Administrative Policy

Section 1: Finance

1.1 PROCUREMENT

All purchases of the library must be approved by the Executive Director (or their  designee) and the Chief Fiscal Officer (or their  designee), except in situations (as described later in this policy) where Board approval is necessary before making the purchase.

All expenditures of library funds require a purchase order. A purchase order represents the library’s agreement to pay funds for goods or services described in the purchase order. When accepted by a vendor, and in the absence of other controlling terms, it constitutes the agreement between the library and vendor with respect to the stated goods and services. Purchase orders are signed by the Fiscal Officer or Deputy Fiscal Officer, who certifies that the expense is legal, that funds have been previously appropriated by the Board of Trustees, and that monies are available or in the process of being collected prior to signing.

Library staff are expected to use reasonable diligence in finding the best prices for all goods and services obtained for the library.

Contractors for professional services used by the library must provide evidence of creditworthiness, proof of bonds or insurance, and comply with other reasonable requests of trustworthiness.

1.1.1 Board Approval

Except in cases of urgent necessity, prior approval from the Board of Trustees is needed for:

1. Salaries and Benefits:
   1. Salaries and benefits for Executive Director, the Fiscal Officer, and the Deputy Fiscal Officer.
   2. All changes to the Pay Bands and to staff benefit plans.
2. Purchased and Contracted Services:
   1. Advertising for bids and letting contracts for repairs that are required to be formally bid under Ohio law.
   2. Building and equipment maintenance and custodial service agreements/contracts where the total cost of the projects is expected to exceed $10,000.
   3. Information systems/technology hardware/software maintenance agreements where the total cost of the contract is expected to exceed $25,000.
   4. Insurance policies where the total premium for the covered period is expected to exceed $5,000.
   5. Building lease/rental agreements where the total cost for the covered period is expected to exceed $5,000.
   6. Contracts for Professional Services (i.e. contracts with architects, engineers, accountants, auditors, management consultants, attorneys, surveyors, etc.) where the specific contract is expected to exceed $5,000.
3. Library Materials and Information:
   1. Library materials contracts where the total cost of the contract is expected to exceed $25,000.
4. Capital Outlay and Purchases:
   1. Advertising for bids and letting contracts for land improvements, building improvements and construction of new library buildings as required under the bidding laws for Ohio libraries.
   2. The purchase of land, buildings, and easements.
   3. The purchase of furniture and equipment that has been formally bid as a part of a capital project.
   4. The purchase of furniture and equipment from a specific vendor when that vendor is to receive a purchase order in excess of $5,000.
   5. The purchase of all motor vehicles requires prior board approval.
5. Debt Service:
   1. Capital lease or lease-purchase agreements in which the total cost is expected to be greater than $5,000.
   2. Professional service contracts for purposes of assisting in debt financing when the total contract price is expected to exceed $5,000.
6. Other Expenditures:
   1. Organizational memberships and all contract or memberships in cooperative-type projects when the total cost for the covered period is expected to exceed $15,000.
   2. Payment of all judgements and findings against the library.

In all instances, two or more purchase orders may not be combined to avoid spending limits. Projects may not be piecemeal in nature to avoid spending limits. Library staff are encouraged to consult the Board in situations where there is any question about the spending limits requiring Board approval.

It shall be fully understood that the administration shall have the authority to make all necessary purchases for the library, without first obtaining Board approval, if the money has been appropriated and the purchase is authorized within this policy. If it is found that this policy is in conflict with any federal, state or local law, the law shall take precedence. This policy is meant to be general in nature, and in situations where purchases or expenditures are covered by more specific Board policy, the more detailed and specific policy shall take precedence.

The Board may disclaim responsibility and liability for any expenditure, credit card purchase, or contractual agreement in its name by an unauthorized person or any person acting outside this policy. The expense of such disclamation will become the personal liability of the individual who acted improperly.

