painting a portrait. where are we now? presbytery has current y-t-d shortfall of $6000 we have only...

Painting a Portrait

Where are we now?Presbytery has current Y-T-D shortfall of $6000We have only $7600 in mortgage reservesThere are no other reserve funds.We have no money for Mission Coordinator

search process.If giving trends to the presbytery continue at

current rate, it is estimated we will be short $55,000 to $85,000 by year-end 2008 (includes money for search and $20,000 reserves).

How did we get here?Declining membershipMassive Increase in capital expenditures/debtDecreased contributions to presbyteryYears of over-spending presbytery budgetNational / Global economic realities. Resulting decreased rental income at Cherokee

Retreat CenterLife Cycle of programmatic presbytery on decline

Decreased MembershipAt Peek Now

300 175

67 26

2927 2421

785 383

771 624

237 128

201 89

986 548

65 13

636 499

1998 2007 Decline

11,461 10,245 -11%

Only 7 of 41 churches have shown a net increase since 1998, and 4 of those 7 were organized during those 10 years.

Increased DebtAbout ½ of all churches in Cherokee

Presbytery currently have outstanding notes and loans.

Our current indebtedness has increased from $1.3 million in 1998 to over $4.7 million in 2007 -- an increase of 362%!

Some churches pay almost 50% of all income to debt relief.

Decreased Giving to PresbyteryValidated giving to Presbytery has dropped

from about $1,000,000 in 1999 to about $700,000 in 2007.

The presbytery budget just in the last 4 years has been cut from over $700,000 to $500,000 in 2008.

The 2009 budget is projected at $410,000, a 42% reduction in just 5 years.

Who’s to blame?

The Dilemma We FaceProjected shortfall of between $55-85,000Presbytery bank loan will severely affect any /

all churches with PILP (Presbyterian Investment Loan Program) loans.

No safety net / money for churches that may default on loans.

Cuts to ministry, including Campus Ministry and its staff

NCD funds may be at risk

Options on the TableGet bank loan in short-termAsk individuals to step up and helpAsk churches to pay full pledge, if at all ableEliminate or cut back presbytery staffingEliminate or cut back mission / ministrySpin off Cherokee Retreat Center and/ or

minimize fundingOpen to other suggestions

Impact of New Structure/VisionTime may have come for Cherokee Presbytery

to be reborn / start new life cycle.Candidates under consideration are excited

about new model for presbytery ministryHope and expectation is that by not being a

programmatic presbytery, the budget will be considerably streamlined.

What Can YOU Do Now?Pray for – God’s will, churches, CouncilGive – as you are leadServe – on new CRC Board of DirectorsAsk – who do you know who can help? Suggest – what ideas have we not

considered?