Busting Budget BarriersBusting Budget BarriersOLA Presentation: February 2, 2007OLA Presentation: February 2, 2007

Katharine BallKatharine Ball

Anne KaayAnne Kaay

Peter ZimmermanPeter Zimmerman

Context / EnvironmentContext / Environment

University of Windsor, Leddy LibraryUniversity of Windsor, Leddy Library History of the collections budgetHistory of the collections budget Existing structureExisting structure

Collections Budget Review Collections Budget Review ProcessProcess

Mandated by the Leddy Library Mandated by the Leddy Library Operations Strategic Plan 2005-2009Operations Strategic Plan 2005-2009

Budget Allocation Working Group Budget Allocation Working Group formed about two yearsformed about two years

Reasons for the Budget Reasons for the Budget Review Review

Main Over-arching Reason:Main Over-arching Reason:

to spend the budget in the most to spend the budget in the most effective manner possible in order to effective manner possible in order to meet the teaching and research meet the teaching and research information needs of faculty and information needs of faculty and students => help fulfil the University students => help fulfil the University and Library mission statementsand Library mission statements

Reasons for the Budget Reasons for the Budget Review Review

More Specific Reasons:More Specific Reasons:

Need for accountability and transparencyNeed for accountability and transparency Historical inequities and allocation problemsHistorical inequities and allocation problems Major shifts in programs and enrolmentMajor shifts in programs and enrolment Major shifts in the publishing & distribution Major shifts in the publishing & distribution

of scholarly informationof scholarly information Need to merge/clean up certain fundsNeed to merge/clean up certain funds

Budget Allocation Budget Allocation Working Group ReportWorking Group Report

Issued October 2005 and approved by Issued October 2005 and approved by ULACULAC

Implemented for fiscal year 2006/2007Implemented for fiscal year 2006/2007 Includes recommendations for all budget Includes recommendations for all budget

lines and ongoing management/reviewlines and ongoing management/review

******

Focus today will be mainly on the Focus today will be mainly on the recommendations for the monograph budget, recommendations for the monograph budget, and more specifically, the monograph budget and more specifically, the monograph budget

formulaformula

Literature ReviewLiterature Review

Survey of over 273 college and small university Survey of over 273 college and small university libraries (1000 FTE-5000 FTE)libraries (1000 FTE-5000 FTE)

70% response rate with 40% of reporting 70% response rate with 40% of reporting institutions using some kind of allocation formula institutions using some kind of allocation formula while others were in the process of developing while others were in the process of developing formulasformulas

Did not mention the inclusion/exclusion of approval Did not mention the inclusion/exclusion of approval plan purchases for reporting librariesplan purchases for reporting libraries

Tuten, Jane and Beverly Jones. Tuten, Jane and Beverly Jones. Allocation Formulas Allocation Formulas in Academic Libraries, CLIP Note #22in Academic Libraries, CLIP Note #22. Chicago, . Chicago, IL: Association of College & Research Libraries, IL: Association of College & Research Libraries, 1995.1995.

Literature ReviewLiterature Review

Portion of budget/availability of funds Portion of budget/availability of funds allocated by formulasallocated by formulas

Public/institutional knowledge of formulasPublic/institutional knowledge of formulas Use and elements of formulas (also noting Use and elements of formulas (also noting

common elements of various formulas)common elements of various formulas) Revision frequency Revision frequency Examples of various formulas from Examples of various formulas from

reporting institutions reporting institutions

Tuten and Jones survey designed to Tuten and Jones survey designed to measure:measure:

Literature review considered an additional 30 articles: Literature review considered an additional 30 articles: the complete bibliography will be posted with presentationthe complete bibliography will be posted with presentation

General TrendsGeneral Trends

Most libraries used formulas for monograph Most libraries used formulas for monograph purchasespurchases

Fewer libraries including media, CD-ROMs, Fewer libraries including media, CD-ROMs, serials and periodical subscriptions, serials and periodical subscriptions, microform and government documents (in microform and government documents (in that order)that order)

Electronic resources not typically includedElectronic resources not typically included Some libraries had separate allocation Some libraries had separate allocation

formulas for specific areas such as formulas for specific areas such as reference, new programs, instructional reference, new programs, instructional media, periodicals, literature and media, periodicals, literature and interdisciplinary studiesinterdisciplinary studies

