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Library Overdue Fines & Room Rental Fees City Council Workshop, February 13, 2024 Presentation Overview 2 • Library Fines for Overdue Items • Library Room Rental Challenges • Staff Conclusions & Recommendations • Consensus Direction to Amend City Code Fines & Fees Overview 3 • Authorized by Ordinance (1999) • Amounts adopted by Resolution (2012) • Fines: – Daily assessment for failing to return items by due date – Prohibits patrons from accessing computers, electronic resources, and physical materials • Fees include: – Replacement cost for failure to return entirely – Damaged items – Meeting Room rentals – Cost of consumable items (printing, 3D printer supplies, etc.) 4 Fines & Fees Initiatives • National League of Cities Program 1 – CAFFE (Cities Addressing Fines and Fees Equitably) – Disproportionate impacts based on socioeconomic status • American Library Association 2 – Resolution on social inequity of overdue fines – Urges systems to assess economic barriers • Fines Free Local Systems – Maricopa County – Phoenix – Mesa – Scottsdale – Tempe – Chandler – Buckeye 1 Source: https://www.nlc.org/initiative/cities-addressing-fines-and-fees-equitably-caffe/ 2 Source: American Library Association Outstanding Overdue Fines 5 $206,294 62% $127,261 38% 2010-2024 ($333,555) Glendale Zip Codes All Other Areas 6 Key Points: • Most fines less than $12 • Patrons across the city are impacted Fines by Glendale Zip Code 7 $61,716 $42,871 $29,552 $23,237 $21,209 $17,027 $5,839 $3,070 $1772 $- $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000 85301 - 30% 85302 - 21% 85308 - 14% 85303 - 11% 85304 - 10% 85306 - 8% 85308 - 3% 85310 - 1% 85307 - 1% Data Normalized by Population 8 Zip Code Overdue Fines % of Population that are Patrons Poverty Rate % of Total Fines Overdue Fines Per 1,000 population 85302 $ 42,871 35% 19.2% 21% $ 1,036 85304 $ 21,209 30% 8.2% 10% $ 754 85308 $ 29,552 29% 9.5% 14% $ 444 85303 $ 23,237 26% 14.8% 11% $ 678 85306 $ 17,029 26% 11.3% 8% $ 664 85301 $ 61,716 24% 30.4% 30% $ 916 85305 $ 5,839 22% 7.5% 3% $ 415 85307 $ 1,772 8% 10.7% 1% $ 165 85310 $ 3,070 1% 3.6% 1% $ 159 Annual Room Rental Data 9 208 Rentals, $26,407 Rental Revenue (based on 31-month average) Commercial, 35% Non-resident Non-Profit, 31% Resident Non- Profit, 34% ALL RENTALS BY CATEGORY Commercial, 53% Non-resident Non-Profit, 28% Resident Non- Profit, 19% AFTER HOURS RENTALS BY CATEGORY Room Rental Challenges 10 • No automation of fee collection • Reservation software is limited • Less than ideal customer experience • Labor intensive process for staff • Scheduling challenges for after-hours rentals Fiscal Impact Analysis 11 • Less than 1% of total License & Fee Revenues 1 – $17,040 FY2022-23 collections (actual) 2 – $27,434 FY2023-24 collections (estimated) 2 • $333,562 total outstanding overdue fines 3 –62% attributed to Glendale zip codes –21% attributed to account holders under 18 1 Source: FY2023-2024 Annual Budget, page 80, city collections are approximately $4.8 million annually 2 Source: FY2023-24 Annual Budget, page 713 3 As of January 2024 Staff Time Analysis 12 • Fines: – 3-5 patron complaints per day, per branch (5 min) – 1 per week, per branch requires supervisor (20 min) • Room Rental Fee Collection: – Staff time for fee collection 60 minutes per rental – 208 rentals per year 757 hours or 19 weeks Staff Conclusions & Recommendations 13 Conclusions: • Overdue fines create unintentional impact on lower income areas • Room rental fee collection and after-hours rentals impacting operations • Eliminating overdue fines and room rental fees would have a negligible financial impact but a significant positive impact for patrons and customer service Staff Recommendations: • Continue to assess fees for items damaged or not returned • Discontinue charging overdue fines (late fees) • Remove outstanding fines from patron accounts • Assess all other outstanding payables and establish debt write-off policy • Discontinue fees for room rentals • Discontinue after-hours room rentals (except for city events) • Require Glendale Library card for room reservations (except for city events) Consensus Direction Requested 14 Amend City Code Section 20: • Remove language regarding fines and meeting room rentals • Clean-up obsolete language • Refresh Library Advisory Board Powers & Duties to reflect contemporary operations