We sing of God s mission. annual. The United Church of Canada/L Église Unie du Canada. report 2013

Transcription

1 We sing of God s mission annual The United Church of Canada/L Église Unie du Canada report 2013

2 In This Report United Church 2013 Financial Statements Foundation Report Good Stewardship One copy of this annual report was sent to each pastoral charge. Additional copies can be downloaded from organization/annualreport or ordered from the Philanthropy Unit while they last: Philanthropy Unit The United Church of Canada 3250 Bloor St. West, Suite 300 Toronto, ON M8X 2Y4 Phone: or For the sake of the environment, please make copies responsibly. Green Production We work with our printer to keep church resources as green as possible. This report is printed on PEFC (Programme for the Endorsement of Forest Certification) materials with significant recycled content. The paper is of suitable mid-range quality, and the ink is environmentally friendly, vegetable oil based, and bleach-free. The varnished cover like the rest of the book can be safely recycled. Looks Can Be Deceiving This attractive report costs less than one might think, thanks to the use of today s sophisticated technology and our staff expertise. All design, editing, layout, and distribution is done inhouse. Many photos were sourced from staff, church members, or partners. As a cost-saving measure, the annual reports for the church and the Foundation are integrated. Suggestions for Use The annual report is useful for new or prospective members confirmation classes study groups stewardship programs or home visits resource libraries applications for funding from foundations or funding agencies donors considering legacy or other types of major gifts

3 Finding ourselves in a world of beauty and mystery we sing of God the Creator, the Maker and Source of all that is. A Song of Faith A Song of Faith In 2006 The United Church of Canada produced A Song of Faith as an expression of its collective faith in the 21st century. A Song of Faith invites ongoing reflection and response as the church lives out its convictions in today s world. A Song of Faith is our theme. The stories of worship and work in these pages illustrate a faithful church facing challenges and celebrations with hope and conviction. Moderator Gary Paterson says, I ve been at gatherings [and] spoken at presbytery and congregational events, where we shared our grief and our hope as we talked honestly about all that is happening to our church. I ve shared worship with congregations across the country, listening and preaching, and together we have dreamed of the future. My heart is full! A Blessed Christmas blog entry, December 24, And what songs were we singing in 2013? w We sing with trust: Together, we listen to the Spirit and reshape our church for the future. w We sing of God the Spirit: We worship through word, music, art, and sacrament, in community and in solitude. w We sing of a church seeking to continue the story of Jesus: We seek peace, justice, and reconciliation by standing with the oppressed and defending human dignity. w We sing of God s mission: We are called together by Christ, members of a community held and inspired by God. We participate in mending creation, healing the sick, feeding the hungry, and loving others. w We sing of God s good news lived out, a church with purpose: We joyfully share our resources and ourselves, to be a blessing to the earth. w The Risen Christ lives today, present to us and the source of our hope: We are grateful to those who make possible the support of ministry at all levels of the church.

4 Dear Friends in Christ, This annual report is a snapshot of the faithful work our church has done over the past year, both in Canada and around the world. As your Moderator, I give thanks for your gifts that enable us to be the hands and feet of Christ in the world. The stories and pictures in these pages affirm that God, working through us, truly is able to accomplish abundantly far more than all we can ask or imagine (Ephesians 3:20). Thanks be to God! A key focus of my term as Moderator is the Comprehensive Review, which is inviting our church to reimagine itself for the future. As part of the diverse and passionate task group that is leading this work, I draw strength and encouragement from the people and stories in this report. May you hold the task group and the whole church in your prayers as we discern together where God is leading us. In faith, The Right Rev. Gary Paterson Moderator Chers amis et amies en Christ, Ce rapport annuel fournit un «instantané» du travail accompli avec fidélité par notre Église au cours de la dernière année, tant au Canada qu ailleurs dans le monde. En tant que modérateur, je rends grâce pour vos dons qui nous permettent d être en quelque sorte les mains et les pieds du Christ dans notre monde. Les récits et les images de ces pages démontrent que Dieu est à l œuvre, à travers nous, et qu il est capable d accomplir «infiniment plus que tout ce que nous demandons ou même imaginons» (Éphésiens 3,20). Grâce soit rendue à Dieu! Une préoccupation centrale de mon mandat de modérateur est bien sûr la Révision globale, cette invitation faite à toute l Église de se repenser pour l avenir. Comme membre de ce groupe de travail diversifié et passionné qui y œuvre, je trouve force et encouragement dans les personnes et les récits mentionnés dans ce rapport. Svp, gardez le Groupe de travail et toute l Église dans votre prière alors qu ensemble nous discernons vers où Dieu nous guide. Dans la foi, Gary Paterson pasteur et modérateur 2 The United Church of Canada The ministries described here are funded in full or

