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Home > Council of Elders Meeting Report - December 7 & 8 , 2020

Council of Elders Meeting Report - December 7 & 8 , 2020

By abooth
Created Dec 10 2020 - 2:40pm

United Church of God, an International Association

Council of Elders Quarterly Meeting Report

Milford, Ohio

Monday, December 7, 2020

Chairman Len Martin called the morning session to order at 10:00 a.m. Eastern, and the meeting was opened with prayer. All 12 Council of Elders (Council) members were present. Bob Dick, John Elliott, Mario Seiglie and Tony Wasilkoff were online

Chairman Martin welcomed everyone. The last Council meeting minutes were approved. The agenda for the week was discussed and approved.

President’s Report—Victor Kubik

President Victor Kubik greeted everyone. He began by reading Isaiah:52:7-10 and mentioned that these verses contain the work of God. Mr. Kubik then commented on some of the following events relating to the President’s office since the August Council meetings.

Mr. Kubik concluded by being thankful to God for what He continues to provide.

Operation Manager Reports:

Ministerial and Member Services (MMS)—Mark Welch

Current statistics include:

Mark Welch summarized some manpower changes since the last meetings in May:

Mr. Welch expressed his gratitude for God’s blessings, both financially and spiritually, during these especially difficult times. We are very grateful we were able to keep the Feast of Tabernacles in many physical locations around the United States and the world and that, overall, things went very well. Also, many were able to connect online. We also appreciate all the extra work from Charles Melear and all of our Festival Coordinators during a very challenging year.

Travel for MMS has been limited. Last week Mr. Welch visited the Roanoke, VA congregation. Pastor Mike Arritt and his wife, Rita, have both had some serious health challenges lately. Next week Mr. and Mrs. Welch will be traveling to Phoenix for a Women’s Enrichment Sabbath for the combined Phoenix and nearby churches. There will also be the online Southwest Regional Conference on Sunday.

Media and Communications Services—Peter Eddington

Peter Eddington went through some of the following statistics as of November 30 this year:

Some other items Mr. Eddington talked about were:

Treasurer and Financial Services Report—Rick Shabi

Rick Shabi distributed Fiscal Year 2020 Audited Financial Statements (“Audit Report”), November and other financial statements to the Council as he began his report.

The Audited Report is the official representation of the Church’s financial condition that is provided to and relied upon by vendors, bankers, donors, members, and others. As such, it is important for the Council to take some time to review the statements and the notes included therein. Mr. Shabi then took the Council through a cursory review of the Report.

He pointed out that the auditors again cited no deficiencies in internal controls and needed to post no adjustments to the Church’s internal financial statements. It was noted that the Church’s financial condition continues to remain strong, with income for the fiscal year ended June 30, 2020 exceeding $20 million and total assets increasing by over $1 million, continuing a trend we have seen over the last few years. Due to the COVID-19 crisis, which curtailed travel and other related expenses during the last three months of the fiscal year, expenses came in under budget for the fiscal year, resulting in the net increase in assets.

The complete audit report will be printed in the next issue of the United News.

Next, current year (fiscal year 2021) financial statements, including a Revenue Statement for November and the fiscal year-to-date, a recap of fall Holy Day offerings and attendance, the November balance sheet, departmental expense statements, a “COVID-19” period income statement, and operating statistics were presented and discussed.

It was noted that income for the first five months of the fiscal year, especially in General Contributions and Holy Day offerings, is well above budget. This is a blessing from God as we did not know what to expect during this pandemic time. At the same time that revenue has been strong, operating expenses have been well under budget during this pandemic, which was unforeseen when the budget was prepared, presented and adopted by the Council last February.

Mr. Shabi shared a “COVID-19 income statement” that covered the period of March – Oct. 2020, noting revenue increases and citing those expense areas, such as travel, meetings and conferences, and local church subsidies that are significantly under budget. He commented that the Church will not expend all the funds approved in the current budget due to these unique and unprecedented times and that, at Council and Administration discretion, some of those unused funds may be allocated to other areas of operation during the remainder of the fiscal year as needed.

