FUNDING

Funding Formula

Approved by the Deans/Directors/Coordinators Executive Committee
September 12, 2002

To Be Used Beginning in Fiscal Year 2004

The MnSCU/PALS funding formula is based on three components: a membership fee, a bibliographic record charge, and a patron record charge. Some libraries may incur an additional administrative unit charge, depending on how they choose to be configured in Aleph, the ILS software provided by Ex Libris. Bibliographic records and patron records were selected as the basis for the funding formula for two reasons: 1) the numbers are readily available; and 2) after analysis, the number of bibliographic records and patron records are closely related to the number of transactions, so bibliographic records and patron records do give us a way to measure relative library size and activity.

Membership Fee

The membership fee is composed of two parts. There is a flat fee that is charged to each member library. In addition, there is a tiered fee that is based on the number of bibliographic records that the library has on October 1 of the previous fiscal year. One membership fee allows the library or libraries to have one site contact the MnSCU/PALS staff directly. If multiple libraries join together as one member, all contact with MnSCU/PALS must be done through one agency. One membership fee includes the use of one administrative unit in Aleph.

Bibliographic Record Charge

There is a charge per bibliographic record that the library has on October 1 of the previous fiscal year.

Patron Record Charge

The patron record charge is the larger of one half of the bibliographic record charge or a charge per patron record that the library has on October 1 of the previous fiscal year. Public libraries and K-12 school libraries will have their fees determined based on 50% of the number of patron records they have. High school library fees will be based on 75% of their patron records. These percentages will be reviewed in the Spring of 2004.

Weight of Each Fee Type

The three types of fees will contribute to the total as follows: 25% from the membership fee, 25% from the bibliographic record charge, and 50% from the patron record charge.

Administrative Unit Charge

If a member with multiple libraries chooses to have more than one administrative unit in Aleph, there will be an additional charge per administrative unit greater than one. One administrative unit is included in the membership fee. In Aleph, the administrative unit is used largely to provide more independence in decision making and fund accounting. Since each additional administrative unit will result in additional software license fees and more support from the PALS staff, an additional fee will be charged.

Other Charges

Charges for special services will continue to be charged separately from annual fees. The current schedule of other charges is available on the MnSCU/PALS web site.