While nearly half of all academic libraries use formulas to allocate firm order funds on behalf of particular departments or subject areas, few have adopted systematic methods of selecting or weighting the variables. This paper reviews the literature on library fund allocation, then presents a statistically informed method of weighting and combining the variables in a fund allocation formula. The regression-based method of fund allocation uses current, historical, or hypothetical allocations to generate a formula that excludes the influence of non-relevant variables as well as the influence of arbitrary or non-systematic variations in funding. The resulting fund allocations are based on the principle of equity—the idea that departments with the same characteristics should receive the same allocations.

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A Regression-based Approach to Library Fund Allocation

This article addresses the problem of allocating funds for acquisition of periodicals among several interrelated units of an academic library. The paper outlines an optimization model for the problem with an objective of maximizing the usage of periodicals over all library units subject to a single collections budget. It further gives an insight into a decision support system in MS Excel based on this model, and it illustrates its successful application to the Library of the University of Illinois at Urbana-Champaign.

A model for budget allocation in multi-unit libraries

This paper examines the effect of an
interdisciplinary, web-based, citation database with full text on a
library's acquisitions allocation plan. List price of full-text journals
in the electronic database is used to calculate increases in acquisitions
funding. The increases show unplanned, unexpected results.

Acquisitions Allocations: Fairness, Equity and Bundled Pricing

An Analysis and Allocation System for Library Collections Budgets: The Comprehensive Allocation Process (CAP)

Many libraries have sought the best approach to allocating the collections budget. “History plus increment” is the standard for many libraries in the allocation of any new dollars to collections budgets. Other libraries have identified factors that help make the process of disbursing new money more objective including counts of faculty and students, literature size and costs, and program changes on campus.The Library of the University of Illinois at Urbana-Champaign is striving toward a more open and understandable allocation process that uses an allocation formula, professional judgment of its librarians, and input from campus faculty and administration. Through this process, we work to achieve balance between formula and professional judgment, between decisions made outside the Library and within the Library, between competing disciplines and old and emerging fields for budget dollars.

Finding the right balance: campus involvement in the collections allocation process

An experiment with materials budgeting using a formula for allocation of funds has been undertaken by Ward Edwards Library at Central Missouri State University. Such factors as average costs of books and periodicals, number of titles available, number of faculty, and number of credit hours generated and degrees awarded are used. Reaction from teaching faculty members across campus indicates that most of the factors used in the process are understood. While they may not like the inclusion of some data, they respect the library's attempt to apportion funds equitably and to build a balanced collection.

Mollie Niemeyer

Papers

Balancing Act for Library Materials Budgets