Library and BOS Had Fair Warning
The Modoc County Board of Supervisors cannot hide behind ignorance when it comes to the revelation that the library system is in financial trouble and facing drastic measures to stay open.
In late 1997 a news article quoted then-Librarian Godelieve Uyttenhove prophetically predicting that once the library started drawing on its reserve funds it would run out of money by 2011.
That is exactly what has happened.
Curiously, this incriminating forecast was presented to the Board of Supervisors during its budget review sessions by current Librarian Cheryl Baker who succeeded Uyttenhove and who is responsible for the financial management of the library.
“Various financial projections show that library expenses are rising due to inflation, while revenue is staying pretty constant at around $286,000 per year because the tax rate was set in the 1988 vote at the level of $18 per landowner,” the news article in the Modoc County Record stated.
“The projections indicate that at some point in the next two years, expenses will outpace revenues. At that point, the library system would have to start dipping into its reserve fund,” the article continued, adding “the library reserve fund may well be the most misunderstood account in Modoc County. The myth has developed that it is an over whelming amount when in fact it is only around $300,000 - or just enough to fund the library for one year.”
“If we do some minor adjustments now, we won’t have to do anything drastic in ten years,” Uyttenhove was quoted as saying back in late 1997.
Instead of adjustments, the library has been running chronic deficits for many years, according to Chester Robertson, chief administrative officer.
Uyttenhove emphasized at the time that there was no crisis calling for drastic action, but “that’s precisely the reason to start looking for new solutions now.”
Fourteen years later the only “new solutions” apparent to the Board of Supervisors is the possibility of a ballot tax measure.
Could it get worse?
“The final solution, of course, is to cut services either through cutting staff, reducing hours, closing branches or just not buying new books,” the 1997 article stated.
However, Uyttenhove points out that in 1988, the voters were promised a "full service library system" and maintenance of "existing services," according to the article.
Uyttenhove ultimately lost her job for her frankness and joined a legion of others who bluntly told various Boards of Supervisors what they did not want to hear -- the list includes Donna Michelson, former executive director of the Children and Families Commission; Judi Johnson, director of the public health; and Mark Charlton, the chief administrative officer who exposed the treasury misappropriation nearly three years ago.
Thursday, January 5, 2012
Tuesday, January 3, 2012
Library Debacle
The Beginning of Accountability?
By Barbara March
After years of county officials illegally misappropriating the treasury and an ensuing domino effect that has taken the county to the edge of insolvency, the first direct hit the people of Modoc County are feeling is the loss of their public library.
The “debacle” in the words of county supervisor Dave Allan and the resulting debris -- fully supported by Librarian Cheryl Baker -- includes reducing hours and employee time at the Adin, Cedarville and Lookout branches, a vague notion to also reduce hours and staff at the main library in Alturas and the controversial firing of a full-time employee 18 months before retirement.
In the wake of a 3-2 vote by the Board of Supervisors approving these fiscal measures on Dec. 13 two members of the library’s advisory board resigned saying Baker never showed them a detailed line item budget or told them in advance that an employee layoff was coming.
The lack of financial information coming from Baker was standard procedure, according to Tom Romero who with Kathleen Fowler resigned from the advisory board.
"The library advisory board never saw a line item budget,” said Romero who also serves on the City of Alturas Planning Commission. “Whenever a budget was passed there was never a beginning balance. We never got a budget that had a beginning or ending balance."
Romero went on to delineate his reasons for resigning which include serious concerns about Brown Act violations, collective bargaining act violations and violations of the employee contract MOU.
But he's most incensed about the layoff.
"Laying off a full-time career employee is unconscionable,” Romero said. “In most cases you start with part-time first, then go up the food chain. You don't fire someone who's been a loyal county employee for years, two weeks before Christmas.
"I just didn't get enough information (at the meeting) to go on," Romero added. "I did not go there expecting to fire someone. I'm outraged that they would fire a full-time county employee without considering other options. If we could have had a full budget in front of us we would have been able to consider different permutations. I'm a life-long supporter of the library, in Los Angeles, San Francisco, Chicago and here in Modoc County."
The library advisory board vote was six to one. Romero was the one.
The remaining library advisory board members are Mark Steffek, Terry Williams, Richard Mackey, Phyllis Martin and Matt McCandless.
Asked about the firing of a long-time employee, Mark Steffek said, "this was not a decision that we came upon easily, especially at this time to year. It comes down to economic things, basically the library budget is not sufficient to continue operations and provide services."