1.1.2 Quotations for Prices

For those purchases not falling under the requirements of sections 3375.41 (bidding) and 153.65-153.1 (professional design services) of the Ohio Revised Code, quotations for prices are required for the purchase of any good or service over $5,000 in total. Contracts with one vendor for a similar good or service cannot be split in order to override this requirement. Price quotations from multiple vendors are preferred. However, if it is determined by the Director that there is only one vendor that specializes in this type of good or service, a quotation from only one vendor will be acceptable. Final selection of quotations for goods and services will be those that are in the best interest of and/or represent the best value of the library.

1.1.3 Credit Cards

1. This policy applies to all (i) payment cards, checks or other payment instruments associated with a credit account issued by a financial institution or a retailer, and (ii) payment cards related to the receipt of grant funds. All such cards and instruments are referred to herein as “credit cards”.
2. This policy does not apply to procurement cards (P-cards), or to gas cards or other payment cards that are capable of use only for the purchase of certain limited types of goods.
3. For purposes of the policy, the Deputy Fiscal Officer may perform the functions of the Fiscal Officer in the absence of the Fiscal Officer.
4. The library will not obtain or maintain any debit cards.
5. Credit cards will be established in the name of the Chillicothe & Ross County Public Library with a maximum credit limit not to exceed $ 10,000.
6. The Fiscal Officer will work with the appropriate financial institutions that issue credit cards to determine the best type of credit card accounts for the library, and also to determine which store credit card accounts the library will utilize.
   1. The Fiscal Officer is responsible for working with the issuing financial institution to determine the dates when credit cards expire and the re-issuance of replacement cards.
   2. The Fiscal Officer is responsible for determining, when necessary, the need to cancel a credit card account and any adjustment to credit limits on the credit cards.
   3. The Fiscal Officer is responsible for notifying the issuing financial institution of a lost or stolen card. Library personnel using a credit card must notify the Fiscal Officer when they become aware that a card is lost or stolen.
7. Credit cards will be kept in the office of the Fiscal Officer and may be signed out to authorized library personnel as necessary. The credit card should be promptly returned to the office of the Fiscal Officer once the purchases for which it was checked out have been made.
8. Credit cards may be signed out only to the following library personnel:
   1. Executive Director
   2. Chief Fiscal Officer
   3. Deputy Fiscal Officer
   4. Assistant Directors
   5. Managers
   6. Assistants
9. A credit card may not be used by anyone other than the individual to whom it is signed out.
10. Prior to initial receipt of a credit card, each individual must agree to and sign the Credit Card Responsibility and Use Procedures.
11. The Board authorizes the use of Library credit cards for use in connection with Board- approved or library-related activities and for only those types of expenses that are for the benefit of the Library that serve a valid and proper public purpose shall be paid for by credit card. Credit cards will be used primarily for travel expenses to conferences and/or workshops and pre-payment of materials when required by a vendor. In any event, credit cards may be used only for expenditures that are within the applicable budget and departmental guidelines.
12. For each purchase made using a credit card, an itemized, signed receipt indicating the amount paid, the vendor, and the goods/services purchased must be submitted to the Fiscal Officer promptly following the purchase.
13. Use of a credit card for personal expenditures, for expenditures in excess of the applicable credit limit, or otherwise in violation of this policy constitutes a misuse of the credit card. Any Library personnel engaging in misuse of a credit card will be responsible to reimburse the Library for any unauthorized expenditures and may be subject to disciplinary action up to and including termination of employment.
14. If a credit card is lost or stolen, or if any library personnel become aware of unauthorized or fraudulent use of any of the Library’s credit card accounts, the same must be reported immediately to the Fiscal Officer.
15. All monthly credit card statements and other correspondence associated with the credit card accounts will be sent to the Chillicothe & Ross County Public Library. Payment of the monthly statements must be made in a timely fashion so that finance charges and late payment fees are not incurred.
16. On an annual basis, the Fiscal Officer will submit a report to the Library Board of Trustees regarding all credit card rewards received by the library.

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1.2 INVESTMENTS

This document, in conjunction with the Ohio Revised Code, as amended, will govern the investment activities of the Chillicothe & Ross County Public Library. It will be reviewed periodically for compliance and to assure the flexibility necessary to effectively manage the monies of the Chillicothe & Ross County Public Library.

