Idaho Falls council hears libraryappeal to cover salary increases; board may tap reserves

Council members on Thursday discussed a request from library representatives to add personnel funding to the city's draft budget after officials found the proposed budget does not include money for previously discussed salary increases.

The library requested that the council add roughly $60,000 to cover part of the personnel increase this year and said the library board would contribute about $120,000 from its fund balance if the council does not provide additional ongoing revenue. Robert, a library staff member who presented the request, said: "If you don't give us the revenue, then the result is we take it out of fund balance. Okay. Or we decrease staff in hours." The council directed staff to place $60,000 on the list of items for later consideration in the budget process.

Why it matters: The city will adopt a tentative budget next week, and funding choices this month determine whether the library must reduce hours or staff or draw down its reserves. The library's service model is staff-heavy, and officials warned that continued reliance on reserves will not be sustainable without new revenue.

Library request and board proposal Robert told the council the library's current operating plan does not include additional money to cover the pay adjustments the council approved earlier this year. He said the library board would not recommend proceeding with an exterior remodeling project on Broadway if personnel shortages force lower hours and fewer services.

Robert described two near-term options: the council provide ongoing revenue to cover the pay increases or the library use fund balance to bridge the gap and reduce hours or staff as necessary. He said the board's working assumption, subject to formal board action, was that the library would use about $120,000 of its fund balance this year to avoid immediate service cuts.

Council and staff discussion Council members and staff cited several causes of the shortfall. City Treasurer Mark said the library has not increased its levy consistently to match annual personnel cost increases, and Council members noted the county's withdrawal of funding in 2023 removed roughly $600,000 from the library's revenue stream.

Councilor Lisa and others emphasized that modern library operations are payroll-heavy because programming and digital services require staff time. "Libraries now across the country are primarily programming," a councilor commented during the discussion, noting items such as 3-D printing and podcasting studios.

Fiscal context and options Finance staff told the council the library fund balance is roughly in the $3 million to $4 million range when including unspent amounts; the library is proposing to use up to $1 million over five years to smooth the transition while the city and library board develop a plan to incrementally increase ongoing funding.

Council direction and next steps Council members instructed finance staff to add $60,000 to the list of items to consider when finalizing the tentative budget. Finance staff later incorporated a personnel-only increase for the library into the growth/annexation funding shown on the council's working worksheet; council members said they want a joint, collaborative process between the library board and city finance staff to produce a longer-term funding plan before relying on fund balance repeatedly.

The tentative budget will be published ahead of the council's August hearings; council members said they expect further discussion of whether the city will provide incremental, ongoing funding, allow the library to use reserves, or accept reduced hours and services.

Ending The council's formal budget schedule calls for adoption of a tentative budget next week and public hearings in August. The library board will meet and decide whether to use reserves if the council does not add revenue to the library's allocation. The council asked staff to keep the $60,000 request on the list for consideration at the upcoming budget hearings and work sessions.