Vestry Minutes Christ Episcopal Church Montpelier, Vermont December 17, 2018
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1 Vestry Minutes Christ Episcopal Church Montpelier, Vermont December 17, 2018 Members present: Bruce Story, Senior Warden, Chair; David Blythe, Shawn Bryan, Sarah Hofmann, Diane Holland, Ted Long, Junior Warden; and Joan Murray Others in attendance: The Rev. Paul Habersang, Priest-in-Partnership (PIP); John Jaworski, Treasurer; Virginia Catone, Vestry Secretary; the Rev. Beth Ann Maier, Regional Deacon; Sharon Winn, Capital Campaign Manager; Helen Bryan, Chair, Capital Campaign Committee; and Sharon Wilson, food ministries volunteer. After the Chair convened the meeting at 6:30 p.m. Paul read an inspirational story with the theme of put away your anger audit report: On behalf of the parish Audit Committee consisting of Rilla Murray, Paul Harrington and herself, Beth Ann described the process of conducting the audit and read a communication to the Vestry outlining concerns and issues which it should address. The group uncovered no malfeasance on the part of any of the individuals who deal with parish finances, but one issue continues to be a major concern; namely, the inability to reconcile the monthly and annual financial reports. The reconciliation differences are small, but nevertheless the Audit Committee has found it impossible to perform a credible audit of the monthly financial Reports given to the Vestry. Although she understood that the transition to QuickBooks, a single accounting system, has been exceedingly challenging, Beth Ann encouraged continuation of the effort to reach that goal. The Audit Committee s communication requested the Vestry s response on five elements of an Internal controls checklist from the Diocese, as follows: (1) The pledge recorder shall not handle, count or deposit funds. (The Committee made the point that Christ Church s pledge recorder is also the office administrator. She receives money that is brought to the office or arrives in the mail.) (2) Are bank account reconciliations completed or verified by other than the Treasurer? (Here the committee pointed out there is no one currently to perform this task, so Treasurer has been doing it.) (3) Is Vestry approval required for all property and equipment additions and dispositions? (4) Are clergy housing allowances recorded in the vestry minutes prior to the effective year? (5) Is there a written investment policy?
2 While not a major concern, Beth Ann said it is incumbent on the Vestry to acknowledge the matters delineated in (1) and (2) above; and, if it contemplates no changes, to express its acceptance of the status quo. The Finance Committee so recommends. With respect to (3), the Finance Committee recommends Vestry approval of a policy requiring its approval of acquisitions or dispositions of church property over $1,000. After some discussion and upon the advice of Beth Ann, the Vestry then formally took the following actions, on a motion from Shawn Bryan, seconded by Diane: (a) accepted that Christ Church cannot comply with the Diocese recommended practices in regard to the duties performed by the Treasurer and Recording Treasurer; that it will allow the Treasurer to reconcile bank statements in the absence of a designated volunteer (1); and will permit the Recording Treasurer to handle cash and make deposits due to lack of additional staff (2); and (b) instituted a policy that acquisitions and dispositions of church property need approval if the value is over $1,000 (3). As for (4), later in the meeting the Vestry formally ratified as part of the Consent Agenda a housing allowance resolution for 2019 for the Priest-in-Partnership calculated on the Internal Revenue Service s least of three test, which in this case means an amount of $30,000. With reference to (5) the Finance Committee currently is in the process of drafting a written investment policy. The above actions must be reported to the Diocese with verification that the Vestry has received the audit report, considered the issues and recommendations for changes contained therein and taken action on them. That communication must be signed by the Senior Warden and notarized before being sent to the Diocese. 2. Susan Howland Fund recipients: After the Chair recapped discussion at the last meeting regarding potential recipients of the Susan Howland bequest, Beth Ann and Sharon Wilson both spoke to the need for additional financial support for the church s food ministries; i.e. the community meals program and the emergency food shelf. Neither one is a budget item, so both depend on fund raising and miscellaneous donations of products and money from members of the parish and occasionally the community. Sharon said the food ministries would welcome as much financial support as possible and Beth Ann provided expenditure and receipts figures for the prior year. She thought that if $1,400 - the one-half of the Howland bequest interest that must be allocated to general missions were to go to the food ministries, it may be possible to obtain a matching grant from the Diocese.