Mr. Shabi concluded the financial report by discussing upcoming budget planning for the Church and acknowledging God’s blessing on His Church which has been so evident during this time.

External Audit Report—Kerry Roe (auditor)

Following lunch, Chairman Martin introduced Kerry Roe, who is the President of the accounting firm of Clark Schaefer and Hackett and the partner who oversees the Church’s annual audit. Mr. Roe made a presentation to the Council based on financial highlights and analyses from the recent audit. This audit report was presented to the Council earlier in the day. He commented that, based on the audit and their review of internal controls and systems, the Council can rely on the accuracy of monthly financial reports generated internally, and that their audit once again resulted in an “unqualified opinion” on the financial statements.

He also commented on several of the financial indicators apparent in the report. He cited the Church’s continuing strong financial position and that the Church continues to maintain a healthy cash balance of about six month’s operating expenses. He noted capital acquisitions during the year, the increase in cash assets, and commented on the COVID-19 crisis and two new notes to the audited financials, regarding the COVID-19 period and asset liquidity.

Following his presentation, Mr. Roe fielded several questions of a general nature from Council members

Committee Chairman Reports:

Strategic Planning and Finance Committee (SPFC)—Dan Dowd

The SPFC had one online meeting this fall which included Chris Rowland and Rick Shabi to follow up on a mandate from the December 2019 meetings to look at a potential revision to the Retiree Discretionary Assistance Policy. Those conclusions and recommendations will be presented to the Council on Wednesday. The SPFC has been preparing for the discussion regarding the review of the Strategic Plan, Operation Plan and Budget, which will also be done on Wednesday.

Ethics Committee—Randy Stiver

The Ethics Committee has no mandated duties or assignments at this time.

Media and Communications Committee (MCC)—Scott Ashley

The MCC is mandated to preview the president’s report and media operation manager report before each quarterly Council meeting. This was done on December 4. Also discussed were two media proposals that will be presented to the Council later in these meetings.

Roles and Rules Committee (RRC)—John Elliott

The RRC has the responsibility to lead Council reviews of any proposed amendments to the Constitution and Bylaws. This week there will be two proposed amendments presented to the Council for review. Another responsibility of the RRC is to propose updates to the Pastor’s Policy Manual. These will also be presented later in the week for the Council’s approval.

Doctrine Committee (DC)—Mario Seiglie

The DC had one online meeting on November 12 to discuss pending doctrinal papers. The DC completed four more doctrinal projects that will be reported to the Council later this week.

Education Committee (EC)—Aaron Dean

The EC has still not reached consensus on writing an article in the UN regarding the hymnal. This issue was remanded to the EC in the December 2019 meetings. The EC will have an update to the online Bible correspondence course that will be presented later in the day.

Computer Equipment Expense Policy 3.1.7 –- Dan Dowd

Dan Dowd, as the chair of the SPFC, presented to the Council the recommendation to update the 2011 Computer Equipment Expense Policy 3.1.7. It was recommended to remand it to MMS to review and update this policy in the Pastoral Policy Manual.

Ordination Request Form update—Dan Dowd

Dan Dowd presented a simple update to the Ordination Request Form that allows international areas to add an addendum to the form when needed. The Council unanimously approved this update.

HR Policy updates—Chris Rowland

Chris Rowland presented policy updates for review to the Council. The vacation policy was presented with an update to begin the accrual of vacation hours at the time of hire. There was also a Professional Development policy presented that would encourage increased skill development and enhance education for employees. The policy explains the process for approval. Both policies were discussed and unanimously approved by the Council.

Healthcare Reserves—Rick Shabi

Rick Shabi presented to the Council a history of the Church’s healthcare plan for employees, which is self-insured. There are advantages and responsibilities that come with being self-insured. For the past few years, God has blessed the Church with lower than budgeted health care claims, but in years prior healthcare expense had exceeded budget, sometimes significantly.

