Balanced budget approved with reduced Proportional Parish Share

Tracy Albert, chair of the Property and Finance Committee, and Sanjay Grover, director of financial ministry, presented a balanced budget to Synod for the three-year cycle 2024 to 2026.

Albert said this budget is projecting an overall increase in revenue by about 5 percent in 2024 to $4.5 million. “We are assuming revenues will decline a little bit in 2025 and 2026,” she said, noting that as a balanced budget, expenses will be kept in line with revenue.

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A pie chart showed the expected sources of revenue over the next three years with 40 percent coming from Proportional Parish Share (renamed from Parish Fair Share (PFS), 34 percent from central funds, which includes the consolidated trust fund, property income, and the Cathedral Hill Foundation, 19 percent from administration fees, 1 percent from donations, and 6 percent other.

Of key interest for parishes was the reduction in Proportional Parish Share. In keeping with a resolution from Synod 2022, PFS was reviewed and reduced by 22 percent (or about $460,000 collectively.) Albert explained that this decrease is expected to be more than offset by a projected increase in revenues from the diocesan central funds, distributions from the Cathedral Hill Foundation and property income.

In his charge, the bishop explained that the reduction in PPS was possible “because we combed through the trusts we hold collectively as a diocesan church, and, wherever possible, are now using dividends from them to support our operating budget. Using our central financial resources in this way places less demand on money from our parishes to cover our central operations.”

The bishop also noted that the same approach will be used concerning Equalized Cost of Priestly Services (ECOPS): “Wherever possible, dividends from trusts we hold collectively as a diocesan church will be used to offset the pay fund—understanding that, at this time, the amount we can apply is relatively small.”

Sanjay Grover, director of financial ministry, offered Synod delegates assurance that any money used is from diocesan-owned funds, and parish trust funds are not involved. More detailed information and graphs are available on the diocesan website.

Grover noted that although they tried to keep it to a minimum the amount of support the Diocese provides to the community ministries had to be reduced by about $50,000 from the 2023 budget.

Grover also said that the amount the Diocese contributes to the national church also had to be reduced. “It used to be 26 percent up until about three years ago. Last year, we brought it down to 23 percent, and this cycle we have reduced it to 20 percent, a decision made through consultation with the national church.”