Valuation of Library Collections Lynne Benton Executive Director Education Services & University Librarian

Insurance Replacement/ Asset value Traditionally, insurance for the UoN Library was based on the cultural valuation of the collection, with a depreciation factor similar to the calculation for asset value reporting. This did not take into account the actual appreciation of many of the collections, especially in rare books and archives Real replacement value was recommended by the University’s Insurance officer to inform the University’s insurer

Traditional UoN Collection Valuations Until 1999 the following applied: General Collection Replacement cost using the Monash Index methodology adopted to value and index yearly acquisitions (Total number of volumes acquired current year) x $(average cost per volume from Monash Index) = (yearly indexed value) Yearly indexed value depreciation rate of 20% per annum

Current Method of Determining Value for insurance (Non Serial Items) $(Base value of item*) + $(processing cost of item) x (number of items) = (replacement value) *Average cost per item calculated from current prices paid, derived from the INNOPAC Library Management System

Current Method of Determining Value for insurance (Serial Items) $(Average price per serial title current year) x (total volumes - location specific) x $(average processing cost per title)* = (replacement value) *Average processing costs for serials are estimated at $40 per volume (includes binding at $24)

Current method of determining asset value Current year average acquisition costs by the number of titles in the collection and applying straight line depreciation of 20% Library collections are normally revalued every five years

Rare Books and Special Collections asset value Add 5% p.a. appreciation to existing stock value as previously determined Add purchases and donations for last 12 months Add binding and conservation

Theses Collection asset value each thesis is valued at $100, being the estimated average of purchasing as additional copy from the author.

Archives and Manuscripts asset value Add estimated linear metres valued at Mitchell library average of $250 per linear metre to previously determined asset value.

Some issues when a University stops subscribing to electronic resources it may no longer have the ‘asset’ A policy or statement of intent is needed to advise insurers of plans for a major loss Definition of a rare book or item of high value