Hmm. That's pretty unusual for them to charge for ILL books. Of course, public libraries are even more strapped for cash than academic ones...they probably have to charge to cover the cost of shipping. Given my knowledge of library funding (or rather, the lack thereof), I can at least tell you I'm pretty sure they're not making any profits off of your $3 per ILL request.

And btw, did you ever find those books you lost?