Disadvantages/CriticismsDisadvantages/Criticisms

Fail to identify specific collection needs and to Fail to identify specific collection needs and to develop long-term plans to meet themdevelop long-term plans to meet them

Designed without adequate attention to their Designed without adequate attention to their distributional impactsdistributional impacts

Component variables may be arbitrary or based Component variables may be arbitrary or based upon weak theoretical groundsupon weak theoretical grounds

Inflexible and so unable to accommodate the Inflexible and so unable to accommodate the purchase of a large set or block purchasepurchase of a large set or block purchase

May not work well to satisfy accreditation May not work well to satisfy accreditation agenciesagencies

Do not resolve the issue of which fund should pay Do not resolve the issue of which fund should pay for interdisciplinary titlesfor interdisciplinary titles

May not adequately address library collections for May not adequately address library collections for new programs or classesnew programs or classes

AdvantagesAdvantages

Demonstrate accountability in specific and Demonstrate accountability in specific and quantifiable terms that meaningfully relate the quantifiable terms that meaningfully relate the goals of the library to the goals of the universitygoals of the library to the goals of the university

Ensure objectivity and consistency by measuring Ensure objectivity and consistency by measuring each department against the same criteriaeach department against the same criteria

Can allow the library’s allocations to better reflect Can allow the library’s allocations to better reflect any changing conditions within the universityany changing conditions within the university

Facilitate inter-institutional and/or Facilitate inter-institutional and/or interdepartmental comparisonsinterdepartmental comparisons

Allow for comparisons from year to yearAllow for comparisons from year to year Encourage reasonable planning for collections Encourage reasonable planning for collections

developmentdevelopment

Most Commonly Used Most Commonly Used VariablesVariables

FTE facultyFTE faculty Student credit hoursStudent credit hours Circulation statisticsCirculation statistics Average cost of booksAverage cost of books

Types of FormulasTypes of Formulas

UnweightedUnweighted – variables judged as having equivalent – variables judged as having equivalent importance. An advantage of this is all variables assigned importance. An advantage of this is all variables assigned equality of value, bypassing concerns re: value. equality of value, bypassing concerns re: value. Disadvantage is that all variables may not be perceived as of Disadvantage is that all variables may not be perceived as of equal importance.equal importance.

WeightedWeighted – variables are assigned coefficients or constants – variables are assigned coefficients or constants indicating weight. The coefficient is adjusted according to the indicating weight. The coefficient is adjusted according to the importance of each variable, as perceived by those importance of each variable, as perceived by those implementing the formula. Major advantage is that libraries implementing the formula. Major advantage is that libraries can assign importance to variables deemed valuable to a can assign importance to variables deemed valuable to a particular institution; a disadvantage is that, in order for the particular institution; a disadvantage is that, in order for the formula to be successful, all parties must agree on the formula to be successful, all parties must agree on the weights assigned.weights assigned.

Percentage-basedPercentage-based – variables assigned specific portions or – variables assigned specific portions or percentages of the budget. Advantages and disadvantages percentages of the budget. Advantages and disadvantages are identical to those for weighted formulas.are identical to those for weighted formulas.

Decisions Made after Lit. Decisions Made after Lit. ReviewReview

Individual department/monograph funds Individual department/monograph funds for monographs would be maintainedfor monographs would be maintained

Certain “library” funds would be Certain “library” funds would be excludedexcluded

Base 2005/2006 allocations would not Base 2005/2006 allocations would not be decreased; instead $100,000 of new be decreased; instead $100,000 of new money would be divided up according money would be divided up according to the formulato the formula

Decisions Made after Lit. Decisions Made after Lit. ReviewReview

Also decided on the general categories of Also decided on the general categories of variables we wanted to use in the variables we wanted to use in the formulaformula

A. Numbers of Faculty and StudentsB. Use of CollectionC. Price of Books Many ways to define, measure,

and weight these variables

Started examining our options Have to work with the data that is

available

Options: Faculty/Student Options: Faculty/Student NumbersNumbers

FacultyFacultyFTE (on annual basis) was the only FTE (on annual basis) was the only

optionoption

StudentsStudentsA. Head counts – available for undergraduate A. Head counts – available for undergraduate

and graduate studentsand graduate studentsB. FTE – measured in different ways for B. FTE – measured in different ways for

undergraduate and graduate studentsundergraduate and graduate studentsC. SEUs – for undergraduates onlyC. SEUs – for undergraduates only

