Following a bag supper, the Vestry met in focus session in the parish library for a discussion of the 2007 budget. Vestry members present were Jim Crow (Sr. Warden), Steve Lackey (Jr. Warden), Mary Schoenfeld, Terry Eason, Ann Henley, Melody Savage, Clare Baum, Gail Cloud, Larry Logan, and Sandra McClaskey. Also present were Stephen Elkins-Williams (Rector), Bill Joyner (Deacon), Reid Conrad (Treasurer) for a portion of the focus session, and Nancy Kelly (Clerk).

Ms Cloud led the discussion of the 2007 budget (attached to the minutes of the Vestry meeting) and pay plan (attached to the minutes of the Vestry meeting) and suggested that the Vestry go over the budget page by page.

On p. 1, it was noted that the requests of Youth Ministry and Campus Ministry could not be fully met. Mr. Crow forwarded to the Vestry a request from Tammy Lee that the allocation to Campus Ministry be reconsidered and that it be raised to an amount equal to that of Youth Ministry.

On p. 3, Mr. Logan asked why printing and printing equipment costs are up a total of $3000 and suggested that computer maintenance should be put out to bid. Mr. Elkins-Williams said that the cost needs to be balanced with satisfaction with the service provided and with response time. He asked Mr. Logan to speak with Barbara Hastings about this issue.

On p. 4, Mr. Elkins-Williams called attention to the fact that beginning in August 2008, the position of Youth Assistant will require pension costs.

On p. 6, it was noted that the transfers from the Memorials Fund is being used to cover the funds designated for Episcopal Church of the Advocate.

Discussion returned to the Campus Ministry request. The Vestry decided to increase the Campus Ministry line item by $1500 to a total of $13,500. In order to balance the budget, the Unpledged Contributions line item on p. 6 will be raised to $81,500.

The Vestry thanked the Finance Committee for its good work on the budget.

The focus session concluded at 7:05 p.m., and the Vestry moved to the more formal part of the agenda.

The January meeting of the Vestry was held in the parish library on Thursday, January 18, 2007 . Vestry members present were Jim Crow (Sr. Warden), Steve Lackey (Jr. Warden), Mary Schoenfeld, Terry Eason, Ann Henley, Melody Savage, Clare Baum, Gail Cloud, Larry Logan, and Sandra McClaskey. Also present were Stephen Elkins-Williams (Rector), Reid Conrad (Treasurer), and Nancy Kelly (Clerk).

The Rector presided and opened the business meeting at 7:05 p.m.

Bible Study

Ms Henley led the Bible study for the evening, beginning with a prayer. The Gospel reading appointed for the day was John 21: 15-22. Ms Henley concluded the Bible study with a prayer.

Selection of Timekeeper

Mrs. McClaskey volunteered to serve as timekeeper.

PARISH CONCERNS

Mr. Eason raised a concern about discontinuity among the Capital Campaign Committee, the Parish Dialogue Committee, and the Master Plan Steering Committee. He suggested that there needs to be a joint committee to maintain communication among the three committees. Mr. Elkins-Williams said that Whitney Jones will be meeting on Friday, January 19 with those who were at the recent pilot meeting for the parish gatherings, and he asked Mr. Eason to attend. Mr. Logan added that there is validity in Mr. Eason’s concern, that the Master Plan should not be placed in the background while the primary concern turns to raising money. Mr. Eason also suggested that a general announcement in Crossings or from the pulpit should be made about the process for invitations to the parish meetings. Mr. Logan suggested that the simulation of the proposed building be on continuous loop on a TV screen in the dining room.

There were no corrections to the minutes of the executive session of December 14.

There were no corrections to the minutes of the Vestry meeting of December 14.

It was moved by Mr. Eason, seconded by Mrs. McClaskey, and passed unanimously, that the Vestry approve the minutes of the focus session of December 14 and approve the minutes of the Vestry meeting of December 14.

Mr. Elkins-Williams’s task and Mr. Conrad’s task have been completed. The remaining items are to remain on the addendum, pending completion.

There was no Consent Agenda.

