New Trustee Orientation March 23, 2024 via Zoom – Library Trustee Information

New Trustee Orientation March 23,2024 Via Zoom Laws Library Trustees Need To Know 1

The materials and information provided in this presentation are for informational purposes and do not constitute legal advice. Participation in this seminar does not create an attorney-client relationship Disclaimer You should contact your attorney to obtain advice with respect to any particular issue or problem 2

Types of Public Libraries Municipal/Joint Municipal County Association Formation/Dissolution Composition/Organization Summary Trustees Oath of Office Attendance/Vacancies Trustee Education Requirement Local Government Ethics Law 3

Laws Specific to Libraries Organization/Officers Powers of Board Autonomy/Role of the Mayor Funding statutory funding; increasing statutory funding Eligible vs Ineligible Costs Excess Funds Confidentiality of Library Records Summary 4

Statutes Applicable to all Public Entities Open Public Meetings Act Open Public Records Act Purchasing Pay Bills Insurance Summary Relationship with the Director Q & A 5

Municipal/Joint Municipal Formed by Referendum Trustees appointed by Mayor(s) Types of Public Libraries County Formed by Referendum (2 exceptions) Trustees appointed by Co. Commissioners Association Private entity Non-profit corporation under NJSA Title 15A 6

Municipal library can only be dissolved by referendum The referendum is put on the ballot by an ordinance adopted by the mayor and council Mayor and council cannot dissolve the library on their own Dissolution 7

The mayor(s) of the municipality and the superintendent(s) of schools (or their designees) are ex-officio members and vote Municipal - 5-7 citizens by Mayor Joint - 3 citizens appointed by Mayor of each member municipality Municipal and Joint Municipal Libraries Composition 8

Term of Office 5 year terms Staggered Must start at the same time of the year, e.g. January 1 Vacancies are filled for the remainder of the term (N.J.S.A. 40:54-10, 40:54- 29.10, 40:33-7), not a new term. Organization 9

Municipal and Joint Municipal Libraries President, Treasurer, Secretary One year term and until successor is elected Statute does not spell out duties of each, but By-Laws can Bond Statute requires bond for Treasurer Recommend 2 signature checking account and that all trustees with signing authority be bonded Officers 10

Officers and their responsibilities Many add VP, but not necessary Meetings Regular and Special Meetings Committee Structure Building and Grounds Finance Personnel Policy Parliamentary Authority Current Edition of Robert s Rules of Order Newly Revised By-Laws 11

Appointed trustees must be citizens Not all trustees need to be residents of the municipality Municipal 4 must be residents Joint Municipal 2 from each town must be residents Appointed trustees cannot be employees of the municipality (Attorney General Opinion 12/27/2005) Municipal and Joint Municipal Library Board Restrictions 12

5 commissioners A majority of commissioners must be residents of the municipalities that support the county library No requirement that commissioners be citizens Statute specifies that a chairman be elected, no other officers mentioned County Library Commission NJSA 40:33-1 et seq. 13

Formed and organized pursuant to Nonprofit Corporation Act NJSA 15A:1-1 In accepting municipal aid, must keep Library open at such reasonable hours as meets the approval of the Mayor & Council - N.J.S.A. 40:54-35 Unlike Municipal Library, no guarantee of funding and subject to whims of the Mayor & Council Confidentiality of Library Records Act applies to Association Libraries as does Open Public Meetings Act and Open Public Records Act Association Libraries 14

Required to take Oath of Office Written Oath - Faithfully, impartially and justly perform the duties as Library Trustee Usually done by the Clerk but may be done by President/Chair Must be filed with Municipal/County Clerk Municipal/Jt. Municipal Trustees County Library Commissioners Oath of Office 15

If absent for 8 consecutive weeks or 4 consecutive regular meetings (which ever is longer), without excused absence, board required to declare office vacant and notify the appointing authority Governing Body, by ordinance, can reduce the time frame to 6 weeks or 3 meetings Library Board has discretion to excuse absences but must excuse for legitimate illness Vacancy occurs on resignation, death, incapacity, or removal for cause Trustees Attendance/ Vacancies NJSA 40A:9-12.1 16

A member or members of the board or commission has/ have received a minimum of seven total hours of library-related education annually (N.J.A.C. 15:21-2.3(a)(2)) Necessary to qualify for Per Capita State Aid Trustee Education Requirement 17

Financial Disclosure Statement Must be filed within 30 days of appointment and by April 30th each year File electronically Municipal Clerk will provide log-in/PIN You will be fined if you fail to file Conflict of Interest You and your immediate family cannot engage in any business or activity which is in conflict with your duties as a trustee Local Government Ethics Law 18

