GCFA Board Holds Virtual Fall Meeting

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Monday, November 23, 2020

GCFA Board Holds Virtual Fall Meeting

 Nashville, TN – The Board of Directors of the General Council on Finance and Administration (GCFA) virtually held its final 2020 quarterly meeting on November 19, 2020. 

During a report from the Committee on General Agency and Episcopal Matters (GAEM), the Board received information on connectional giving through October 2020.  To date, jurisdictional giving to the seven general Church apportioned funds is down 8.1% from 2019.  Central conference giving is down 10% from last year.

The Board approved the 2021 spending plans of the general agencies receiving general Church funds. Most agency spending plans are based on a 50% collection rate. The Board also reviewed a report from the Economic Advisory Committee (EAC) and its recommendations for projecting the general Church budget for the next quadrennium. GCFA distributed a survey to annual conference treasurers and Bishops requesting information on local church expenditures. With an 84% response rate, the survey provided key information to the EAC. Based on this and other information, the EAC is recommending a 20% net expenditures discount be applied to the apportionment calculations. Based on this information and other economic factors considered by the EAC, the Board approved a revised apportionments projection of $467 million for the 2021-2024 quadrennium. The amount that was printed and presented to General Conference in the ADCA was $494 million. Due to the postponement of the General Conference to 2021, the Board may revise this total again based on updated economic and other factors in mid-2021.

In additional information, the Board received an update on the Episcopal Fund. The estimated amount of reserves for the Episcopal Fund by the end of 2020 is $12-13 million, which would result in use of $7-8 million of the reserves in the 2017-2020 quadrennium. The Board approved the 2021 Episcopal Fund Spending Plan which assumes a 65% collection rate and keeps the Bishops’ housing allowance, office allowance and salaries at the same levels as 2020. At this collection, the Episcopal Fund would decline by $7 million. It is projected that the Fund may be depleted during the 2021-2024 quadrennium at the current spending levels.

Bishop Michael McKee, President of the GCFA Board, said “We are thankful to the general agency leadership and staff for their input on the spending plans; and for the Economic Advisory Committee for their work. Together we will find ways to continue the mission God has entrusted to us and be mindful that decisions we make affect our work, our people, and the communities we serve.”

 

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