Policy Statement and Scope of Policy:  It is the policy of the Chillicothe & Ross County Public Library to invest public funds in a manner which will prioritize the maximum security of those funds. Meeting the cash flow demands of the library and striving to attain high investment returns while conforming to the Ohio Revised Code, are also of primary importance.

This Investment Policy applies to all active, interim and inactive funds that the library has received, and is held accountable for, from all public and private sources.

Investment Objectives:  The primary objectives of the investment activities of the Chillicothe & Ross County Public Library are:

Safety: Safety of principal is the foremost objective of the investment program. Investments of the library shall be undertaken in a manner that ensures the preservation of capital in the overall portfolio. At no time will the safety of the portfolio's principal be impaired or jeopardized. Safety is defined as the certainty of receiving full par value plus accrued interest, at the securities legal final maturity.

Liquidity: The library's investment portfolio will remain sufficiently liquid to enable the library to meet all operating requirements. Portfolio liquidity is defined as the ability to sell a security on a short notice near the par value of the security.

Return on Investments: The library's investment portfolio shall be structured with the objective of attaining a market rate of return throughout budgetary and economic cycles, taking into account the library's investment risk constraints and the cash flow characteristics of the portfolio.

Delegation of Authority:  Management responsibility for the investment program is delegated to the Chief Fiscal Officer or subsequent designee of the Board, who shall be responsible for the implementation of the investment program and the establishment of investment procedures consistent with this policy. Such procedures shall include explicit delegation of authority to persons responsible for investment transactions. No person may engage in an investment transaction except as provided under the terms of this policy and the procedures established by the Chief Fiscal Officer.

Ethics and Conflicts of Interest:  Employees involved in the investment process shall refrain from personal business activity that could conflict with proper execution of the investment program, or which could impair their ability to make impartial investment decisions.

Authorized Financial Institutions and Brokers/Dealers:  Any financial institution located within the State of Ohio as defined by ORC 135.03 is eligible to serve as an approved depository and/or investment provider contingent upon having an active executed Depository Agreement on file with the library. At least quarterly, a depository is required to supply the Chief Fiscal Officer the amount of public monies deposited by the Library and secured and the total value based on the amounts above of the pool of securities pledged to secure public monies held by the depository, including those deposits by the library.

The Chief Fiscal Officer shall deal only with brokers or dealers who are registered as such with the Securities and Exchange Commission and who are licensed as a dealer with the Ohio Division of Securities as defined in ORC 135.03. Such brokers or dealers should also be members of the National Association of Securities Dealers, Inc. Securities brokers and dealers shall be utilized only after an analysis performed by the Chief Fiscal Officer has revealed that the broker or dealer is adequately financed to conduct business with the library.

Authorized Investments:  The Chief Fiscal Officer is authorized to make investments of available monies from the funds of the Library in securities authorized in ORC 135.14, as amended.

Maximum Maturities:  To the extent possible, the library will attempt to match its investments with the anticipated cash flow requirements. The Chief Fiscal Officer will not invest in securities exceeding 5 years in maturity. Any investment made must be entered into with a reasonable expectation to be held to maturity unless defined opportunities exist to better achieve deposit/investment objectives denoted in this Investment Policy.

Internal Control and Compliance:  The Chief Fiscal Officer shall establish an annual review process of investment policies and procedures. This review will include an audit every 2 years conducted by the Auditor of State, as well as internal review for compliance with all investment policies and procedures.

Certification by All Parties, Filing, and Acknowledgement:  The Chief Fiscal Officer shall distribute a copy of this Investment Policy and any revisions or updated versions to each of the eligible financial institutions and brokers and dealers desiring to do business with the library. It shall be the responsibility of the designated officer of each eligible financial institution, broker, and dealer to certify that they have reviewed this Investment Policy and agree to comply with all applicable State of Ohio and Federal laws. Furthermore, the aforementioned officer shall agree to disclose any potential conflicts or risks to Library funds that could arise out of financial transactions between the financial institutions, brokers, and dealers and the library.

