5/6/16 Opening Words April 2016 • Host Pastor welcome Eastern PA Conference • District Superintendent welcome United Methodist Church • Bishop Peggy A. Johnson - devotions Redistricting Conversations Celebrations of our Ministries Celebrations… Kathyrn and Lynda Commale Imagine No Malaria 2015 Planting Seeds Hopewell UMC Mike Slaughter 1
5/6/16 Celebrations… Celebrations… Watoto Ugandan Choir, Full of the Holy Spirit Youth, St. Daniel’s UMC Adjourned Session 2015 Delaware Conference Anniversary Celebrations… Celebrations… Ministry of Deaconess Lumina Committee on Native American Ministries 2
5/6/16 Celebrations… Celebrations… Camping and Retreat Ministries T ools for Ministry Celebrations… Celebrations… EPA Youth Rally 2015 Prison Ministry Cards Clergywomen Gathering 3
5/6/16 Celebrations… Celebrations… Clergy Lenten Day Apart 2016 Arrival of Mid-T own Parish Modulars Celebrations… Rationale for Redistricting • Pre-1982 Pension Liability Hope Campus of Grace Macungie Campus of Bethany • EPA Statistics • Financial – Apportioned Funds – Billed Funds 4
5/6/16 Pre-1982 Pension Liability Resolution #2012-21 Refresher • Conference strategy • What is it? – fund the Pre-1982 Pension obligation at • Why do we have it? 100% by 2021 – restore Trustee and Conference reserves • When will it end? • Goal: Raise $14 million over six years • Who pays for it? using 3 tier action plan Resolution #2012-21 Refresher Resolution #2012-21 Refresher • Tier Two: • Tier One: – Fulfilling our Covenant campaign – Operating budget expense reductions – Projected contribution: $3.0 million – Projected contribution: $3.9 million – 12/31/2015 status: • $3.9 million pledged – 12/31/2015 status: $1.3 million • $2,678,000 contributed – $707,000 paid out in expenses and local church earnings – $1.971 million total net (65%) 5
5/6/16 Unfunded Pre-1982 Pension Resolution #2012-21 Refresher Liability Update • Tier Three : – Proceeds from church sales (not urban) • 50% - Pre-1982 Pension Plan Funding • 25% - Conference Board of Trustees Clergy with Pre-1982 Service Investments at GBOPH Reserve Surviving Spouses Investments at EPA • 25% - New Church Development and Re-development – Projected $6.3 million in six years Assets Liabilities – 12/31/2015 status: $0.3 million EPA Statistics Churches paying 100% 2012 2013 2014 2015 • 2012 – 269 (out of 444 churches) 60% # of Churches 444 439 429 417 • 2013 – 272 (out of 439 churches) 62% # of Members 113,192 111,103 107,849 102,348 • 2014 – 277 (out of 429 churches) 65% Avg 41,819 40,500 39,905 36,506 Attendance • 2015 – 275 (out of 417 churches) 66% 142 churches are not paying 100%. 6
5/6/16 Financial Challenges EPA’s Financial Background • 2015 Budget: $17.5 million • Conference Office: Centralized – $6.6 million apportioned funds Resource • General Church Fund (GC) – Conference-wide Ministry • World Service Fund (WS) • Connectional Ministry Fund (CMF) – Clergy and Lay Employee Benefits – EPA Ministry, operating budget • Medical and Retirement – Church Property Insurance – $10.9 million billed funds • Clergy/Lay Medical and Retirement • Conference Office: Bill and Collect • Church Property Insurance EPA’s Financial Challenges EPA Short-Term Solutions • 2015 Budget: $17.5 million • EPA Board of Pension • 2015 Collected: $15.4 million – Advance on 2016 payment: $325,000 • 88% Collection Rate • EPA Trustees and Conference • EPA did not pay $450,000 –GC, WS • Did not Spend $203,000 - CMF – Reserve Draw: $253,000 • Borrowed $1.1 million from providers – Over 30-days past due – Medical, Retirement, Property 7
5/6/16 Connectional Ministries Fund Billed Funds Collected $3,700 $3.6 90% $13,000 94% $12.5 $3,600 93% 93% $3.5 89% $12,500 93% $3,500 88% $12,000 $3.4 92% $3,400 92% $3.3 87% $11,500 $11.6 $3,300 $11.4 86% $11,000 $3.1 91% $3,200 86% 86% 86% 91% 85% $10,500 90% $3,100 85% 84.6% 90% $10.0 84% $10,000 $3,000 $9.8 $2,900 83% $9,500 89% 2008 2009 2010 2011 2012 2013 2014 2015 2008 2009 2010 2011 2012 2013 2014 2015 CMF $ Collected Collection Rate BF $ Collected Collection Rate What Can We Do? Other Pertinent Realities • Increase income • Aging buildings with maintenance – Increase Charges to the churches issues have been deferred and utility – Increase Collection Rate costs have been overwhelming • Decrease expenses – Reduce Ministry and Programs • Church closures and downsizing are – Redistrict from 6 to 4 – Eliminate Conference-run Benefit and resulting in decreased apportionment Insurance programs payments • Medical and Church Property insurance • Faithfully collect historical balances 8
