Just because I raise questions concerning city spending on libraries and the
new planetarium doesn't mean I don't support them.  And I'd appreciate it if
my Library Board opponents refrain from implying as much!

I support the new downtown library and improved community libraries...
especially improved service!  (I worked with the Linden Hills NRP over
several years to allocate neighborhood funds into remodeling our community
library-- several years prior to the recent library referendum.)  I also
support the new planetarium.  However, I am very interested in how all these
new amenities are going to be paid for.  In fact, it was my interest in
financing all these new projects that initially propelled me to run for the
Library Board of Trustees.  I am not one to be satisfied with a project
simply because the Mayor, the City Council and the Library Board have
approved it.  After all, look at the many other projects the Mayor and City
Council have brought us in recent years-- Target and Block E being prominent
on the 'questionables' list!  Some background...

The planetarium-- As recently as last March, discussions centered on a
15,000 sq.ft., $11 million planetarium.  A consultant came to town (Ian
McLennan from Vancouver) in April, I believe, and offered two expanded
versions for consideration--  32,000 sq.ft. and 48,000 sq.ft. options, with
varying cost and revenue projections.  The City Council and Library Board
opted for the largest option that same month.  [At the same time the
decision was made to add 10% to the floor space of the new downtown library,
and recommendations were made concerning the 200-225 housing units to be
built on the adjacent block (basically dealing with retail and underground
parking to be provided by the developer, which was previously to be above
ground).  Funding for 300 spaces of underground library parking remained
unclear and the MCDA was examining TIF options.]  -Linda Mack, STrib,
4-22-01.

I'm not interested in hashing old dates and decisions, I'm interested in
today and tomorrow!  Today we face significant fiscal uncertainty regarding
the planetarium project (as well as with the housing/retail/skyway and
parking portions of the overall project).  The new planetarium will be a
major attraction to regional residents, students of all ages and visitors.
I hope the state is willing to provide the $30 million, however, getting $30
million for a local project from the state in today's economy gets less
likely each week.  I remain hopeful, yet I'm pragmatic.  Since I support the
planetarium, I am very interested in identifying where the necessary funds
will come from.  At the same time, I don't want Minneapolis property tax
payers to incur the costs-- that would be the easy way out!  This is where
the interesting questions arise, and this is where my experience with
finance and business planning will be of value on the Library Board.

The libraries-- Over the past decade-plus, discussions of a new downtown
library always referenced a multi-source of funding for the project.  In
June, 2000, the Library Board asked the City Council to approve a referendum
to borrow money for a new downtown library, leaving open the possibility of
seeking additional money for branch libraries.  Earlier discussions had
indicated about half the needed funds would be raised through the
referendum.

It might be suggested that the Library Board and the City Council took the
easy way out, knowing there was public support for a new library.  The
public schools were also going for significant funds in a referendum last
fall, and officials knew there was strong public support of our schools as
well.  Then the Park Board wanted to jump on the wagon... and officials got
worried... just how much would the voting public tolerate in a given year?
A political decision was made and the Mayor and City Council shuffled
internal funds to get the Park Board their money without going to the public
via a referendum (another interesting story in it's own right).

Library polling data showed more support for neighborhood libraries than for
the new downtown library, and, to her credit, Board member Diane Hofstede
fought to get the community library funds included in the referendum.  Soon
others realized the political value of the branch operations and decided to
include them in the referendum-- a good decision.  However the Library
Board,  City Council and Mayor did not include any increased funds to
operate the new, enlarged facilities once completed.  Hence, the referendum
was misleading because it only covered about two-thirds of the funds needed
to build and OPERATE the new and expanded library facilities.  The
referendum will raise $140M and will require about $8M annually to retire
the debt.

Recent library operating budgets have in fact projected operating shortfalls
growing from about $500K to $4M annually as these new facilities are
completed.  Budgets are continually being revised and I expect the projected
shortfall will likely disappear as the election nears.  The usual excuses
now given by management and Board members to justify these shortfall
projections could be paraphrased as "they were based on blue-sky planning,
including everything we wanted", or "we will design cost savings into the
new buildings", something about "wise choices being made about the level and
type of service programs to be provided" and "savings available from closing
the downtown library during construction."  These annual operating
shortfalls-- five to ten years out, as new buildings come online, represent
something on the order of fifty percent of the annual bond debt!  Library
Board members have publicly admitted there is a problem (SW Journal,
12-19-00), but to date have not addressed it.  We currently don't see a
work-out plan for the operating shortfall.  This demonstrates poor planning
and poor leadership from library management, and those voting in the
majority for the Library Board and the City Council. What good are the new
buildings if we can't provide the unique, necessary services demanded in our
neighborhood libraries.

Projects like these should include a structurally sound budget that includes
BOTH capital and operating expenses and indicates the source of said funds
over time.  This is what the public should expect and this is what elected
officials should provide.

Vote for new leadership and new vision on the Library Board.

Michael Hohmann
Independent Candidate, Minneapolis Public Library Board of Trustees
www.mikeforlibrary.org
www.mahohmannbizplans.com



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