Options: Use of the Options: Use of the CollectionCollection

Decided on circulation of library materialsDecided on circulation of library materials

Different types of circulationDifferent types of circulation Measuring circulation by subject/department/fundMeasuring circulation by subject/department/fund

- Library of Congress classification to - Library of Congress classification to define/measure circulation of collection in define/measure circulation of collection in different subject areasdifferent subject areas

- Circulation per title purchased by each fund- Circulation per title purchased by each fund Also considered using exact numbers, Also considered using exact numbers,

percentages, rankings, mean, median, etc.percentages, rankings, mean, median, etc.

Options: Book PriceOptions: Book Price

Generic book prices from vendors such as Generic book prices from vendors such as YBPYBP

Custom reports from our own monograph Custom reports from our own monograph vendorsvendors

Actual prices of books bought from each Actual prices of books bought from each fundfund

Considered mean vs. medianConsidered mean vs. median

The Budget FormulaThe Budget Formula

Numbers of faculty and students (weighted 50% of total)Numbers of faculty and students (weighted 50% of total)

Faculty (FTE) 5% Faculty (FTE) 5%

Grads (FTE) 10%Grads (FTE) 10%

Undergrads (SEU) 35%Undergrads (SEU) 35%

Calculated on a 5 year rolling time period basisCalculated on a 5 year rolling time period basis

Average circulation per book purchased (weighted 40%)Average circulation per book purchased (weighted 40%)

Calculated on an 8 year rolling time period basisCalculated on an 8 year rolling time period basis

Median price per book (weighted 10%)Median price per book (weighted 10%)

Calculated on a 5 year rolling time period basis Calculated on a 5 year rolling time period basis

The Budget FormulaThe Budget Formula

Library funds (reference, rare books, government Library funds (reference, rare books, government documents, and “general”) were allocated based on past documents, and “general”) were allocated based on past experienceexperience

Formula was then applied to departmental/programme Formula was then applied to departmental/programme fundsfunds

No monograph fund assessed by the formula received less No monograph fund assessed by the formula received less than its 2004/2005 base allocationthan its 2004/2005 base allocation

Only funds that according to the formula should have base Only funds that according to the formula should have base budgets greater than their 2004/2005 base allocation budgets greater than their 2004/2005 base allocation received increases in 2006/2007received increases in 2006/2007

These increases were calculated proportionally to reflect These increases were calculated proportionally to reflect the percentage of change indicated by the formulathe percentage of change indicated by the formula

Future ConcernsFuture Concerns

Electronic budget: formula does not apply to Electronic budget: formula does not apply to the largest part of the library’s acquisitions the largest part of the library’s acquisitions budgetbudgetVAlmost 75% of the library’s budgetAlmost 75% of the library’s budgetVContains full-text bibliographic, citation/abstract Contains full-text bibliographic, citation/abstract

bibliographic, numerical/statistical and geospatial bibliographic, numerical/statistical and geospatial database subscriptions as well as e-journal database subscriptions as well as e-journal packages and individual e-journal subscriptionspackages and individual e-journal subscriptions

V Includes subscriptions that are part of consortial Includes subscriptions that are part of consortial arrangements, either at the federal or provincial arrangements, either at the federal or provincial levellevel

VLarge part of the challenge is how to determine the Large part of the challenge is how to determine the collection strengths/weaknesses in this fundcollection strengths/weaknesses in this fund

Future ConcernsFuture Concerns

Formula not applied to serials collection; historical Formula not applied to serials collection; historical allocations for print serials may have created allocations for print serials may have created inequities that have not provided optimum support inequities that have not provided optimum support for print serials across the disciplinesfor print serials across the disciplines

Impact of e-booksImpact of e-books Implementation of formula does not reduce Implementation of formula does not reduce

historical fund allocation from fiscal year 2004/2005 historical fund allocation from fiscal year 2004/2005 so does not address issue of whether the fund was so does not address issue of whether the fund was overendowed in that and previous fiscal yearsoverendowed in that and previous fiscal years

Question of how to address issue of funds unspentQuestion of how to address issue of funds unspent

Questions?Questions?