Purchase Books, Papers, Reading Matter Hire Librarians Hire other necessary personnel Fix compensation of employees Rent rooms or construct buildings Adopt rules and regulations Do whatever is necessary to maintain library Powers of Board 19

Library Board runs the Library Not the Mayor & not the Council NJ Atty General F.O. 1959 #10 Library statute excludes any interference by the municipal governing body with the exercise of the powers granted to trustees Legal Autonomy vs. Political Autonomy Autonomous 20

Mayor is one vote on the Board Mayor is not the CEO of the Library He/she should not dictate what the Library does Mayor appoints trustees Politics Board is structured to minimize political influence As the appointing authority, Mayor may seek to influence other trustees Cultivate good relations with the Mayor Town Services/Capital Projects Role of the Mayor 21

Municipal/Joint Municipal Library must receive 1/3 mill Separate line on tax bill No longer subject to town s budget cap Municipality can appropriate more money But this will be subject to town s budget cap Funding Required/ Discretionary 22

Statute requires the money be paid quarterly to Library Treasurer (Municipal) Regulations allow money to be kept by the municipal treasurer and disbursed per approval the Board of Trustees Joint Municipal designate CFO of one of the participating towns Any prior year unexpended funds remaining from the annual mandatory appropriation shall be maintained in the Library controlled account Disbursement Control 23

Governing body or residents via petition signed by voters that equal at least 15% of the votes cast at the last general election can compel a referendum to change the 1/3 mill New rate expires after 10 years or in the tax year after a referendum establishes a new rate The new rate is exempt from the 15% annual cap Exempt from the Excess Funds statute in year 1. The wording of the public question and outline for interpretive statement see N.J.S.A. 40:54-8.2 Changing 1/3 Mill Funding N.J.S.A. 40:54-8(b) 24

Eligible Costs reasonable and necessary costs incurred in connection with the direct operation of a free public library to provide library services. Ineligible Costs - Cannot pay rent to the Town Cannot pay for debt service Eligible Costs vs. Ineligible Costs 25

Library can use 1/3 Mill Funding for Capital Expenses only if All conditions of N.J.S.A. 40:54-1 et seq. and N.J.A.C. 15:21-2 are met; There are sufficient funds remaining for the maintenance of the library for the balance of the year in which the funds are saved or the cost occurs; and The Library has a written capital plan of at least three years that reflects that the long-term capital expense will contribute to the provision of efficient and effective library services Capital Expenses Reserved from Operating 26

Ask the governing body for the money Statute provides a process for the Library to request that the governing body provide the needed funds. Unfortunately, there is nothing in the municipal library statute that requires the town to provide the necessary funds. BUT the Library building is owned by the municipality. That makes it a municipal asset. Capital Expenses Ask Town 27

The board must make annual report to the municipal chief financial officer which shall state: All public revenues and State Aid received by the library, All expenditures made by the library The balance of funds available. The annual report shall identify excess funds that the board is required to approve and transfer to the municipality Annual Report 28

Requires Municipal Library to return unrestricted surplus in excess of 20% of last year's audited operating expenses Return of Funds must be approved by State Librarian State Library website has a package of materials to be followed before return can be approved. Donations and Funds previously restricted for Capital are excluded from the calculation Excess Funds Statute 29

Adopt Capital Plan Hire an Architect Adopt Resolutions restricting funds for Capital Purpose and transferring funds to that bank account Maintain separate bank account for restricted funds Excess Funds returned to municipality can only be used for tax relief Excess Funds Statute - How you can keep your Money 30

Library records containing names or other personally identifying details re: users are CONFIDENTIAL and cannot be disclosed unless: Necessary for operation of Library Disclosure is requested by User Pursuant to court order or court subpoena Use of patron Email Opt-in vs. Opt-out Confidentiality of Library Records 31

Public Policy - public has the right to adequate advance notice of and the right to attend all meetings of public bodies Notice must give date, time, location and to the extent known the agenda At least 48 hours in advance Posted in a prominent location Mailed, phoned or hand delivered to at least 2 newspapers Filed with the municipal (county) clerk In lieu of notice for each regular meeting, board can adopt a meeting schedule at annual meeting and provide notice of that schedule as above except no need to include agenda Open Public Meetings Act Notice Requirements 32

When the board must meet and cannot provide 48 hours notice Board must adopt, by affirmative vote of 3/4 of the members attending, a resolution stating that the subject of the meeting was so urgent that a delay in meeting to provide adequate notice would likely result in substantial harm. Meeting is limited to action on the urgent matter Must provide notice of the meeting as soon as possible thereafter Open Public Meetings Act Emergency Meetings 33

