parish budget meeting 11 05-15

GRACE EPISCOPAL CHURCH

Parish Budget MeetingMay 15, 2011

Agenda

1. Opening prayer2. A framework for our conversation3. A look at our assets4. New systems5. A look at the budget6. Where does our ministry go from

here?7. Closing prayer

1. Opening Prayer

Opening Prayer

2. Framework

for our conversation

Keeping an Eye on the Prize Chris-

tian Edu-

cation13%

Worship33%

Evangelism5%

Outreach25%

Fel-lowship11%

Pas-toral Care13%

Are we a maintenance church or a

mission church?

Maintenance or Mission?In measuring the

effectiveness of ministry: The maintenance congregation

asks, "How many pastoral visits are being made?"

The mission congregation asks, "How many disciples are being made?"

Maintenance or Mission?When contemplating

change: The maintenance congregation says,

"If this proves upsetting to any of our members, we won't do it."

The mission congregation says, "If this will help us reach someone on the outside, we will take the risk and do it."


change: The members of a maintenance

congregation ask, "How will this affect me?"

The members of a mission congregation ask, "Will this increase our ability to reach those outside?"

Maintenance or Mission?When thinking of its vision for ministry:

The maintenance congregation says, "We have to be faithful to our past." The mission congregation says, "We have to be faithful to our future."

Maintenance or Mission?When a visitor

shows up: The pastor in the maintenance

congregation says, "I'd like to introduce you to some of our members."

The members of the mission congregation say, "We'd like to introduce you to our pastor."

Maintenance or Mission?When confronted with

a pastoral concern: The pastor in the maintenance

congregation asks, "How can I meet this need?"

The pastor in the mission congregation asks, "How can this need be met?"

Maintenance or Mission?When the possibility for conflict arises:

The maintenance congregation seeks to avoid conflict at any cost. (They never succeed.) The mission congregation understands that conflict is the price of progress and is willing to pay that price. It understands that it cannot take everyone with it. This causes some grief, but it does not keep it from doing what needs to be done.

Maintenance or Mission?Leadership

style: The leadership style in the maintenance

congregation is primarily managerial, where leaders try to keep everything orderly and running smoothly.

The leadership style in a mission congregation is primarily transformational, casting a vision of what can be, and then willingly taking risks to make the vision reality.

Maintenance or Mission?Primary concerns:

The primary concern of the maintenance congregation is, well, the congregation -- its members, its organizations and its structure. The primary concern of mission congregation is the people in the world outside the church; it tries to determine their needs and their points of accessibility to the Gospel.


growth: The maintenance congregations asks,

"How many Episcopalians live within a twenty-minute drive of this church?"

The mission congregation asks, "How many unchurched people live within a twenty-minute drive of this church?"

Maintenance or Mission?Looking at the surrounding community:

The maintenance congregation asks, "How can we get these people to support our congregation?"

The mission congregation asks, "How can our church support these people?"

Maintenance or Mission?In the end:

The maintenance congregation thinks about how to save their congregation.

The mission congregation thinks about how to reach the world.

Which do we want to be?

3. A Look at Our Assets

It’s time to talk numbers…

Current Balances:Investments

Investments FYE 2010BB&T CD (Perpetual Trust) $ 9,377

Wachovia Savings (Perpetual Trust) $ 5,234

Morgan Stanley (Perpetual Trust) $ 36,044

EE Savings Bond (Perpetual Trust) $ 1,290

Morgan Stanley Money Fund $ 38,315

PNC CD $ 20,000

Total $ 110,260

Current Balances:Total Assets

Total AssetsPNC Checking (as of May 15, 2011) $ 10,020

Investments (from previous slide) $ 110,260

Rector’s Home Loan* $ 50,000

Total $ 170,280

*The Rector’s Home Loan is a part of his original Letter of Agreement. It is an interest-only loan intended specifically for the purchase of his primary residence. Interest of 4% is paid monthly. The principle is due after the termination of employment at the time of the sale of the home, but no longer than one year after the termination date.

