Julie Wendorf, director of the Crown Point Community Library, told Indiana senators during a committee meeting Tuesday that a current bill could be detrimental to state libraries. “Senate Bill 8 places Indiana libraries at risk by removing critical fiscal guardrails that support stable and sustain able library operations,” said Wendorf, who is the past president of the Indiana Library Federation. “Indiana law already provides tools when concerns arise about library finances.” Wendorf testified during a state Senate Tax and Fiscal Policy Committee hearing on Tuesday. The committee heard testimony and an overview of Senate Bill 8 — authored by state Sen. Gary Byrne, R-Byrnesville — which would require a county, city or town fiscal body to review the proposed budget and property tax levy of a public library, according to the Indiana General Assembly website. Byrne said that public libraries with a majority of unelected board members and more than half of their assessed value in a city or town should submit their proposed budget and tax levy to their city or town’s elected fiscal body. If more than half of the parcels are outside a city or town, the library must go to the county fiscal body. “Currently, each year, libraries will determine whether their budget will be adopted by the library board, or in some cases, an appropriate county, city or town fiscal body,” Byrne said. “The determination is based on the current year (Department of Local Government and Finance) certified budget, the maximum levy growth quotient and the ensuing year’s advertised budget.” Throughout Indiana, Byrne said 236 libraries each year might not be bound to a budget that’s approved by a city, town or county fiscal body. With Senate Bill 8, governing bodies would have more power to cut library budgets or adjust levies, which library professionals believe could cut essential services. He also said that, as of Jan. 1, 2025, libraries had a total outstanding debt of $367.6 million and $59 million in debt payments due that year. “An unknown amount of this debt is attributed to libraries with no oversight by an elected fiscal body,” Byrne said. “Libraries are one of the only taxing units that can have a board containing a majority of unelected board members and impose a tax. All units with the power to tax should be made by elected officials, I believe.” If an elected body doesn’t have to approve a library budget, Byrne considers it taxation without representation, he said Tuesday. Byrne also has not talked to any governing body that believes a review of library budgets is necessary, but he thinks most would embrace it. “Potentially, (public libraries) could not necessarily be spending the money in the best interest of the taxpayer because they’re not held accountable,” he said. “There’s no way to hold them necessarily accountable in some situations.” Lake County Public Library Executive Director Carol Daumer Gutjahr responded to Senate Bill 8 in a Tuesday statement. “LCPL’s position on SB 8 is that the current budget adoption process is functioning well; there is existing oversight from the county council as, in addition to appointing library board members, the council has the ability to review and interrogate our annual budget recommendation,” Daumer Gutjahr said. “The Department of Local Government and Finance has additional oversight and the State Board of Accounts conducts regular audits to ensure accountability, maintain internal controls, and confirm that the tax dollars entrusted to LCPL are used appropriately.” Porter County Public Library Executive Director Jesse Butz was unable to immediately respond to a request for comment about the bill. During Tuesday’s hearing, Wendorf said Senate Bill 8 could lead to insufficient funding for libraries over a shorter period of time, which would place their ability to function and serve communities at risk. “Libraries provide essential services, including early literacy programs, workforce development, support, broadband access and lifelong learning opportunities,” Wendorf said. “These services depend on predictable funding and informed fiscal decision making.” State Sen. Chris Garten, R-Charlestown, asked Wendorf how the bill would remove fiscal guardrails, saying that it seems to add fiscal body oversight. Wendorf told Garten that she believes libraries have fiscal oversight because their board members are appointed by public officials and their budgets are submitted to county officials. Wendorf also said the changes are concerning following the financial uncertainty libraries are experiencing because of Senate Enrolled Act 1, passed in the 2025 session. The impacts are still being evaluated, Wendorf said, and Senate Bill 8 could lead to a “more significant blow” to library budgets. “Public libraries are not abstract budget lines,” Wendorf said. “They are community anchors. When funding becomes unstable, services are reduced, hours are cut and access is lost. (Senate Bill 8) does not strengthen libraries — it introduces instability.” [email protected] ...read more read less