Saint Stephen the Martyr Finance Council
Minutes of October 18, 2018
Meeting was called to order at 7:00 with an opening prayer.
Present: Fr. Dave Belt, Juli Han, Ed Woll, Randy Wiese, Tom Maddock, Brian Gress, Diane Palik, Jim Spurgin, Joe Lad, Roger Meyer
Absent: Tom Hassenstab, Amber Rinehart, Pat Corrigan
Introduction of new finance council members Joe Lad and Roger Meyer
Discussion of current financial position of the church:
- Had to draw on line of credit to meet payroll.
- Current have a negative cash balance on the balance sheet, but have checks written but not cashed.
- Still have six months of double payments in unrestricted reserve account.
- Following actions were approved by Finance Council
- Ensure accuracy of books by stop writing checks to ourselves and not cashing the check.
- Reverse all entries associated with uncashed checks to ourselves and destroy uncashed checks.
- Pay off line of credit using loan reserve account
- Utilize loan reserve account to cover any future cash flow shortage. Revisit this issue if we dip below 3 months reserve.
- Make only the $15.0k required monthly loan payment until further notice.
Other potential financial exposure:
- School administration believes we may have up to a $100.0k exposure for teachers with accumulated unused vacation/sick time. Record keeping regarding actual days used may be incomplete. Juli to send the pertinent contract information to Tom Maddock for review. School administration to speak at next finance council meeting.
- Follow up information: after reviewing the relevant contract information, there is no contractual language allowing carry over of unused vacation/sick time. The church’s contractual commitment is to pay a substitute teacher for up to 4 days each of vacation and sick time. Days over that are paid by the teachers themselves. Based on my review, I do not see this an obligation to pay teachers when they leave our employ. This has been done in the past according to the information I have, but we should check with an attorney to verify. Even if we are liable, I see the maximum liability as the substitute pay, not the current salary.
- Engineering report on the GPC indicates the trees are sucking the moisture out of the clay underneath the GPC leading to the settling issues. Recommend removing all of the trees, install helical piers and mudjack the floor to resolve the issues. Potential cost of $78.0k for repairs with total cost of approximately $100.0k
Stewardship Sunday is planned for November 4, 2018. Due to the current financial situation, a subcommittee will meet to review the 2018 stewardship plan and develop appropriate response. Ed Woll, Randy Wiese, Tom Maddock and Joe Lad to meet on this issue.