Minutes of the Vestry of the Chapel of the Cross
January 26, 2012
(click here for detailed reports)
Vestry Actions for Month
At its January meeting, the Vestry
- approved the recommendation of the Outreach Ministry Committee for disbursement of $1000 from the Community Organizations line item to the Augustine Literacy Project;
- adopted an amended 2012 Budget and Pay Plan, with the understanding that the budget will be reviewed in April;
- approved the 2012 clergy housing allowance resolutions; and
- learned that the Episcopal Church of the Advocate has plans to purchase and move a church in Germantown, in Forsyth County, that no longer has a parish.
Focus Session
Pay Plan (Executive Session)
Main Meeting
THE NEXT MEETING OF THE VESTRY
OF THE CHAPEL OF THE CROSS
WILL BE ON THURSDAY, FEBRUARY 16, 2012
IN THE PARISH LIBRARY
with supper at 6:00 p.m.,
focus session at 6:30 p.m.,
and the business session to begin at 7:00 p.m.
Draft Minutes of the Vestry of the Chapel of the Cross
26 January 2012
The January meeting of the Vestry was held in the parish library on Thursday, January 26, 2012. Vestry members present were Ford Worthy (Sr. Warden), Linda Rimer (Jr. Warden), Alice Cotten, Nancy McGuffin, Dick Taylor, Joel Wagoner, Joe Ferrell, Carter Kersh, Hugh Morrison, Alan Rimer, and Nancy Tunnessen. Also present were Stephen Elkins-Williams (Rector), Bill Joyner (Archdeacon), David Joseph (Treasurer), and Nancy Kelly (Clerk).
The Rector presided and opened the meeting at 7:20 p.m.
Bible Study
Timekeeper
Parish Concerns
No parish concerns were expressed.Approval of Minutes
It was noted that Mr. Kersh’s name was misspelled in the second paragraph. It was moved by Mr. Morrison, seconded by Mr. Kersh, and passed unanimously, that the Vestry approve the minutes of the Vestry meeting of December15, with the correction of a typographical error.
Addendum
The task of Mrs. Tunnessen and Mrs. Rimer has been completed and is to be removed from the list. The other items are to remain on the list, pending completion.Consent Agenda
The following item was placed on the Consent Agenda (attached):-recommendation of the Outreach Ministry Committee for disbursement of $1000 from the Community Organizations line item of the 2012 budget to the Augustine Literacy Project, this recommendation being made prior to 2012 budget approval in order for the organization to meet a challenge for matching funds in a timely manner
It was moved by Mr. Ferrell, seconded by Mrs. Cotten, and passed unanimously, that the Vestry approve the Consent Agenda.
Treasurer
Attached are the Treasurer's Report and the preliminary Combined Balance Sheets as of December 31.Mr. Joseph reported that the 2011 budget year ended with no need to draw funds from the Program Fund. There is a preliminary surplus of about $9200. Although the 2011 results are not yet finalized and there may be some minor adjustments, Mr. Joseph does not expect any major changes.
Capital Campaign
Attached is a memo from David Ross on the Capital Campaign.John McGee joined the meeting to provide an update on the Capital Campaign. He reported that the preliminary financing plan calls for a project of $6,000,000, of which $2,500,000 will be borrowed over 15 years.
Mr. McGee reported that the campaign has cash on hand totalling $2,653,000. Outstanding pledges totalling $2,264,000 are spread fairly evenly over five years. Cash, pledges, and planned gifts total some $5,934,000.
Mr. McGee said that the Finance Committee is now waiting for construction cost estimates and estimates of the incremental operating budget impact of the new addition before preparing the next version of the overall Financing Plan (the Intermediate Financing Plan). He said that subcontractors will be submitting their best estimates by the end of this week, after which significant decisions about the project will need to be made.
Finance Committee
The report of the Finance Committee is attached. Also attached are documents on COTC pledge history, 2012 Annual Campaign reports, 2012 pledge scenarios, comparisons of revenues vs. expenditures, 5-year operating budget information, the 2012 operating budget summary (revised to reflect Vestry discussion at this meeting), and resolutions on clergy housing allowances for 2012.Mr. Taylor turned to Mr. Joseph to explain the documents he prepared for the 2012 budget.
