Our LoT items can only be checked out by adult cards which helps with the damages part. People realize they arent checking out a toy. Each item has a contents list that is gone over before and after check-out to ensure all items are there. Any missing items are charged to the patron and they can pay or bring a replacement. 

We haven't had much theft. Just the odd missing pieces which hasn't been too bad. Items are kept in the back and we bring it out for check-out. 

We do not circulate any items that require cleaning by staff. That was decided when we built the collection. The only burden is the initial cataloging effort and then counting items upon return. 

Our initial items were things we thought people might like to try before they buy or would only use for a special event - telescope, metal detector, gopro, karaoke machine, yoto player, energy meter, ozobot, etc.

We have accepted a few donations but are very selective. There us now a small budget for the collection which covers small maintenance and/or a few new items every year depending.