5/6/16 Other Pertinent Realities (cont’d) Other Pertinent Realities (cont’d) • Missional churches that are • Conference staff and program budget successfully reaching the poor in large have been downsized to bare numbers are unable to sustain a full minimum yet Conference committed time pastor to serving the ministries and missions of the conference • Guaranteed appointments necessitate equitable salary dollars and other subsidies District Downsizing District Downsizing (cont’d) Year/Conference Name Previous Current Year/Conference Name Previous Current 2010 - Up NY 17 12 (merger) 2012 – Arkansas 9 5 Indiana 18 10 Cal-Pac 8 5 Dakotas 5 4 N. Carolina 12 8 Balt/Wash 9 8 W. Carolina 15 8 Cal-Nevada 7 4 Susquehanna 11 7 (merger) 2011 - Detroit 7 6 2013 - Memphis 7 4 Virginia 18 16 Missouri 12 9 Central Texas 7 6 Oklahoma 12 8 9
5/6/16 DS to Church Ratio District Downsizing (cont’d) Average number of UMC churches per Year/Conference Name Previous Current 2014 - Great Plains 23 17 (merger) DS from similarly-sized districts across South GA 9 6 the US: 108 2015 - Kentucky 10 9 Wisconsin 8 5 Oklahoma 12 8 Rio Texas 12 7 (merger) Who does what? It is the responsibility of the annual Proposed conference membership to determine the number of districts District Realignment 10
5/6/16 Who does what? 6 Districts It is the responsibility of the bishop to form the districts after consultation with Central – dk blue East – light blue the district superintendents and after NE – yellow NW – red the number of the districts has been SE – purple SW - green determined by vote of the annual conference (Para 415.4, Book of Discipline 2012, Judicial Council Decision 422) North District – 112 churches 4 Districts North – blue East – red South – green West – orange 417 churches 11
5/6/16 East District – 96 churches South District - 104 churches West 18 Latino, Korean, Multi-Ethnic Churches District – Bensalem:Korean 106 Glenside:Korean Prospectville:First Korean churches Bethlehem:Korean Lehman Latino El Mesias Espiritu Santo La Trinidad Buen Samaritano Cristo Rey Nueva Creacion Nuevo Nacimento Solid Rock Bristol First Arch Street New Life Church of the Open Door Crescentville 12
5/6/16 27 African American Churches Berry Long Memorial Bickley’s New Beginning Camphor Memorial Devereux Memorial Timeline Clearview Emmanuel Eastwick Grace Sayers Memorial Haven Peniel Simpson-Fletcher Janes Memorial Wharton-Wesley Mid-T own Parish Grace Community Mother African Zoar Chester Siloam Mount Zion St. Daniels New Vision Darby Mt. Zion Servants of Christ Darby Union Mem. St. Barnabas – Bethsaida Tindley T emple St. Thomas Trevose District Meetings Timeline June 16-18, 2016 October 1, 2016 • Mon. April 4, 2016 –7:00 pm –Elam UMC ( Southeast ) • Tue. April 5, 2016 –7:00 pm –First UMC in Phoenixville Conversations will Adjourned session ( Central ) continue at annual of annual • Tue. April 12, 2016 –7:00 pm –First UMC in Schuylkill Haven ( Northwest ) conference in conference at • Tue. April 19, 2016 –7:00 pm –Huntingdon Valley UMC ( East ) Lancaster (no vote Bethany Macungie • Mon. April 25, 2016 –7:00 pm –HopeUMC in Ephrata taken) Campus (vote ( Southwest ) taken) • Wed. April 27, 2016 –7:00 pm –Quakertown UMC ( Northeast ) 13
5/6/16 Timeline July 1, 2017 Oct 1, 2016-June 30, 2017 If reduction is Frequently Asked Questions approved on Oct 1, Continue with 6 2016, we will districts; if reduction officially begin living is approved, with 4 districts transition work will begin How much money will this actually Have you considered downsizing by save the Annual Conference? one district and not two? • Approx. $441,000 gross savings • Yes. Geography and natural affinity of – $44,000 (used for travel, stipends, and communities in the conference does not modest pay increases) lend itself to five districts • Approx. $397,000 net savings per year • The savings would not be significant enough to warrant the effort. 14
Recommend
More recommend