Steffek said the library board was working on proposals for cuts, including staff time at branches, and the need to eliminate a full time position. They were aware that Mello Roos funding was not sufficient to maintain services, and that tax delinquencies and the loss of teeter plan meant the library only gets tax revenue that's collected, but Steffek said "we were caught off guard" by Baker's recommendation that they fire a full-time employee prior to Christmas.
"I suspect there could be other ways," Steffek said. He represents the Friends of the Library on the library advisory board and said the Friends have discussed whether they should concentrate on fund raising or on the more immediate need of keeping the library open and perhaps funding the staff person who has been laid off.
"Laying off of a full time staff person is not something we wanted to do," he repeated and added, "this has to go through the union and the MOU with the county. I don't know how that's going to work out. I don't know the process and we received limited information from Cheryl Baker."
Fueling the controversial handling of the library’s budget and employee management is the fact that Baker and Board of Supervisors have know of the impending financial crisis since 1997 when then-Librarian Godelieve Uyttenhove predicted that if the library drew from its reserve funds it would be broke by 2011.
This 14-year-old prediction was supported by Chester Roberston, chief administrative officer, in his recent budget review which revealed that a decline in interest rates, a reduction in assessment revenue and the fact that the library has been running chronic deficits for many years, utilizing the fund balance available that had accumulated from a fixed assessment from 1987 have led to its near demise.
Missing in the equation is the fact that neither the Board of supervisors or Baker, who replaced
Uyttenhove, took the forewarning seriously and saw that history was catching up to them.
"Historically the library relied on interest from the fund balance available," Robertson wrote in his budget review to the Board of Supervisors, "but declining interest rates and deficit spending has decimated such revenue. These factors have led to a major revenue shortfall that must be addressed in fiscal year 2011-2012. There is no cash in the treasury to back up the library fund balance. Everyone in this county thinks they're entitled to general fund money, it's an entitlement mentality."
Robertson went on to explain.
"The library's projected cash balance was $2,800 at the end of the year. If costs and services are not drastically reduced or a revenue measure placed in front of the voters, then partial shutdown costs that would remain unfunded could adversely impact the county general fund in 2012-2013 and beyond."
What he means is that it costs money to shut down a department, and pay employees for their compensated absences. And if the county cannot pay employees for their comp time upon termination that creates grounds for county bankruptcy.
It now appears that community members who support the library are marshaling forces to forestall what seems inevitable. Robertson, faced with union ramifications regarding layoffs and cutting staff hours is advocating what he calls the "tough love" approach and says "the public should decide," referring to the possibility of a ballot measure to raise taxes to keep the library alive.
The library will be holding public forum meetings in January in communities where branch libraries are impacted to discuss, "how we got into this position, to answer questions and brain storm solutions, " Steffek said.
The only solution Supervisor Dave Allan sees is a ballot measure.
"I don't see anyway of avoiding a ballot measure and asking the people for more money," said Allan, who along with Supervisor Patricia Cantrall, voted against Baker's request to terminate a full time library associate and part-time library assistant.
"I voted against Cheryl Baker's proposals because it was really wrong to keep dipping into that reserve fund knowing the library was on a downhill slide," said Allan. "The library debacle was way before my time. I hope my no vote is the beginning of accountability."
The following is tentative community library meeting schedule. Call Head Librarian Cheryl Baker at 233-6340 to confirm dates and times.
Tuesday, Jan. 17, Cedarville library - 5 p.m.
Wednesday, Jan. 18, Lookout library - 5 p.m.
Tuesday, Jan. 24, Adin library - 5 p.m.
Thursday Jan. 26, Alturas library - 5 p.m.
The Beginning of Accountability?
By Barbara March
After years of county officials illegally misappropriating the treasury and an ensuing domino effect that has taken the county to the edge of insolvency, the first direct hit the people of Modoc County are feeling is the loss of their public library.
The “debacle” in the words of county supervisor Dave Allan and the resulting debris -- fully supported by Librarian Cheryl Baker -- includes reducing hours and employee time at the Adin, Cedarville and Lookout branches, a vague notion to also reduce hours and staff at the main library in Alturas and the controversial firing of a full-time employee 18 months before retirement.
In the wake of a 3-2 vote by the Board of Supervisors approving these fiscal measures on Dec. 13 two members of the library’s advisory board resigned saying Baker never showed them a detailed line item budget or told them in advance that an employee layoff was coming.
The lack of financial information coming from Baker was standard procedure, according to Tom Romero who with Kathleen Fowler resigned from the advisory board.
"The library advisory board never saw a line item budget,” said Romero who also serves on the City of Alturas Planning Commission. “Whenever a budget was passed there was never a beginning balance. We never got a budget that had a beginning or ending balance."
Romero went on to delineate his reasons for resigning which include serious concerns about Brown Act violations, collective bargaining act violations and violations of the employee contract MOU.
