Library Board Relationship to Local Government

Library financing is usually obtained through some form of taxes which are managed by either a city council or a county commission.

• General fund - If the money comes from the general fund, the city council or county commission has authority over the bottom line. In structures where there is a city manager or county administrator, the library director often must follow instructions from their office or the office of a finance director on the budgeting process. The board has the right to challenge and should ask for what the library needs. The city manager, county administrator, or finance officer has a lot of influence over how much general fund money is available.
• Dedicated library mill levy – If the library’s funding comes from a voted levy the county or city usually levies the money and manages it for the library. The board has full authority over how the money is spent. The city or counties’ duties are more to make sure the tax is levied on community members and spent on the library. They also have a duty to make sure they are following sound government accounting principles in accounting for the use of the funds. This can impact the library.
• Local Government Budget Act, which is found in the Montana Code Annotated, dictates how budgets will be created, amended, and noticed. It drives a lot of the principles and work that clerks and treasurers must follow. It also impacts libraries because the clerk and/or treasurer needs the library to follow certain accounting practices.

We will cover more about budgeting and finance in another course. Your responsibility as a public library trustee relies on your understanding of the form of government and knowing the local officials. Tension and frustrations in this area can be reduced with this basic knowledge.