At its April meeting, the Vestry:

1) discussed and postponed action on a Johnson Intern Program proposal for fundraising until the exploratory committee of the program has determined the immediate future of the program;

2) approved the recommendation of the University Ministry Committee to support campus ministry at North Carolina State University, on the condition that the remainder of the $20,000 needed is raised from the state’s other campus ministries and that the diocesan contribution of $10,000 is approved;

3) approved the recommendations of the University Ministry Committee to award the French Scholarship in the amount of $1000 each to Amy Lambert and Laura Fairley and the House Scholarship in the amount of $1000 to Katherine Anderson;

4) approved the Charge to the Chapel Committee;

5) received the recommendations of the Parlor Committee for improvements to the parlor;

6) approved the recommendation of the Buildings and Grounds Committee for the expenditure of up to $1000 from the Buildings and Grounds budget line item for the purchase and installation of a new pair of chandeliers for the parlor; and

7) approved the recommendation of the Buildings and Grounds Committee for the expenditure of $8300 from the Undesignated Bequests and Gifts Fund for upgrades to the HVAC system in the church.

Following a bag supper, the Vestry met in focus session to discuss stewardship and annual giving at the Chapel of the Cross. Vestry members present were Ted Vaden (Sr. Warden), Paul Carew (Jr. Warden), Bert Liverance, Robert Wright, Jean DeSaix, Dick Taylor, Kevin Trapani, Bunnie Collura, and Jack Scarborough, and Vestry-elect Chris Bowes, Jim Crow, Steve Lackey, and Mary Schoenfeld. Also present were John McGee (Treasurer), Barney Varner (Sr. Associate Treasurer), and Nancy Kelly (Clerk).

The Sr. Warden opened the session at 6:30 p.m. by expressing much gratitude to Mr. Carew for his leadership in the area of stewardship.

Attached is a memo of charts and graphs outlining pledge history at the Chapel of the Cross.

Mr. Carew began the discussion by noting that the parish has in recent years lost pledging units. The pledge history is of concern not because of the total amount of pledges, but rather because of the decreasing number of pledges. He referred to the 80/20 business rule, that 20% of the people do 80% of the work, noting that the parish betters this statistic in that about 45% of parishioners at the Chapel of the Cross provide 85% of the pledge income.

Mrs. DeSaix asked how this correlates to church attendance. Mr. Carew acknowledged that some parishioners have left the parish for a variety of reasons, including those who have gone to The Episcopal Church of the Advocate, but that there are others who are withholding their pledge while they await the results of the Lambeth Conference. Some of these individuals, although they have not submitted a pledge, are putting the equivalent of their pledge in the offering plate.

Mr. Trapani expressed the opinion that we are underserved by those who can afford a larger pledge.

Mr. Carew said that many families designate a fixed amount to charity and that if their church pledge increases, other charitable giving might go down. He went on to say that he thinks that our approach to annual giving is right but that we need to begin our stewardship education earlier in the year. He suggested that a good way to begin this education is to look for leadership gifts from the Vestry.

Mr. Crow stated that at the recent regional meeting of the Consortium for Endowed Episcopal Parishes hosted by this parish, it was suggested that programs on stewardship be held throughout the year. Mr. McGee added that he learned at the meeting that some parishes focus on giving during the Easter period and encourage special giving at Thanksgiving and Christmas. Other ideas that were raised at the regional meeting were setting up payroll deduction for pledges, establishing as many ways as possible to give, targeting the $2500 threshhold of pledging, operating on a three-year strategic plan for annual giving, and paying attention to differences in age groups.

Mr. Carew floated the idea of an honor roll to acknowledge those who increase their pledge by 10% or more, without regard to amount pledged. He acknowledged that this idea has been criticized as being too insensitive to people’s feelings about pledging.

Mr. Trapani called attention to the fact that there are many needs on the horizon, including the funding of a fourth full-time clergy position in 2005 and funding of the new organ for the chapel. He stated support for the idea of recognizing those who increase their pledge. Mr. Crow strongly disagreed, stating that he feels that honor rolls such as that described are inappropriate.

