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5.4. SR 08-02-2004MEMORANDUPI Item 5.4. TO: FROM: DATE: SUBJECT: Mayor and City Council Lori Johnson, Finance Director August 2, 2004 Consider Resolution Increasing 2004 Maintenance of Effort for the Library The Elk River Library, as part of the Great River Regional Library system, must certify each year that it is meeting its maintenance of effort as determined by the State. Generally, the maintenance of effort means that the city is providing as many dollars in funding to the library in the current year as it did in the previous year. In 2003, the Library's budget decreased due to increased efficiencies in cleaning services and a change in the allocation of grounds maintenance costs. Even though the city provided the same or a greater level of services at the Library in 2003, the decrease in the 2003 budget meant that the city did not meet its maintenance of effort level. The 2003 budget was $2,900 less than the previous budget year used to calculate the minimum funding amount. Therefore, in order to meet the funding requirement, the city needs to approve a resolution indicating that it will make up the 2003 maintenance of effort shortfall in 2004. Attached is a resolution indicated that the city will add $2,900 to the 2004 budget to make up for the reduction in 2003. Finally, I understand that this is a budget requirement only (maintenance of effort is calculated on budget not actual expenditures) and the actual expenditure of the $2,900 is not a concern at this time. ActioD Requested The City Council is asked to approve the attached resolution increasing the 2004 budget by $2,900 to meet the 2003 maintenance of effort requirement. S:\Council\I..ori\2004\Maintenance of Effort.doc RESOLUTION __ A RESOLUTION OF THE CITY OF ELK RIVER A RESOLUTION INCREASING THE 2004 LIBRARY BUDGET TO MEET THE 2003 MAINTENANCE OF EFFORT REQUIREMENT WHEREAS, The Elk River Public Library is a member of the Great River Regional Library system; and, WHEREAS, The City Council of the City of Elk River supports the Library and the services it provides to the public; and, WHEREAS, The 2003 budget was less than the 2002 budget because of efficiencies in providing service; and, WHEREAS, The city is required to meets its annual maintenance of effort as set by State law. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota that the 2004 Library budget be increased by $2,900 to meet the 2003 maintenance of effort requirement. Passed and adopted this 2"d day of August 2004. ATTEST: Stephanie Klinzing, Mayor Joan Schmidt, City Clerk S:~Resolutions\2004 Resolutions\Unapproved\maintcnance of effort res.doc