3 During the brief conversation which followed, Sarah moved approval of the allocation of $1,400 from the Howland bequest to the Christ Church food ministries. Shawn seconded the motion and the Vestry adopted it. Beth Ann then weighed in with the observation that in considering options for allocation of the other half of the Howland funds ($1,400), it would be particularly meaningful if the Vestry were to earmark some for ministries in which members of the congregation are involved. Specifically, she cited Camp Agape and Vermont Interfaith Action and described the mission and activities of each, after which Vestry members mentioned Brookhaven Treatment and Learning Center and Rock Point Summer Camp as other worthy missions. At this point the Chair diverted attention to other agenda items, returning to this subject late in the meeting, with Shawn moving allocation of $1,000 to Brookhaven with the remaining $400 directed to Camp Agape. After some brief additional discussion during which David spoke in favor of a larger amount going to Camp Agape, Sarah offered a friendly amendment to Shawn s motion which would change to allocations to $800 for Brookhaven and $600 for Camp Agape, respectively. Shawn agreed to her proposal whereupon the motion as amended was adopted. 3. Capital Campaign update: Helen Bryan and Sharon Winn reported on the campaign. To date pledges amount to about $604,000, with $327,000 the approximate amount of cash received. Community pledges now have reached about $61,000, and Helen considered it possible that the campaign will achieve its goal from the community. She also reported that a letter has been prepared to send in January to members of the parish who have not yet pledged, asking them to consider doing so. That will be the last effort to solicit donations for the campaign from within the congregation. Sharon advised that Linda Prescott and Ellen Lovell have conferred with David Schutz, Vermont State Curator, about assembling a group of folks interested in Montpelier historic preservation to discuss the State Street area immediately around the segment in which Christ Church is located. That public gathering will take place in the sanctuary on Tuesday, January 8, at 7 p.m. She also reported on her conversation with some Norwich University students, which David Blythe had fostered, about developing some ideas and proposals for outreach to the community through social media. Finally, Sharon mentioned that WCAX is likely have a news crew on site in the sanctuary on Sunday, December 23, for the dedication of the new stained glass window. On the subject of fund raising, Diane suggested a potential source of contributions to the capital campaign might be people who are particularly interested in Christ Church s organ. 4. Consent agenda: On a motion from Shawn, seconded by Sarah, the Vestry approved the Consent agenda, which consisted of the November 19 minutes, the
4 Priest-in-Partnership report for November-December, the PIP housing allowance resolution for $30,000 referred to in Item 1 above, and the November financial statement. 5. Housing Committee update: Shawn advised that both parties - the City of Montpelier and Christ Church - have agreed to a Memorandum Understanding covering the proposed hotel and parking structure surrounding church property. The city in a timely fashion reimbursed the Christ Church for the $15,000 the church incurred for legal and other fees related to the project before the city rather than the Basharas became the other party to the MOU. He also told the members that upon completion of the garage the church will have some spaces in it and also that the MOU includes a provision for necessary parking for any housing erected on church property. Shawn s recommendation, which he presented in the form of a motion, was that the Vestry authorize the Senior Warden to sign the MOU with the City of Montpelier after which he will have his signature notarized and return the document to the City. The motion was seconded by Sarah and adopted. 6. Finance Committee: Bruce reported that pledges have not yet reached the target set for 2019, which means that once again the Vestry may have to approve a faith budget. He also advised that the church is faced with a very significant projected heating cost increase for 2019 that is approximately $17,000 over the figure budgeted for this year, for reasons he and Shawn explained relating to its participation in the district heating system. They have talked with Assistant City Manager Sue Allen about the problem and the fact that notice of the increase was not provided until significantly after it was supposed to. Bruce pointed out that although she has no authority in the matter, Ms. Allen will confer with other city officials about it. Until pledge figures for 2019 become firmer, the Finance Committee will not present a proposed 2019 budget to the Vestry. The meeting was adjourned at 8:05 p.m. Respectfully submitted: Virginia Catone Secretary of the Vestry.
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