Referring to item 3 of his report, Mr. Elkins-Williams indicated that the pilot session of the parish dialogues intentionally included parishioners who had expressed reservations about the plan. All who attended expressed gratitude for the work of the committees. There was some concern expressed about parking and financing. In general, there was much thoughtful raising of issues. Some of those who attended wanted to take the questionnaire home in order to have more time to think about their answers. Ms Baum suggested that if parishioners want to take the questionnaire home, perhaps they should be provided with a stamped envelope to ensure its return.

Mr. Logan asked about the timetable with Whitney Jones, asking why the Vestry isn’t meeting with him in February as originally planned. Mr. Elkins-Williams replied that Mr. Jones is still completing his interviews and is not yet ready to make public comments on the feasibility study.

Mr. Elkins-Williams announced to the Vestry that Deacon Martha Hart has written to Bishop Curry (letter attached) of her plans to retire on June 1.

Mr. Elkins-Williams shared with the Vestry a letter of thanks from Jo Wells for a donation of vestments to the Duke Divinity School Chapel.

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

Referring to item 1 of the report, Mr. Crow said that he would not like to get into a prolonged discussion of the issues of how we elect Vestry members with 300+ people in attendance at the Annual Meeting . Mrs. McClaskey asked for a review of the pros and cons of the present method of electing Vestry members. Mr. Elkins-Williams said that the impetus for change is that some parishioners feel that they do not feel well-enough informed to vote for four candidates and that they feel uncomfortable voting for candidates that they do not know. Some say that this is especially true as the parish has increased in size and become more complex. The current method of Vestry elections has the advantage of keeping individuals from weighting their ballots in favor of a single candidate by voting only for one candidate. The current method does encourage parishioners to read the biographical information provided for each candidate and evaluate their qualifications. Mr. Eason suggested that parishioners can always ask others to recommend candidates. Mr. Eason also had previously suggested a compromise solution of allowing parishioners the option of voting for either three or four candidates. Following discussion, it was the consensus of the Vestry that the Vestry election process should not be amended at this time.

Ms Henley asked if it would make a difference to give parishioners a longer time to educate themselves about the candidates. Mr. Elkins-Williams replied that time is not the problem but acknowledged that perhaps more exposure to the candidates would be beneficial. Mr. Logan mentioned the problem of candidates being known mostly or perhaps exclusively to those at the service they normally attend. Ms Henley suggested that candidates be available at the coffee hour on a designated Sunday. Mr. Eason asked if there are any other parish events during the Vestry election time period. Mr. Elkins-Williams said that the Shrove Tuesday pancake supper would be another opportunity for Vestry candidates to meet parishioners.

Mr. Crow will respond to Joe Ferrell about tonight’s discussion about the Vestry election process and the Vestry’s decision to retain the present process. Ms Henley will write an article for Cross Roads to address the issue, including the rationale for the Vestry decision not to amend the Vestry election process. Mr. Elkins-Williams will provide for the article information on how parishioners can become educated about Vestry candidates.

Mr. Crow will meet with the outgoing members of the Vestry to serve as a nominating committee for Vestry candidates. All Vestry members are encouraged to nominate candidates for Vestry.

Junior Warden
The Jr. Warden’s report is attached.

Parish Administrator
The Parish Administrator’s report is attached.

Also attached is a report from the Web Site Committee. Vestry members are asked to complete a survey about use of the website.

Treasurer
The preliminary financial report for the month ending December 31st,
2006 is attached for your review. This report also provides insight
to our 2006 financials.

December revenues came in strong at $277k, versus last year's $253k
( a gain of 9.4%). Most of the growth can be attributed to pledges
being paid. On a year to year basis our revenues came in slightly
below plan by about $10k (99.4% of plan).

Expenses for the month were $138k, coming in about 3% over December
2005 expenses. On a preliminary basis, our 2006 year-end expenses
will come in about $33k below plan (2% below plan). For the year, all
expense areas came in below plan except for expenses for work outside
the Parish.

The bottom line .... with operating support from our program funds
(planned), 2006 will be a positive year.

Some observations.

December 2006 revenues represented 18% of the actual revenues for the
year. Pledge revenues collected in December represented 18% of 2006
total pledges and 35% of 1996 pledges (585 pledge units versus 615 in
1996).

