Geauga Public Library to Give up $600K after Budget Hearing

September 2, 2021 by Ann Wishart

Geauga Public Library representatives tangled with the Geauga County Budget Commission Aug. 27 and came away $600,000 poorer.

The hearing was confrontational from beginning to end, with the commission concerned the library does not have expenditure plans for construction of the library in Chardon and the library contingent defending their intentions.

At the start of the meeting, it was noted the library’s projected ending cash balance for 2022 is $12.7 million.

“I’m confused,” said Geauga County Prosecutor Jim Flaiz, asking if the board was putting money away to build or add on to the library on the square in Chardon.

In 2017, county voters passed a 0.5-mill, $24 million bond issue for construction on three new libraries – one in Bainbridge Township, one in Thompson Township and one in Chardon. The first two have been completed.

Other library expenses are covered by two 1-mill continuing levies.

According to the 2020 budget, the library saved more than $600,000 it had budgeted due conditions related to the COVID-19 pandemic, Geauga County Auditor Chuck Walder said.

The library budget also shows $300,000 in a repair fund while only $2.6 million is allocated for repairs in the budget, he said.

But he was primarily concerned the library board is holding the remnants of the 0.5-mill bond for construction at the Chardon library and the budget did not justify that with a detailed estimation of expenses for the new structure.

“Your order of funding for the project is backward,” Walder said, and went on to explain the required method of budgeting for construction.

“First you define the project, then you find the revenue,” he said.

He also asked if the seven-member library board of trustees was involved in the 2022 budgeting process.

“I find it rare in a budget of this magnitude that there was no debate, no public testing,” he said.

“At every meeting, we are discussing funding. Watching one budget hearing doesn’t give you a good picture,” said library Fiscal Officer Lisa Havlin. “We did define the issue.”

However, the board’s plans to nearly double the size of the Chardon library branch from about 17,000 square feet to about 30,000 square feet have involved finding enough space for parking and discussions with the city administration, she said.

Geauga County Treasurer Chris Hitchcock returned to dollars and cents at the commission’s meeting with the library on Aug. 16.

“Eleven days ago, you came and said you are going to build. How much are you going to spend?” he asked.

Walder said if the library is going to hold that money, a need for it must be articulated.

“You may have this great idea, but we don’t see it,” he said. “We have to test if the budget is justified.”

Board member Kate Pitrone said the library board indicated they were willing to not collect $300,000 from one levy in 2022 and possibly cut collection the following year, depending on the circumstances. When a board meeting was called to pass a resolution to that effect, a quorum could not be reached so no action was taken, she said.

The budget shows the library will have $7.1 million unencumbered at the end of 2022, Walder said, adding the library does good things and they need to invest in learning how budgets are vetted.

The total saved in 2020 from COVID-19-related changes was $681,000, he said.

Hitchcock said the budget overage was inexcusable.

“A reduction of $600,000 is the very minimum of what should be passed by the board because of unacceptable budgeting practices,” he said. “For the library not to accept the notion that moneys saved don’t belong to the taxpayers is wrong. We are here to represent the taxpayers.”

He made a motion for a $600,000 reduction for the library funds starting in January 2022.

Flaiz and Hitchcock voted yes and Walder voted no.

When asked later why he voted no, Walder texted, “I voted no because I was hoping the library would voluntarily give back funds.”

Havlin said in a phone conversation Aug. 30 she had discussed the budget over the phone several times between the two budget commission meetings and had expected a short meeting with the commission on Aug. 27.

She also said the library has two continuing 1-mill levies that yield about $5.8 million a year to cover expenses for five libraries, the administration center and about 150 employees.

In an email communication with Walder following Aug. 27, interim library Director Kris Carroll thanked Walder for taking the time to talked to her after the hearing.

“I understand the responsibility the Geauga County BC has balancing the needs of county entities with the needs and wishes of the taxpayers,” she said. “While we may disagree on where the balance lies, I look forward to working with the BC in the future to develop and follow best budgeting practices while continuing to provide excellent library services to the community. I appreciate your feedback today and look forward to a good working relationship.”