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Audit Reveals $1 Million Deficit in Ann Arbor District PL

Staff -- Library Journal, 2/21/2000

A long-awaited financial audit of the Ann Arbor District Public Library has revealed a deficit approaching $1 million for the three-year period that passed since the library separated itself from the local school system. The library was the LJ/Gale Library of the Year in 1997 for the work it did in converting operations to a library district. The deficit accrued despite the alleged submission of regular Board of Trustee-approved financial reports by library officers. The oversight seemingly is due in to a faulty automated accounting system, an ambitious expansion program, the delayed financial audit report, and ultimately no one really paying close attention. No one is honestly sure who's at fault, but everyone involved is pointing fingers and trying to deflect the blame. Library Director Mary Anne Hodel along with the Board of Trustees have implicated Finance Director Donald Dely, who is defending himself with claims he needed staff and technology support that the trustees refused to approve. Board President Richard Dougherty said an investigation is underway. The library plans to contain costs during this fiscal year, halting purchases of all but certain best sellers and selected newspapers until August. Periodicals have already been paid for. The library's promotional newsletter will not be published for the rest of the year. The library will not fill staff positions that become vacant, until at least the next fiscal year.

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