Annual Meeting February 26, 2017 The Church of Our Saviour 535 West Roses Rd. San Gabriel, CA 91775 Phone: 626-282-5147 Fax: 626-289-3887 Website: www.cos150.com
The Church of Our Saviour ANNUAL MEETING Sunday, February 26, 2017 Cleaver Hall 11:30 a.m. AGENDA 1. Brunch & Blessing Rev. Gary J. Bradley & Rev. Thomas Ni 2. Pre-Meeting Announcements Various 3. Call to Order Rev. Gary Bradley a. Announcement of Quorum b. Appointment of Clerk 4. Minutes of 2016 Annual Meeting Rev. Gary Bradley 5. Rector s Address Rev. Gary Bradley 6. Vestry Elections Jane Fall a. Nominations Committee Report b. Introduction of Nominees c. Nominations from the Floor d. Election 7. Introduction of New Vestry and Senior Warden Rev. Gary Bradley 8. Senior Warden s Address Juli Kennedy 9. Recognition of Retiring Vestry Juli Kennedy 10. 150th Anniversary Celebrations Update Gabriel Vazquez-Reyes 11. Treasurer s Report Will Dumain John Balance Russ Case 12. Other Business 13. Closing Prayer/Adjournment
MINUTES OF THE ANNUAL MEETING OF THE CORPORATION OF THE RECTOR, WARDENS AND VESTRY OF THE CHURCH OF OUR SAVIOUR IN SAN GABRIEL, CALIFORNIA The Annual Meeting of the Members of the Religious and Non-Profit Corporation of the State of California known as The Rector, Wardens, and Vestry, of The Church of Our Saviour, San Gabriel, California, was held on Sunday, February 28, 2016 at 11:30 am in Cleaver Hall, The Church of Our Saviour, 535 Roses Road, San Gabriel, California, pursuant to the call of the Clerk, notice of the meeting having been given in accordance with the Bylaws. The meeting was presided over by Rev. Gary Bradley, Rector. Patricia Beith, Vestry Clerk, recorded the minutes. 1. Call to Order Rev. Gary Bradley, Rector, announced the quorum requirement had been met and called the meeting to order at 12:10 pm. Rev. Bradley asked Father Thomas Ni to give the blessing in both English and Chinese. Father Ni also explained in Chinese the process of the meeting to the Chinese Congregation. Rev. Gary Bradley proposed Patricia Beith, Vestry Clerk, be appointed as Clerk of the Annual Meeting. Motion was made, seconded and approved. 2. March 1, 2015 Annual Meeting Minutes Rev. Gary Bradley asked for a motion to approve the minutes of the March 1, 2015 Annual Meeting. Motion was made and seconded to approve the minutes and motion was approved. 3. Rector s Address Rev. Gary Bradley gave his Rector s Address (see attached). Highlights included increase in number of people attending services and eighteen adults in the Chinese Congregation were baptized in the year. 4. 150 th Anniversary Celebration Rev. Gary Bradley introduced Associate Rector Ada Wong-Nagata to discuss the anniversary celebration. Rev. Ada Wong-Nagata announced that she had contacted Bishop Michael Curry to join the congregation in celebrating the 150 th anniversary and he is considering that request. Rev. Ada Wong- Nagata introduced Sue Smock who provided a short history of the founding of The Church of Our Saviour. She asked church members to join the organizing committee to assist in developing ideas for the celebration.
