Minutes — April 11, 2017

Diocese of Rhode Island

Commission on Finance

Meeting, April 11, 2017

St. Luke’s Church, East Greenwich

Present: Robert Batchelor; Sarosh Fenn; Michael Lofaro; Stephan Sloan; David Terry; The Rev. Peter Tierney.

Also present: Dennis Burton; Joan DeCelles; The Rev. Canon Linda Grenz; The Rev. Edwin Hallenbeck.

The meeting was called to order at 5:05 p.m. by Chair Lofaro. An opening prayer was offered by the Rev. Peter Tierney.

The Minutes of the meeting of February 14, 2017 were approved as distributed. Note: There was no meeting in March due to cancellation because of weather.

Finance Report for March. In addition to the full monthly Report Mr. Burton distributed a Financial Variance Analysis – YTD thru March. This statement indicates for each major grouping significant variances from budget plan with a brief explanation. The statement was viewed as helpful. There was a discussion of how cash balances are displayed with a suggestion that rather than a lump sum number a clearer detailing might be stated.

Apportionment Aging Report. Three churches are behind and viewed as problematic with follow up needed: St. George’s, Central Falls; St. David’s, Cranston; St. Peter’s & St. Andrew’s, Providence. It was noted that Grace Church is paying at an understated rate.

CFO Report. Mr. Burton stated that the Forecasting Project team continues working with five churches testing anticipated changes over five years in income structure. The study is aimed at developing a model of potential attrition that may be useful for other churches. A draft report is expected in May. There was a discussion of planned giving and the need for  more aggressive program across the Diocese. Brochures are needed and are in development. The Audit of 2016 is underway, noting that the previous year 2015 management letter matters are being addressed.

Diocesan Property Concerns. Emerging concerns regarding property holdings have arrived at a point where a thorough review and discussion is needed. Chair Lofaro suggested a special single agenda meeting be scheduled for a review. Several dates were suggested with a survey of absent members needed for a meeting at either the Diocese or St. Luke’s. Joan and Ted will follow up on specifics.

Discussion of St. Peter’s-by-the-Sea Outreach. Mr. Terry distributed a memo previously emailed reviewing concerns about the decision made at the 2/14/17 COF meeting (see Minutes), suggesting that how such matters are considered needs to be looked at with care, considering the Parochial Report definitions and instructions. Following discussion it was agreed that an error was made in considering the St. Peter’s request. It was specifically agreed that the 2/14/17 decision will remain in place, this pattern for the treatment of funds will not be considered in future, and the 2/14/17 action should not be considered as a precedent. One or more members of the COF will meet with St. Peter’s to review the matter in detail.

Clara Potter Estate gift to St. Mark’s, Warwick. Mr. Batchelor reviewed the history and complications of the Clara Potter Estate gift now in the hands of the Diocese, at a value of $9,168,24. Copies of appropriate documents were distributed. There being no restrictions upon the gift it was MOVED, Seconded and Voted to recommend to Diocesan Council that the proceeds of the Estate of Clara Potter as received be transmitted in full ($9,168.24) to St. Mark’s Church in Warwick for its general use.

Emmanuel Church, Cumberland Mudrak Fund request. A request from The Rev Joan Testin, Rector, described a recent need and purchase of microphones to improve sound in the church. Following discussion and consideration of the use of the equipment purchased it was agreed that the use is general and not specifically for the hearing impaired, as required for Mudrak Fund use.

It was agreed to defer Agenda item 8 Update on Development & Episcopal Charities Staff to June for a further discussion of Episcopal Charities.

St. Luke’s, East Greenwich Mudrak Fund request. On 3/30/17 Ms. DeCelles emailed the COF with a request for an email vote on St. Luke’s request for Mudrak Fund grant for a hearing loop system to be installed in the church. A grant of $2,500 was previously approved to remove static from the current. A balance of $933 is available plus the cost of the installation of the loop $7,016.62 for a total of $7,949.62. This was approved by email vote.

The meeting was adjourned at 6:46 p.m.

Respectfully submitted

Edwin F Hallenbeck

Secretary

Next Meetings: May 9, 2017. Property Agenda meeting to be scheduled.