What is the maintenance of effort and matching funds requirements for federal funding and why is it important?
Maintenance of effort (MOE) refers to the State’s responsibility to maintain funding for library programs and services that are consistent with the purposes of the federal LSTA legislation. This is a condition of eligibility. The maintenance of effort formula ensures that federal assistance results in an increased level of library-related activity and that a state does not simply replace state dollars with federal dollars over time. If the number of state dollars falls, federal funds decrease. State funds must be appropriated to and expended by the State Library to qualify for the MOE requirement. State funds used to operate branch libraries in Department of Corrections and Department of Social and Health Services institutions, and to operate the Washington Talking Book and Braille Library have been used to meet MOE requirements. Proposed cuts or transfer of funds to other agencies in both of these areas will result in decreased federal funds. Further, the State Library is required to
