Director Briefing - December 16, 2024
Trustee Academy Roll-Out
Over the coming weeks, we will enroll trustees in the new online Trustee Academy through Niche. I plan to create a separate one for Directors, and all training will be shared between the two academies.
Trustees will be able to track their CE hours and receive certificates through Niche. My goal is to add new content throughout the year, starting with a Trustee Orientation. Currently, all of the recordings from the Trustee Handbook Book Club and this year's recordings of a few other training sessions are available.
If you have Trustee changes, please let me know. Otherwise, we will use the information from last year's annual report.
Library Card Order by Friday. December 20
Kelly will be placing a library card order this month. The next order won't be until June 2025, so check your supply and plan accordingly. Back by popular demand are the
Booklet cards!
Feel free to order one or both designs. Make sure you are selecting the correct cards/fobs/combos in the designs you would like to order. Let Kelly know if you have any questions.
Submit your order no later than
Friday, December 20: https://docs.owwl.org/Members/LibraryCardPurchase
This Week in OSC Audits
| Audit |
Key Findings |
Takeaways for Libraries |
| Caledonia-Mumford Central School District - Financial Management |
The Board and District officials did not effectively manage fund balance, the difference between revenues and expenditures accumulated over time. As a result, the District’s surplus fund balance is two times the statutory limit, District officials were not transparent with taxpayers and more real property taxes were levied than necessary to fund operations. In the 2020-21 through 2022-23 fiscal years included in our audit period: - The Board-adopted budgets made it appear the District would have budget deficits requiring fund balance to be appropriated and real property taxes to be increased. However, the District had operating surpluses totaling $5.1 million. Appropriating unneeded fund balance circumvents the statutory limit.
- Three general fund reserves totaling $1.4 million were not necessary or reasonably funded and the debt reserve in the debt service fund had $337,777 in unidentified money that should be returned to the general fund. For example, officials increased the unemployment reserve to $888,580 as of June 30, 2023, a 310 percent increase over the three years and sufficient to fund applicable expenditures for about 500 years.
- District officials overstated the District’s outstanding future financial commitments by a total of $1.3 million over the three years, which made it appear the District had less surplus fund balance.
- The District did not develop or adopt a written multiyear capital plan, comprehensive multiyear financial plan or reserve plan. This inhibited effective financial management and did not provide adequate justification for the levels of accumulated fund balance including reserves.
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Mismanagement of Fund Balance: - Over-taxation: If libraries mirror this mismanagement by accumulating surpluses beyond statutory limits, they may inadvertently raise more funds than needed, leading to higher taxes for local residents. This could reduce public trust and lead to dissatisfaction with library funding, especially if the excess funds aren't justified or transparently communicated.
- Inefficient Use of Resources: Libraries might be sitting on unspent funds that could be better allocated to programs, services, or capital improvements. For instance, excessive reserves could be redirected to enhancing library offerings, technology, or community outreach programs instead of accumulating without clear purpose.
Lack of Transparency and Financial Planning: - Reduced Community Trust: Libraries, like other public institutions, rely on taxpayer funding. If they fail to communicate their financial needs clearly, or if their budgets appear to mismanage funds (e.g., levying more taxes than necessary), it could erode community trust and lead to resistance or reduced support for future budget requests or levy votes.
- Strategic Planning Gaps: Not developing long-term financial plans or reserve strategies can leave libraries unprepared for future challenges. Without a multiyear capital or financial plan, libraries may face unexpected funding shortfalls or miss opportunities to invest in long-term improvements (such as new facilities or technological upgrades) that could benefit the community.
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| Village of Riverside - Records and Reports |
The former and current Clerk-Treasurers did not prepare or maintain complete, accurate or timely accounting records and reports. As a result, the Board of Trustees’ (Board’s) ability to make informed financial decisions was inhibited because the Village’s true financial position was unknown. - The Clerk-Treasurers did not record investment transactions and interest and all interfund transfers, improperly recorded receipts, disbursements and budget transfers, and did not record water and sewer account adjustments and the re-levy of unpaid water and sewer charges to the control accounts.
- The current Clerk-Treasurer did not file the required Annual Financial Report (AFR) for the last four fiscal years and the current AFR was overdue as of August 9, 2024.
- The Clerk-Treasurers did not file periodic payroll reports or remit withholdings timely to the Internal Revenue Service (IRS) or the New York State Department of Taxation and Finance (NYSDTF), which could result in the Village paying fines and penalties.
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Importance of Accurate and Timely Financial Records: - Libraries must ensure that their financial records are accurate, complete, and up to date. Inaccurate records can lead to confusion about the library’s actual financial position, hindering the ability to make informed decisions about budgeting, spending, and resource allocation. If a library fails to maintain proper records, it may end up overspending, underspending, or misallocating funds, which can impact service quality and financial stability.
Compliance with Reporting Requirements: - Just as the Clerk-Treasurer failed to file required financial reports, libraries must be diligent about meeting their own financial reporting obligations, such as filing annual financial reports (AFR), submitting payroll reports, and complying with tax remittance deadlines. Failure to comply with these requirements can lead to penalties, fines, and damage to public trust, making it essential for libraries to stay on top of regulatory deadlines.
Transparency for Informed Decision-Making: - Without proper financial records and reports, the governing body (e.g., Board of Trustees) of a library cannot make sound financial decisions. Inaccurate financial data can lead to poor decision-making, such as miscalculating the need for future funding or being unprepared for unforeseen costs. Libraries must ensure their boards have access to transparent, accurate, and timely financial information to make strategic decisions for long-term planning and sustainability.
Risk of Fines and Penalties: - Libraries, like the Village in this case, could face fines and penalties if they fail to meet tax or payroll remittance deadlines. Timely remittance of payroll withholdings to relevant authorities is crucial to avoid penalties and protect the library's reputation. Libraries should establish clear systems to ensure compliance with federal and state regulations, particularly in areas like payroll and tax filings.
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HBR: Tip of the Day
Leaders, Stop Trying to Do It All
Leaders are often excessively busy, but good leadership isn’t about doing everything all at once—it’s about allocating your time optimally. Here’s a four-step process to lighten your load and make a bigger impact.
Eliminate some tasks. Start by shedding responsibilities that others can do just as well as you can (or better). Challenge the assumption that you have to keep doing things just because you’ve always been doing them.
Delegate some tasks. For tasks where your skill is above average but not unique, trust others to step in. Delegation isn’t shirking responsibility—it’s creating space for your team to learn and thrive and for you to lead more effectively.
Take on some new tasks. Reinvest your freed-up time into areas where you have a distinctive advantage or ability. Focus on initiatives that only you can drive forward, especially those that can make a real difference in your organization’s performance.
Reserve time for irreplaceable work. Every leader has tasks that no one else can do. Whether it’s mentoring your team, shaping the organization’s vision, or building strategic partnerships, ensure you set aside the time you need to fulfill these critical duties.
This tip is adapted from “Leaders Shouldn’t Try to Do It All,” by A.G. Lafley and Roger L. Martin.
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