CHAPTER 8. LIBRARY SERVICES AUTHORITIES
IC 36-12-8
Chapter 8. Library Services Authorities
IC 36-12-8-1
Application and purpose of chapter
Sec. 1. (a) This chapter applies to the following:
(1) All public libraries.
(2) All other libraries that are supported by public funds but thatare not organized under this article.
(3) All private corporations or organizations that provide libraryservices.
(4) All library service authorities established under this chapter.
(b) The purpose of this chapter is to:
(1) encourage the development of all types of library services;and
(2) promote the efficient use of finances, personnel, materials,and property;
by enabling qualified entities to form library services authorities thatwill provide such services and facilities as the qualified entitiesdetermine.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-2
"Library facilities"
Sec. 2. As used in this chapter, "library facilities" means:
(1) buildings, bookmobiles, rooms, or other definable andpalpable structures or areas; and
(2) the library materials and equipment contained in thebuildings, bookmobiles, rooms, or other definable and palpablestructures or areas;
that are used in the operation or provision of library services.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-3
"Library services"
Sec. 3. As used in this chapter, "library services" means theactivities in which libraries engage:
(1) in the planning, management, budgeting, financing,purchasing, staffing, and evaluation of the libraries;
(2) in the selection, acquisition, processing, and maintenance ofthe collections of materials and the related bibliographicrecords; and
(3) in the promotion, interpretation, servicing, and use of thelibrary materials and facilities.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-4
"Qualified entities"
Sec. 4. As used in this chapter, "qualified entities" include thefollowing: (1) A public library.
(2) A library that is supported by public funds but notestablished under this article.
(3) A private corporation or organization that provides libraryservices.
(4) A library service authority established under this chapter.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-5
Authorization to initiate library services authority; adoption ofjoint agreement; requirements
Sec. 5. (a) Two (2) or more qualified entities, less than one-half(1/2) of which may be private corporations or organizations, mayinitiate a library services authority under this chapter by adopting awritten joint agreement. The body or officer having the authority tosign contracts on behalf of a corporation or an organization may signthe joint agreement on behalf of the corporation or organization.
(b) The joint agreement must include the following details of theproposed library services authority:
(1) The name, to be given as __________ Library ServicesAuthority.
(2) The official address and county of location of the principalplace of business.
(3) A description of the library facilities to be operated and thelibrary services to be provided.
(4) Specification of the place and of the convening chairpersonwho shall set the date and the time of the organizationalmeeting of the board of directors established under this chapterand who shall serve as temporary chairperson.
(5) The names of the qualified entities signing the agreement,which are to become participants in the library servicesauthority.
(6) The date of the agreement.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-6
Approval of joint agreement by attorney general; procedure
Sec. 6. (a) Upon the adoption of the joint agreement calling forthe establishment of the library services authority by two (2) or moreof the qualified entities, the agreement shall be submitted to theattorney general, who shall determine whether the agreement is:
(1) in proper form; and
(2) compatible with Indiana law.
The attorney general shall approve each agreement submitted unlessthe attorney general finds that the agreement is not legal. If theattorney general finds that an agreement is not legal, the attorneygeneral shall detail in writing, addressed to each of the qualifiedentities adopting the agreement for the establishment of the libraryservices authority, the specific respects in which the proposedagreement fails to meet the requirements of law. Failure to
disapprove an agreement submitted under this chapter not more thanthirty (30) days after the submission of the agreement constitutesapproval of the agreement.
(b) The library services authority initiated by the joint agreementis legally established when the attorney general has approved theagreement either by:
(1) specific written approval; or
(2) the failure to indicate disapproval within the required time.
The qualified entities originally signing the agreement are membersof the library services authority. A copy of the agreement andoriginally signed copies of the adopted resolutions, ordinances,orders, statements of participation, or other recorded acts must befiled with the Indiana state library not more than forty (40) days afterthe date of the submission of the agreement to the attorney generalfor action.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-7
Procedure for change of joint agreement
Sec. 7. The board of directors of the library services authority maychange any detail of the joint agreement under this section upon therecommendation of the executive committee or petition of three (3)directors if notice of the proposed change is sent to each qualifiedentity that is a participant in the library services authority at leastsixty (60) days before the meeting at which the change is to beconsidered. However, the application of a new qualified entity maybe considered at any time. Upon approval of the change of the jointagreement, a notice of the action taken by the board of the libraryservices authority must be filed with the Indiana state library.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-8
Participation by new qualified entities; procedure
Sec. 8. (a) After the legal establishment of the library servicesauthority under this chapter, a qualified entity may become aparticipant in the library services authority after:
(1) adoption by resolution, ordinance, order, statement ofparticipation, or other recorded act of the joint agreement asthen in force;
(2) providing for the qualified entity's pro rata share, if any, ofthe library services authority's budget for the fiscal year inwhich the applicant wishes to join the authority;
(3) meeting all conditions provided in the bylaws or in the rules;and
(4) approval by a majority of the board of directors.
