Its placement does seem to be causing trouble with new users, its misleading being placed directly above YOUR own collection list. I understand that you Web Devs may have a lot on your plate right now, but this suggestion is worth considering since it does seem to be causing problems more frequently as of late.
The way that it's placed right now is giving the wrong message, being associated with your own collection rather than the whole database, then the search facility is too finicky to catch people trying to add items already present in the database. I've been studying Interface Design for a couple of years now, this one has me curious. At the very least that association needs to be removed.