This Investment Policy, along with any future revisions or updates, will be filed with the Auditor of State in accordance with State of Ohio law.

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1.3 BUDGETARY LEVEL OF CONTROL POLICY

Upon adoption of a Temporary or Permanent Annual Budget, the Board of Trustees sets the Budgetary Level of Control at the Fund-Object Group level. At the Object Group level, the Fiscal Officer may transfer monies between appropriation accounts within the same object group (for example: within the Salaries & Benefits object level, within the Library Materials object level, etc.) but not across object levels (from Salaries to Library Materials, for example) without board authorization. The Fiscal Officer may also transfer monies between Programs using the same Object Group (from Business Administration Supplies to Public Service Supplies, for example).

Board authorization is always required for the Fiscal Officer to transfer monies across Funds (from the General Fund to the Building Fund, for example).

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1.4 FIXED ASSETS

It is the policy of Chillicothe & Ross County Public Library to maintain accurate records of fixed, or capital, assets. The fixed asset program shall be administered by the Chief Fiscal Officer and shall contain sufficient information to permit:

• Identification and cost of the fixed asset
• Adequate insurance coverage and records in the event of a loss
• Control and accountability of assets for the Board of Trustees

Records of fixed assets shall include:

1. Building List of library-owned buildings to be updated annually:Year constructed and year(s) of any major alterations/additions
   • Square footage
   • Type of construction
   • Purpose of structure
   • Latest valuation of building
2. Asset Inventory of items having a useful life greater than one year and an initial cost of $300 or greater. This includes assets such as vehicles, furniture, computer equipment, phone systems, etc. Information recorded shall include:
   • Item description, serial/VIN number, asset (inventory) tag number, initial cost, current location
   • Computers and related equipment may be maintained by the IT Manager as part of a dedicated IT inventory list
3. Data Processing Software List sufficient for insurance and audit purposes. Backups of business-necessary software shall be completed often and protected/stored offsite as necessary.
4. Non-Circulating Valuable Artwork List to include artist, date, and appraised value, if applicable.
5. Library Materials List can be created from the circulation system; library materials are not inventoried as part of this policy. However, the Chief Fiscal Officer shall ensure circulated materials are adequately insured. 

Disposal of Assets

The Executive Director is authorized to approve the sale or disposal of library materials, furniture, and equipment that is no longer functional or useful. The Chief Fiscal Officer will administer the sale or disposal of such items in the most cost effective and efficient manner. When an item no longer has value to the library, it will be removed from inventory and handled as follows:

1. Books and other material, no longer deemed appropriate for the collection, may be donated to the Friends of the Library or non-profit charitable organizations.
2. Furniture, equipment, or other items no longer of use to the library may be donated to a non-profit charitable organization to be repurposed.
3. Items not donated may be sold through auction (including on-line auction) or publicly advertised sale with any proceeds from such sale being deposited to the General Fund of the Library. The notification will advise potential buyers that items will be sold as is and must be removed at the buyer’s expense by a specified deadline. Prior to such sale, the Chief Fiscal Officer will prepare a list of those items to be included in the sale for approval by the Board of Trustees.
4. If an item is determined by the Chief Fiscal Officer to have marginal or no resale value, or it does not sell through auction or publicly advertised sale, it may be sold, recycled, or discarded in the best interest of the library.
5. The Chief Fiscal Officer is authorized to accept trade-in allowances on any item of equipment being replaced or upgraded for which a trade-in allowance is offered.
6. In an instance where an item of surplus inventory is determined by the Executive Director or Chief Fiscal Officer to have unusual, historic or artistic value such items may be referred to the Board for determination of value which determination may include the services of a professional appraiser or outside expert opinion.

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1.5 CREDIT CARD RESPONSIBILITY & USE

A credit card account has been established to meet the needs of your department for incidental purchases. Upon receipt of proper documentation and itemized receipt, credit card expenditures will be paid through the Fiscal Officer’s office.

