2. The library board operates under appropriate budget and financial procedures:
The treasurer of the board is bonded as required by
K.S.A. 12-1226.
- Financial reports are provided to the board at each board meeting.
- Statutory requirements for auditing of library accounts are followed.
- Appropriate procedures for internal financial controls are implemented. Such
procedures require that at least two persons examine and approve payments
from library funds.
6. Library financial records are maintained on file at the library and are available in
accord with
Kansas Open Records Act requirements.
16. The library board annually reviews the types of funds used by the library before
beginning budget preparation. These include the general tax fund, grants, donations,
endowments, and various types of miscellaneous income. Libraries could also utilize
a separate employee benefit tax fund, and may create and use a legally established
capital improvement fund. Detailed information and sample resolution wording for
creation of an Employee Benefit Fund can be found at
http://is.gd/WIHU69 . Detailed information and a sample resolution for creation of a Capital Improvement Fund can be found at
http://is.gd/yaEZAY.
17. The library director develops and presents a budget to the library board for
discussion and approval. An adequately funded public library meets the following
funding levels:
- Salaries and Benefits -- minimum 65% of total operating expenditures from
all income sources (excluding capital fund expenditures).
- Materials and Resources target -- 12% of total operating expenditures from
all income sources (excluding capital fund expenditures).
- Technology -- Variable
- Library Operations -- Variable
18. The library board presents the approved budget to the local governing body.
This budget should be reflected on the municipal budgets as separate special funds
rather than as a line item in the municipal budget. Municipal governments are
charged with funding operational budgets created and recommended by local library
boards.
19. The library board and library director review all portions of the local official
budget related to the library, and copies are retained on file at the library.
20. All checks issued by the library require two signatures – the President and the
Secretary of the library board. Any additional signatures are optional. The statutory
basis for this is K.S.A. 10-803. More detailed information on facsimile signatures
can be found at
http://is.gd/QT1AJI .
21. The library board treasurer and the library director develop a monthly financial
statement for the library board. This monthly financial statement and all financial
motions are included in the library board minutes. The monthly financial statement
includes:
- a list of current monthly expenditures
- year-to-date expenditure-to-budget comparison
- a list of current monthly income
- year-to-date income-to-budget comparison
22. The library board and library director comply with the audit requirements for
their size of library budget.
K.S.A. 75-1122 requires a library to have an audit
performed by a licensed municipal accountant or certified public accountant when
library "aggregate gross receipts" are in excess of $275,000 or general obligation or
revenue bonds are in excess of $275,000. This statute applies to public libraries in
cities of the first and second class and some third class cities, townships and library
districts.