Finance Committee, July 9, 2014

Minutes of the Finance Committee

First United Methodist Church, Santa Rosa

Wednesday, July 9, 2014--Carriage House

 

Present:  Pamala Stephens (Chair), Mary Brunet, Jack Dupre, Larry Schmidt, Larry Thompson and Trustee representatives George Kemmerer and Emily Rainsford.  

Absent:  Ryan Comiskey, Marjorie Noble, Greg Roth and Steve Zwick

 

Pamala Stephens called the meeting to order at 7:05 p.m. and began with a prayer.

 

Approval of Minutes

Minutes of the Finance Committee meeting of June 11, 2014 were approved as written:  Moved by Larry Thompson, seconded by Jack Dupre, motion passed unanimously

 

Finance Report

Larry Schmidt reviewed the financial statements for June 2014.  During the month the main checking account balance decreased $17,947.72 to $34,340.11 and the operating fund balance fell $7,131.93 to

-$6,709.62.  Year to date (YTD) pledges and gifts were $343,630.79, which is 91.43% of the YTD budgeted amount of $375,843.34.  Total YTD income was about 93.12% of the YTD budgeted amount.  YTD total expenses were 98.86% of the YTD budgeted amount.  Overall, total expenses have exceeded total income by $16,872.89 so far in 2014.  The 03 and 04 accounts total $67,931.73 and were fully funded. 

 

A question arose regarding the cost of the June health insurance in the amount of $3,158.20.  Mary Brunet indicated that an adjustment had been made and she would follow-up with Janin Comiskey on the details and report back.  Mary also indicated that the cost for the bark chips for the Stony Point Sign project will be moved from Building Maintenance to the Stony Point Sign project.

 

Other Business

Pamala updated the committee on the summer meetings held as part of the “Join the Conversation, Discovering our Common Vision” effort.   Committee members indicated that they have taken part in these meetings. 

 

Pamala recommended that a prudent practice for processing the receipt of monetary gifts at all services would be to have those placing the monetary gifts in the envelope seal and sign the envelope.  Jack Dupre indicated that is the current practice with the sale of coffee. Currently the gifts are placed in an envelope but not sealed.  All agreed the practice should be implemented.    Larry Schmidt will contact the volunteer collectors and let them know of the change.  Mary indicated envelopes are ready and available.  Committee members agreed that we did not need to change how we process the donut monies.

 

Pamala reported that the Agreement between the Church and Accu-Bore has been signed and that the utility contractor is now leasing an unused portion of the Stony Point property to store equipment.  The agreed upon rental amount is $3,500 per month.  The Church has received an amount of $2,700.00 (pro-rated) for the month of July.  Additionally, Accu-Bore has reimbursed the Church in the amount of $1,000.00 for legal expenses.  It is estimated that this rental agreement will provide the Church with net income of about $18,000.  Pamala recommended that the rental income be placed in Other Revenues – Other/Fund Raising.   She also indicated that given the year-to-date actual revenue short fall, the Church will likely need this income to balance the budget. George Kemmerer recommended that the monies should be placed in an account which makes the income readily visible.  He indicated that by placing the monies in the Other Revenues account it would not be as visible.  Pamala indicated that she would ensure that the income was specifically called out in the financial updates given to the Church Council.   

 

George provided a verbal update on the progress of the new flooring for Fellowship Hall.  He indicated that Fellowship Hall will be closed on Monday, August 11, 2014 for the removal of the asbestos tile.  After the removal is complete the new flooring will be installed.  A considerable amount of logistical planning has gone into this project and now the Church will be moving forward to accomplish the work.  

Carpet choices will be on display at all services on Sunday, July 13, 2014 and the congregation will be asked for their input on carpet selection.

 

Mid-Year Budget Review

Pamala provided committee members with a financial report that provides summary financial data for the period January 2011 through June 2014.  The data includes income, expenses, budget and the difference between budget and actual. 

 

Pamala indicated that the budget amount for the current year of $77,000.00 for non-pledged contributions appears to have been too high.  She also indicated that a gentle reminder will be going out with the six-month financial statements asking that pledges be made current.  Year-to-date income is under budget by -$27,141.72 but actual year-to-date income/expenses is -$16,872.89.  If all pledges were current would have an additional amount of income in the amount of $20,658.09.

 

A year-to-date financial report will be placed in the August Roseleaf and will be presented to the Church Council on July 19th.

 

The meeting adjourned at 8:10 p.m. with a prayer by Mary Brunet.

 

Next meeting: 7:00 p.m. August 13, 2014, Carriage House

 

Respectfully submitted by Pamala Stephens

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Wed, 07/09/2014 - 19:16