Library Services All County library branches are currently closed. Re -opening involves a number of unknowns related to timing, and the type and extent of services that will be available. Both physical changes to the building and operational changes will be required in order to increase social distancing and protect patrons and staff. Operational changes could range from having no or limited public access to the building, to operating with more limited public access by curtailing seating, use of public meeting spaces etc. These decisions may occur in stages and are expected to impact the ability of some library patrons to utilize the Library in ways that have previously been possible. Due to these uncertainties, for the balance of 2019/ 20 (April 7-June 30) the Town will not be charged for the 25 supplemental hours of service once the library re -opens. This will reduce the Towri s 2019/20 General Fund cost by approximately $52,000. In planning for 2020/21, the County Library is considering how to deliver services in light of the previously described operational changes, the number of branches that they operate and the number of supplemental hours that individual cities are funding. This translates to forecasting staffing needs and costs. Staffing changes must follow a prescribed process and be communicated to affected employee groups within certain timelines. Because of the way that Sunday hours are staffed, the County Library has decided to discontinue Sunday hours at all branches. All cities that are currently funding supplemental hours will have two service delivery options to consider for 2020/21. They are: 1) continue to fund the current number of supplemental hours iriiniis Suniday hours; or 2) operate for 35 hours per week. For Danville, Option 1 - 56 hours of service would reduce General Fund costs from $230,038 to $202,838, a savings of $27,200. Option 2 - 35 hours of service would reduce General Fund costs from $230,838 to $0. Should the Town opt for 56 hours of operation, it will be possible to re -consider how operations are progressing and to consider reducing service to 35 hours at mid -year (December 31, 2020). Town Council direction is sought as to whether to plan for 35 hours or 56 hours of service as -part -of the service delivery and fiscal si enarlo to -be -presented with thi2 2020/21-draft Operating Budget. PUBLIC CONTACT Posting of the meeting agenda serves as notice to the general public. 2020/21 Library Services 2 May 5, 2020 FISCAL IMPACT Potential General Fund savings ranging from $27,200 to $230,838. Actual savings will be determined upon consideration and adoption of the 2020/21 Operating Budget. RECOMMENDATION Provide direction to Town staff regarding inclusion of Supplementary Library hours in the draft Danville 2020/21 Operating Budget. Prepared and Reviewed by: Joseph Calabrigo Town Manager 2020/21 Library Services 3 May 5, 2020