At last week's Province I Synod Pre-Convention meeting, I presented the draft proposed budget for 2013-2015. Present with me were Province I's Executive Council members, members of Program, Budget and Finance, PB&F Chair Diane Pollard, the President of the House of Deputies, the Secretary of General Convention, and Del Glover, Chair of Executive Council's subcommittee on finance. In the course of my presentation and the subsequent question and answer period, it became clear that there are some internal inconsistencies and at least one error in the draft proposed budget.
The draft proposed budget is balanced at $104.9 million. However, there is an internal inconsistency related to the Development Office. The amount proposed as income for the Development Office is $3.7 million and the amount proposed for expense is $2.5 million. If the the two numbers are brought into alignment, either by decreasing income or increasing expense, then the budget will be unbalanced by about $1.2 million.
There is also an apparent inconsistency in the sum of the amounts proposed for Grants and Covenants. The total listed is $15 million. Adding the internal line items results in a sum of something less. When I do the math it's about $14 million, but it's not clear at this time if the active spreadsheet would correct this seeming error in the pdf copy of the draft proposed budget.
Finally, the amount of $286,438 for Formation and Vocation is an error. Although Executive Council was clearly reducing the amount for this part of the budget, the actual number was lost in the complex process of combining the 15% and 19% cases the Executive Council used to build the draft proposed budget. The budget was adopted and Executive Council adjourned before the error was discovered. Questions have been asked regarding what the "real" number might have been. Council members at the Province I Synod suggested something in the range of $1.9 million. Other knowledgeable persons suggested $1 million. PB&F will need to address this matter at General Convention. Restoring funds to Formation and Vocation will require taking funds from other places.
Diane Pollard and I are both very aware of the concern many have about errors in the draft budget. However, we want to emphasize that this is the Draft Proposed Budget that was submitted by Executive Council in January to the Joint Standing Committee on Program Budget and Finance. This draft budget cannot be changed until the General Convention meets in Indianapolis in July. In July the budget will be changed not only to reflect the numerical corrections, but it will also be changed to reflect General Convention Committee decisions, hearing discussions and other input that has and is being received.
We encourage your participation in the Provincial Synod meetings that are being conducted at this time as well as the hearings at General Convention, the House of Deputies online forum, and our blogspot which can be found at http://jscpbf.blogspot.com. Thank you to all for your continued support.
Steve Lane and Diane Pollard