City Council approves library fee changes and fundraising plans amid budget concerns

The Highland City Council convened on March 18, 2025, to discuss several key agenda items, including changes to library fees and a follow-up on the library fund study.

The meeting began with a motion to adopt changes to the library fee schedule, specifically eliminating overdue fines and increasing the non-resident fee to $90 per year, effective April 7, 2025. The motion was unanimously approved with a vote of 5-0.

Following the fee discussion, the council addressed a communication item regarding the library fund. A study commissioned from Fred Philpott assessed the financial viability of the library amid rising inflation and increased demand for services. The study indicated that without additional funding, the library may struggle to maintain current service levels. Key assumptions included a projected 2% annual growth in revenue and expenses, alongside an anticipated addition of 100 housing units in Highland over the next two years.

Concerns were raised about the potential impact of higher inflation on staff wages, which constitute 70% of the library's budget. The council noted that the current budget for fiscal year 2026 includes a 3% salary increase for city employees, suggesting that the library's wage increase may need to be adjusted accordingly.

The discussion also highlighted the financial implications of potential cuts to state funding for library services, particularly affecting the Libby digital service, which relies heavily on federal grants. If funding were to decrease, the library could face an additional $30,000 in costs annually, significantly impacting its materials budget.

The council explored various scenarios for the library's future, including maintaining current service levels without replacing aging materials, which would require additional funding to replace 15% of the collection and hire more staff. The possibility of utilizing funds from the Friends of the Library and the library foundation was also discussed, although it was noted that these sources may not be sufficient to cover the anticipated costs.

In conclusion, the meeting underscored the library's financial challenges and the need for strategic planning to ensure continued service delivery in the face of rising costs and changing funding landscapes. The council plans to revisit these discussions as they prepare for future budget considerations.