Mr. McGee said that there is a need to get people more involved in the parish and that this, in turn, might serve to increase pledge levels.

Mr. Vaden thanked Mr. Carew for leading this session and for the outstanding job that he has done in this area during the past year. The focus session concluded at 7:00 p.m., and the Vestry moved to the more formal part of the agenda.

Attachment
- - - Memo RE: Chapel of the Cross Pledge History

The April meeting of the Vestry was held in the parish library on Thursday, April 22, 2004. Vestry members present were Ted Vaden (Sr. Warden), Paul Carew (Jr. Warden), Bert Liverance, Suzanne Sauter, Robert Wright, Jean DeSaix, Dick Taylor, Kevin Trapani, Bunnie Collura, and Jack Scarborough, and Vestry-elect Chris Bowes, Jim Crow, Steve Lackey, and Mary Schoenfeld. Also present were John McGee (Treasurer), Barney Varner (Sr. Associate Treasurer), and Nancy Kelly (Clerk).

In the absence of the Rector, who is recovering from recent laparoscopic surgery, the Sr. Warden presided and opened the meeting at 7:00 p.m..

Devotions
Mr. Liverance led the devotions, using statements on leadership (attached) from The Benedictine Way of Living, and concluding with a reading from The Gospel According to John.

Selection of Timekeeper
Mr. Taylor agreed to serve as timekeeper for the meeting.

PARISH CONCERNS

Mr. Trapani, citing a recent experience as a visitor at another parish for Good Friday and Easter Sunday services, expressed concern about how we might improve our welcoming of visitors and newcomers.

Mr. Wright informed the Vestry that the Diocese of North Carolina is at a critical point in making a decision about the future of The Summit. The financial resources of the diocese can no longer cover the deficit. The options are to sell The Summit, to shut it down, or to scale back operations for a period of time. There are two offers to purchase The Summit, one from the State of North Carolina and one from Assembly of God.

Mr. Taylor asked about Bishop Gloster’s plan to retire. Mr. Wright replied that Bishop Gloster will continue as a half-time assisting bishop through 2005 and that there will be another retired bishop who will also serve half-time as assisting bishop.

Mr. Vaden welcomed the incoming Vestry members to the meeting.

The following correction was made to the minutes of the focus session of March 18:

p. 1, fourth paragraph, change “lowliness” to “loneliness”

It was moved by Mr. Scarborough, seconded by Mr. Taylor, and passed unanimously, that the Vestry approve the minutes of the focus session of March 18 as amended.

There were no corrections made to the minutes of the Vestry meeting of March 18.

It was moved by Mrs. DeSaix, seconded by Mrs. Collura, and passed unanimously, that the Vestry approve the minutes of the Vestry meeting of March 18.

Mr. Vaden distributed a copy of the letter (attached) that he has sent to Bruce Ladd in response to his request for Vestry reconsideration of the Vestry election policy.

Mr. Vaden asked Mr. Liverance, Ms Sauter, Mr. Wright, and the Vestry-elect to remain for a few minutes after tonight’s meeting to plan for the orientation of the new members of the Vestry.

All but the first item of the Addendum have been completed. The first item, the study of the cost of leases on equipment, is to remain on the Addendum, pending completion.

There were no items on the Consent Agenda.

Sr. Warden
The report of the Sr. Warden is attached.

Mr. Vaden reminded the Vestry of the Johnson Intern dinner on Thursday, April 29.

The annual May retreat will be held at The Summit on May 21-22. The main part of the agenda will be the report of the Long Range Planning Committee, including concrete recommendations for Vestry consideration. There was discussion about when to receive the report, whether it would be preferable to receive the report on Friday evening prior to discussion and action on the report on Saturday. It was decided that the Rector and the wardens will plan the specifics of the agenda.

Attached also is the charge to the Chapel Committee.

It was moved by Mr. Taylor, seconded by Mr. Carew, and passed unanimously, that the Vestry approve the proposed charge to the Chapel Committee.

Mr. Vaden reminded the Vestry that the regular May meeting will be held a week earlier than usual, on May 13.

Mr. Vaden passed around a sheet for Vestry members to indicate whether they will be able to attend the lunch with Bishop Curry on Sunday, May 2.

