Partners for the future: how to maximize public and private sectors to build the library of tomorrow

Citation

Anne Wilson, B. (2002), "Partners for the future: how to maximize public and private sectors to build the library of tomorrow", The Bottom Line, Vol. 15 No. 4. https://doi.org/10.1108/bl.2002.17015daf.001

Partners for the future: how to maximize public and private sectors to build the library of tomorrow

Partners for the future: how to maximize public and private sectors to build the library of tomorrow

Keywords: Libraries, Funding, Public sector, Private sector, Construction management, Fund-raising, Gifts

From the first moment of conception, library leaders and elected officials envisioned the new Central Library for Memphis and Shelby County as a public/private partnership. With that decision made, our goal was how to maximize all of the various aspects of the partnership. This article explores several of the key issues, especially in how they relate to libraries.

The term "public/private partnership" can mean many things, spanning everything from fighting over whose money will fund the project to trying to expand the role and funding from both sources to reach a community goal. The reality is that every project falls somewhere along the spectrum. You can strategize more effectively once you analyze where your project sits in the overall community goals.

There are many well established do's and don'ts in fundraising. Some of these become paramount when the public and private sectors collaborate. A few key elements of a successful plan would include:

1. 1.

   Communicate your message to the public and private sectors throughout the project.

2. 2.

   Recognize and deal with competing projects and their philosophies.

3. 3.

   Undergo a feasibility study for a capital campaign.

4. 4.

   Listen, listen, listen to all good ideas.

5. 5.

   Go after major donors, but don't forget the community at large.

Issues in establishing a good public/private partnership

In Memphis we had several issues. Funding was at the top of the priority list for a long time. Working against us were other compelling projects competing for attention by public officials: a new AAA baseball stadium and a new convention center/symphony hall. However, to our advantage, we had several key advocates who made sure our message was getting heard in the public forum. As a result, we made time to meet with any elected official who wanted to talk about the project, good or bad. Developing talking points helped outline why the new Central Library project was crucial to the success of our community.

The result was a unanimous vote by the city council to approve the project along with $30’million and 10+ acres of land in a wonderful location. Shelby County agreed to fund up to 25 per cent of the city contribution and this funding added another $10 million for the project. The foundation then contributed the last $20 million to make the overall project viable.

Sensitivity to communication was essential. Projects of this size require numerous players for any decision. Bureaucratic process can work at odds with the corporate bottom line approach. Because the library was the ultimate beneficiary in most cases, we maintained a constant pulse check to ensure all parties had needed information all along the way. By active involvement, the library could try to keep important decisions near the top of the’list.

Then the private sector donors entered the picture. Both as a group and as individuals, new challenges arose. One of the most difficult issues was the public sector's perception of how easy it was for the library's foundation to raise "a little more money" for various additions, enhancements, and new needs. The early success of the foundation proved to the city and county that the private sector would spontaneously come forth to fund "any need". Some project components could be expedited because the foundation was not encumbered with the voluminous requirements of publicly bid projects. Once funds had been raised it was very difficult for the city to understand that the foundation had to honor the wishes of the donor when restrictions were placed on the gift.

At times, individual donors had trouble understanding the partnership. When donors become excited about their investments in the library, it is important to seize the moment so everyone's efforts are maximized. Memphis had several wonderful additions including a private donor who added fiber optics to the building and another donor who leveraged its business contacts to further augment the library's new technology and telephones packages. On the other hand, the public/private partnership can also tie the library's hands. At times, prospects/donors suggested good ideas that would stretch the overall resources for the project. These donations could not be accepted since the service or product was part of the original construction specifications. Therefore, the public approval process made it unfeasible to change the scope of work.

Starting fundraising with a capital campaign

Similar to most public libraries, Memphis had no tangible historic fundraising to base a capital campaign upon. Therefore, there was no good prospect pool or development staff in place to run a capital campaign. Despite this, we dove in head first. Libraries are very bold in their courage and commitment to raise large gifts with no experience.

Memphis did embark upon a comprehensive feasibility study with a well-regarded local fundraising consultant. A feasibility study is crucial to determine whether your goals are achievable. Our three objectives were:

1. 1.

   How was the library perceived in the world of those who could give?

2. 2.

   Was there enough private support to conduct a capital campaign?

3. 3.

   How much money could we raise?

While we found the prospective donor pool had feelings about the existing library, they felt they did not know much about the impending new library, nor its impact for the community. The donor pool was also quite taken aback with the complexity of the case statement, indicating that they really had not thought about how a library works or delivers its services. What a wonderful compliment to library staff who make their jobs look so easy! On the other hand, it demonstrated that donors have taken libraries for granted in their communities and donor education and buy-in is vital to a library capital campaign.

Donor issues in a public/private partnership

Understanding your donors is the foundation of any campaign. Donors can easily use the public/private partnership issues to rationalize their giving decisions.

• •

  Tax questions: raise our taxes and fund the project vs. donors who would fund the extras (new collections, new furniture/ equipment, new services, new programs), but not bricks and mortar.

• •

  Public funding should be spent on "real" education projects like schools vs. parents who think the library is an extension of their children's schools.