5 Chères amies et amis en Christ, Il me fait plaisir de vous partager ce rapport annuel, une véritable célébration des multiples façons dont l Église Unie du Canada participe à la mission de Dieu dans notre monde. Au cours de 2013, le Bureau du Conseil général s est concentré particulièrement sur la gestion fidèle des ressources de l Église, y compris de vos dons. De nombreux comités et groupes de travail ont fait l expérience de nouvelles modalités de rencontre; en novembre, le 41 e Conseil général a vécu une première, alors qu il convoquait une nouvelle session de manière «électronique» pour l étude de quelques dossiers d affaires courantes. Nous avons aussi pris des mesures difficiles mais incontournables pour demeurer à l intérieur de notre cadre budgétaire, y compris une réduction de personnel, au moment où le Groupe de travail sur la révision globale sollicite l Église pour une conversation en profondeur sur notre avenir. Alors que nous devons laisser aller des manières de faire et d être que nous aimions, nous nous ouvrons simultanément à de nouvelles possibilités que Dieu est en train de nous révéler. Ma prière est que les récits de ce rapport annuel seront pour vous nourriture et inspiration. Soyez bénis, Nora Sanders secrétaire générale du Conseil général Dear Friends in Christ, I am delighted to share with you this annual report, which celebrates the many ways The United Church of Canada participates in God s mission in the world. In 2013, our focus at the General Council Office continued to be the faithful stewardship of the church s resources, including your gifts. Many committees and task groups explored new ways of meeting, and in November the 41st General Council broke new ground by reconvening electronically to consider some small items of business. We also took difficult but necessary steps to manage within our budget, including reducing staff, as the Comprehensive Review Task Group engages the church in a broad conversation about the future. As we let go of things we cherish, we also open ourselves to new possibilities that God is revealing to us. I pray the stories in this annual report will nourish and inspire you. Blessings, Nora Sanders General Secretary, General Council in part by generous gifts for Mission and Service. Annual Report

6 Christopher Dumas/The United Church of Canada We sing with trust Back row, left to right: Russel Burns, Vic Wiebe, Moderator Gary Paterson. Front row, left to right: Beth Symes, Wilson Gonese, Cathy Hamilton (chair), Lauren Hodgson, Kenji Marui. Changing our structures is totally necessary, but not sufficient, to revitalize the church. We believe the purpose of structure should be to enable communities of faith to take that vision into places of need in the wider world. Comprehensive Review Update: October 2013, Reimagining the Church for the Future At the 41st General Council in 2012, The United Church of Canada committed to a threeyear study by a Comprehensive Review Task Group to examine the effectiveness of the church and to explore new ideas. The task group held 11 meetings in 2013 exploring church challenges and seeking recommendations for change. The task group invited feedback through the various levels of the church, with a variety of groups, as well as through direct communications with individuals. By October, 800 communities of faith had registered for facilitated conversations and more than half had already spoken with a facilitator. In December, more than 450 individuals and groups participated in the first online discussion, and the conversations are continuing on a variety of topics. Based on these conversations and research, the task group prepared to share with the church in early 2014 some possible structural options for discussion and feedback. The task group is planning how to offer presbyteries and Conference executives specific opportunities to explore these options and provide comments. The group wants the church to learn about and consider the recommendations fully in preparation for the 42nd General Council in Learn more and share ideas at United Future, an online forum: 4 The United Church of Canada The ministries described here are funded in full or

7 Doug Goodwin/The United Church of Canada Michael Kooiman/The United Church of Canada Doug Goodwin/ The United Church of Canada Michael Kooiman/ The United Church of Canada Top left: WCC, Bussan. Bottom: Michael Blair, Moderator Gary Paterson, and Patti Talbot at WCC. Top centre and right: At the Greenbelt Festival, England Worship at Home and around the World God of Life, Lead Us to Justice and Peace The above brief prayer was the theme of the World Council of Churches 10th Assembly in Busan, Republic of Korea, in November About 30 United Church people attended in various capacities, joining over 3,000 participants. Greenbelt Pilgrimage In August 2013, more than 100 United Church members from across the country ministry leaders, church people, and a reporter from The United Church Observer joined the Moderator and 20,000 others from around the world at the Greenbelt Festival in England. The event combines faith, the arts, and justice and investigates innovative church models that lead the way to renewal. The United Church group returned inspired, energized, and resolved to continue their pilgrimage back home. Learning Together United in Learning was created in 2005 to offer distance education for church leaders, to break down isolation in ministry, and to share best practices. Most programs are offered via the Internet in multi-session webinars. In 2013 United in Learning addressed a wide variety of topics: amalgamations, support for lay worship leaders, narrative budgets, and digital ministry, to name a few. We sing of God the Spirit in part by generous gifts for Mission and Service. Annual Report

8 The GO Project Camp Fircom Unique Programs for Unique People! The GO Project The GO Project offers United Church young people handson experiences of mission and outreach. The dream of youth and leaders from Islington United in Toronto, Ontario, the program spread east and west in 2013 to Vancouver; Stratford, Ontario; Halifax; and St. John s. GO Your Own Way, a new program for 2013, was offered to groups in their own area and was held in St. John s and Herrington Harbour, Newfoundland. Ministries in French Stéphane Gaudet is based in Montreal and offers daily programming in French on Radio Ville-Marie, a Christian ecumenical radio network in Quebec. In 2013, Stéphane communicated the message of the United Church in French through various media in Canada and abroad. In addition, the United Church s magazine Aujourd hui Crédo won several awards from the Canadian Church Press and the Association canadienne des périodiques catholiques. Robert Lalonde The GO Project The GO Project 6 The United Church of Canada The ministries described here are funded in full or

