Library Budget 2008-09 Information

Fiscal Year 2007-08 Budget (Current)

The City of Los Angeles is currently facing a severe financial shortfall. The Citys midyear financial report identified a deficit of approximately $155 million for the current year (FY 2006-2007). To reduce this deficit, the Mayor and City Council reduced department budgets. The Librarys mid-year budget reduction included $2 million from books and other budgetary accounts, $1.1 million in cost of living salary increases for employees, and $600,000 in mandatory salary savings which is equal to a five percent total cut in the Librarys 200708 budget. The impact was acute because of the timing; the entire cut must be absorbed in the last 5 months of the fiscal year and cannot be amortized over 12 months. As a result of this and the book-buying cycle, the Library suspended book purchases for the remainder of the fiscal year, which ends in June.

Fiscal Year 2008-09 Budget

The City is facing an estimated budget shortfall of $400 million for the year. To reduce this deficit, the Mayor and city council have directed departments to decrease expenses and increase fees. The Library department has responded with proposals to institute several fees including:

1. Reserve Fee: Among the Library fees proposed is re-instating a fee for placing a hold on books. The fee is $1. A charge for holds had been in place in previous years.
2. Loan Period Change: Due to previous cuts in the book budget and a reduced supply of books, the Library has proposed changing the loan period from 3 weeks to 2 weeks to provide more people with greater access to the Librarys books.

Budget Outlook

In accordance with the Mayors budget instructions, the Library submitted a “zero growth” budget for FY2008-09. Until the budget is released on April 21, the Library does not know what–if any–funds will be cut from the Library budget.

Budget Process

Information about the Librarys budget will be contained in the Mayors proposal for the city budget, scheduled for release on April 21. Public input on the budget will be sought in the following weeks during budget hearings held by the City Councils Budget and Finance Committee and the full City Council. The full Council is expected to vote on the budget by the end of May. The Mayor can then approve or veto the budget. The final budget requires the approve or the Mayor and City Council. 2