A credit card does not replace requisitions and purchase orders.

Conditions of Use. Expenses may be incurred with the credit card only if all of the following conditions are met:

Expenditures must be within the guidelines of the particular activity of your department and budget. The expenditure may only be made after the approval of any required requisition and purchase order. The credit card is not to be used for any personal expenses.

• Expenditures to be paid must be less than your individual credit limit of $1,000. With the only exception of that being the Fiscal Officer who may charge up to the balance on the card for purchases that cannot be made with a check.
• Proper documentation to support the expenditure must be sent to the Fiscal Officer prior to receipt of the monthly statement.
  • Proper documentation is to include:
    • Itemized paid receipt indicating the amount paid, the vendor, and an itemized description of the purchase.
    • In the case of books, subscriptions or similar types of orders, a copy of the order form or document, and the packing slip or other receiving document.
    • A hardcopy print-out for any items ordered online.
  • Examples of documentation not allowed:
    • Non-itemized cash register receipts.
    • Handwritten requests for reimbursement without receipts or other verification.
• The Library is exempt from sales tax, and all reasonable efforts should be made to ensure that sales tax is not charged by vendors in connection with purchases made via credit card. A tax exemption certificate is available in the Fiscal Officer’s office. In some cases, if you merely mention to the vendor that the purchase is tax exempt, no sales tax will be charged.

Safekeeping. You are responsible for the safekeeping of the credit card. You shall not permit anyone else to use the credit card or disclose to anyone (other than the vendor/merchant in connection with a purchase) the card account number, CVV, or other pertinent account information. You shall promptly return the credit card to the office of the Fiscal Officer once the purchases for which it was checked out have been made.

Unauthorized Use. If you become aware of any unauthorized or fraudulent use of the credit card, or if the credit card is lost or stolen, you must immediately report same to the Fiscal Officer.

No Right to Credit Card. The credit card is issued to you on a temporary basis, and remains the sole property of the financial institution from which it was issued. The right to use the credit card may be revoked at any time without notice by the issuing financial institution or by the Library’s Fiscal Officer or Director.

Personal Responsibility. You are personally responsible for any unauthorized credit card expenditures and expenditures made in violation of applicable Library policy.

Policy. In addition to the terms set out herein, use of the credit card is subject to the Library’s Credit Card Policy (Administrative Policy 1.3: Procurement – Credit Cards).

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1.6 SPONSORSHIP AND DONOR RECOGNITION

Statement

Libraries enrich lives, provide information for work and daily living, and foster informed communities which are essential to a democratic society. In recognition of this important function, communities support the library through public funding. The library’s first priority is to ensure the continuation and growth of this primary relationship—public funding for the public good.

Publicly funded libraries can and do explore other sources of funding, such as grants, gifts, donations, partnerships and sponsorships, to ensure that they provide the best possible services to their communities. Sponsorships are one source of additional support that allows libraries to enhance the level, extend the range, or improve the quality of library services.

To ensure that the partnerships enhance the library’s image and add value to library services, CRCPL will enter into sponsorship agreements that outline the conditions and the benefits of the sponsorship arrangement.

Guidelines

The library has the responsibility to:

• Protect the principle of intellectual freedom and not permit sponsors to influence the selection of collections, or staff advice and recommendations about library materials.
• Demonstrate that sponsors further the library’s mission, goals, objectives and priorities, but do not drive the library’s agenda or priorities.
  Safeguard equity of access to library services and not allow sponsorship agreements to give unfair advantage to, or cause discrimination against, sectors of the community.
• Avoid endorsement of products or services.
• Ensure the confidentiality of user records by not selling or providing access to library records to sponsors or any parties.
  Be sensitive to the local political and social climate and select partners who will enhance the library’s image in the community.
• Retain the right to refuse sponsorships or gifts.

