Last year, we reported a "definite uptick in fiscal support" that was expected to continue ("Tipping Point," LJ, 1/05, p. 61-63). But that was before Hurricane Katrina and other factors sent energy costs skyrocketing. Those costs not only affect construction projects (see News, p. 20-21), but also ongoing operational costs, including utilities, employee travel, bookmobile service, staff service to various locations, courier service, and vendor bills, among others. The energy squeeze has ripple effects. In past years, shrinking state budgets have in turn squeezed municipalities, and thus libraries. Last June, the National Association of State Budget Officers reported that "the revenue shortfalls facing states in recent years have subsided," but also that the sunnier short-run forecasts were clouded by other "budgetary challenges." The energy issue was not then highlighted, unlike the cost of health and retirement benefits—an ongoing issue for libraries.
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