PA Trustees and Friends Institute April 27 & 28, 2007 May 4 & 5, 2007 Taxpayer Return on Investment (ROI) Pennsylvania Public Libraries

Types of Return-on-Investment Effects on users  Saves them time and money  Improves quality of life Effects on education  Aids teachers, students, lifelong learners  Supports academic and school libraries

Types of Return-on-Investment Effects on the workplace Individual workers rely on public libraries Supports special libraries Economic effects on local communities & Pennsylvania Ripple effects of library salaries, purchases & in-library services “Halo” effect of spending by library visitors during trips to the public libraries

Study Methods Household telephone interviews (1,128 interviews) In-library survey of visitors (2,614 responses) Survey of organizations served by academic, school and special libraries (226) Follow-up survey of public libraries (129 responses) REMI state input-output economic model State Library statistics

Example of Contingent Value Questions from PA User Survey If there were no public library, what would you do to obtain the information on this visit? __ I would not bother to do anything. __ I need the information, but do not know where else to go. __ I would use another source =>

Contingent Value Questions from PA User Survey How much time and money do you think it would take to use the alternative source? How far would you have had to travel to use this other source? Please estimate the additional costs of using this other source. This includes renting or buying it, or any other costs such as parking, public transportation and any other expenses.

Some Results of Telephone Interviews

Results: Benefits of Having PA Public Libraries Net benefits to user ($959 million) Net benefits to organization users ($5 million) Value of needed information that might be lost ($84 million) Salaries and wages contributed ($180 million)

Some Results of Telephone Interviews

Results: Benefits of Having PA Public Libraries (Cont’d) In-state expenditures added to economy ($68 million) Revenue to in-library shops ($1 million) Revenue to nearby businesses and services attributed to library use ($80 million) Total Return-on-Investment ($1,377 million)

Some Results of Telephone Interviews

Results: Ratio of Taxpayer Return on Investment in PA Public Libraries Return-on-Investment (ROI): $1,377 million Taxpayer Investment: $249 million Ratio of ROI to taxpayer investment: 5.5 to 1

In-Library Survey of Visitors Principal observations  Services used  Purpose of visit  Importance and outcomes of information use  Time and cost to use the library  Time and cost to use alternatives  Other activities as part of trip  Demographics

Top Ten In-Person Services Used

Adult Access to the Internet from a Library Computer

Remote Access to the Library

Purpose of Visits

Survey of Organization Libraries Served Schools, universities and other organization were surveyed by mail Post-stratified by type of organization/library Awareness and use of PA Power Library Services used

Organization Library Use Results School libraries  About 3,700 public & private schools  87% use public libraries extensively  They use public libraries about 350,000 times a year Academic libraries  206 academic libraries  76% currently use public libraries  They use public libraries about 12,000 times a year

Organization Library Use Results Special libraries  669 special libraries identified  71% currently use public libraries  These type of libraries utilize public libraries about 38,500 times a year

Public Library Follow-up Results School age children constitute 39.0% of visits to public libraries. Tourists account for 4.5% of all visits. Non-English speaking users account for 3.2% of visits. Latchkey children constitute about 4.6% of visits.

Economic Return-on-Investment Contingent valuation REMI economic input/output model

Definition of Contingent Valuation Contingent Valuation is an economic method used to assess the benefits of non-priced goods and services (e.g., libraries or specific library services) by examining the implication of not having the product or service

User Net Benefit If there were no public library, what would you do to obtain the information on this visit? The value of time depends on purpose of visit: personal, work-related, teacher, student, adult with child, other

User Benefits of Having PA Public Libraries Benefits to Users  Users would have to pay much more in their time and/or money to obtain needed information  User would have missed valuable information because they would not know where else to go obtain it. The value of this information would be lost.  Organization users would have to pay more to obtain needed information Other Important User Benefits include quality of life issues, etc.

Community/State Benefits of Having PA Public Libraries Economic Benefits to the State  Library salaries and wages contribute to communities  Expenditures on in-state products and services add to the economy  Revenue to in-library shops, etc. run by vendors contributes to the economy  Many visits to libraries involve other activities such as shopping, going to restaurants, coffee shops, etc. Some revenue to these services is attributable to trips to the library

Ratio of Taxpayer Return-on- Investment in PA Public Libraries Return-on-Investment (ROI) 1,377 million Taxpayer Investment $249 million Ratio of ROI to taxpayer investment: 5.5 to 1

Ratio of Taxpayer Return-on- Investment in PA Public Libraries Return-on-Investment (ROI) xxxx million Taxpayer Investment xxxx million Ratio of ROI to taxpayer investment: x.x to 1

Economic Benefits to the Community/State Wages and salaries (from state statistics) In-state expenditures (from public library follow-up survey) Vendor revenue from in-library shops (from follow-up survey)

Economic Benefits to the Community/State Halo revenue to nearby services (from the In-library survey): - Total purchases times 23% based on British study

General Comments from Users “As a senior citizen it provides countless hours of reading enjoyment for me and for hundreds of other seniors.” “I love ordering books online and picking them up at our local library.” “This library provides new bestsellers, magazines, newspapers, videos and DVD's, plus Internet access. It has convenient hours and is open late.”

User Demographics

Services Use by Visitors

In-Library Access to the Internet

Type of Personal or Family Information Needs/In-Person Visits

Services Used to Address Personal or Family Information Needs

Reasons Libraries Are Used for Personal or Family Needs

Attributes of Information Obtained for Personal or Family Needs

Outcomes for Personal or Family Information

Comments from Users: Personal Use of the Library “I found information to use in renovating my bathroom. It will save me hundreds of dollars in comparison to having someone do the work.” “We have a new baby and the library provided us with many informative resources, books, DVD's, tapes & magazines.” “The library allowed me to appreciate music that I couldn't easily listen to otherwise.” “I was able to locate medical information about my sick child.”

Uses of the Library fro Recreation and Entertainment

Ways Libraries Help With Recreational or Information Needs

Comments from Users: Recreational Use of Library “The library keeps us from going crazy over the long, cold winter. It gives us the opportunity to read things we couldn't afford to buy.” “I use the library as a refuge and quiet place to read, relax, reflect and as a escape for America’s high-speed business culture.” “I was going on a trip and was able to borrow audio books, which helped me stay alert while driving.”

Adult Students/Level of Education

Top Services Used by Adult Students

Teachers/Level of Teaching

Teacher Purposes for Visits

Library Services Used by Teachers

Comments from Users: Educational Use of the Library “I have checked out many books that I needed for a class, instead of buying them at the bookstore.” “I go for computer use & for the research databases for my graduate courses. Use of language tapes to prepare for trips is also appreciated.” “We love the children’s programs. It encourages reading, since we can't afford books.”

School Library Uses of the Public Library

Reasons School Libraries Use Public Libraries

School Librarians/ Research Outcomes

Where Public Library Visitors Work

Types of Work or Job-Related Information Needs

Services Used by Organization Libraries

Comments from Users: Work Use of the Library “Research (writing a book), used books, Internet and tapes.” “I researched prospective competitors and health issues. I also checked out books and used periodical database (online).” “The library was essential for the fundraising resource materials I found to help develop a non-profit program. There were extremely helpful staff available.” “Use of the computer is essential in my job search.”

Reasons Children Were Brought to the Library

Lifelong Learners

Why Lifelong Learners Use the Library