9 MacKenzie Camp Camp Scugog Camp Whitney Camp Scugog Silver Lake Camp We sing of God the Spirit Camping Camping is an active outreach of the church that can strengthen ministry to children, young teens, and youth. Sixtytwo United Church camps welcome more than 20,000 people regardless of race, class, gender, sexual orientation, or faith tradition every year. Our faith-based camps incorporate spirituality, values, and cultural diversity in unique and adventurous ways. Many camps are also rented by groups seeking to meet and relax for a few days or a week, groups that include families, seniors, members of congregations, local businesses, community organizations, and school groups. Two of our camps overcame major challenges in Camp McDougall in Thessalon, Ontario, faced a major cleanup when an extreme wind storm knocked down foot pine trees. Luckily no one was injured, but two buildings were extensively damaged. An August storm wreaked havoc at Camp Fircom on Gambier Island, British Columbia, where a fire destroyed the new dining hall. Staff spent a fearful night and day huddled against the storm and then putting out fires. Luckily everyone was safe and no guests were on site. The Fircom community rose to the challenge and, on December 1, gathered to celebrate their 90th anniversary! Alumni of Silver Lake Camp in Kinloss, Ontario, gathered in July to celebrate 50 years, reminisce, catch up with camp friends, and worship together. in part by generous gifts for Mission and Service. Annual Report

10 Courageous Conversations August 2013 marked the 25th anniversary of The United Church of Canada s landmark decision declaring that sexual orientation should not be a barrier to becoming a United Church minister, an example of what Moderator Gary Paterson called our church s willingness to have courageous conversations. Here are some examples of more of these conversations. Behold! Many Circles, One Sacred Hoop In Halifax in October 2013, the Behold! national intercultural conference featured workshops, a credit course for theological students, and a youth program for high-school students. Hearing the Voices of Aboriginal Women In May 2013 the Executive of the General Council supported the Native Women s Association of Canada s call for a national inquiry into missing and murdered Aboriginal women and girls, and many United Church people signed the NWAC petition. Kaitlin Bardswich/The United Church of Canada Gathering Together: Consultation for People with Disabilities About 55 people with disabilities and their allies gathered in July 2013 in Toronto to share their ideas for becoming a more open and accessible church. Speaking Out The government s proposed plan for First Nations education drew criticism and public protest in The United Church joined Aboriginal organizations in calling for the government to reconsider the First Nations Education Act. TURNing Over Tables: Uncovering Hope The church s second national justice gathering brought together United Church people, global and Canadian partners, and Indigenous peoples. As one participant put it, I discovered a vibrant, youthful, energized, welcoming church a church that is called to confront the issues of injustice, speak out, and take action. Kaitlin Bardswich/The United Church of Canada We sing of God the Spirit 8 The United Church of Canada The ministries described here are funded in full or

11 Launch of New Campaign The Unsettling Goods campaign encourages members to Pray, Choose, Speak to help end the Israeli occupation of Palestinian territories and support a just and lasting peace. The campaign also encourages boycotting the products of three companies that operate in Israeli settlements: Keter Plastic, SodaStream, and Ahava cosmetics. Learn more and keep up to date at getinvolved/unsettling-goods. Israeli soldier shouts at Palestinian school principal and two students. EAPPI/Øystein Nedrobø EAPPI/Emmet Sheerin Palestinians watch construction in Carmel settlement. We sing of a church seeking to continue the story of Jesus Make Canada Open for Justice! Approximately 75 percent of the world s mining companies are registered in Canada. Concerns have been raised about their impact on communities and the environment, their complicity in human rights violations, and the use of governmentsanctioned militias as security forces. The 2013 United Church mining petition encouraged the regulation of Canadian mining companies abroad. Over 5,000 signed the petition, which was tabled in Parliament as part of a new campaign for Canada to be Open for Justice. The campaign is hosted by KAIROS: Canadian Ecumenical Justice Initiatives, of which the United Church is a member. You can read more at getinvolved/takeaction/ in part by generous gifts for Mission and Service. Annual Report

12 Frank Plue Frank Plue Beach United is an example of how United Churches across Canada are looking at creating new spaces and new ways to worship. Creating a New Beginning Beach United Church Transformation Closing two old buildings to create a renovated one was a new beginning for Beach United in Toronto. The church, built in 1914 and originally called Kew Beach United, merged several years ago with Bellefair United. Since both churches needed repairs and membership was dwindling, the Bellefair property was sold and the proceeds used for the current renovations. of the new features. Beach s 182 solar panels make for the largest solar rooftop of any area church and result in about $27,000 in annual provincial energy rebates. The church is continuing its community involvement with an interfaith lunch program offering outreach to the community once a week, a grief group, a social justice knitting group, and more. A new beginning! Archives on the Move The United Church of Canada Archives moved in the summer of 2013 from Toronto s west end to the downtown Toronto Christian Resource Centre. The move reduced the Archives rent by about two-thirds, with anticipated savings of almost $1 million. As a bonus, the new rent is financially supporting the centre, a United Church ministry. After a $4.7-million energyconscious reconstruction, Beach United reopened on September 29, It was designed to be a seven-day-a-week community centre and is as sustainable and accessible as possible. New windows and LED lighting, stateof-the-art heating and cooling with zone control, an automatic exterior solar blind, and sliding doors to adjust space are a few The new Archives location at the Toronto Christian Resource Centre Erin Greeno/The United Church of Canada 10 The United Church of Canada The ministries described here are funded in full or