Trends affecting

asset balances

Declining Assets

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 $150,000

$170,000

$190,000

$210,000

$230,000

$250,000

$270,000

$290,000

Income and Expenses2000-2010

Income Expense

Expenses

Pressure on the Budget

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 $-

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

Utilities, 2000-2010Including: Electric, Oil,

Water & Sewer , and Gas (at the PH)

Church Parish Hall Total

Issues Affecting ExpensesImpact of the child care center move beginning 2004: Our share of utilities went up We had to begin paying for cleaning

services at the Parish Hall We had to begin paying for

maintenance of the Parish Hall

Other: Utilities (as seen in slide above) Windows and soffit loan: $5,000/year

(last payment due in January 2012) We also share many of the issues

pressing households in our community

Income

Issues Affecting IncomeImpact of child care center move in 2003: Rent paid to the church by the Child Care

Center of approximately $15,000 was eliminated; those funds from the Child Care Center now go to service their mortgage.

Parish culture: “We always pass a deficit budget. We make

it up by the end of the year.”Broader cultural trends: Decline in the mainline denominations Increase in the consumer society (diversion

of funds) RecessionUnmet Pledges (see below)

Old Habits Die Hard(Stagnant Pledges)

10 remain below the 5% increase line: 5 of those pledged the same in 2009 as in

2004 4 of those have decreased their pledge since

2004 Of those 10, total pledged in 2004: $ 23,572 Of those 10, total pledged in 2009: $ 21,772

From 2004 to 2009 (6 years, inclusive), there were 25 households who pledged in each of those years. Of those:

Unfulfilled Pledges

Number of Pledges

UnfulfilledAmount

Short 2007 17 $ 9,1632008 32 $ 20,8872009 17 $ 17,0542010 17 $ 15,586Total $ 62,690

Unfulfilled Pledges:Impact on Assets

FYE Deficit (Actual impact

on Assets)

Add Back Pledge

Shortfalls

Impact on assets would

have been

2007 $ 2,336 $ 9,163 $ 6,8272008 $ 33,012 $ 20,887 $ 12,1252009 $ 10,033 $ 17,054 $ 7,0212010 $ 29,032 $ 15,586 $ 13,446Tota

l $ 74,413 $ 62,690 $ 11,723

4. New Systems

& Oversight

New Systems & Oversight Personnel

Karen Mardock is now serving as bookkeeper Software

QuickBooks has replaced MoneyCounts (©1995!) Monthly oversight meetings

The Executive Committee (rector and officers) meets monthly to review parishes finances including the budget and the check register

Resumption of quarterly giving reports Will help parishioners stay on pace with their pledges

Strategic planning initiative Over the coming year; Bob Puppa to chair

5. A Look at the Budget

Keeping an Eye on the Prize Chris-

tian Edu-

cation13%

Worship33%

Evangelism5%

Outreach25%

Fel-lowship11%

Pas-toral Care13%

Where we are now:The Budget

Note the temporary impact of the change in software on the presentation of the budget.

Handouts:2010 budget vs. 2010 actual

vs. 2011 budgetBudget vs. Actual, YTD

Questions about the

current budget & numbers?

A Word about Funds.

6. Where does our

ministry go from here?

“Unlike the U.S. Government, we cannot print money to cover our deficits.... At some point those assets will run out.”

From the Treasurer’s reportto the Annual Meeting

January 30, 2011

Recommendations for funding ministry going

forward

7. Closing Prayer

Closing Prayer"A General Thanksgiving" from the BCP, p. 836.

Accept, O Lord, our thanks and praise for all that you have done for us. We thank you for the splendor of the whole creation, for the beauty of this world, for the wonder of life, and for the mystery of love.


We thank you for the blessing of family and friends, and for the loving care which surrounds us on every side.


We thank you for setting us at tasks which demand our best efforts, and for leading us to accomplishments which satisfy and delight us.


We thank you also for those disappointments and failures that lead us to acknowledge our dependence on you alone.


Above all, we thank you for your Son Jesus Christ; for the truth of his Word and the example of his life; for his steadfast obedience, by which he overcame temptation; for his dying, through which he overcame death; and for his rising to life again, in which we are raised to the life of your kingdom.


Grant us the gift of your Spirit, that we may know him and make him known; and through him, at all times and in all places, may give thanks to you in all things. Amen.

Thank you!

parish budget meeting 11 05-15

Spiritual