Parish Administrator
The report of the Parish Administrator is attached.

Treasurer
Attached are the Treasurer's Report narrative and the Combined Balance Sheet as of March 31, 2004.

Mr. McGee reported that the budget is tracking close to last year’s budget. He added that he has made the first investments with Vanguard Funds and has met with Bill Farley and John Pringle of the Investment Committee.

Finance Committee
The report of the Finance Committee is attached.

Mr. Wright suggested that the recommendation of the Buildings and Grounds Committee for approval of $8300 for upgrades to the HVAC system in the church be amended as to the source to read “from the Undesignated Bequests and Gifts Fund.”

Mr. Lackey asked what is the source of funds in the Undesignated Bequests and Gifts Fund. Mr. McGee replied that the fund includes various donated funds.

Mr. Trapani asked what happens if this improvement is not made. Mr. Liverance replied that the HVAC system is uncontrollable, resulting in frequent wide variations in temperature. This situation negatively affects the organ, as well as making the church uncomfortable for parishioners during services. Mr. Trapani stated that he has a bias towards spending on programs rather than buildings.

It was moved by the Finance Committee, and passed unanimously, that the Vestry approve the recommendation of the Buildings and Grounds Committee for the expenditure of $8300 from the Undesignated Bequests and Gifts Fund for upgrades to the HVAC system in the church.

Mr. Wright, referring to the proposal for purchase and installation of new chandeliers for the parlor, amended the proposal to read “up to $1000” and the source of funding to be the Buildings and Grounds line item rather than the Buildings and Grounds Endowment.

It was moved by the Finance Committee, and passed unanimously, that the Vestry approve the recommendation of the Buildings and Grounds Committee for the expenditure of up to $1000 from the Buildings and Grounds budget line item for the purchase and installation of a new pair of chandeliers for the parlor.

Attached is the report of the Chapel Organ Committee. Mr. Wright said that by the end of May he and Clare Baum will have visited potential major donors who have been identified. Mr. Trapani asked if there is an alternate plan if the goal is not met through these donors. Mr. Wright responded by saying that the committee will report to the Vestry in May. Mr. McGee added that the situation will reach a critical point by late summer and the strategy would need to be amended at that time if sufficient funding has not been identified.

Buildings and Grounds Committee
The report of the Buildings and Grounds Committee is attached. Also attached is a diagram, submitted by the Parlor Committee, of proposed improvements to the parlor.

Mr. Liverance, referring to the diagram of proposed improvements to the parlor, explained that phase 1 of the recommendations includes some new furniture as well as reupholstering of some of the existing furniture, and phase 2 provides for furnishings around the perimeter of the room. The recommendations also include refinishing of the floor, which is at present unfinished in the area covered by the rug. He commented that the parlor is a multi-use space, and the furniture needs to be easily moveable. The committee is looking for direction and approval of the plan and a timeline for its completion.

Mr. Taylor suggested that the Vestry receive the report and ask the Finance Committee to look at funding issues for the proposal. Mr. Wright stated that the Finance Committee feels that the overall plan involves relatively high costs in light of other parish needs and the overall financial picture of the parish. Mr. Vaden suggested that the Vestry postpone consideration of the plan until after it receives the report of the Long Range Planning Committee.

Mr. Liverance informed the Vestry that the Town Council has turned down the proposal for the curb treatment along Franklin Street. This proposal may be considered again at a later date.

Personnel Committee
The report of the Personnel Committee is attached.

Ms Sauter said that the committee is working on a revision of the job description for the replacement for Chandra Cook. Mr. Wright suggested that it might be premature to revise this job description because of financial considerations.

Johnson Intern Proposal
Attached is a proposal from the Board of Directors of the Johnson Intern Program for approval to engage in fund-raising activities.

Mr. Vaden stated that Sunday, May 16, is Johnson Intern Sunday. This year’s class of interns will be in charge of the 7:30 a.m., 9:15 a.m., and 5:15 p.m. services.