13 We sing of God s mission Canadian Community Ministries The United Church works with a diverse network of ministries in economically and socially stressed neighbourhoods and assists people with their physical and spiritual needs. House of Lazarus Green Food Bank Montreal City Mission Camp Karen Lee House of Lazarus s Green Food Bags Montreal City Mission Camp Bissell Centre Energy from the Edges In June 2013, United Church sponsored community and social justice ministries gathered for the biennial Energy from the Edges Jordan Sullivan/The United Church of Canada event at the University of British Columbia. According to one participant, We need energy to stay at the edge because it is at the edges that transformation of the centre always begins! Refugees United Church congregations committed an estimated $700,000 to sponsoring 55 refugees in The cost of sponsorship has increased due to diminished federal health coverage for refugees in Canada. in part by generous gifts for Mission and Service. Annual Report

14 ACT Alliance/International Orthodox Christian Charities ACT Alliance/FinnChurchAid Displaced Syrian families gather at a church in Ezraa, Syria, to receive food, hygiene kits, bedding, and other items. One month after typhoon Haiyan, millions of people still lived amid ruins. Responding to Those in Need Syria The United Church launched an appeal in support of Syrians uprooted by a war that has killed over 100,000 people. In partnership with ACT Alliance, the church distributed $75,000 for relief work. United Church members also generously donated $141,000. Philippines Canada Unprecedented flooding devastated much of Calgary and outlying communities in Alberta in late June and early July The General Council Office established the Alberta Flood Relief Fund and received more than $140,000 in donations, all of which were sent to Alberta and Northwest Conference for the recovery efforts. In November 2013 when the Philippines was struck by super typhoon Haiyan, a church-wide appeal raised more than $1.1 million. Initial donations purchased materials for temporary shelter, food, clean water, medicines, and counselling. Additional funds will be used in 2014 for rehabilitation and reconstruction work. The United Church received a grant of $55,000 from the Manitoba Council for International Cooperation and purchased seeds to help restore household food and agricultural production. John W. Friesen/The United Church of Canada Supplies for the flood victims near Morley, Alberta We sing of God s mission 12 The United Church of Canada The ministries described here are funded in full or

15 Ruth Shija for Morogoro Women s Training Centre, Tanzania Five Oaks Centre Morogoro Women s Training Centre, Tanzania A new snowplow for Five Oaks Centre, Paris, Ontario United Church Women s and Men s Networks UCW Morogoro Update As its 50th anniversary project in 2012, the UCW chose to fund maternal health training programs at the Morogoro Women s Training Centre in Tanzania. The original goal was $50,000 but in 2013 donations totalled more than $264,500, an amazing success! This achievement was even more remarkable when you consider it was over and above the $1,568,537 the UCW gave to Mission and Service in The courses train women to be midwives for remote villages. Fuelled by the UCW funds, the courses were extended to a larger region and expanded to include gender issues, care for the environment, and handicrafts to increase family income. A strong network of trained midwives serving far-flung communities in Tanzania is being built! AOTS Camp Improvement Project The AOTS 28th Biennial National Convention was held in August 2013 in Gander, Newfoundland. Camping is currently the main interest of AOTS members, so the Camp Improvement Project supporting Canadian not-for-profit camps with youth programs was enthusiastically endorsed. Two former bequest funds, Youth to Camp and the Harry Colnett Scholarship, will be terminated and the funds applied to the Camp Improvement Fund. Grants of $15,000 each were made to Wellman Lake Camp near Flin Flon, Manitoba, and Five Oaks Centre in Brantford, Ontario, for snowplow and mower units; to Loon Bay Camp near Gander, Newfoundland, for 20 mattresses; and to MacKenzie Camp, British Columbia, for flooring materials. in part by generous gifts for Mission and Service. Annual Report

16 We sing of Mission and Service Each year in Mission and Service at a Glance we provide the Mission and Service budget plan for the year in the form of a narrative budget pie chart. This year we are showing you the actual results and activities in that same format drawn from the audited financial statements that follow. The resulting pie chart shows a year that largely proceeded according to plan with three items of note: 1. We do not budget for emergency appeals and other designated donations for Mission and Service partners or for the granting that results. The positive effects of both are reflected here. 2. For budget purposes, we use a four-year moving average for legacy gifts. The actual results in 2013 were higher than the four-year average and are shown here. 3. Restructuring costs incurred in 2013 were offset by expense savings and have been allocated by program area throughout the chart. Looking forward, costs in 2014 have been reduced by over $5 million as a first step toward longer-term financial sustainability, in anticipation of more substantive changes to emerge from the Comprehensive Review process. Mission and Service Expenditures: 2013 Actual ($39.3 million) SELF-FUNDED $2.6 MILLION OTHER FUNDING $3.6 MILLION 8 Pension and Group Health Insurance Services 7 General Council Leadership and Governance 1 Global Mission and Service $ Conference Leadership $4.5 5 Support to Local Ministries $6.5 4 Faith Formation $8.2 2 Community and Justice Work $4.4 3 Theological Education and Ministry Support $5.5 OTHER REVENUE* $2.8 MILLION MISSION AND SERVICE PROGRAM REVENUE Donations for Mission and Service $29.8 Donations designated for specific M&S partner organizations $4.6 Donations unrestricted $1.3 Other revenue $3.6 $39.3 million 14 The United Church of Canada The ministries described here are funded in full or

