ESCONDIDO -- With state bond money unlikely for a major expansion of Escondido's main library, most City Council members said Tuesday they are inclined to use $10 million the city saved as matching funds for the project on a new police station.

City officials had their hopes dashed Monday that they would receive $20 million in state money for a $30 million project to double the size of the 44,000-square-foot library at 239 S. Kalmia Ave.

The state funds would have come from a $350 million Library Bond Act of 2000. The state Public Library Construction and Renovation Board will decide which library projects around the state will get the $80 million remaining from the bond measure.

On Monday, state library staffers rated at least 20 other projects asking for a total of $213 million ahead of Escondido. Faced with the rankings, city officials said they have given up hope that Escondido will get any money.

On Tuesday, city officials were eyeing what to do with the $10 million in city funds. Four of the five council members said the money should be used on a planned $50 million police/fire administration building, which will be paid by a general obligation bond approved by voters on Nov. 2.

Using the $10 million to pay down the bond would mean a break for property owners, since the bond will be paid off over 30 years through a new property tax -- $34.75 per $100,000 assessed property value.

Several council member said they had told voters they would use the money on the police station if the state library grant failed to come through.

Councilman Ed Gallo recalled that promise, but said the money won't be needed immediately to pay down the bond.

"We aren't going to go out for any of the Prop. P bonds until next year," Gallo said. "Who knows what could happen between now and then? But giving it to public safety is what I said I would do, and I have to stand by it."

Councilman-elect Sam Abed said, "The money belongs in the public safety fund. I feel strongly about the library and we have a couple of years to decide what to do."

Councilman Ron Newman said he would be open to the public's thoughts on what the city should do with the money, but he is leaning toward paying off the bond.

"I am a very conservative person," Newman said. "I am truly in support of what the library wants to do, but if we have the opportunity to lower taxes, I am inclined to do it."

But Mayor Lori Pfeiler said the council has another alternative: A $600 million state library construction bond measure will be put to voters in 2006. If approved by a majority of voters statewide in 2006, it would give priority to library projects that won't be funded next week.

But to qualify, the city would need 35 percent in matching funds -- the $10 million now saved.

"If we don't get these (state bond) funds, it does not erase the need for the library," Pfeiler said. "We, as a City Council, are responsible for fulfilling the needs of the community. The community needs a new library and we have $10 million tucked away. That is a good start."

Councilwoman Marie Waldron said the $10 million may not be enough the next time around.

"When times goes by, the library project is going to cost more, it never cost less," Waldron said. "Maybe it is time to look at it and reduce costs. Maybe we can do a project that is more competitive and not be so much money."

Contact staff writer Erin Massey at (760) 740-5416 or emassey@nctimes.com.