February 17, 2018

ALA Assets Down, Costs Up

By LJ Staff

At various Council sessions at the Midwinter meeting, financial reports
revealed flat income and revenue just as external costs and internal operating
expenses are increasing. ALA Treasurer Liz Bishoff’s report indicates that
assets are down due to a decline in the market value of the endowment, while
expenses are being incurred for the Campaign for American’s Libraries
($848,000), the Spectrum scholarship program ($338,000), and the CIPA legal
battle ($395,000). ALA expects lower to flat revenues through FY 2004. Pat
Smith, chair of BARC (the Budget Analysis and Review Committee), said that
concerns for the financial picture prompted a five percent reduction in FY 2001
expenditures, including deferrals of compensation and building improvements,
among others, and a ten percent reduction in travel expenses. The units of ALA
have been asked to prioritize services for the next five years. The good news is
that membership is up five percent.