(b) If the qualified entity is a private corporation or organizationand the qualified entity's participation would create the same numberor more private participants than other participants in the libraryservices authority, the qualified entity's participation does not takeeffect until there are sufficient other participants, after the admission
of the applicant, to comply with section 5(a) of this chapter.
(c) The library services authority shall file with the Indiana statelibrary an originally signed copy of the joint agreement and adoptingaction.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-9
Procedure and requirements for withdrawal from or dissolution oflibrary services authority
Sec. 9. (a) A qualified entity that is a participant in the libraryservices authority may withdraw from the authority by a recorded actof the qualified entity:
(1) after the qualified entity has made provisions for thepayment and performance of the qualified entity's obligations;and
(2) upon notification to the library services authority, six (6)months before the end of the fiscal year in which the qualifiedentity is participating in the library services authority, that thequalified entity is discontinuing the qualified entity'sparticipation in the library services authority.
(b) Upon discontinuing participation in the library servicesauthority, the discontinuing qualified entity relinquishes the qualifiedentity's rights to any funds, supplies, materials, equipment, or otherreal or personal property held by or belonging to the authority and inwhich the qualified entity had a right by virtue of the qualifiedentity's participation, unless provision to the contrary is made by theofficial action of the board of directors.
(c) Upon the receipt of notification to discontinue participationand the satisfaction of all obligations by the withdrawing participant,the board of directors shall officially note the withdrawal and shallfile notice of the resulting change in the joint agreement:
(1) in the office of the recorder of the county in which theauthority's principal place of business is located; and
(2) with the Indiana state library.
(d) The library services authority is dissolved when:
(1) the board of directors of the authority votes to dissolve thelibrary services authority;
(2) the action is de facto by the notice of discontinuance ofparticipation by the next to last remaining participant; or
(3) there is an excessive number of private qualified entitiesparticipating in the authority.
Upon the occurrence of any of the conditions listed in thissubsection, the board of directors shall dispose of the assets bydivision among the participants at the time of dissolution and in theproportion and in the manner determined by the board of directors.
(e) A dissolution does not take effect until all legal and fiscalobligations of the library services authority have been satisfied andan official record of the dissolution is filed in the office of therecorder of the county in which the authority's principal place ofbusiness is located. Until the satisfaction of obligations has occurred
and the record of dissolution has been filed, the final members of theauthority continue to be members.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-10
Board of directors; appointment
Sec. 10. (a) Not later than ten (10) days after the legalestablishment of the library services authority, each qualified entitythat is participating shall appoint a representative or representativesto the board of directors of the library services authority as follows:
(1) If there are fewer than four (4) participants in the libraryservices authority, each qualified entity shall appoint four (4)directors to the board of directors.
(2) If there are more than three (3) but fewer than ten (10)participants in the library services authority, each qualifiedentity shall appoint two (2) directors.
(3) If there are ten (10) or more participants in the libraryservices authority, each qualified entity shall appoint one (1)director.
(b) A director may be a member of the governing body of thequalified entity, a librarian, or any other person who in the opinionof the qualified entity will best serve the library interests of thequalified entity.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-11
Board of directors; terms
Sec. 11. (a) Upon the expiration of the ten (10) day periodprescribed by section 10 of this chapter, the directors who have beenappointed shall meet as specified in the joint agreement anddetermine by lot, in as nearly equal groups as possible, as follows:
(1) The one-third (1/3) of the directors who have an initial termof one (1) year.
(2) The one-third (1/3) of the directors who have an initial termof two (2) years.
(3) The one-third (1/3) of the directors who have an initial termof three (3) years.
(b) The determination under subsection (a) is for the initial termsof office for all directors. After the initial terms end, all appointmentsto the board of directors are for three (3) years. Appointments to fillvacancies are for the unexpired term only.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-12
Board of directors; executive committee; treasurer and assistanttreasurer; surety bond
Sec. 12. (a) Upon the determination of the initial terms of officeof the directors, an executive committee shall be elected for a termof one (1) year from the membership of the board of directors byvote on nominations from the floor. The executive committee
consists of:
(1) a president;
(2) a vice president;
(3) a secretary;
(4) a treasurer; and
(5) if the total number of directors for the library servicesauthority exceeds eight (8), three (3) members at large.
The named offices have the duties and powers normally incumbentupon the offices.
(b) A director may not serve on the executive committee for morethan four (4) consecutive years or in the same office for more thantwo (2) consecutive years. Executive committee elections shall beheld annually in the manner prescribed by the bylaws of the libraryservices authority.
