BY ROGER SMITH
MOUNTAIN CITIZEN
INEZ — The Martin County Public Library Taxing District is facing financial difficulties prompting one board trustee to suggest relocating the library back to its former building on Main Street.
During a special meeting June 26 the library board approved a budget of $899,250 for the fiscal year 2025. The meeting, led by Shelia Maynard in the absence of chairman Maurice Mills, also included a discussion about inspecting the fire safety systems at the former library building.
Board trustee Denise Stepp expressed concerns about the library’s financial situation, revealing that the operations account holds only $87,000.
“We’re running out of money,” Stepp said, noting that the library had to discontinue craft classes. “We have too many employees and we need to move back to the other building and let [Eric Mills] turn [the Collier Center] into whatever.”
She pointed out that six months of payroll alone would cost $100,000; the heating and cooling bill was $7,000 per month at the Collier Center, $500 at the Rufus Reed Library in Lovely, and $51 at the former library building.
“That doesn’t include our insurance,” added Stepp. “[The library director] paid $6,000 today for insurance.”
Stepp also mentioned that the cinema is not profitable and suggested outsourcing it or making other adjustments. However, her suggestions did not receive support from other board trustees. Barry Webb argued that income projections had not been considered in Stepp’s assessment and proposed increasing cinema concession prices to boost revenue.
Stepp persisted, saying the money would not last until the end of the year. “And we probably won’t receive any tax money from the sheriff’s office until December.”
John Triplett informed Stepp that her comments were not on the agenda for the special meeting.
“It’s not something we can take up today,” Triplett stated. “Do you have any questions on the budget for next year?”
Stepp suggested that the board direct its accountant, Linda Sumpter, to balance the budget in August.
“Linda might or might not be able to do that,” replied Triplett. “Her situation has been a mystery to me. I’ve seen her one time in the last year, and it was altogether not a perfect situation. But the point is that all we’ve got to do today is pass or not pass this budget on the second reading. Does anybody have any questions on the budget as it’s presented? You might very well take that up in August. And I’m for whatever to make it work, but today all we can do in this meeting is approve the budget.”
Following additional comments by Webb and Triplett, Stepp restated, “We probably need to move back to the old library.”
“We need to discuss that at another meeting,” remarked Webb.
A review of financial records revealed that through 11 months of the 2024 fiscal year, the library’s revenues were $552,852 and its expenditures were $662,204 as of May 31.
Budget breakdown
The 2025 budget revenue of $899,250 comprises $408,000 from local taxes (up $8,000 from 2024): real property $225,000 (up $40,000 from 2024), tangible personal property $30,000 (decrease of $12,000 from 2024), motor vehicle $26,000 (down $9,000), omitted tangible $500, motor vehicle other counties $6,000 (down $1,400), delinquent tax $25,000 (down $5,000), franchise $40,000 (down $50,000), gas & oil $55,000 (up $50,000 from 2024), and unmined mineral $500.
Other revenue itemization includes telecommunication tax $15,000 (down $10,000), copies $1,500, fax $15, book/video fines $15, card fees $5, lamination fees $15, interest $1,500 (down $1,000), donations $500, reimbursements $100, grants $10,000, ticket and concession sales $90,000 (up $10,000), cinema rental $3,500, vending $4,500, rentals $10,000, programs $3,000, other income $1,300, sublease $30,300, carry forward $320,000 (up $120,000).
Expenditures comprise books and other library materials $27,300, personnel $358,500 (up $26,000), general operating $471,650 (up $123,400), computer costs $13,000, continuing education $7,800, and capital outlay $21,000.
Former library building
The next agenda item, the inspection of the sprinkler and fire extinguisher systems at the vacant former library building, has the potential to effectively eliminate Stepp’s idea of moving back to the former library building.
Triplett suggested tabling the item due to financial constraints. However, Webb proposed a solution: his brother-in-law Eric Mills, interested in leasing the former library building for addiction recovery “aftercare” services, could cover the inspection costs upfront with deductions made from his rent. Webb stated he had discussed the proposal with Mills, who was agreeable to this arrangement. According to Webb, the estimate by Century Fire Protection for the inspection was around $4,000.
Maynard, whose Professional Cleaning Services business contracts for inspections in Martin County government buildings, said her company uses Heritage Fire Protection.
“They’re cheap,” Maynard said.
Triplett referred to discussions that came up in February about the need to repair “two or three” of the seven HVAC units in the former library building.
“If [Mills] could do both, we certainly could make a significant adjustment on the rent,” remarked Triplett.
“What we probably need to do is authorize Barry to negotiate with [Mills] on what upfront money he could provide for the inspection and any issues with the air conditioner.”
Stepp questioned the prudence of entering into a barter agreement with Mills rather than following regulated procedures such as advertising for bids.
“I’m interested in Mills and what we can work out with him,” stated Triplett, who made a motion to authorize Webb to negotiate with Mills while Maynard negotiates with Heritage. “Do I have a second to let you fellows negotiate that before next month to get this meeting over with?”
The motion carried.
Collier Center
The library board took over the Martin County Community Center, aka Roy F. Collier Community Center, saving it from collapse in March 2021. The community center closed due to the coronavirus pandemic in March 2020 and then lost substantial funding in August 2020 when longtime private financial sponsors chose to allow county leadership the opportunity to assume responsibility for the center. By March 2021, the center owed a past-due electricity bill of $60,000-plus.
As part of the lease agreement, the library paid off the electricity bill and reestablished the center’s services to the community. With the help of about $30,000 from the Martin County Fiscal Court’s American Rescue Plan funding in May 2022, the library also reopened Movies on Main.
Eric Mills
Eric Mills approached the library board in February to lease the 10,900-square-foot former library building. Upon Triplett’s recommendation, the board agreed to a $1,500-per-month lease for the first two years and $2,000 per month starting the third year to Mills’ nonprofit, Thrive Community Coalition. Those negotiations hit a snag in April when a title search revealed that the library board did not legally own the building. The deed for the building was in the name of Martin County Public Library District Construction Corporation.
The board instructed attorney Brian Cumbo to file a petition for a declaration of rights—a lawsuit against the construction corporation—asking the judge to quiet the title to the building and assign ownership to the library district.
Mills’ organization secured a $500,000 Appalachian Regional Commission INSPIRE grant in September 2023. In October 2023, he was awarded a $376,000 grant from the Kentucky Opioid Abatement Advisory Commission.
The library board’s next regularly scheduled monthly meeting is at 5 p.m. July 22.