17 God s good news lived out, a church with purpose Legacy Giving Thank you to all who planned a gift to the United Church in 2013, a gift that will help keep the ministry of The United Church of Canada vital and fresh for generations to come. Very simply, a planned or legacy gift is any gift made with forethought about the benefits to the church and the financial implications to the giver. Planned gifts may support any ministry or mission of the United Church a local congregation, the wider United Church through Mission and Service or The United Church of Canada Foundation, global partnerships, education programs or camps, or new churches. The church gratefully remembers all those faithful members like Lillian Mitchell who left a lasting legacy to the church in Lillian Irene Mitchell, Lillian Mitchell lived life to the fullest. Her friends and family remember her as a force of nature, passionate about music, teaching, travel, good works, and her church. The music community remembers her as a loyal supporter and very dear friend. Lillian wanted to support the work of her church into the future. She said, We participate in the Gift Annuity Plan because there are benefits both in life and in death. In life, the high return of investment enables us to enjoy life more fully, not only for ourselves but also in the pleasure of helping others. In death, we know we are contributing to the ongoing ministry of The United Church of Canada, and other charities important to us. On her death in February 2013, Lillian left a gift to Mission and Service, to World Development and Relief, and to Grenfell United Church, Grenfell, Saskatchewan. in part by generous gifts for Mission and Service. Annual Report

18 The Financial Year in Review 2013 The Risen Christ lives The United Church of Canada funds its global ministry, national programming, governance, and fundraising as well as administration from the free will contributions to the Mission and Service Fund, which account for 75 percent of its annual operating budget revenue. This is unlike other denominations in Canada and around the world, which usually fund these areas through an agreed tithe or assessment. On the expenditure side, these contributions fund not only national programs but also help to support ministry at all levels of the church through Conference and theological school grants, global and Canadian mission support, Aboriginal ministry funding, and so on. From a longer-term perspective, the overall narrative is unchanged from last year. We are bucking a number of societal trends, and we know that substantial restructuring is required and soon. The 41st General Council responded by establishing the Comprehensive Review Task Group to consider all circumstances of the church and help the church embark on a path of substantive change. Our 2013 audited financial statement results offer a good news/bad news story. Strong investment returns, a well-above-average year for legacy gifts and emergency appeals, and expense savings combined to produce a smaller deficit in our General Fund and a modest surplus overall. Unrealized investment gains continue to help offset or mitigate operating deficits. Since we use legacy gifts and investment income to bolster reserves, our reserve picture has strengthened. Both of these positive factors are by their nature volatile, and we cannot expect such strong results to recur regularly. The bad news, though, is that across the country financial trends are generally challenging. Many of our congregations are struggling with local financial pressures, which in turn are reflected in declining annual giving to both congregational ministry and the Mission and Service Fund the primary funding vehicle for the broader work of the church. In May 2013, the Executive of the General Council responded by approving painful cost reductions in excess of $5 million in response to the immediate operational funding shortfall. Work on the Comprehensive Review continues and will need to deliver further savings. Over the last decade, national staff positions have been reduced by one-third. Granting programs had been largely unchanged over the decade; however, in recent years they have been cut by 20 percent. A significant milestone this year was the transfer of our historical trust and endowment contracts and the related $29.2 million in assets to The United Church Foundation, which triples the financial assets of the Foundation with a corresponding decrease on the church balance sheet. This transaction consolidates our past, present, and future forever monies with the Foundation. The church has covered the operating costs of the Foundation in its early years, but with organic growth and this transaction, we anticipate the Foundation will be largely financially self-sufficient by We continue to explore ways to reduce costs while improving support to congregations. We are grateful to the many volunteers who help guide the financial and investment management processes of the church. 16 The United Church of Canada The ministries described here are funded in full or

19 today, present to us and the source of our hope. Financial Statement Highlights Statement of Financial Position of the General Council (page 18) Total assets decreased from $156.9 million in 2012 to $132 million in 2013, a net decrease of $24.9 million. This decrease reflects the transfer of $29.2 million to the Foundation, partially offset by unrealized investment gains and the operating deficit. Statement of Operations (page 19) Total revenues increased from $41.6 million in 2012 to $42.9 million in 2013, an increase of $1.3 million as the ongoing decline in core revenues was offset by an increase of $2.6 million in legacy giving (mostly to Mission and Service) and an increase of $2.4 million in donations (mostly emergency gifts to M&S partner organizations). Note: Both legacy giving and emergency gifts are volatile sources of revenue from year to year. Total expenditures decreased from $53.2 million in 2012 to $49.4 million in 2013, a decrease of $3.8 million, during restructuring. Note: Significant reductions were made in staffing and office expenses in 2013, but due to severances and lease changes the total financial reductions will not be realized until The operational deficit before change in fair value of investments decreased from $11.6 milion in 2012 to $6.5 million in This decrease is due to a one-time grant in 2012 of $4.5 million to the United Church Foundation related to a property sale. The overall financial results after all changes swung from a deficit of $6.04 million in 2012 to a surplus of $0.5 million in However, there remains an operating deficit of $1.6 million in the general operating funds. Unrestricted reserve funds are used to offset operating deficits. This was necessary in 2012 and again in The 2014 expense budget has been reduced by over $5 million as a first step toward financial sustainability, in anticipation of more substantive changes to emerge from the Comprehensive Review process. Congregational giving continues to support approximately 75 percent of the operating budget. Revenue in Summary Total revenue consists of the following: Donations for Mission and Service $29.8 Donations designated for specific M&S partner organizations $4.6 Donations unrestricted $1.3 Other revenue and funding $7.2 Total revenue $42.9 million in part by generous gifts for Mission and Service. Annual Report