5. Vestry Elections Patrick Crandall, Chairman of the Nomination Committee, introduced the new Vestry Nominees: David Arnt, Georgie Erskine, Juli Kennedy, Kenneth Quan, Cheryl Townsend. After a call for nominations from the floor, a motion was made to close the nominations which was seconded. The motion passed unanimously. 6. Senior Warden s Address Patrick Crandall shared his experience as a Senior Warden. He thanked Yuhadhi Sundaramoorthy for all his work as Church Administrator, Evie Escatiola for her work at A Child s Garden School, and Paul Kilian for his leadership with the Strategic Planning which has nourished the families and youth of the congregation. A special thank you went to the clergy of the church for all their hard work ministering to the congregation especially Father Gary Bradley who truly is a man of God. 7. Recognition of Retiring Senior Warden Rev Gary Bradley thanked Patrick Crandall for his service to the Vestry and his leadership as Senior Warden. He gave Patrick a book on Jesus. 8. Recognition of Retiring Vestry Members Rev Gary Bradley asked Junior Warden for Chinese Congregation Katherine Feng to introduce the other four retiring Vestry Members: Jeffrey Ma, Patrick Ross, Diane Rivera, Linda Goluskin. After thanking them for their service each member was given a Journal Bible. Rev. Nancy Shier gave each person a prayer shawl. 9. Introduction of the New Vestry Members Rev Gary Bradley introduced the newly elected Vestry Members: David Arnt, Georgie Erskine, Juli Kennedy, Kenneth Quan and Cheryl Townsend. 10. Introduction of the New Senior Warden Rev Gary Bradley announced the appointment of Juli Kennedy as the Senior Warden. 11. Treasurer s Report (see attached power point presentation) Will Dumain, Church Treasurer, advised that the finance committee had done the following things to insure the Church s future: A. Successfully reduced and restructured COS debt allowing us to meet our future foals in an orderly manner;
B. In 2015 initiated plan to reduce OSC dependence on excessive endowment draws; C. Last week paid off in full $1.5 million BFT debt due in 2020; D. In 2006 OSC completed the $5million Kids Campus in El Monte of which $300,000 was financed against a promise from the Diocese. $150,000 of that was received from Diocese to reduce the loan incurred remaining $150,000 due this year. Will Dumain gave a short overview of the Church s budget as to income and expenses. Will Dumain advised that Li Tim Oi is now focusing is on education and Our Saviour Center is focusing on grant writing to decrease the depending upon the Church for operational funds. Mr. Dumain asked congregation if anyone could assist with the grant writing. Mr. Dumain also thanked John Balance, Russ Case, Yuhadhi Sundaramoorthy and Virginia Berger for their work on the Church s finances. Russ Case gave a short overview of the Endowment Fund and John Balance gave a short discussion of the Financial Committee s planning for the future. Will Dumain made a pledge to support the Asian Church with spiritual and finance support. 12. Other Business Rev. Gary Bradley thanked Jane Fall and her committee for the wonderful Church lunch. A special thank you was given to Michael and Diane Goodrich for purchasing and cooking the meal. Rev. Gary Bradley advised that Shawna Lynn Jones, the inmate firefighter killed in the Malibu fire, was a member of the Church s Prism Group. 13. The Meeting was adjourned at 1:45 pm 14. Rev. Gary Bradley closed the meeting with a prayer.
Vestry Nominees AngelA rong I, Xue (Angela) Rong, was born in Beijing (P.R. China) in 1988 and was baptized at St. Thomas Church, an Episcopal Church, in Newcastle Upon Tyne (England, UK) in 2011. In 2016, I confirmed at the Church of Our Saviour in USA. I have two master s degrees. In 2012, the Master of International Business Management Degree was achieved from Newcastle University Upon Tyne in England. In March of 2017, the Master of Accounting Degree will be got from University of La Verne. Have I not commanded you? Be strong and courageous. Do not be afraid; do not be discouraged, for the Lord your God will be with you wherever you go. This is the word of god that we have heard when Jacob and I decided to come to America in 2013. Inspiring by these words, Jacob and I found the Church of Our Saviour. Since that time, I had great enthusiasm to contribute my time and energy to serve in the church. Therefore, I asked Father Gary to introduce me to help in the food bank, which is