In this article, the author presents the results of "Library Journal's" 2010 budget survey. The overall trend in FY10 indicated that 72 percent of survey respondents said their budget had been cut, and 43 percent had staff cuts. Among libraries serving populations above one million, these figures were even more acute, with 86 percent reporting budget cuts in their libraries and 93 percent reducing staff. They also reported a drop in service hours that on average equaled two branch closings. A total of 3,036 public libraries were sent the survey in late 2010; 647 responded. Despite the cuts, a constructive spirit animated many of the survey's respondents, with 62 percent saying they were optimistic about the future and only 18 percent pessimistic. The rest were neutral. That overall optimism was reflected in budget outlooks for FY11. While budgets in FY10 declined 1.3 percent, libraries are projecting that FY11 funding will increase 0.8 percent. The caution of the optimists and the gloom of the pessimists led both to make frequent reference to the need, in a penurious climate, to stay relevant to the community and to embrace technological innovations, such as ebooks and mobile phone apps.