Parishioners gifts of time, talent and treasure to a wide range of outreach and mission ministries locally and around the world!
campaign is currently underway to solicit gifts to pay off that note which would free the cash flow of that building to support parish ministries.
PRICELESS
Long Term Financial Resources
Financial Management Organization
Thanks to prudent management in past years, we have assets to support long-term initiatives. These are not intended to cover short term operating expenses, but do provide a modest cushion against the seasonality of our revenue. These include:
Saint Michael and All Angels has an excellent finance staff led by our Director of Accounting Rob Baber, and including Interim Stewardship Coordinator Lisa Baber, accountants Angelia Hunter and Marlene Moncada, and part time consultant Darla Sheeley. We have regular contact with other large U.S. churches, and are aware of none our size that are able to operate with such a lean financial staff.
• Over $1,330,000 in Restricted Funds designated to dozens of purposes for which the expenses cross more than a single year’s budget, for example, lecture series, liturgical supplies and youth missions. • Cash reserves not designated to special purposes, which fluctuate seasonally since our revenue is highest around Christmas and lower in the summer. At their low point at the end of last summer, these exceeded $500,000. This essential cushion is modest in relation to the size and complexity of our finances. • A bank line of credit for $400,000, which is available if our cash reserves become insufficient to cover revenue and expense timing differences. This line of credit costs us nothing unless we draw on it, which we have not done in several years. • The assets of the Saint Michael and All Angels Foundation are completely separate from the church Balance Sheet, but represent important resources devoted to the church’s purposes. At the end of 2012 the Foundation had $3,080,681 in funds designated to various long term special purposes of the church and $1,797,655 in undesignated funds. Foundation assets as an established policy do not fund activities that naturally are part of church annual operating expenses. The Foundation trustees ensure that all spending complies with the Foundation By-Laws and individual fund purposes. To ensure coordination with church finances, the Foundation president is an ex-officio member of the vestry and its finance committee, and the rector and church treasurer are ex-officio members of the Foundation board of trustees.
The vestry appoints a Finance Committee to oversee and advise on church finances. The members in the past year have been, Rob Baber (Director of Accounting), Steve Black, Bob Dannals (Rector), Bill Felder, Tracy Helms, Kathy Kelley, Randy Kob, Suzanne Lipscomb, Casey McManemin, Alan Pierce, Jim Smith, Van Sheets (Senior Warden), Matt Waller (Treasurer and Committee Chairman), Giffen Weinmann (Saint Michael Foundation President), John and Kelly Wilson (Stewardship Co-chairs), and Sheryl Wylie (Vestry Liaison). The Finance Committee meets and reports to the vestry monthly, and its minutes are published on the church website. Audits We received an unqualified (or “clean”) audit opinion for our 2011 financial statements, and the 2012 audit will be performed this spring. The church Audit Committee reports to the vestry and is independent of the staff, the Treasurer and the Finance Committee. Its members in 2012 were Jay Lipscomb, Grady Schleier, Scott Wilson and Sheryl Wylie. Conclusion
We trust this conveys that the clergy, staff and lay leaders at Saint Michael and All Angels are careful stewards of the church’s resources. The church’s financial health is, however, in your hands as you decide how to use the material gifts you receive from God. Respectfully submitted,
Capital Accounts
In 2012 we paid off the remaining $94,000 mortgage on the land under our new north parking lot with pledge payments from the last capital campaign. In addition, we paid down our mortgage on our commercial office building on Lomo Alto to $3,000,000. That mortgage is being serviced by the building’s rental income. As mentioned in the Rector’s report, a quiet
Matthew Waller, Treasurer
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