“Transforming the world, and changing ourselves”

Treasurer’s Report to theUU Church of Berkeley Congregation

February 9, 2014

UUCB Financial Advisory Council

Mac Lingo Larry Nagel

Maryann Simpson Grace Ulp

Sara Roberts Ira Nelken

Lynn Hammond Jo Maxon

Jenni McLean Ralph Nelson

Purpose of the UUCB Financial Advisory Council

increase transparency in financial matters at the church,

increase the general level of financial knowledge of the membership, and

insure church members’ financial concerns are identified and addressed.

If we have any hope of transforming the world and changing ourselves, we must be

bold enough to step into our discomfort,

brave enough to be clumsy there,

loving enough to forgive ourselves and others.

Prayer for Living in Tension by Joseph M. Cherry

Financial Results through December (6 mos)

Revenues under $54,000, primarily in pledge revenue

Optimistic forecast (+5% over previous year)Less pledging this year than last (down 5%)

Expenses underrunning $29,000

Projected year end deficit reduced to $15,000, due to various actions already taken by Coordinating Team

A balance sheet to die for....No debt – buildings and 9 acres of land, plus Freestone

Endowment worth $1.5 M

$523,000 for building investments, plus $288,000 more in pledges

An extraordinary music program, with a newly leathered organ

Human capital within and outside our walls “An active and dynamic partner” (immigration, CCISCO, GRIP, Read Aloud, UU Legislative Ministry, UU Service Committee, climate change)6 community ministers and seven affiliated ministersProfessional family ministry

We are a long way from a

financial catastrophe

Or are we?

Monthly New MembersUUCB 2002 - 2013

Nearly 70% of our revenuescome from our members

Where are we spending $1 M?

UUCB Expense: FY 2008/9-2012/13

UUCB Expense: FY 2008/9-2012/13

We have controlled expensesPrimarily by controlling the salaries of our employees

Over half who work at least 20 hours per week do not meet minimum UUA recommended salary levelsCost to bring everyone to at least minimum is $44,000/year Cost to bring everyone to at least mid-point is $173,000/year (40% of that co-ministers)

We have no source of funds for the additional $200 K - $250 K/year to invest in our buildings once the current capital funds are used

A 2020 Scenario that works?

400 members with a modest increase in pledges and plate contributions

No building reserve or investment in buildings beyond 2013-14 capital funds

Modest reduction in employee hours to make up for health care increases, min salary increases

One called minister

Reduction in hours church open

Fewer paid section leaders

Limit childcare

A 2030 Scenario that works?

310 members with a modest increase in pledges and plate contributions

No building reserve or investment in buildings beyond 2013-14 capital funds (15 years)

25%+ reduction in employee costsOne called minister

30% reduction in hours church open

No paid section leaders or children’s choir

Limited childcare

Turn around membership and pledging trends

Come up with additional source of funds to cover building investment

We don’t have to go there

What you can do

Pay your pledge by June 30!If you haven’t made one, please do

Invite a friend! [even without Barbara and Bill]

What would happen if every member brought one first time visitor once/year? Lynn Hammond

We would more than triple the number of first time visitors, and could add as many 60 new members

Don’t be afraid to try something new

Talk to Paul Hudson and Lonnie Moseley!

Monthly First Time VisitorsUUCB 2002 - 2013

Have the hard conversations

Are we willing to develop part of our land?

Do we belong on this hill?

Are we willing to experiment with how we do “church”?

The capital campaign “bought” us 3-5 years to address the trends that otherwise could make leaving a necessity instead of a choice

Are we willing to stay at the table over the next few years to make this an “engaged and sustainable” community?

If we have any hope of transforming the world and changing ourselves, we must be

bold enough to step into our discomfort,

brave enough to be clumsy there,

loving enough to forgive ourselves and others.

May we, as a people of faith, be granted the strength to be so bold,

so brave,

and so loving.

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