Mr. Joseph noted that the pledge history shows that the high in number of pledge units was in 2001. From the information provided by the pledge history, he concluded that 560 is our historic average for number of pledges.
The Annual Campaign is currently at 496 pledges for a total of $1,316,199. There are 89 pledge units that pledged in 2011 but have not yet done so for 2012. Mr. Joseph noted that pledges historically have trickled in throughout most of the year, with the last pledge for 2011 received in late August.
The memo on 2012 Annual Campaign Pledge Scenarios indicates several possibilities, based on possible yields from the 89 as yet unpledged units. Based on available information, Mr. Joseph suggested the final budget recommendation of $1,390,228. In order to reach this budget, an additional $95,000 in pledges is needed.
Mr. Kersh asked if a similar assumption was made in adopting the 2011 budget, and Mr. Joseph replied that it was.
Mr. Worthy reported that Annual Campaign Chair Scott Beddingfield has a very high level of confidence that pledges will reach $1,350,000, and he believes that we have a very reasonable chance of reaching the $1,400,000 level. The question remains as to why the number of pledges received thus far is behind the number received at this same time last year. Mr. Worthy said that his understanding, based on conversations with Mr. Beddingfield, is that the slower pace is likely due to a number of factors. Some parishioners think they’ve pledged but actually have not done so. Others haven’t yet gotten around to filling out a pledge form. A few individuals may be upset about administrative changes in the parish, and some may be experiencing campaign fatigue as a result of both Annual Campaign and Capital Campaign requests for pledges. Notwithstanding these concerns, we continue to be optimistic that we will ultimately reach the $1,390,000 pledge level, as well as exceed last year’s total number of pledge units.
Dr. Wagoner asked if parishioners receive offering envelopes if they haven’t pledged. Mr. Elkins-Williams replied that only those who have pledged receive envelopes and that if an individual asks for envelopes, a pledge form is provided.
Mr. Taylor stated that he would like to adopt the budget with the understanding that any increases in budget lines would not be spent until a review of the budget has been conducted in Aptil.
Mr. Joseph continued his presentation of the budget by calling attention to the trends in revenues and expenditures anticipated for the next few years. Staffing is projected to increase, there will be some additional operating expenses, and the debt service will need to be addressed. With these assumptions, deficits are expected to increase over the next few years.
Mr. Worthy said that the 5-year budget needs to be considered in context. Many assumptions are being made with respect to both revenues and expenses.
Mr. Taylor repeated his recommendation that increases in the line items of Work Outside the Parish not be spent until approved after a budget review in April. He expanded his recommendation to suggest deferral of all increased levels of spending, with the exception of salaries. Mr. Joseph agreed with this suggestion.
Mr. Joyner asked why the Prison Ministry Committee line item is $0 and isn’t included under Work Outside the Parish. Mr. Joseph answered that at the time that recommendation was made (in December 2011), none of that money ($300) had been spent; so the Finance Committee had assumed it was unneeded. However, it then was spent.
Mr. Ferrell expressed hope that the new Chief Administrator will put in procedures to monitor spending. Mr. Rimer asked if all line items are assigned to a specific individual and suggested that the individual responsible for the line item should be spoken to in any month in which the line is over-spent. Mr. Ferrell replied that each line is assigned to a specific individual but that some are not as attentive to reminders as are others.
Mr. Ferrell also suggested that at the April review of the budget, line items might be reduced if revenues do not increase as anticipated.
Prior to a motion, the revisions discussed by the Vestry in executive session and this business session were reviewed. In the Pay Plan, the salary for the position of Chief Administrator was budgeted and the line item for additional hours for Christian Formation Assistant was removed. In the draft budget, $300 was restored to the Prison Ministry Committee line item. It was the consensus of the Vestry that adoption of the budget would require that increases in line items under Work Outside the Parish be deferred until the April review of the budget.
It was moved by Mr. Taylor, seconded by Mr. Ferrell, and passed unanimously, that the Vestry adopt the 2012 Budget, including the Pay Plan, as amended and with the understanding that the budget will be reviewed in April.
The Vestry then turned to the declarations for housing allowance submitted by the clergy for 2012. The IRS allows ordained clergy to claim a certain percentage of salary as a housing allowance, which is not taxed. The clergy must be able to document by year-end that these do not exceed actual expenses. The matter is between the clergy member and the IRS, and the parish assumes no liability, although the parish must be informed of the amounts of the elections.