Mr. Vaden said that it is important for members of the parish to have an opportunity to contribute to the program. The anticipated budget for 2005 is about $170,000. This budget is contingent on securing funding through grants and other outside sources. To date, about $50,000 in funding from the agencies with which the interns work has been identified. The program faces a critical juncture, facing the decision of whether it can go forward and in what form. The board has been trying to redefine the program in order to give it greater appeal to funding sources.

The exploratory committee will meet next week to consider whether to discontinue the program, to reduce the program by having fewer interns or making the program non-residential, or perhaps to become more a part of the Public Allies program. The recommendations of the exploratory committee will then be presented to the Board of Directors.

Mrs. Schoenfeld asked what fundraisers have been proposed. Mr. Vaden replied that the program would like to have Vestry approval for special offering envelopes for Johnson Intern Sunday. Another fundraiser that has been proposed is the sale of Bishop’s Blend Coffee.

Mr. Wright commented that the financial situation in which the program finds itself seems to parallel that of the diocese. He added that the program had previously been counseled by a number of parishioners familiar with grant funding that the program was not viable for outside funding, and he suggested that the program needs to face reality about this situation.

Mr. Carew said that the question needs to be raised about whether it might be time to discontinue the program.

Mr. Wright asked what, if the program is scaled back, might realistically change in the next year to improve the situation.

Mr. Trapani suggested that the parish hasn’t supported the program sufficiently in helping it to become sustainable. Mrs. DeSaix said that from the beginning we knew that there was the likelihood that the program would be unsustainable but that the parish has given it its best shot.

Mr. Crow observed that one problem is that one person cannot both direct the program and seeks funds to sustain the program. This is not a realistic situation.

Ms Sauter said that the program is not designed to appeal to large grant foundations. Mr. Wright added that foundations are unlikely to support it because of the cost of the program per person who benefits from it. Ms Sauter rephrased this by stating that the program impacts only a few lives, but does so substantially.

Mr. Crow added that the Johnson Intern Program was conceived as a model for other such programs. Mr. Scarborough stated that there is a need for structural change if the program is to succeed in the long term. Mr. Vaden replied that there has been great effort during the past year to re-shape the program to make it more appealing to funding sources. He invited Vestry members to attend the meeting of the exploratory committee.

Returning to the proposal for Vestry approval of fundraising, Mr. Vaden suggested that any fundraising initiatives be in consultation with the Rector and the wardens. He said that approval of the proposal would provide the Johnson Intern Program with a tool it may or may not use.

Mrs. Collura asked if approval of this proposal would set a precedent for other parish organizations. Mr. Wright expressed concern that this might take away from what we’re asking of parishioners in the way of financial stewardship.

Mr. Vaden stated that it appeared to be the consensus of the Vestry not to consider this proposal at this time.

Campus Ministry Proposal
Attached is memo from Mr. Trapani outlining the recommendation of the University Ministry Committee that the parish contribute $2500 to support campus ministry at North Carolina State University.

Mrs. Bowes asked how the need for financial assistance arose. Mr. Wright explained that the NCSU chaplain left and the diocese, because of financial difficulties, cut the vacant position from the budget. He added that the proposal would also need to be approved by Diocesan Council.

It was moved by Mr. Taylor, seconded by Mr. Scarborough, and passed unanimously, that the Vestry support the recommendation of the University Ministry Committee to commit $2500 from the Undesignated Bequests and Gifts Fund to support campus ministry at North Carolina State University, on the condition that the remainder of the $20,000 is raised from the state’s other campus ministries and that the diocesan contribution of $10,000 is approved.

French Scholarship and House Scholarship
Attached is a memo from Mrs. DeSaix outlining the recommendations of the University Ministry Committee for awarding the French Scholarship in the amount of $1000 each to Amy Lambert and Laura Fairley and the House Scholarship in the amount of $1000 to Katherine Anderson.

It was moved by Mrs. DeSaix, seconded by Mr. Trapani, and passed unanimously, that the Vestry approve the recommendations of the University Ministry Committee to award the French Scholarship in the amount of $1000 each to Amy Lambert and Laura Fairley and the House Scholarship in the amount of $1000 to Katherine Anderson.

LIST OF ATTACHMENTS

(Attachments are available for review in the library.)