Episcopal Press and News

Budget committee's revenue hearing won't be testimony as usual

Episcopal News Service -- Anaheim, California. July 9, 2009 [070909-07]

Mary Frances Schjonberg

The reality of the world's economic situation calls for a different approach to discussing options for paying for the Episcopal Church's ministry over the next three years, according to four members of the church's committee on Program, Budget and Finance (PBF).

PBF member and Diocese of New Jersey Bishop George Councell said July 9 that the committee feels it has to show the church that "we get that everybody's having a hard time," but that the committee needs the church's help in determining how to fund the church's ministry in the midst of shrinking income.

Thus, during its July 10 customary open hearing on revenue, Councell said the committee wants to move from "one-way testimony to genuine conversation and even an invitation to collaboration."

Rather than simply listening to testimony, committee members will meet with the witnesses in small groups to discuss several income scenarios, along with their potential impact on spending. Toward the end of the meeting, each small group will report to the entire hearing.

PBF chair Pan Adams-McCaslin said that the committee wants to work differently, "doing it together as a church, not a committee off somewhere doing it."

PBF secretary Holly McAlpen (California) added that "we're really inviting people to come labor with us."

The bulk of the church's triennial income comes from its 110 dioceses. The Executive Council's draft 2010-2012 budget forecasted in January that nearly $96.6 million of the budget's $161.8 million in income would come from the dioceses. The committee has already said that diocesan income could be at least $7.7 million less than forecast and that investment income will be $1.3 million lower as well. That $9.9 million total will likely increase, committee members have said.

Each diocese is asked to give the church 21 percent of its income, after subtracting $100,000. Twenty-eight dioceses have committed to pay that amount, according to the most current information available. Six dioceses committed to slightly more than that. Twenty-six dioceses have not filed the required reports that allow for a calculation of the diocese's operating income. Each year's annual giving is based on a diocese's income two years earlier.

Among the scenarios that the hearing will consider are an increase in the $100,000 exemption, a reduction of the 21 percent "ask" and further declines in investment income.

"I hope we come away with a sense of the thoughts and perceptions of the church around funding," said Diocese of Connecticut Bishop Andrew Smith, who is PBF vice chair. "The second thing I hope we come away with is some new ideas."

The committee is scheduled to present its proposed budget on July 15 to a joint session of the House of Bishops and the House of Deputies in the deputies' hall. Both houses must approve the budget. A vote is expected July 16, the day before the end of convention.