20 Summary of the National Accounts of The United Church of Canada Statement of Financial Position as at December 31, 2013 (amounts in thousands) December December 31, , 2012 General Trust and Property and Operating Endowment Annuity Building Funds Funds Funds Funds Total Total Assets Current Cash and cash in transit $ 7,983 $ $ $ $ 7,983 $ 8,929 Accounts receivable 1, ,918 2,393 Inventory Other , ,898 12,406 Investments 58,205 2,901 19,134 31, , ,221 Capital loans ,905 7,216 8,548 Capital assets 1,900 1,900 1,759 $ 69,091 $ 3,150 $ 19,208 $ 40,580 $ 132,029 $ 156,934 Liabilities and fund balances Current Accounts payable and accrued liabilities $ 8,890 $ $ $ $ 8,890 $ 8,658 Payable to external beneficiaries 7,835 7,835 8,708 Deferred lease inducement ,198 Group insurance benefits plan liability 27,033 27,033 21,303 Fund balances 32,569 3,150 11,373 40,580 87, ,067 $ 69,091 $ 3,150 $ 19,208 $ 40,580 $ 132,029 $ 156,934 The complete audited financial statements are available upon request. 18 The United Church of Canada The ministries described here are funded in full or

21 Statement of Operations for the year ended December 31, 2013 (amounts in thousands) December December 31, , 2012 General Trust and Property and Operating Endowment Annuity Building Funds Funds Funds Funds Total Total Revenues Congregations $ 24,480 $ $ $ $ 24,480 $ 25,228 United Church Women 1,569 1,569 1,632 Investment income ,750 2,617 Retail sales 1, ,275 1,781 Annuities Legacies 5, ,053 2,444 Recovery of administrative costs 1,539 1,539 1,406 Donations 4, ,563 2,189 Other revenue 1, ,841 3,971 Total revenues 40, , ,875 41,558 Expenses Grants 20, ,251 22,407 26,443 Staff costs 14,609 (29) 14,580 14,327 Resources 1, ,836 2,178 Travel and meeting 2, ,161 2,792 Office 2,735 (15) 883 3,603 3,363 Annuities 1,749 1,749 1,654 Professional fees 1, ,674 1,899 Property and insurance ,209 1,097 Investment Other 3 (311) (308) (1,031) Total expenses 45, ,760 2,113 49,356 53,207 Surplus (deficit) before the following (4,751) (138) (372) (1,220) (6,481) (11,649) Change in fair value of investments 3, (332) 3,096 6,066 5,529 Change in payable to external beneficiaries Surplus (deficit) $ (1,629) $ 42 $ 169 $ 1,876 $ 458 $ (6,040) in part by generous gifts for Mission and Service. Annual Report

22 The United Church of Canada Foundation 2013 Thanks to the generosity of United Church members, the Foundation made gifts of nearly $3.3 million in 2013 to congregations, for Mission and Service, and for other areas of the work of the church. Imagine all the good work those donations help complete! The gifts did everything from funding the operations of members congregations, to supporting the Mission and Service of their congregations and the wider church, to assisting food banks and other local outreach programs. Amazing! Number of Grants by Recipient 2013 Congregations (51%) Generosity beyond the United Church (21%) M&S, GCO, Conferences, and presbyteries (17%) Outreach ministries, camps, and ecumenical partners (8%) Education centres and theological colleges (3%) Value of Grants by Recipient 2013 Congregations (44%) M&S, GCO, Conferences, and presbyteries (33%) Outreach ministries, camps, and ecumenical partners (10%) Generosity beyond the United Church (9%) Education centres and theological colleges (4%) Note: This chart excludes a one-time grant to The United Church of Canada of $524,330 carried out during the transfer of the trusts and endowments to the Foundation. It relates to a rebalancing of previous grants made by the United Church. Value of Grants from Foundation Funds 2013 Short-Term Funds (49%) Gifts of stocks and mutual funds Individual and family funds Long-Term Funds (51%) Endowment and trust funds Seeds of Hope granting program Grants to The United Church of Canada 20 The United Church of Canada The ministries described here are funded in full or

