Special Library Levy November 18, 2004 State Library of Iowa and Iowa Library Service Areas

After the presentation, we’d like you to be able to… Describe what the special library levy is List the steps in getting the special library levy on the ballot State what the library can and cannot do to help pass the levy

A goal for the Iowa library community… After the general city election in November, 2005, double the number of Iowa cities that have passed the special library levy (from 48 to 96).

Questions How many of you had heard of the special library levy before town meetings? How many of you are from cities that have already passed it?

From the Code of Iowa… Additional taxes…”A city may certify, for the general fund levy, taxes which are not subject to the limit provided in section 384.1, and which are in addition to any other moneys the city may wish to spend for such purposes, as follows…” (384.1 is the $8.10 limit which we’ll talk about in a few minutes.)

Code continued Additional taxes. (21)…”A tax not to exceed twenty-seven cents per thousand dollars of assessed value for support of a public library, subject to petition and referendum requirements of subsection 1, except that if a majority approves the levy, it shall be imposed.”

Say that again… In a nutshell, the Code allows cities to levy an additional tax of up to $0.27 per $1,000 assessed property valuation for support of a public library Even cities without public libraries could pass the levy There is a petition and referendum required to pass the levy

Why would you want to consider the special library levy? Special levy is a possible source for enhanced funding for library services The funding could be used to improve library services - what is something you would like the library to be able to offer to your community?

Why (continued) In FY04, libraries lost about $1.7 million (2.7% cut) in city funding as a result of the Reinvention Bill Majority of Iowa cities are at the general fund levy limit of $8.10 per $1000 of valuation and have no capacity to generate more funding for general fund services.

Why are we talking about this now? For the financial reasons mentioned earlier The soonest the levy could be on the ballot is the next regular city election in November, talking about it now gives you time to decide whether you want to pursue it and to plan for it.

What are the steps to getting the levy passed? Share information about the levy and its benefits with your library board Discuss with the board how you would use additional funds to improve library service Does the board want to pursue it?

If the board wants to pursue it… Inform key city officials - mayor, city council, administrator, etc. A selling point is that the decision is in the hands of the voters – they decide if they want to tax themselves a little more to support the public library

Additional steps Consult the city attorney Ask the county auditor about deadlines for getting it on the ballot Discuss wording with the board- do you want to “cap” the levy with an ending date? (The referendum wording will also appear on the petition.)

Referendum wording Example 1 Shall the City of _________, Iowa be authorized to levy an amount of 27 cents per $1,000 valuation for the purpose of increasing the annual operating budget of the __________ Public Library with the levy to expire after five years on June 30, 2011?

Referendum wording Example 2 Shall the City of __________, Iowa be authorized to levy, annually, a property tax not to exceed twenty-seven cents per thousand dollars of assessed value for the purpose of increasing the annual operating budget of the __________ Public Library, with collection of the levy commencing in the fiscal year beginning July 1, 2006?

Petition Make sure the petition matches the language of the referendum Discuss who will start and collect the petition (be aware of ethics issues)

Petition (continued) Petition is valid if signed by 10% of eligible voters in the last regular city election, but not less than 10 persons (cannot be signed by rural residents) Present signed petition to City Council City Council and City Administrator forward the petition to the County Auditor for inclusion on the ballot

Caution about promoting the levy Iowa Code 68A.505 prohibits the use of public funds for any political purpose, including the express advocacy of a ballot issue “Public moneys” includes direct or indirect expenditure of funds by a governmental body, the use of any property, resource, or equipment owned by the governmental body, and use of staff time during regular working hours

Caution (continued) Once a group of people have raised more than $750 or spent more than $750 in a calendar year for the purpose of supporting (or opposing) the levy, the group must file the Statement of Organization as a committee. (Even if you don’t reach $750, you still need to have “paid for by” on material)

Iowa Ethics & Campaign Disclosure Board Brochure in your handouts, “Use of Public Money or Property for Political Purposes,” also available on website above

What can be done to promote the levy Library board passing a resolution or proclamation in support of the levy Library staffs active in and even leading the campaign if it is on their own time Board members speaking to community groups Library staff speaking to community groups outside of work time Asking your Friends group for help

More promotional ideas Brochures, as long as they are not created on library equipment, not paid for with library funds, and not distributed in the library Granting interviews to the media Asking individuals and board members to write letters to the editor Suggesting individuals and service organizations place ads in the local paper

When the levy passes Levy usually starts the following July 1. If the levy passed in November, 2005, the levy would start July 1, Let the Library Service Area and State Library know about your success The State Library will publish the list of cities passing the levy in Footnotes

Disclaimer This presentation including the sample referendum language is provided for informational purposes only. As with any legal issue, the language may not be appropriate for the individual circumstances of your community. The authors of the presentation and the presenters are not attorneys and cannot give libraries legal advice. Libraries are encouraged to consult their own legal counsel regarding the special library levy.