located in El Monte. I assisted to prepare paperwork of the people. Meanwhile, I organized the patients files for the clinic. Few months later, considering my professional skills of accounting, I transferred to accounting department to help with the monthly bank reconciliations. With God s help, I got the Certification of Congressional Recognition by providing the outstanding service to the community on March 2014. On April 2015, I have been nominated and awarded as 2014-2015 Spirit of La Verne Award Engaged Student by exemplified University s value of justice and has influenced the student s growth personally, professionally, and academically. And currently, I am working in a local CPA firm. Time flies, however, my enthusiasm had never faded. I still believe that no matter where we are and what we do, we can influence those people around us in various positions through our Christians life. Therefore, I will never stop contributing my time and energy to serve god by plying my role in this society and bring more people come in front of God. Joanna Cory My spiritual journey while in Los Angeles has afforded me with numerous opportunities to stretch and grow. I have served as verger of a large parish, wedding coordinator, and director of the Homeless Assistance Services with a team of forty volunteers. I have had the opportunity to found and lead a Centering Prayer group and organize several Taize services. I have served as Senior Warden at one parish here in Los Angeles while serving on the worship committee and presenting a series of forums on spiritual growth. I have preached at three different parishes in the Diocese and coordinated outreach opportunities for the parishioners of those parishes. I am a trained spiritual director and an oblate of the Order of Saint Benedict. I am now honored to serve as verger at Church of Our Saviour as well as chalice bearer. Patricia Beith I am Patricia Beith, better known as Patti. I worked for the US Department of State for over 30 years and worshiped/ participated at several English speaking congregations around the world. I retired to San Gabriel in 2009 and joined the Church of Our Saviour, my neighborhood church. I have been active in the Altar Guild, Lay Reader (LEM), and volunteer at church functions. I have been the Vestry Clerk for the past two years. I am developing a Docent program as part of the 150th Anniversary of the Church. I look forward to church s growth in the Chinese and English communities. PAul SteWArt I have attended COS since I went to ACGS and have been here practically my whole life. Sunday School, VBS, Confirmation, Children s Choir, Acolyte, Youth Group, Boy Scouts, married here and am now raising my daughter here. Having received so much from this church, I figure it s my time to give back and serve, wanting to give my perspective on our successful past and do what I can to make sure my daughter (and others) has the same wonderful memories of COS as I do.
Vestry Nominees PAtriCk CrAndAll My wife, Sharon, and I have been attending COS since 2011. During our time at COS, I have been elected to a three-year term on the Vestry, two years of which I served as Senior Warden. I have been a member of the choir (but more recently only periodically) and also serve as a Eucharistic Minister and Liturgical Coordinator, and chair of the Property Committee. I was baptized and confirmed in the Roman Catholic Church, and received into the Episcopal Church in 1986. Sharon and I were married at Grace Episcopal Church in Glendora, where we were the directors of the youth group for 10 years, and where I also served as a Eucharistic Minister and acolyte coordinator. After moving to Pasadena in 1992 and attending Church of the Angels, my work took us to New York City and later San Francisco, but we returned to Pasadena and made COS our church home. Professionally, I have been employed in the commercial real estate industry for over 30 years, and am currently a Managing Director with Pacific Western Bank, providing structured financing for all types of commercial real estate projects nationwide. It has been a great honor and blessing to serve Fr. Gary and COS, and I am grateful to have yet another opportunity to serve as COS ushers in its next 150 years. CREIGHTON PENIDO
Church of Our Saviour Treasurer s Report to the Annual Meeting Presented February 26, 2017
Agenda Introduction Legal Structure Consolidated Balance Sheet Endowment Funds Report Review 2016 Financials/2017 Budget Q & A 2