(c) The treasurer:
(1) is the official custodian of all library services authorityfunds;
(2) is responsible for the proper safeguarding and accountingfor all library services authority funds;
(3) shall issue warrants approved by the executive committee orthe board in payment of expenses lawfully incurred in behalf ofthe library services authority; and
(4) shall make financial reports of library services authorityfunds and present the reports to the executive committee orboard of directors as requested by the executive committee orboard.
(d) The board of directors may prescribe the powers and duties ofthe treasurer consistent with this chapter.
(e) The treasurer shall give a surety bond for the faithfulperformance of the treasurer's duties and for the accurate accountingof all money coming into the treasurer's custody. The bond must be:
(1) written by an insurance company licensed to do business inIndiana;
(2) for the term of office of the treasurer;
(3) in an amount determined by the board of directors;
(4) paid for with money from library services authority funds;
(5) payable to the state;
(6) approved by the board of directors; and
(7) deposited in the office of the recorder of the county in whichthe library services authority is located.
(f) The executive committee, with the approval of the board ofdirectors, may appoint a person, who may be an employee of thelibrary services authority, to serve as assistant treasurer. The assistanttreasurer:
(1) has the duties specified by the executive committee or theboard;
(2) may be compensated for the performance of the treasurer'sduties; and
(3) may be removed by the executive committee or the board ofdirectors at any meeting of the committee or board by a
majority vote of the entire membership of the body.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-13
Board of directors; appointments by new participants
Sec. 13. (a) Not later than ten (10) days after the approval of anew participant under section 8 of this chapter, the new participantshall appoint as many directors as each of the other participants hasappointed. The initial terms of the new directors shall be determinedby the executive committee so that, as nearly as possible, the termsof one-third (1/3) of the total board of directors end each year.
(b) If the addition of a new participant increases the number ofparticipants in the library services authority so that each participantwould appoint fewer representatives to the board of directors, theboard of directors shall be reestablished in the manner prescribed bysection 10 of this chapter.
(c) Immediately after the organizational meeting of the board ofdirectors, the board shall adopt bylaws providing for the board'sprocedures and management.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-14
Board of directors; executive committee; powers and duties;meetings
Sec. 14. (a) The board of directors of the library servicesauthority:
(1) shall nominate and elect the board of directors' officers andparticipants of the executive committee;
(2) shall adopt bylaws, administrative procedures, and rules forthe conduct of business of the board, the executive committee,and the library services authority;
(3) shall adopt a fiscal year;
(4) may change the address of the principal place of business ofthe authority;
(5) may consider and act upon recommendations of theexecutive committee in the matters specified in this section;
(6) may adopt rules governing the termination of directors forcause; and
(7) may deal with other appropriate matters.
(b) The board of directors shall meet at least annually. Specialmeetings may be called by the president or any three (3) directors. Aquorum of appointed members of the board is required for thetransaction of business. A concurrence of two-thirds (2/3) of thedirectors present is necessary to approve or to authorize any action.A director may designate an individual to vote as proxy for thatdirector if written authorization is delivered to the secretary of theexecutive committee before a board of directors meeting. If a directorvotes by means of a proxy, the director shall be considered presentat the meeting of the board of directors for purposes of constitutinga quorum under this subsection and section 8 of this chapter. (c) The executive committee of the library services authority shallmanage and conduct the business of the library services authority.However, unless otherwise properly delegated to the executivecommittee or administrative personnel in the bylaws, the board ofdirectors must approve:
(1) amendments to the joint agreement;
(2) the budget;
(3) statements of policy;
(4) rules;
(5) the development program and plans;
(6) the appointment of or arrangement for the chiefadministrative officer;
(7) legal matters;
(8) purchases of property and equipment in accordance withIC 5-22;
(9) contracts for the purchase of services, materials, equipment,and other real or personal property;
(10) sales of services or material other than sales of services forwhich the library services authority was created; and
(11) the acceptance or release of participants in the authorityand related matters.
(d) In the discharge of the executive committee's duties, theexecutive committee shall meet at least quarterly. Special meetingsmay be called by the president or any two (2) participants of theexecutive committee. A majority of the committee participantsconstitutes a quorum for the transaction of business, and aconcurrence of a majority of the participants of the executivecommittee is necessary to authorize any action.
(e) Except for the election of officers and adoption or amendmentof the bylaws, the bylaws may provide that any action required orpermitted to be taken at any meeting of the board of directors may betaken without a meeting if before the action a written consent to theaction is signed by a majority of the board of directors appointedunder section 10 of this chapter.
As added by P.L.1-2005, SEC.49.
IC 36-12-8-15
Board of directors; quorum
Sec. 15. For purposes of this chapter, a quorum consists of:
(1) a majority of the appointed members of the board ofdirectors when there are one hundred (100) or fewerparticipants in the library services authority; or
(2) fifty-one (51) appointed members of the board of directorswhen there are more than one hundred (100) participants in thelibrary services authority.
As added by P.L.1-2005, SEC.49.