Episcopal Press and News
Finances Solid, Procedures Refined
Episcopal News Service. June 25, 1987 [87136]
CLEVELAND (DPS, June 25) -- Treasurer Ellen F. Cooke told the Executive Council of the Episcopal Church that a surplus from last year's budget could be used partially to counter potential losses in investment income and that element, combined with a 99 percent response rate from dioceses, assured the Church of a sound financial footing through the end of the triennium.
Cooke told the Council members, meeting here June 15-19, that all but seven dioceses had accepted their apportionments with two pledging overpayments. This meant that apportionment income would be 99 percent of the assigned amount of $25,157,000.
The Council accepted Cooke's proposal that the $949,000 surplus from 1986 be split, with $600,000 going toward the 1988 budget and the remainder be used to cover the anticipated shortfall (due to the drop in interest rates since the budget projections were drawn in 1985) in short term investment income this year. For many years, Council practice has been to reserve any budget surplus for application two years hence, but Church law allows some leeway to cover other situations.
A proposal for an alternative investment program was received by Council for study in preparation for the November meeting, when they will be asked to act on such a program. This grows out of a 1984 action in which Council asked its social responsibility in investment panel to explore alternative investment opportunities for the Church. Since the 1960's, a number of intermediate investment agencies have established strong track records in ferreting out opportunities for investment in minority or worker-controlled banks and businesses. The draft proposal suggests that a policy statement be drawn for Council and Convention approval and that a joint panel of Church, Pension Fund and Church Center officers oversee the policy in terms of both effectiveness and the fiduciary responsibility of the involved organizations.
Cooke, who as senior executive for mission support oversees the entire administrative and financial management of the Center, also reported to Council on a number of steps taken to benefit staff and the agencies, dioceses and parishes the Center serves. These include:
- Initiation of the WATS telephone number (1-800-334-7626);
- Increase in the residential loan fund which helps staff members buy homes in the New York area. Amount available to staff is now $20,000 up from $10,000;
- Changes in employee benefits to include full health & life insurance to eligible employees, enhanced paid leave policies and some overall increase in compensation to bring pay within competitive ranges;
- Adjustments in retirement plans to conform to revised tax codes, add a cost of living potential to currently retired employees and develop a more equitable retirement base for longtime employees;
- A revision of grant procedures as follows:
A. Effective January 1, 1987, the following guidelines are in force for all grants disbursed and approved after that date:
The time period for accounting has been changed from every 6 months to every 12 months, or sooner if the grants money is expended in full.
Accounting responsibility for a grant which a diocese has said will be handled by an individual grant recipient will revert to the diocese if the accounting is 90 days delinquent (after the due date of the accounting). No grant monies can be released from any funding source through The Domestic and Foreign Missionary Society as long as there are delinquent accountings for previously distributed grants.
B. Effective July 1, 1987, all grants monies will be paid to the local Diocese or Province as agent for the Society for use of the designated grant recipient.
Cooke also announced the inception of an annual summer institute for certification of diocesan treasurers and administrators to be co-sponsored by the national Church and the Virginia Theological Seminary. The program, which is expected to begin next year, will probably consist of a one-week Certification Program with a Core Curriculum and a special theme which might take up three days of the following week.