Legal Structure Church of Our Saviour is a religious non profit corporation COS is tax exempt under section 501c(3) of the IRS Code And designated a public charity under section 509a(1) The corporation is managed by: Rev. Gary Bradley, Rector, President/CEO Vestry, the Board of Directors 15 members, 3 year terms 5 new elected every year The church is subject to the Constitution and Canons of the Episcopal Diocese of Los Angeles and TEC The Episcopal Church 3
Consolidated balance Sheet at 12/31/16 1 2 3 4 5 7 8 9 10 Church A Child's Church Transitional Li Tim-Oi Our Saviour Interfund ASSETS Operating Garden School Plant Endowment Restricted Housing Altar Guild Center Center Elimination Total Cash $ 64,792 $ 69,717 $ 2,164 $ 30,145 $ 38,355 $ 41,593 $ 5,104 $ 205 $ 93,803 $ - $ 345,876 Investments - - 635,078-127,892 - - 762,969 Alternate Investments (church loans) - - - Investments - Kirk 4,610,131-4,610,131 Investments - Keck & Cleaver 5,298,901-5,298,901 Promises to Give (Net) 463,495 - - 52,879 - - - - 516,374 Receivables (Net) 400 - - 50,000 30,475 315,575-107,695-504,145 Inter-Fund Receivables 10,658 105,682 10,000 1,131 - - (127,471) - Prepaid Expenses and Other 769-769 Current Assets - - - - - - - 4,277-4,277 Land, Buildings and Equipment (Net) - 220 7,322,037 - - 1,279,718-5,254,507-13,856,482 - TOTAL ASSETS $ 540,114 $ 175,619 $ 7,324,201 $ 9,999,176 $ 757,917 $ 1,636,886 $ 132,996 $ 205 $ 5,460,282 $ (127,471) $ 25,899,924 LIABILITIES AND NET ASSETS LIABILITIES: Deferred Revenue $ - $ 76,728 $ - $ - $ - $ - $ - $ - $ - $ 76,728 Accounts Payable and Other Liabilities 60,669 919 87 3,451 7,435-450 45,508-118,519 Longterm Payable 268,520-268,520 Inter-Fund Payables 100,893-25 - 11,322-3,056 12,175 (127,471) $ - Grants Payable/Defered Rev - - - - - - - - $ - Note Payable - Mortgages - 174,925 $ 174,925 Note Payable - Credit Line 50,000 364,205 $ 414,205 Note Payable - BFT Loan - - 200,000 - - - - 200,000 TOTAL LIABILITIES 480,082 77,647 200,000 112 3,451 193,682-3,506 421,888 (127,471) 1,252,897 NET ASSETS: Income (Expense) (1,243) (2,236) 821,141 (125,786) (9,930) 80,551 (4,124) (6,620) 103,180-854,932 Board Designated - - - 140,000 - - - 140,000 Fund Balance 61,275 100,208 6,303,060 10,124,850 624,396 1,362,653 137,120 3,319 4,935,214-23,652,095 TOTAL NET ASSETS 60,032 97,972 7,124,201 9,999,064 754,466 1,443,204 132,996 (3,302) 5,038,394-24,647,027 TOTAL LIABILITIES AND NET ASSETS $ 540,114 $ 175,619 $ 7,324,201 $ 9,999,176 $ 757,917 $ 1,636,886 $ 132,996 $ 205 $ 5,460,282 $ (127,471) $ 25,899,924 4
Church of Our Saviour Endowment Funds Annual Parish Meeting Presentation February 26, 2017 by Russ Case Chairman, Endowment Committee
Agenda Summary of Endowment and Restricted Funds and Current Fund Balances Summary of Legacy Fund status Ongoing Plan to Manage Draw Projected Endowment Fund Balances Loans Backed by Endowment Funds 2016 Endowment Committee Russ Case John Ballance Jeff Ross Fr. Gary Bradley Wil Dumain Basil Johnson Alan Kreditor
Endowment and Restricted Funds Balances As of 12/31/2016 Kirk Fund Donated in 1978 as True Endowment Annual distribution - $255,813 (nominally 4%) Funds designated for COS Operations Current Value: $4,610,130 Keck/Cleaver Funds Keck portion donated in 1975 Cleaver portion donated in 2004 Managed as Board Restricted Fund Annual Distribution targeted at 6% Current Value: $5,298,900 Restricted Funds Donated at various times for specific projects Funds used only for donor-designated projects Current Value: $635,078 Kirk, Keck and Cleaver Funds combined returned 5.9% in 2016
Legacy Fund The Legacy Fund was created in March of 2013 This is a permanent fund with restrictions that the original contribution amounts cannot be spent There are currently 28 Legacy Circle members The Fund is identified as a beneficiary in the trusts/estates of 20 families, has a current fund balance of $30,145, and Promises to Give balance of $604,000. Annual return from the Legacy Fund will provide sustainable support for COS ministries
Ongoing Budget Plan Three Year Plan jointly adopted by Vestry and Endowment Committee in 2011 The Plan called for reducing the annual draw from the Endowment Fund year in each of the three years 2012-2014 so as to achieve a sustainable level by 2014. Unfavorable market returns prevented us from fully reaching our goal in 2014. The Ongoing Plan calls for further reducing the annual draw by $20,000 per year for the next five years. This should result in a sustainable draw by 2022.