We experienced exceptional revenue growth in 2006 at around 10.5%.
The biggest growth came from un-pledged contributions (this is a
revenue area that is hard to forecast).

The 2006 budget was our most ambitious yet. Careful management of
expenses in large part made the year.

For 2007 and onward our biggest challenge now is the wide ranging
numbers of pledge units. With pledge units running in the +550's we
are on the low side of our 10 year range of 560 to 661 pledges.
Bringing the pledge units up and reducing the 18% range will
significantly help long term planning efforts. The 18% range in
pledge units overwhelms our financial operating ranges.

Overall, 2006 was a great year and I believe we are well positioned
for a strong 2007.

Finance Committee
The report of the Finance Committee is attached.

Attached are the 2007 Budget Worksheet and the Proposed 2007 Pay Plan.

Mr. Elkins-Williams said that the use of the Memorials Fund to fund the Episcopal Church of the Advocate line item will be mentioned at the Annual Meeting. Mr. Logan said that this is appropriate in that it is a memorial in memory of many as a gift to ECOTA to carry on the mission of the church in the community.

The budget was amended to increase the Campus Ministry line item by $1500 to $13,500, and the Finance Committee was directed to determine the source of funds to cover this increase.

It was moved by the Finance Committee and passed unanimously that the Vestry approve the 2007 Budget as amended and approve the 2007 Pay Plan.

Attached are the resolutions for housing allowances submitted by the clergy for 2007. 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 are actual expenses. The housing allowance includes utilities, but it can’t exceed the fair rental value of the property. 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 Mrs. McClaskey, seconded by Mr. Eason, and passed unanimously, that the Vestry adopt the 2007 clergy housing allowance resolutions as presented.

Buildings and Grounds Committee
The report of the Buildings and Grounds Committee is attached.

Also attached is a statement from Van Quinn about the rationale for the work to be done on the Kleuker organ. The work will be completed by Easter.

It was moved by the Buildings and Grounds Committee and passed unanimously that the Vestry accept the proposal from John Dower and Co. for the Kleuker slider motor repair, in the amount of $5720, to be funded from the Cobb Fund.

Mr. Elkins-Williams reported that, after the recent power failure, the staff has revisited emergency procedures and there are now flashlights and lanterns available.

Personnel Committee
Mr. Logan reported that Chip Matteson has resigned his position as Publications Assistant. The Personnel Committee will be studying the job description to consider the need for any changes. Mr. Eason added that this would be a good time to reassign duties in the areas of website, publications, etc.

Global Missions Committee

The report of the Global Missions Committee is attached.

Plans are underway for the visitors from South Africa, who will be in Chapel Hill February 2-5.

Applications for the mission trip to San Patricio, Honduras, will be taken over the next three weeks. Ms Henley also announced that El Hogar is now taking little girls and that Chapel of the Cross is contributing funds for a van that transports them to school.

Ms Henley emphasized the need to convene an umbrella missions committee so that the various missions groups are not competing. Mr. Crow asked how this committee gets formed, and Mr. Elkins-Williams replied that he will convene it.

Hospitality Committee

The report of the Hospitality Committee is attached.

Mr. Elkins-Williams offered a prayer and the meeting adjourned at 8:40 p.m.

LIST OF ATTACHMENTS

(Attachments are available in the library for review.)

Buildings and Grounds Committee – Check with Hartman-Cox before proceeding to replace maple trees.

Buildings and Grounds Committee – Follow up on the issue of having available at each service someone trained to troubleshoot problems with sound system.

Mr. Elkins-Williams and Personnel Committee - Study issues relating to job description for development director.

Personnel Committee - Review salary level of nursery workers.

Mr. Logan - Check with Barbara Hastings about issue of computer maintenance costs and service.

Mr. Crow - Respond to Joe Ferrell about Vestry discussion about Vestry election process.

Ms Henley - Write article for Cross Roads about Vestry election process.

Mr. Elkins-Williams - Provide information for Ms Henley’s Cross Roads article on how parishioners can become educated about Vestry candidates.

Mr. Elkins-Williams - Convene umbrella committee for missions groups.