The System budget is funded totally by a portion of the State and County Aid received by both counties. Based on population, 1/3 is funded by Potter County and 2/3 by Tioga County. After the System budget is approved by the System Board, a percentage is calculated for each county (the cost of the System budget compared to their total state and county aid). After this percentage is given to the System, the remainder is divided between the libraries according to the funding formula.
The System funds cover the salaries for employees, materials to enhance the local library collections, and training for the local library directors.
The System does no fund-raising as it may impinge on the fund-raising efforts of the local libraries.
– Potter County: 25% is divided equally and 75% is divided by the local effort percentage
– Tioga County: 30% is divided equally and 70% is divided by the local effort percentage
The local effort percentage is each library’s local effort (total expenditures from the last annual report minus State Aid and the cost of raising money) divided by the total local effort of all the libraries in the county.
Every year, we meet with the County Commissioners of both counties to review the importance of the county libraries and to ask that our appropriation be increased. Tioga County usually provides funding during the first quarter of the year, while Potter County usually sends payment in June. The percentage to fund the System’s budget is subtracted from the total received, and the remainder is split by the distribution formula.
Every year, total amount of State Aid is determined by the State’s budget. There are several categories of State Aid including: Quality Libraries Aid (per capita), Incentive for Excellence Aid (based on expenditures per capita), County Coordination Aid, the Equalization Aid, and the Equal Distribution Grant. These funds are combined into one amount for each county with 90% of payments being sent to each library during the first quarter of the year. The remaining 10% is sent to the libraries during the 2nd or 3rd quarter of the year. The System’s percentage is deducted prior to distribution to the libraries, except for the County Coordination Aid, the Equalization Aid, and the Equal Distribution Grant.
The Equalization Aid is based on low personal income per capita, low market value of real estate, or high unemployment. This amount is divided equally between the libraries.
All of our libraries qualify for the Equal Distribution Grant and are obliged to spend the grant, plus an equal amount of their own budget on library materials. This amount is split equally between the libraries.
When State Aid is received, County Coordination Aid and the percentage needed to support the System are subtracted. Then, the Equal Distribution Grant and Equalization Aid are divided equally. The remainder is then split according to the distribution formula.