Loans Backed by Endowment Funds Building For Tomorrow Project Project included construction of Cleaver Hall and Grace Chapel Loan initiated in 2004 to fund completion of project Year-end loan balance: $1,796,153 (as of 12/31/2015) $100,000 loans due in 2016, 2017, & 2018 $1,496,000 loan due in 2020 The $100,000 loan due in 2016 was paid off in January, 2016 The $1,496,000 loan due in 2020 was paid off in February, 2016 The $100,000 loan due in 2017 was paid off in January, 2017 The last remaining $100,000 loan will be retired in January, 2018 Lines of Credit Used for cash flow management Keck/Cleaver Funds provide collateral Value: $365,000 Total Loan Obligations: $465,000 (as of 2/26/2017) Collateral Required: $715,385 (estimated)
Summary Reducing our dependence on the Endowment to a sustainable level is essential to the future health of this Parish The Three Year Plan was a good start The Vestry is continuing on a path to achieve that goal With the BFT Balloon Loan paid off, we are nearly debt-free. Gifts made to our Legacy Fund, a true endowment, will produce perpetual legacies
COS Divisional Financials COS operates five distinct divisions/ministries Church Operations A Child s Garden School Our Saviour Center Jubilee Transitional Housing Li Tim Oi Center: A Chinese Ministry of The Episcopal Church 6
Church Division Revenue Total Source of Funds $1,055,200 $1,144,175 $1,151,985 Transfers from Endowment & Restricted $448,000 $493,413 $393,967 FY 2017 Budget FY 2016 Actual FY 2015 Actual Rentals, Fees and Other $85,900 $79,634 $186,891 Pledge & Plate $521,300 $571,129 $571,127 $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 $1,400,000 7
Church Division Expense Total Expenditures $1,055,200 $1,145,418 $1,138,684 Mission Share & Outreach $126,624 $135,727 $101,279 Building & Grounds $174,000 $167,604 $194,714 FY 2017 Budget FY 2016 Actual FY 2015 Actual Admin & Parish Life $149,976 $157,445 $157,100 Personnel $604,600 $684,642 $685,591 $0 $200,000 $400,000 $600,000 $800,000 $1,000,000 $1,200,000 $1,400,000 8
A Child s Garden School Rev/Exp (School budget is September - August) FY 2015-2016 FY 2016-2017 Actual Budget Revenue: Contributions 14,110 7,000 Special Events 13,482 13,000 Fees 639,156 630,000 Interest on Note 2,003 2,000 Total Source of Funds 668,750 652,000 Expenditures Personnel 554,845 546,500 Admin/Office Expense 34,237 35,500 Program Expense 35,233 32,300 Property Maintenance 39,083 37,700 Total Expenditures 663,399 652,000 Net Cash Flow 5,351 0 9
Our Saviour Center Rev/Exp FY 2016 FY 2017 Actual Budget Revenue: Contributions 231,268 127,000 Private Grants 197,628 232,000 Public Grants 531,152 605,200 Fees and Contracts 713,262 534,000 Txfr from Endowment 150,000 150,000 Interest & Other 410 Total Source of Funds 1,823,720 1,648,200 Expenditures Personnel 719,802 733,600 Admin/Office Expense 140,894 124,500 Program Expense 715,640 634,700 Property 144,204 155,400 Total Expenditures 1,720,540 1,648,200 Net Cash Flow 103,180 0 10
Transitional Housing Rev/Exp FY 2016 FY 2017 Actual Budget Revenue: Contributions 49,649 60,000 Rent 197,624 191,300 Total Source of Funds 247,273 251,300 Expenditures Personnel 47,951 55,800 Admin/Office Expense 27,076 30,700 Program Expense 12,035 9,600 Property 79,660 62,100 Total Expenditures 166,722 158,200 Net Cash Flow 80,551 93,100 11
Li Tim Oi Center Rev/Exp FY 2016 FY 2017 Actual Budget Revenue: Contributions 5,560 4,200 Grants 50,000 57,000 Other 830 0 Total Source of Funds 56,390 61,200 Expenditures Personnel 59,000 50,700 Program Expense 4,010 10,500 Total Expenditures 63,010 61,200 Net Cash Flow (6,620) 0 12