Finance Summary (2nd Quarter Report, 2019-20)

pdfDecember_2019_Board_RevExp.pdf

Finance Summary for 2Q Fiscal Year 2019-20

Summary: As a reminder, the income cycle of a church is cyclical and seasonal. In the past, to reach the end of the year on budget, it was expected that more than 50% of the pledge income would be received in the first six months. After 6 months, pledge income is about 55% of total pledged (vs. 53% in FY 2018-19; 60% in FY 2017-18, 56% in FY 2016-17).

For the first six months, pledge income is trending similar to recent years.*

Rental income is VERY strong, about $5,000 more than last year’s pace.

The raffle generated $30,861 gross income, with about $7,000 anticipated expenses, for a net of $24,000.

On the expense side, most expenses are on or under budget in most areas. A couple of items to note:

  • Staff transitions (Youth Ministry, DRE sabbatical) and program/staff transition (Music) may result in fluctuations in personnel expenses.
  • Areas over budget due to increased activity/need (Multicultural Team, Garden, Facilities, Utilities, Janitorial, IT).
  • All of the planned reserve transfer into the Campus Needs Fund ($7,500) has been completed.

Net operating total YTD: $55,333

(compare to $93,442 in FY2018-19, $97,073 in FY 2017-18, and $40,261 in FY 2016-17).

*Interpreting the numbers.

  • An increase in auto-draft contributions in the past couple of years has leveled out some of large ups and downs around giving patterns (almost 50% of pledges are now on auto-draft).
  • Note: There is a variance of the YTD net between this year and last ($38,109). The 2019-20 budget was built, by design, with $28,000 from special contributions and $16,400 from a reserve transfer used to balance the budget. The six-month portion of these funds has not yet been transferred and posted as income. We will likely not transfer until May, if and when it is clear that these funds are needed to finish the fiscal year on balance.
  • The overall financial picture is solid.

Total Cash in BB&T (as of Dec 31, 2019): $430,458

General Reserve Fund: $30,436

 (per policy, the amount in fund over 3% of total budget was shifted to the Strategic Initiatives Fund)

Reserve Funds (see Balance Sheet): There are now fewer funds due to clean-up/consolidation of funds.

Financial Review—Agreed Upon Procedures: The final report from CPA Mark Danes is complete.

Reserve Study: The Facilities study and the IT study will both be complete in February. These are both very detailed and complex reports. Context will be needed for translating this into ERUUF policy and practice. While the studies are objective, there are significant implications for future budgeting and infrastructure funding. Clarity is needed on best process for sharing this information with Board and also the congregation.

 

Facilities Update (this article appeared as a blog post on 1.17.20)

As we roll into the new year you may notice a few improvements on campus. In the past two years almost every roof on campus has been replaced, including half the Care bldg. with a metal roof in preparation for a major solar installation this spring (more info coming soon). There is a new system to support composting and recycling at ERUUF on a larger scale (see revised room use guidelines). There are new low-flow toilets in the Sanctuary bathrooms. Much of the non-routine facilities work is made possible by the Campus Needs Fund which is a result of a special campaign two years ago. 

Here is a shout out of appreciation to some the folks responsible for larger projects:

  • New waste stations for Fellowship Hall and Care bldg. (Denise Frizzell, Kim Swain, Barbara Welanetz, Shawn Trimble with funding support from the Foundation)
  • New doors for rear of Commons Room (Peter Romeyn)
  • New window blinds in Rooms 4/5 & 1 (Jean O'Barr)
  • Clean gutters (Glen Jackson)
  • Tree/limb pruning (Jack Romeyn)
  • Redesigned Sanctuary front garden (Beth Harvat, Barbara Beaman, Nancy Henley, Jean O'Barr)
  • Clear sidewalks and lawn mowing (Rick Searles, David Scheidt)
  • New wall coverings for Fellowship Hall (Peter Romeyn, Ed Hoefle, Steve Edgerton, Karli Rabe)
  • New dishwasher in Care bldg. (Chris Egle)
  • New chairs/tables for Sanctuary floor (Jean O'Barr, with funding support from Gallery Committee)
  • New carpet in Sanctuary, Rooms 4/5 & 3 (Peter Romeyn)

Much appreciation to all the hard work of individuals and teams behind the scenes (Buildings and Grounds Team, Garden Team, Janitorial staff, Office staff) in keeping the campus facilities in good shape. It takes a village of volunteers and staff (and even contractors at times) to make this happen. Thank you!

Please refer questions on financial details to the Director of Administration or the Board Finance Advisory Committee. 

(document by Daniel Trollinger, Director of Administration)