But he's most incensed about the layoff.
"Laying off a full-time career employee is unconscionable,” Romero said. “In most cases you start with part-time first, then go up the food chain. You don't fire someone who's been a loyal county employee for years, two weeks before Christmas.
"I just didn't get enough information (at the meeting) to go on," Romero added. "I did not go there expecting to fire someone. I'm outraged that they would fire a full-time county employee without considering other options. If we could have had a full budget in front of us we would have been able to consider different permutations. I'm a life-long supporter of the library, in Los Angeles, San Francisco, Chicago and here in Modoc County."
The library advisory board vote was six to one. Romero was the one.
The remaining library advisory board members are Mark Steffek, Terry Williams, Richard Mackey, Phyllis Martin and Matt McCandless.
Asked about the firing of a long-time employee, Mark Steffek said, "this was not a decision that we came upon easily, especially at this time to year. It comes down to economic things, basically the library budget is not sufficient to continue operations and provide services."
Steffek said the library board was working on proposals for cuts, including staff time at branches, and the need to eliminate a full time position. They were aware that Mello Roos funding was not sufficient to maintain services, and that tax delinquencies and the loss of teeter plan meant the library only gets tax revenue that's collected, but Steffek said "we were caught off guard" by Baker's recommendation that they fire a full-time employee prior to Christmas.
"I suspect there could be other ways," Steffek said. He represents the Friends of the Library on the library advisory board and said the Friends have discussed whether they should concentrate on fund raising or on the more immediate need of keeping the library open and perhaps funding the staff person who has been laid off.
"Laying off of a full time staff person is not something we wanted to do," he repeated and added, "this has to go through the union and the MOU with the county. I don't know how that's going to work out. I don't know the process and we received limited information from Cheryl Baker."
Fueling the controversial handling of the library’s budget and employee management is the fact that Baker and Board of Supervisors have know of the impending financial crisis since 1997 when then-Librarian Godelieve Uyttenhove predicted that if the library drew from its reserve funds it would be broke by 2011.
This 14-year-old prediction was supported by Chester Roberston, chief administrative officer, in his recent budget review which revealed that a decline in interest rates, a reduction in assessment revenue and the fact that the library has been running chronic deficits for many years, utilizing the fund balance available that had accumulated from a fixed assessment from 1987 have led to its near demise.
Missing in the equation is the fact that neither the Board of supervisors or Baker, who replaced
Uyttenhove, took the forewarning seriously and saw that history was catching up to them.
"Historically the library relied on interest from the fund balance available," Robertson wrote in his budget review to the Board of Supervisors, "but declining interest rates and deficit spending has decimated such revenue. These factors have led to a major revenue shortfall that must be addressed in fiscal year 2011-2012. There is no cash in the treasury to back up the library fund balance. Everyone in this county thinks they're entitled to general fund money, it's an entitlement mentality."
Robertson went on to explain.
"The library's projected cash balance was $2,800 at the end of the year. If costs and services are not drastically reduced or a revenue measure placed in front of the voters, then partial shutdown costs that would remain unfunded could adversely impact the county general fund in 2012-2013 and beyond."
What he means is that it costs money to shut down a department, and pay employees for their compensated absences. And if the county cannot pay employees for their comp time upon termination that creates grounds for county bankruptcy.
It now appears that community members who support the library are marshaling forces to forestall what seems inevitable. Robertson, faced with union ramifications regarding layoffs and cutting staff hours is advocating what he calls the "tough love" approach and says "the public should decide," referring to the possibility of a ballot measure to raise taxes to keep the library alive.
The library will be holding public forum meetings in January in communities where branch libraries are impacted to discuss, "how we got into this position, to answer questions and brain storm solutions, " Steffek said.
The only solution Supervisor Dave Allan sees is a ballot measure.
"I don't see anyway of avoiding a ballot measure and asking the people for more money," said Allan, who along with Supervisor Patricia Cantrall, voted against Baker's request to terminate a full time library associate and part-time library assistant.
"I voted against Cheryl Baker's proposals because it was really wrong to keep dipping into that reserve fund knowing the library was on a downhill slide," said Allan. "The library debacle was way before my time. I hope my no vote is the beginning of accountability."
The following is tentative community library meeting schedule. Call Head Librarian Cheryl Baker at 233-6340 to confirm dates and times.
Tuesday, Jan. 17, Cedarville library - 5 p.m.
Wednesday, Jan. 18, Lookout library - 5 p.m.
Tuesday, Jan. 24, Adin library - 5 p.m.
Thursday Jan. 26, Alturas library - 5 p.m.
Sunday, January 1, 2012
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