The library will:

• Recognize that taxpayers are the main supporters of the library and acknowledge them as such.
• Know that corporations receive direct benefit for donations through tax receipts.
• Assure that recognition of sponsors is commensurate with gifts bestowed.
• Protect the library’s logo from use by corporate sponsors.
• Maintains refusal rights pertaining to the use of corporate logos on library publications, signage or buildings.
• Acknowledge gifts and sponsorships equitably by establishing agreements regarding:
  • library board approval for gifts
  • public acknowledgement of gifts, such as press release or ceremonies
  • thanks on written materials, such as annual reports
  • naming of spaces, including:
    • the encouragement of the use of personal over corporate names
    • that plaques or signs be visible, but not focal points of the spaces
    • a written agreement between the library and sponsor that includes size and content specifications for any sign
    • that expectations regarding ongoing acknowledgment be explicit and public in the agreement between the sponsor and the library
    • that sponsor names not be required on ongoing library publicity, such as the webpage or brochures retain the right to cancel the agreement if either entity changes name or ownership
• Retain the right to terminate the agreement if any terms are violated.

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1.7 MEALS AND GIFTS FOR LIBRARY STAFF AND TRUSTEES

Library administration may choose to provide meals for library staff and trustees during gatherings such as staff meetings, trainings and staff in-service day.  These meals will be kept to a minimum and library administration will do their due diligence in finding meals that are affordable in nature.

Also, staff and trustees may be awarded gifts at various times in their library careers.

Staff will be given a gift from the library upon on their retirement.

Staff are also eligible for service awards at each 5-year milestone in their service to the library.

Long term library board members may be recognized with a gift from the library upon their departure from the board.

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1.8 PATRON PRIZES AND AWARDS

Occasionally, the library will host programs and events that include prizes to encourage our patrons to participate. The library may choose to purchase gifts or gift cards for these purposes.

When a gift card is purchased, it will be locked in a file in the fiscal officer’s office until it is given to the patron. Those who are awarded gift cards as a prize will be recorded and the list will be kept with the gift card receipt as a record.

When a prize with a value that exceeds $50 is given, the winner’s name will be recorded and kept with the receipt as a record as well.

Any gifts of this type (gifts or gift cards) that are donated to the library will not be required to have a record of who was awarded the gift.

Library employees and immediate family members of library employees are not eligible to win prizes awarded by and paid for with library funds.

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1.9 MOBILE TELEPHONES

Mobile phones may be required for employees in certain positions within the library system as determined by the Executive Director to help increase library productivity and/or safety. The Executive Director may authorize either a library-provided cell phone or a monthly allowance to ensure that the appropriate employees have the necessary equipment.

Library Provided Cell Phones: Personal use of library provided mobile phones is strongly discouraged although the library administration recognizes that this is sometimes unavoidable. Any additional costs incurred for personal use shall be reimbursed to the library. The library reserves the right to audit and review mobile telephone bills to ensure their proper usage. Mobile phones and any associated equipment that are the property of the library must be returned to the library upon termination of employment with the library.

Allowance for Cellular Phones: At the discretion of the Executive Director, the library may offer a taxable allowance for cellular phone equipment and services in lieu of a library-provided cell phone. The allowance is intended to cover library business-related costs and may not defray the total cost of a cellular phone plan or usage. The amount of the allowance will be consistent across all participating employees and evaluated periodically by the Fiscal Officer.

As stipulated in Administrative Policy, Section 9, operators of vehicles on library business should not drive while distracted. Employees are not permitted to write, send, or read text-based cellular communications while operating a library vehicle. 

All employees who are issued a library-owned mobile phone or provided an allowance for cellular service must acknowledge that they have received a copy of this mobile telephone policy by signing the attached agreement.

Chillicothe & Ross County Public Library Mobile Telephone Policy Employee Acknowledgement

I hereby acknowledge that I have received a copy of the Chillicothe & Ross County Public Library’s Mobile Telephone Policy.  I have read and understand the terms of the policy.  Furthermore, I agree to comply with the guidelines as set forth in the policy and understand that failure to abide by the policy may result in corrective action.

Employee Signature:  _________________________  Date:  _________________________