Sheldon C. Good
sgood@mosaicmennonites.org
In December 2008 the National Bureau of Economic Research made it official: the United States entered a recession a year earlier, December 2007.
For the past year, individuals and corporations have felt the effects of the recession. But what about church-related organizations like Franconia Mennonite Conference?
Data from a 1968 to 2005 survey by Empty Tomb, a Christian service and research organization, indicated “that church member giving does not necessarily decline in a recession.”
“That may be because the church community is often regarded as the layer next to the family in terms of relationships, accountability and clearly urgent needs,” said Sylvia Ronsvalle, executive vice president of Empty Tomb, in a recent article for the Christian Century.
According to a more recent survey, The Barna Group said that as of November 2008 – before the recession was identified by government officials – one in five adults said they had decreased their giving to churches or other religious organizations. Perhaps the current recession has invited a new milieu.
In fiscal year ending January 31, 2009, Franconia Conference revenue, gains and support totaled $1,319,032, an increase over 2008. “Franconia Conference staff have been aware that funds are tight and have been good stewards of the conference’s resources,” said Conrad Martin, director of finance.
Franconia Conference completed a three-year transition that ended in 2008, which enabled labor costs to be reduced significantly in 2009. Karen Moyer, Franconia Conference board member and chair of the vision and financial plan team, said this allowed the conference to refrain from reductions in current staff hours or salaries.
“Along with the restructuring of executive positions and the recommendations of the vision and financial plan team, the newly-formed, three-tiered budget responds to the call for stronger financial accountability,” Moyer said.
“Appropriating funds this way depends heavily on individuals and congregations to support specific missional initiatives.”
Franconia Conference’s Vision and Financial Plan was affirmed by delegates at the annual assembly in 2007 and continues in implementation toward review in 2012.
Franconia Conference generated significant additional revenue in fiscal year 2008 from FMC Properties, an organization which includes a number of the conference’s property investments. FMC Properties provided the conference with $714,844 in rental and maintenance income, an increase of 10 percent from fiscal year 2007.
“One of the key God-given resources we have are the properties of Franconia Conference,” said Noel Santiago, conference executive minister. “Our vision and financial plan calls for us to maximize these properties in such a way that helps free up a greater percentage of contributed dollars towards our various ministries.”
Congregational contributions to the conference from fiscal year 2008 to 2009 decreased $1,206, a reduction of less than one percent. Other contributions increased $143,959 (61 percent), mostly a result of increases in estate gifts and Worm Project contributions. These contributions are separate from the general operating budget.
“Generous contributions from congregations, individuals and conference related ministries are helping us weather this time of significant financial downturn,” Santiago said. “Additionally, the focus of our Vision and Financial Plan team has helped us discern the activities, tasks and responsibilities that are to be undertaken, and as a result, costs have been kept down.”
Largely a result of the recession, total investments by the conference lost $260,918 in value, a decrease of 30 percent. This includes investment market losses of $117,043. Remaining decreases came from grant disbursements for local and global mission, conference support and capital expenditures.