Minutes - March 11, 2014

Diocese of Rhode Island

Commission on Finance

Meeting, March 11, 2014

Higgins Room

Present: Robert Batchelor; Robert Bergstrand; Dennis Burton; The Rt. Rev Nicholas Knisely; Michael Lofaro; Stephan Sloan; The Rev. Joyce Thorne.

Also present: Joan DeCelles; Canon Elizabeth Fornal; The Rev. Canon Lind Grenz; The Rev. Edwin Hallenbeck; Ronald Turnbull.

The meeting was called to order at 10:02 a.m. by Chair Lofaro. Bishop Knisely offered an opening prayer.

The Minutes of the meeting of February 11, 2014 were approved as distributed.

Financial Report of February 28, 2014 was discussed as distributed. The Balance Sheet section has been shortened to one page, noting that all detail data is contained in the system and can be accessed and printed as may be needed. The Revenue and Expenses section has not yet been shorten to omit unneeded details. Mr. Batchelor stated this is still being worked on. It was noted that some non-apportionment income accounts do not reflect income at this time.

      Use of available cash reserve funds was again discussed, noting it is a complex matter and is still under study. It was suggested there are risks involved should reserve cash funds be too small, or uninvested cash be to great resulting in lost income.. It was agreed to review the matter at the next meeting with detailed cash flow information available for discussion.

Apportionment Payment Report. Report shows that the church payments are basically the same as a year ago. Four churches have made no payments to date.  Canon Grenz noted the Small Church bookkeeping service by Diocesan staff is under way for the Cathedral of St. John; Inglasia Sanjorge, Central Falls and New Church, Pascoag. Others may be added.

Old Business

Revolving Loan Fund. Mr. Sloan on his review of the program, including its legal status, stating that there are no suggested changes at this time.  One possible change was discussed, the limit of $50,000 for loans that may be approved by the Commission with those greater requiring approval by Diocesan Council. It was noted the 50K limit was set in 1968 and it would be appropriate to consider a change update to a different level or perhaps a defined percentage of the total loan fund value so that it fluctuates with the principle and adjusts with inflation. Additional information was requested for consideration at next months meeting.

May House Projects Update. Mr. Burton distributed a spreadsheet on all the project activities either underway or about to start. Several have been held up due to the winter weather, such as digging trenches for gas lines to the generator. Further asbestos testing is scheduled for 3/14. While it seems slow, all projects should move in the near future.

New Business

COF Member vacancy. An appointed clergy position is unfilled. Canon Grenz stated she had a candidate in mind, and was encouraged to approach the individual.

COF 2014 Election. It was noted that the terms of Mr. Lofaro and Mr. Sloan expire, both are eligible for reelection. It was suggested the matter be discussed at a later meeting to possibly encourage other candidates to run.

Review of CANON VII – COMMISSIONS 7.1. Commission on Finance. Mr Lofaro reviewed the language in the canon, especially (b) the section outlining duties. It was suggested there are several matters that have received minimal attention in recent years. This needs to be reviewed to determine if there are better ways the COF could serve the Diocese. Mr. Hallenbeck noted that the 2015 Task Force is engaged in a review of all Canons and any suggested changes can be fed into that process.

Extra Budget Expenses. Several current projects are incurring unavoidable costs.

New Church, Pascoag. Expected to start small (10-15) first services running 70. This has required use of the church, encountering safety issues such as fire alarm, dusty floor tiles, lack of hot water and others Following discussion it was Moves, Seconded and VOTED to authorize up to $50,000 from the Resource Fund to upgrade Pascoag church property.

Advent Church, Coventry. Considerable interest grows in this effort to initiate a specialized mission activity for Autistic persons, especially children. Upgrading and bringing the property into usable condition is underway both at the Rectory and the church. Following discussion it was Moved, Seconded and VOTED to authorize up to $75,000 from the Resource Fund to upgrade Advent Church property in Coventry.

It was noted there is significant volunteer work and sweat equity being devoted to both of these projects.

Cathedral of St. John. Work continues securing input from wider sources. The group interested in leasing space has wandered off. A strong interest is developing for using Synod Hall to develop a Museum of Rhode Island Slavery, drawing on Katrina Browne’s “Traces of the Trade” film project.

Church Beyond the Walls Project. This may come in as a specialized Mission.

Other items.

Salary Adjustment. It was agreed to reallocate Budget line General Fund- 7. Other “Salary Adjustment Pool” to the department personnel lines where assigned.

Diocesan House Carpet. Noting that much of the carpet is aged and not in good condition, it was Moved, Seconded and VOTED to allocate up to $22,000 to re-carpet 275 North Main St. in 2014 out of Working Capital reserve funds.

The meeting was adjourned at 11:30 a.m.

Respectfully submitted

Edwin F Hallenbeck, Secretary

Next meeting, April 8, 2014. 10:00 a.m. Higgins Room