Diocese continues cost-cutting practices
Posted March 31st, 2009
The national recession has hit home for the Diocese of Central Florida, with reduced expectations for diocesan income for the remainder of 2009.
The Diocese is cutting its budget for the rest of 2009, while retaining its priorities to support the vision of church growth and evangelization.
The Rt. Rev. John W. Howe, his staff and the Diocesan Board have been searching for new ways to save money since the economy started its downturn in 2007.
“As we move further into this new year it is clear that the economic downturn is deeply affecting everyone and I expect shortfalls in our parishes, and therefore to the Diocese itself, may be more severe than we had hoped. I am asking that everyone be as stringent as possible,” Bishop Howe wrote in a January letter to staff. “NO capital expenditures, NO new equipment. Please do as much correspondence by e-mail as possible. Limit travel that is charged to the Diocese and, in every other way, please be as fiscally responsible as possible.”
The Diocese and its staff in 2008 had already made spending reductions including:
* The elimination of a full-time support position at the Diocesan level.
* Bishop Howe and Canon to the Ordinary Ernie Bennett waived their cost-of-living salary increases authorized by the Diocesan Board for 2009.
* Some staff members have personally been paying business expenses associated with their positions, including travel, mileage reimbursement and computer supplies.
At its March meeting, the Diocesan Board grappled with still more cuts.
Diocesan Administrator Earl Pickett reported that the total amount of pledges falls short of funding the 2009 Adopted Operating Budget by approximately $173,000, which was already below the previous year’s budget.
The Finance Committee presented its suggested modifications to the 2009 budget including $20,000 of income via grants from various diocesan funds, including the Church Expansion Fund, Designated Fund, Property Fund and Slemaker Fund (using accumulated investment income), and $152,875 of decreases in expenses.
“This has been an absolutely awful week,” Bishop Howe told the board.
Cuts to the 2009 budget include:
* $13,550 from diocesan-paid travel, including General Convention travel for alternate deputies and expenses for diocesan representatives to the annual Union of Black Episcopalians conference;
* $1,239 from Province IV Synod meeting expenses;
* $6,000 in funding for the Hispanic Missioner after June;
* $3,000 in escrow for sabbaticals;
* $5,034 for the Editorial Librarian;
* More than $19,000 in diocesan supplies and equipment, including $15,250 by buying rather than leasing a new copier;
* $7,500 from accounting and legal services;
* As much as $14,000 by combining issues of the Central Florida Episcopalian, moving from 12 issues per year to 11 or 10.
An additional $5,000 savings should be realized by changing the way the annual Diocesan Journal is produced.
“There will be a Journal of the Convention produced in-house with only those things pertaining t o the Convention in it,” Canon Bennett said. “We will produce about 200 copies, one for each congregation and then the others we are required to have. Everything else will be available on-line.”
Perhaps the hardest decision for the Bishop and Board was to end funding for Assisting Bishop Hugo Pina-Lopez's official ministry after June. Bishop Pina-Lopez had retired for medical reasons after a kidney transplant in 2001. He later suffered a serious car accident, but returned to limited duty in 2006, helping Bishop Howe with visitations and confirmations.
Bishop Howe spoke of the heart-wrenching decision to cut funding for Bishop Hugo and other staff:
“People love Hugo, I love Hugo, Hugo loves this diocese, and I’ve been very grateful to have had him,” he said. “When we have this kind of terrible, terrible cutting that we have to do, it has to affect personnel as well as program.”
Having fewer Episcopal visits means fewer opportunities for confirmations around the diocese, but the Board and Bishop Howe supported the idea of regional confirmations, with congregations bringing their confirmands to a nearby church.
“We want to explore every avenue for continuing ministry for Bishop Hugo,” Canon Bennett said. “We are hopeful that a parochial assignment might open up for him or funding be made available so that he can continue a ministry and presence in the Diocese.”
