The Rye Free Reading Room

“A draft of the 990 was presented by the preparer and was reviewed by the director, treasurer, president of the board, and the audit committee. They had the opportunity to request changes and then the final 990 was presented to the full board prior to being filed.”

“Yearly, members of the board of trustees, the finance comittee, the audit comittee, officers and key management employees receive the conflict of interest policy which they are asked to read and sign. Each person that receives the policy is required to list potential conflicts that may arise in the coming year which would constitiute him or her into an interested person. When an actual transaction is being considered, the interested person must disclose the existence and nature of the financial or personal interest to the members of the board or committees considering the transaction. After the disclosure, the interested person shall leave the board meeting while the financial or personal interest is discussed and voted upon to determine if a conflict of interest truly exists. If it is determined that a conflict does exist, then the president of the board or the chair of a committee shall appoint a disinterested person or committee to investigate alternatives to the proposed transaction or arrangement. After exercising due diligence, the committee shall determine whether the rye free reading room can obtain a more advantageous transaction or arrangement with reasonable efforts from a person or entity that would not give rise to a conflict of interest. If a more advantageous transaction or arrangement is not reasonably attainable under circumstances that would not give rise to a conflict of interest, the board or committee shall determine by a majority vote of the disinterested directors whether the transaction or arrangement is in the library's best interest. It shall make its decision whether to enter into the transaction or arrangement in conformity with such determination. If the board or committee has reasonable cause to believe that one of its members has failed to disclose actual or possible conflicts of interest, it shall inform the member of the basis for such belief and afford the member an opportunity to explain the alleged failure to disclose. If, after hearing the response of the member and making such further investigation as may be warranted, the board or committee determines that the member has in fact failed to disclose an actual or possible conflict of interest, it shall take appropriate disciplinary and corrective action.”

“Line 15a - the westchester library system annually requests from all libraries in the system an updated form which lists salaries for all employees in each library. Along with all other employees, the wls salary report lists the salary of the director of each library in the system and the years in that position. This salary survey report is one tool used by the board of trustees. Director's last review was performed on august 19, 2020. The executive committee reviews the director's self evaluation, compares salary listings for similar size libraries in westchester county, and discusses the review with the full board. Line 15b - the director reviews the compensation of the business manager. This was last conducted in 2020.”

“Governing documents are available on the website. Conflict of interest is available by request. Unaudited financial statements are published in the annual report and on the website. Actual audit is available by request once received.”

“The financial statements are prepared on the modified cash basis of accounting. Consequently, revenues are recognized when received rather than when earned, and expenses are recognized when paid rather than when the obligation is incurred. However, debt, unrealized gains and losses on investments, and depreciation expense are recognized in the financial statements. This process has not changed from the prior year.”