23 Grants to The United Church of Canada, $1,200,000 $1,000,000 $800,000 $600,000 $400,000 $200,000 $ This chart excludes an extraordinary one-time bequest of $722,000 the Foundation facilitated for the Mission and Service Fund in The United Church of Canada Foundation Board of Directors Bob Burrows, Vancouver, BC Jeff Crittenden, London, ON Susan Gabriel, Oka, QC (member until Dec. 2013) Peter Harder, Ottawa, ON Paul Johnson, Hamilton, ON Bill MacLachlan, Calgary, AB Greg Morton, Fredericton, NB Marion Pardy, St. John s, NL Rob Richards, Toronto, ON Cathy Rushton, Winnipeg, MB Nora Sanders, Toronto, ON Barbara Shourounis, Regina, SK Bob Tabah, Sainte-Anne-des-Lacs, QC Mark Wartman, Moose Jaw, SK Staff Average Grant Amount by Recipient, 2013 David Armour, President Sarah Charters, Donor and Investment Relations Manager $9,000 $8,000 $7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $7,954 $7,858 $0 Outreach ministries, camps, and ecumenical partners Education centres and theological colleges $5,039 Congregations $4,733 M&S, GCO, Conferences, and presbyteries $2,382 Generosity beyond the United Church The United Church of Canada Foundation Fondation de l Église Unie du Canada fdn@united-church.ca ext Bloor St. West, Suite 300 Toronto, ON M8X 2Y4 Charitable number RR0001 in part by generous gifts for Mission and Service. Annual Report

24 The Churches Council on Theological Education decided to close its doors in To ensure its good work continued, the council granted funds to support ecumenical theological education initiatives. The United Church of Canada was one recipient of the funds, which will be managed and maintained by the Foundation to ensure quality education for ministry is available now and far into the future. Other organizations and congregations have chosen to continue their work in similar ways through the Foundation. Some have forwarded the proceeds of property sales to the Foundation s M&S Endowment Fund, while others have set up endowment funds to continue a legacy of supporting chaplaincies or other local work. In every case, their decisions have been faith-filled ways to ensure the continuation of faithful work that is important to them. The United Church of Canada Foundation Fondation de l Église Unie du Canada Statement of Financial Position as at December 31, 2013 December December 31, , 2012 General Operating Undesignated Gift Endowment Funds Gift Funds Funds Funds Total Total Assets Current Cash $ 149,287 $ $ 933,733 $ $ 1,083,020 $ 1,136,622 Accounts receivable 355, ,934 94,738 Prepaid expenses 3,516 3,516 2,846 Subtotal 508, ,733 1,442,470 1,234,206 Investments 294, ,248 49,188,822 49,671,879 13,604,473 Total assets $ 803,546 $ $ 1,121,981 $ 49,188,822 $ 51,114,349 $14,838,679 Liabilities and fund balances Current Accounts payable $ 151,050 $ $ 983,267 $ 694,481 $ 1,828,798 $ 922,009 Deferred revenue 130, , ,604 Subtotal 151,050 1,113, ,481 1,959,402 1,052,613 Fund balances 652,496 8,110 48,494,341 49,154,947 13,786,066 Total liabilities and fund balances $ 803,546 $ $ 1,121,981 $ 49,188,822 $ 51,114,349 $14,838,679 The complete audited financial statements are available upon request. 22 The United Church of Canada The ministries described here are funded in full or

25 Thanks to a grant from the Foundation s New Ministries Fund, EDGE Network is creating a property resource team that will offer support to congregations and presbyteries undergoing property decisions. This is an exciting response to a situation many congregations are facing. What a great expression of stewardship and thoughtful ministry! Statement of Operations and Change in Fund Balances For the year ended December 31, 2013 December December 31, , 2012 General Operating Undesignated Gift Endowment Funds Gift Funds Funds Funds Total Total Revenues Donations General $ $ $ $ $ $ 65,538 Designated 1,673,161 1,687,279 3,360,440 10,173,983 Recovery from investment fees 202, ,682 54,248 Revenue from co-investment program 153, , ,457 Investment income 4, ,130,885 1,135, , ,556 1,673,777 2,818,164 4,852,497 10,735,463 Expenses Grants 25,500 1,667,789 1,689,081 3,391,370 1,845,533 Fund development 3,049 3,049 4,248 Resource 23,674 23, Office 2,125 2,125 4,707 Investment fees Foundation 322, ,719 59,885 Co-investment program 4,416 4,416 9,369 Travel and meeting 19,872 19,872 16,187 Professional fees 78,588 78,588 16,706 Property and insurance 3,166 3,166 3, ,109 1,667,789 1,698,081 3,848,979 1,961,069 Surplus (deficit) before the following (122,553) 5,988 1,120,083 1,003,518 8,774,394 Change in fair value of investments (5,988) 5,166,122 5,160, ,225 Surplus (deficit) (122,553) 6,286,205 6,163,652 9,051,619 Fund balances, beginning of year 325,984 8,110 13,451,972 13,786,066 4,734,447 Transfer from the United Church 29,205,229 29,205,229 Net inter-fund transfers 449,065 (449,065) Fund balances, end of year $ 652,496 $ $ 8,110 $ 48,494,341 $ 49,154,947 $ 13,786,066 The complete audited financial statements are available upon request. in part by generous gifts for Mission and Service. Annual Report