It was moved by Mr. Taylor, seconded by Mr. Ferrell, and passed unanimously that the Vestry receive the 2012 clergy housing allowance declarations in the following amounts: Rector Stephen Elkins-Williams ($43,870), Associate for University Campus Ministry Tammy Lee ($37,000), Associate for Parish Ministry David Frazelle ($25,000), and Associate for Pastoral Ministry Vicky Jamieson-Drake ($46,500).
Master Plan Steering Committee
Terry Eason joined the meeting to give an update on the work of the Master Plan Steering CommitteeThe committee is approaching the end of its work on the design plans. On Monday, February 6, the committee will meet to review the drawings in final form, adopt them, and make a recommendation to the Finance Committee, which meets the following evening.
Mr. Eason observed that the plans are substantially the same as those from March 2009. On the ground level, the office of the Pre-school might move, and it has not yet been determined who will be in which office. The first floor will have a reception area that is open to the second floor reception area. The office of the Facilities Manager will also be on the first floor, providing for more security. Second floor offices are not yet settled. At present, it is envisioned that the third floor will not be completed. This would result in the need to find space for a choir room on the second floor. Mr. Eason said that the decision to finish the third floor could be made up to about five months after the start of construction.
Mrs. Tunnessen asked if groundbreaking means demolition. Mr. Eason replied that ground honoring (the preferred term) comes first, followed by dismantling of certain areas for recycling of materials, and finally demolition.
Rector
The Rector’s report is attached.Referring to item 6 of his report, Mr. Elkins-Williams passed around a flier on the CEEP conference.
Mr. Elkins-Williams also informed the Vestry that Vicar Lisa Fishbeck has told him that the Episcopal Church of the Advocate plans to purchase and have moved a church in Germantown, in Forsyth County, that no longer has a parish, and he passed around a picture of the church.
Archdeacon
Mr. Joyner gave his report in limerick form.The convention in Winston-Salem was great,
as was the Presiding Bishop Kate.
Joe kept things going well,
Bishop Curry was swell.
I look forward to the next year’s date.
Sr. Warden
The report of the Sr. Warden is attached.Mr. Worthy reiterated the need to look at the 5-year budget. He commented on the need to grow the pledge base in order to meet future anticipated budgetary needs.
Jr. Warden
The report of the Jr. Warden is attached.Mrs. Rimer reported that the Rector and the Wardens are beginning to plan for the Vestry retreat on May 11-12 and have again engaged the Rev. Susan Sherard as facilitator.
Stewardship Formation Committee
Attached is the report of the Stewardship Formation Committee.Mrs. Rimer reported that on Sunday, February 12 ,the Rev. Jerry Cappel, Environmental Officer for Province IV, will offer a presentation at 3:00 p.m. and will then participate in the 5:15 p.m. service.
Personnel Committee
The report of the Personnel Committee is attached.Mr. Morrison reported that the committee has interviewed three candidates for the position of Chief Parish Administrator and will conduct two more interviews on Monday.
Buildings and Grounds Committee
The report of the Buildings and Grounds Committee is attached.Mr. Rimer reported that the Franklin Street stained glass window should be started by the end of March and completed by the end of April.
Global Mission Committee
The report of the Global Mission Committee is attached.Outreach Ministry Committee
The report of the Outreach Ministry Committee is attached.Parish Communications Committee
The report of the Parish Communications Committee is attached.Transition Committee
The report of the Transition Committee is attached.Mrs. Tunnessen said that the Pre-school is prepared to move this summer but would like to wait until August to do so. This seems possible, but Mr. Rimer will speak with Barnhill to confirm this. Mrs. Tunnessen explained that Church of the Holy Family wants the Pre-school to sign a two-year contract, but they don’t want to do so until they are certain that there will be no more delays before construction begins.
Quarterly Reports
The reports on Children’s Christian Formation and EYC are attached.The Rector offered a prayer, and the meeting was adjourned at 9:25 p.m.
Respectfully submitted,
Nancy F. Kelly
Clerk of the Vestry
ADDENDUM TO THE MINUTES OF JANUARY 26, 2012
Personnel Committee – Study discrepancies between staff and clergy benefits.Finance Committee and Outreach Ministry Committee – Begin dialogue to address issue of timetable for disbursement of funds in Community Outreach line item.
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