At the beginning of the prior fiscal year, an accounting change was made to create a healthcare reserve account, the use of which was designed to help manage our budget. Since then, we have had favorable healthcare variances, leading to a sizable healthcare reserve in excess of $300,000.

In order to recognize UCGIA’s responsibility for healthcare claims, it is appropriate to establish a Board-restricted fund, setting aside funds for the express purpose of funding healthcare claims if future financial conditions demanded its use.

After discussion, the Council unanimously approved a resolution for creating a board restricted healthcare reserves fund, seeding it with significant funds.

Online Bible Course—Darris McNeely

The review of creating an online Bible correspondence course was remanded to the Content Committee in the August 2020 meetings. Darris McNeely, as the chair of the Content Committee, presented to the Council that they discovered the Australian UCG website already has a really good program online. Peter Eddington received approval and created a link the Australian UCG website. Jorge de Campos, who originally presented the idea, agreed and is also satisfied to make use of the Australian program.

The Council went into executive session at 3:22 p.m. for about an hour.

UCG Public Proclamation: Against the Gates of Hell—Darris McNeely / Scott Ashley

After dinner, Darris McNeely and Scott Ashley presented their desire to look at some ideas for public proclamation and to get feedback from the Council as well. They went through the history of the media effort since 1995 showing the development of Beyond Today magazine and television. We are living in momentous times and the desire is to work together to preach the gospel and give a warning message. They expressed the importance of being on the offensive in preaching the gospel. Initiatives to energize and involve the entire church in its mission of proclaiming the gospel will be formulated and brought to the Council for discussion. The presentation and follow up discussion lasted for over two hours.

The Council adjourned at 8:05 p.m.

 

 

Tuesday, December 8, 2020

Chairman Len Martin called the morning session to order at 10:04 a.m. Eastern, and the meeting was opened with prayer. All 12 Council of Elders (Council) members were present. Bob Dick, John Elliott, Mario Seiglie and Tony Wasilkoff were online

Discussion on Feedback from Washington D.C. Trip—Len Martin

Chairman Martin led the discussion regarding feedback received pertaining to a recent trip to Washington D.C. by two Council members and President Kubik. John Miller, Vic Kubik and Darris McNeely each explained their communications and rationale for attending The Return event.

Rick Shabi commented that the concerns about the trip that had been mentioned to him included the appropriateness of attending this event on the Sabbath and the perception that church media people who attended the event were working on the Sabbath.

Mr. Martin had similar comments from members in his church area and also about a sermon on the Day of Atonement that was also perceived to be promoting the primary organizer of the event.

Chairman Martin also mentioned being sensitive about posting material on social media. The photos posted lacked context and explanation, causing members to jump to inaccurate conclusions which probably fueled the concerns.

The Council went into scheduled executive session at 11:12 a.m. to cover multiple items on the agenda.

The Council came into open session at 4:46 p.m.

Open Discussion on Ethics—Randy Stiver

Randy Stiver, as the chair of the Ethics Committee (EC) suggested a rewording of the ministerial code of ethics to contain fewer personal pronouns (I and me) and more plural pronouns (us and we) to have more emphasis on teamwork. The Council discussed it. Since the ministerial code of ethics is for a person to agree to, it was suggested to add some of that wording to the preamble of the document. It was remanded to the EC to work on the wording and bring it back to the February 2021 meetings for the Council to review.

The Council went into scheduled executive session at 5:07 pm

The Council adjourned at 5:22 p.m.

 

-end-

Council Reporter

Shawn Cortelyou

[These are not the official minutes from the Council meeting. Elders can find those at the Home Office with the Council Secretary. Video recordings are posted for the elders on the UCG Ministerial Resource Site.]

© 2020 United Church of God, an International Association

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