State librarian warns federal grant uncertainty could slow Vermont library capital projects and services

Catherine Delnow, Vermont State Librarian and commissioner of the Department of Libraries, told the House Appropriations Committee on April 17 that her department is administering two federally funded capital programs—$16,400,000 from the U.S. Treasury and $10,000,000 from the U.S. Department of Housing and Urban Development (HUD)—and that ongoing uncertainty at the Institute of Museum and Library Services (IMLS) threatens program continuity and core services.

Delnow said the Treasury-funded grants have been awarded to 14 public libraries around Vermont and that some projects have already completed construction and received reimbursement. “Brandon Public Library and the Judithan Public Library…have completed their projects and have received their full base award and have now moved on to contingency reimbursements,” she said. She added that the HUD-funded program has not yet launched its application or selected subrecipients.

The department is proposing two full-time limited-service positions to administer the capital projects; Delnow said those positions will be fully federally funded. She stressed the staffing importance for ongoing services: “IMLS funding makes up about 34% of our staff salaries. Only two of us at the Department of Libraries who are in permanent positions…are myself and my executive staff assistant, Jess,” Delnow said.

Why it matters: The IMLS provides formula grants to states that fund a substantial portion of Vermont’s library staff, shared databases and interlibrary loan services, and small capital awards for repairs and accessibility work. Delnow told lawmakers the department would likely prioritize statutorily required services if federal support were reduced, but that many supplemental programs and statewide services could be cut.

Delnow described the kinds of capital work the grants are intended to support and the program design constraints. “The projects will need to be able to be fully completed with no more than $499,000,” she said, and listed likely eligible work including roof repairs, water-damage remediation, structural repairs, furnace/HVAC replacement or upgrades, and limited ADA work such as ramps where feasible. She noted historic-preservation rules could limit ramp additions if an exemption is granted to fast-track projects.

Delnow described an example project under way: Johnson Public Library, whose building flooded in July 2023, is scheduled to be lifted and moved to higher ground and re-sited adjacent to the elementary school. She said most awarded projects must be completed by Dec. 30, 2026.

Delnow also recounted disruptions at IMLS that are complicating planning. She said Vermont has already drawn down its fiscal 2024 IMLS allocation of $1,240,000, but that the state has not received a formal award notice for the fiscal 2025 allotment. “After the continuing resolution was passed…we received an email from an IMLS staff member, Terri DeVoe,” she said. Delnow told the committee she later learned some IMLS staff were placed on leave and that at least one program manager had been terminated; she said three states (California, Connecticut and Washington) received grant-to-states termination notices while Vermont had not.

Delnow described attempts to obtain additional information from IMLS and said FOIA requests have not produced the federal plan she referenced: “They haven't actually delivered the plan to any of us upon request. FOIA requests have been denied.” She said that makes it hard for states to plan and that some discretionary federal programs have already been terminated.

Delnow warned of operational effects if federal formula funding were reduced or delayed. The Department of Libraries manages statewide electronic resources (Vermont Online Library and other databases), which Delnow said total about $286,000 in contract costs, two-thirds covered by IMLS; she calculated Vermont’s remaining share would be roughly $97,240 if IMLS support were removed. She also noted Vermont has 187 public libraries and that many rely on department services for trustee training, interlibrary loans and technical support.

Committee members asked clarifying questions about project types and federal timelines. Delnow said the department is attempting to fast-track some projects by seeking environmental-review exemptions for limited-scope repairs, but that HUD environmental review rules can be complex. On timing, she said IMLS staff had indicated states might hear allocation details by April 22, but that subsequent staff changes at IMLS have delayed answers.

Ending: Delnow urged lawmakers to consider the staffing and statewide-equity implications if federal funds are reduced. She said the department would meet its statutory obligations but would need to prioritize core services if federal support declines. “We would be going in and looking at what we must do, what says ‘shall’ next to it versus what we may do,” she said.