At start of meeting, the chair MUST read an announcement that adequate notice of the meeting has been provided, specifying the time, place, and manner in which such notice was provided. This must be reflected in the minutes. Open Public Meetings Act Announcement Example Pursuant to the terms of the Open Public Meetings Act, notice of this meeting has been given to Newspaper #1, Newspaper #2, posted in the Anytown Library and provided to the Anytown Town Clerk. 34

Open Public Meetings Act Quorum, i.e. majority of the board, is necessary to conduct business Law does not apply to meetings of less than an effective majority of the board, i.e. committees Quorum 35

Must contain the time, date and place of meeting, the members present, the subjects considered, the actions taken, the vote of each member Public session minutes must be made promptly available to the public Must keep minutes of closed sessions Open Public Meetings Act Minutes 36

Executive (Closed) Sessions Must adopt a resolution to go into closed session Resolution must state the reason for the closed session and the time and circumstances under which the closed session discussion can be made public Discuss Personnel Matters Rice Notice Litigation/Attorney Client Privilege Contract Negotiations Cannot take action in closed session Open Public Meetings Act Executive Sessions 37

Beware of Email Violations of the Law Blind cc Undisclosed Recipients Penalties for Violating OPMA Injunction undoing action of the board Knowing violations civil penalty of $100/$500 Open Public Meetings Act Violations 38

Broadly defines a government record Personnel records are exempt, but must disclose employee s name, title, position, salary, length of service Provides a compliance process via Government Records Council and Court Provides penalties for anyone who knowingly violates the law Provides for attorney s fees for a successful requestor Appoint a Records Custodian Open Public Records Act 39

Employment Practices Liability Insurance Liability Insurance Hazard Insurance Contents covered for replacement value Worker s Compensation Insurance If in a JIF what is your retention? Unemployment Insurance If you don t have it, the state will bill you for benefits paid Insurance 40

Bid Threshold (changes every 5 years last change July 1, 2020) $17,500 no Qualified Purchasing Agent (QPA) $44,000 with QPA Local Public Contract Law Contract with a QPA Bid Threshold To be certified as a QPA 2 yrs of college (or equiv. experience) + 2 yrs as purchasing agent 4 Rutgers Courses on Public Purchasing Exam 41

Quote Threshold 15% of bid threshold Contracts > $2,625 ($6,600) up to $17,500 ($44,000) Need at least 2 quotes Award to a vendor whose response is most advantageous, price and other factors considered. At or below $2,625 ($6,600) Sound Business Judgement All contracts for goods or services must be in writing Quote Threshold 42

Pay to Play applies to contracts > $17,500, includes books and other library materials. Does not include contracts with banks, insurance co. and public utilities Contracts awarded in one of two ways Fair and Open Process sealed bid Non-Fair and Open Process Contractor must complete Business Entity and Political Contribution Disclosure forms Pay to Play 43

If contract awarded via a non-fair and open process, then in the year preceding award of the contract, and during the term of the contract, the Contractor cannot donate more than $200 to any candidate or office holder for elective office in the jurisdiction(s). Pay to Play 44

Check with your auditor as to method of approving bills Claims/Encumbrances List Bills List List of Checks Purchase Order/Voucher Requires the vendor/contractor to certify that the bill is correct, and that the money is due and owing Paying Bills 45

Credit Cards and Debit Cards are NOT allowed for purchases Can accept credit card for payment Procurement cards aka P Cards are permitted. May also use Electronic Funds Transfer (EFT) P Cards and EFT requires board to adopt a resolution, which includes all policies and procedures for implementation and oversight Local Finance Notice 2018-13 Paying Bills No Credit Cards 46

Adopt a Personnel Policy/Manual Sexual Harassment Policy Affirmative Action Policy Work Week Meal Breaks Vacation/Sick Leave Procedure for calling in sick/request vacation Bereavement Leave Discipline procedures Personnel Manual 47

Civil Service If your town is a civil service town, your employees are protected by civil service If title is competitive must hire from a list Working Test period of 3 months after appointment to permanent title Personnel Civil Service 48

Career Service employees can only be reprimanded/ suspended/terminated for cause 1. Incompetency, inefficiency or failure to perform duties; 2. Insubordination; 3. Inability to perform duties; 4. Chronic or excessive absenteeism or lateness; 5. Conviction of a crime; 6. Conduct unbecoming a public employee; 7. Neglect of duty; 8. Misuse of public property, including motor vehicles; 9. Discrimination that affects equal employment opportunity; 10. Violation of New Jersey First Act 11. Other sufficient cause Civil Service - Discipline 49

Director is your CEO Board has hiring authority but rely on Director to Identify the need for a position Interview candidates and recommend hire Trustees should not talk to staff about Library Operations Staff communicates with the Director and the Director communicates with you Establish Job Description/Goals and Evaluate Relationship with Director 50