26 The Executive of the General Council (current as of September 2013) Role on Executive Moderator General Secretary Immediate Past Moderator Newfoundland and Labrador Maritime Montreal and Ottawa Bay of Quinte Toronto Hamilton London Manitou Manitoba and Northwestern Ontario Saskatchewan Alberta and Northwest British Columbia All Native Circle Ethnic Ministries Constituents French Ministries Constituents Members at Large Permanent Committee Finance Permanent Committee Governance and Agenda Permanent Committee Ministry and Employment Policies and Services Permanent Committee Programs for Mission and Ministry Representative to World Council of Churches Central Committee Aboriginal Ministries Council Theology and Inter-Church Inter-Faith Committee General Council Planning Committee National United Church Women Observer Board Global Partner Representative General Council Officer, Programs Executive Secretary, Newfoundland and Labrador Executive Secretary, Maritime Executive Secretary, Montreal and Ottawa Executive Secretary, Bay of Quinte Executive Secretary, Toronto Executive Secretary, Hamilton Executive Secretary, London Executive Secretary, Manitou Executive Secretary, Manitoba and Northwestern Ontario Executive Secretary, Saskatchewan Executive Secretary, Alberta and Northwest Executive Secretary, British Columbia Speaker, All Native Circle Archivist Serving Member Gary Paterson Nora Sanders Mardi Tindal Florence Sanna and vacant Ivan Gregan and Pauline Walker Charlotte Griffith and Andrea Harrison Norma Thompson and John Young Lynella Reid-James and Michael Shewburg Thom Davies and Steven Lowden Charles McMillan and Douglas Wright Janice Brownlee and Erin Todd barb janes and Anna Stewart Laura Fouhse and Bev Kostichuk Jess Cobb and Robert Mutlow Graham Brownmiller and Alvin Dixon Donna Kennedy and Nelson Hart Vilvan Gunasingham and John Kim Nicole Beaudry and Marie-Claude Manga Adam Brown* Adam Hanley Kellie McComb Colin Phillips* Brian Cornelius Shirley Cleave Tracy Murton Mary Royal Miriam Spies Susan Gabriel Raymond Jones Martha Pedoniquotte John Thompson James (Jim) White Mel King William (Bill) Steadman Roy West Beverley Green Martha Martin Ramzi Zananiri Bruce Gregersen Faith March-MacCuish David Hewitt Rosemary Lambie Bill Smith David Allen Peter Hartmans Cheryl-Ann Stadelbauer-Sampa Will Kunder Shannon McCarthy Bill Doyle Lynn Maki Doug Goodwin Cheryl Jourdain Nichole Vonk 24 *Youth & Young Adult Representative Corresponding Member Staff The United Church of Canada

27 So Many Ways to Give To make a gift to support the Mission and Service of The United Church of Canada: Give through your local United Church congregation. Use Pre-Authorized Remittance or PAR. (Ask the PAR treasurer in your congregation.) Give by direct donation: Telephone or locally ext Mail: Direct Giving Program The United Church of Canada 3250 Bloor St. West, Suite 300 Toronto, ON M8X 2Y4 Use the Gifts with Vision catalogue: Give through Legacy Giving in your will: ext This annual report is a snapshot of the 2013 work of the church. For more detailed information, please see the annual United Church Year Book and Directory or request a copy of our audited financial statements. Learn more and join the discussion online: To comment on the report or make suggestions for future years, giving@united-church.ca. La version française complète de ce rapport annuel serait disponible en ligne au Copyright The United Church of Canada/L Église Unie du Canada Bloor St. West, Suite 300, Toronto, ON M8X 2Y Writer: Julie Kinkaid Design: Carina Cruz Domingues All biblical quotations, unless otherwise noted, are from the New Revised Standard Version Bible, copyright 1989 National Council of the Churches of Christ in the United States of America. Used by permission. All rights reserved. Textes bibliques en français tirés de La Bible en français courant Société biblique française, Front cover: Dreamstime Uncredited photos: The United Church of Canada and Dreamstime

28 An Update from 2012 James Scott/The United Church of Canada Truth and Reconciliation Commission of Canada (TRC) The TRC held national events in Montreal and Vancouver in 2013, continuing the response to the legacy of Indian Residential Schools and the impact of attempts to assimilate Aboriginal children. The central goals of the TRC events are to hear the stories, bear witness to these events, and create a permanent record. Members from Montreal and Ottawa presbyteries helped organize, publicized, volunteered at, or attended the TRC event in Montreal in April. Many United Church people attended individually, and a busload came from Ottawa. In British Columbia, a Lower Mainland United Church group was active in organizing the Vancouver event in September. The event was live-streamed and received over 20,000 hits as people from 60 different countries tuned in to what was happening. Grateful for God s loving action, we cannot keep from singing. A Song of Faith Pearce Williams Christian Centre Sing a New Song Last year we reported that Affirm United/S affirmer Ensemble was celebrating 30 years. Congratulations to all new Affirming Ministries in 2013: Ottawa Presbytery, Ottawa, ON McDougall United Church, Edmonton, AB Yellowknife United Church, Yellowknife, NT The United Church in Meadowood, Winnipeg, MB Tecumseh United Church, Tecumseh, ON Winnipeg Presbytery, Conference of Manitoba and Northwestern Ontario Knox United Church, Parksville, BC St. Paul s United Church, Warkworth, ON A Growing Program Last year you read about the new program at Pearce Williams Christian Centre in London, Ontario, called World Camp. It challenged concepts about poverty and equality. In 2013 the centre began construction of its latest World Camp building, the Thailand Stilt Hut. Pearce Williams also held a ground-breaking ceremony for Hume Hall, a community hall and worship space.