Strategic Planning FAQ

  1. What is the current budget situation? Currently, taking into account general fund offerings and offerings designated to pay for items in the budget (such as the building fund), we are (roughly) breaking even. However, the following issues will soon lead to a projected $4,000 to $7,000 gap in our ability to meet monthly expenses unless the Lord blesses us with the will and means to increase giving:
    1. Synod funding for our staff ministry position will soon end.
    2. The rent-free gift of the Stelljes home will soon end.
    3. Insurance premiums are expected to rise significantly.
    4. During the next few years, we must repay $75,000 in building loans from members.
  2. Why didn't we plan better for this budget situation? A few months prior to adding a staff minister, Pastor Johne served as a half-time staff member. Relative to that, the addition of a staff minister represented an increase from 1.5 to 2 whole family ministry positions. The thinking at that time was that increased membership would lead to increased giving, which would support the extra one-half position. The Lord has blessed us with many new souls during this time; however, due to difficult economic conditions and the departure of some generous families from our midst, giving has stayed relatively flat. Recognizing this last winter, the council recommended to voters that we reduce school staff, but the resolution was rejected in the voters' meeting.
  3. Why did we build a new sanctuary? Didn't we see these issues coming? Our gospel ministry was suffering from inadequate worship facilities prior to building the new sanctuary. The voters, who approved all financial decisions related to building the new sanctuary, saw ample evidence of our fellowship's financial commitment to the project along the way. Our current challenge is related to newer issues (see previous answers) that have arisen since the decision to build the sanctuary.
  4. How can we avoid taking drastic budget reduction steps? All proposed long-term measures are either easily reversible or deferred for several months. If the Lord moves and equips us to increase our thank offerings, the trend will be recognizable in time to reverse any decisions we make now. It is the fervent prayer of the Pastor and the leadership that this will happen.
  5. Why are we recommending a reduction in school staff as opposed to whole family ministry? Analysis indicates that whole family ministry would be crippled severely by reducing from two positions to one. Given the current teacher/student ratios in the school, a staff reduction, while undesirable, has a lesser impact. Our school has flourished in the past with a smaller staff and a similar enrollment.
  6. Why aren't we considering school tuition to address current finances? Tuition is being considered by a special committee. If we did institute tuition, analysis indicates it would not have any appreciable near-term impact on finances.
  7. Why are we recommending selling an asset to pay the bills? Is this a prudent long-term solution? We have recently purchased a home that suits our needs. Selling a home that does not meet our needs balances that decision. In essence we are trading one asset for another. We have no intention of reducing assets to pay bills. Also, the sale is not being proposed as part of the long-term solution, but as a bridge to:
    1. help cover shortfalls until long-term reductions can be implemented
    2. provide cash for upcoming one-time costs (e.g., pay member loans coming due)
    3. provide some cash reserves to help cushion against cyclic fluctuations in the operating fund
  8. Why don't we sell all houses to generate cash and pay called workers a housing allowance? Analysis shows numerous benefits to the congregation and ministry by owning property:
    1. As a non-profit organization we pay no property tax.
    2. Much of the maintenance is covered by members giving of their time and talents.
    3. Called workers are not distracted from ministry work by home ownership issues.
    4. Called workers remain mobile, able to follow the Lord's calling, without being tied to an asset.
    5. Holy Word home ownership is less expensive than housing allowances which allows more resouces for ministry (the short-term cash gain would quickly be drained by higher monthly expenses).