• •

  Political affiliations of donors can be an interesting wild-card as the public/private partnership endures through political elections.

• •

  Determine the economic impact of a library, at times when libraries can be hard to "justify" when stadiums and convention centers bring in a major revenue stream when completed.

Donor issues with the library

Since these issues deal directly with the library, they may be easier to discuss, but remember to hear the arguments from your donors' perspective.

• •

  The library will become obsolete when access to information is easily obtainable through the Internet – build large computer labs instead.

• •

  Some believe that the library serves the "greater good" of the community even though they purchase their books at a bookstore vs. the donors who are library customers who wanted to ensure their donations purchase materials of interest to them.

• •

  Friends of the library groups raise awareness of library projects, but these grass roots organizations often are not composed of the individuals who are prominent volunteer fundraisers in the community. Due to loyalty and longevity, friends groups can feel threatened when others are brought in to fundraise. It is important to discuss in detail the library's expectations for fundraising. As in Memphis, a win-win resulted as the friends continued to operate along historical lines, the foundation focused on raising major gifts, and a good communication was established by the foundation requesting a friends board member to be a foundation member.

• •

  As taxpayers, donors feel they have a vested interest in the library, so be prepared to get lots of suggestions. Memphis developed a forum. Every Wednesday morning for two years, we shared our vision with community and business leaders and they gave us their suggestions. Before we reached groundbreaking, virtually all of the criticisms had been dissuaded. We also did get some very good ideas and community ownership of the new library. When Monday mornings rolled around and we heard the library had been the topic of weekend cocktail conversations, we knew we were making inroads.

We knew a new Central Library for Memphis and Shelby County really was a "once in a lifetime experience" and we were not willing to lose the importance of this. We demonstrated that a new public library was vital to the community and worthy of supporting financially.

Environmental awareness holds wonderful opportunities

What happens when some one has a new idea? Listen, listen, listen. We were well into the developed design and had a facility that was attractive and functional. Our budget had been tight since the day we started, so there were no architectural extras. A fairly prominent woman came to us and asked us what we thought about "public art". After many meetings and discussions, we realized how many benefits this could add: attracting new donors who would not otherwise get involved, bringing esthetic beauty to the building, and demonstrating the library's leadership role in providing Memphis with something they had not seen. Nine works of public art were commissioned and $2 million was raised, allowing the library to become a community treasure that encourages every visitor to use each of his/her senses during a library visit.

A library is often in an enviable position because it is a reflection of its community. We used this open-ended approach to capitalize on any donor's request in providing information on all requested topics. Despite a long list of named gifts, we welcomed community ideas which resulted in additional donations in many areas, such as large print, architecture, genealogy digitization, etc. Therefore, while many organizations use named gifts as a literal list of needs, libraries can use them as a stepping stone to demonstrate how the library truly meets the needs of their communities.

Establishing the goal

The easy answer to establishing a goal is to determine what you need and then raise it. The reality is more complex. For Memphis, that meant a delicate balancing act: the foundation for the library wanted to raise the needed funds, the donors wanted to make a statement for the library with their collective giving and the goal had to be achievable. The Campaign Planning Committee spent many hours determining their recommendation to the foundation. The feasibility study stated that a $20 million goal was plausible and we needed a goal that supported the public/private partnership in light of the overall $70 million project budget. However, no organization in Memphis, except universities and hospitals, had embarked upon such an ambitious goal. With strong leadership at the helm, we swallowed hard and undertook a $20 million goal.

We developed a combined marketing/development strategy for almost everything we did. We tried to anticipate what donors, prospects, public officials, general community, customers, would think, say and do. The press conference announcing the campaign leadership was the first "public appearance" for the entire team. The first gift to the campaign, $1 million from the friends of the library, was announced as many public officials looked on.

Staying the course

Based upon the construction schedule and campaign plan, our capital campaign would run approximately five years. During the course of the campaign we strove diligently to have the community take ownership of the library, to enter into a lasting partnership with each of our donors, and to touch every segment of our community.

I do believe the old adage is true: it takes just as much time to raise $1 million as it does $10,000 if you have done your homework. We’invested a lot of time and energy in the early’stages of the campaign to raise the major’gifts. Because public libraries are what they are and serve customers without regard to’social or economic status, we paced ourselves so our first gift could be as exciting as our last gift.

Our foothold on the future campaign was a fun and easy way for anyone in the community to become a part of the library's fundraising success. For $20, anyone could purchase a symbolic square foot of the new Central Library. Owners were sent deeds that were actually one square foot stating where their real estate was located. Footholds became hot ticket items for about 18 months and resulted in 14,431 owners and almost $300,000 for the library.

Conclusion

To date, $19 million of the foundation for the library's $20 million goal has been raised. While’specific campaign goals are important to be met, well-structured fundraising efforts focus on the future, encouraging donors and prospects to keep giving. We will continue to add names to rooms, areas, collections, programs and services because the MemphisShelby County Public Library and Information Center will always be bringing its community the library of tomorrow.

Betty Anne WilsonAssistant Director for Library Advancement, MemphisShelby County Public Library and Information Center, Memphis, TN, USA