Net Assets increased by $50K as Weekend Collections far exceeded operating expenses and major expenditures (church roof and livestream equipment ($41K)). School Dedicated has small balance left after our payments to St. Brigid School for education support ($44K). Will close out this fund this year.

2. The January Financial Report was sent to you earlier via email. In January, our Weekend Collections continued to exceed Budget! YTD through January we are ahead of budget by $175K and we continue to see this trend in February and closing the gap vs last year YTD. January expenses were lower than Budget across most expense categories. Employee related expenses were more favorable vs Budget this month as a result of having two maintenance employees on short term leave due to minor surgeries. Mike returned this week. Rick is expected to return by early March. We also had lower utilities, office supplies and maintenance expenses. Christ Mission Appeal continues. We are somewhat “stuck” at 90% of our target of $205,735. There will be additional communications in March to help close this gap.

3. FYI… Last week we paid out $115K in grant payments as part of our Christian Service outreach ministry. Btw.. this is our 40th year with over $2.9MM paid out.

4. Ask if any questions.

1. Intro – School building built in 1954 – there are 9 classrooms, restrooms (2) and corridor combine is approx. 10,000 sq ft.. Met with Building Committee and agreed to do a building assessment. TRC have provided a proposal to do an “as is” assessment of roof, mechanical, plumbing, heating, and electrical. Also will id code compliance deficiencies and provide assessment report of their findings including photos, and recommendations. Cost for Phase 1 (base case) is $5K. Start in Mid March and complete in 2-3 weeks from start. early April.

2. Describe Phase 2. TRC and Parish will also reach out to United Way and other community leaders (Mayor Dunker) and service providers for possible partnerships.

3. Last Friday, Fr. Rob and I along with the Building Committee conducted a walkthrough of the church & parish buildings and grounds. Overall facilities are in very good shape. Highlighted a couple of ongoing items a) testing of fire sprinkler system b) concrete repair / replace for main parish entrance and church sidewalk (covering basement) – pursuing estimates from Sugar Construction c) church pews – refinishing.

1. Review Major Expenditure spending. Have approx. $300K in fund after covering the church roof replacement. We also have $245K that will be available from the PPP Loan proceeds.

2. Excluding school building, major project spending forecast of $415K:

Ø Church pews – also original (1966) – repair and refinish – building committee concurs; Not include is cost of deep polishing of Terrazzo floors; church carpet will follow

Ø Church doors (main entrances) only – original 1966 – show significant wear & do not close and seal properly. Propose spring / summer 2021

Ø Roof over kitchen, hall & gym as well as Parish Center roof – both are Durolast and were installed 2004 & 2006 respectively – ~20 year life

Ø School building related projects – roof , windows, & bathrooms – the ~$235,000 combine is a guess – firmer #’s will

1. Church has been with Chemical Bank for many many years. We seen no benefit since merger with TCF. Costs have gradually increased, no longer sponsors church bulletin; turnover in branch personnel are all contributing factors to our move to a new banking partner.

2. Discuss recommendation to Fifth Third.

 

Attendees:  Fr. Rob Howe (virtual), Pat Regier, Judy Gross, Andy Pasztor, Kathy Fothergill, Kevin Spencer (virtual), Mike Ericson (virtual)

Reported by:  Fothergill

First Quarter Financial Results:  Net Assets decreased by $33K during the quarter driven by roof replacement expenditures, and Catholic education support payments of $44K to St. Brigid School.  First quarter Weekend Collections were $36K better than Budget but down $51K versus last year.  The yearover-year decrease was not unexpected.  Other revenue sources were below Budget, with lower Faith Formation activity fees and lower donations.  Expenses for the quarter were better than Budget in all categories except Other Expenses, which were higher because of the Catholic education support payments.  The favorable Expense variance may decrease in upcoming quarters, especially because of emergency assistance payments as weather gets colder and the pandemic continues with less government assistance.  Weekend Collections continue to track ahead of budget in October, as many parishioners continue to mail their contributions.  We saw an uptick in contributions when the outdoor Mass was started, so we may see a decline when that Mass is discontinued because of cold weather.

 

Christ Mission Appeal (formerly CSA):  Most parishioners received a mailing from the Diocese announcing the new program.  Our target assessment is $205,734, a reduction of 3% vs. last year.  The entire CMA campaign will be coordinated by the Diocese, without Parish mailings or home visits.  Our 2019 appeal concluded last June, raising $244K.  This exceeded our target by $33K.  The average gift was $341, which was flat with the prior year.

 

Facilities Update:  Church roof replacement was completed October 13.  The project went very smoothly, although the contractor had to use a different type of glue.  The contractor worked with Dan Kozakiewicz and the Project Manager, Dave Taggett, to better understand and resolve the issue.  There will be no impact on the Duro-Last 20-year warranty, but we will maintain supporting documentation in case there is a problem in the future. We made a partial payment of $87K in September and will pay the balance (approximately $105K) in the coming weeks.  In addition, we completed painting of the church sign, exterior pillars and fascia.  We made a partial payment for the Livestream Camera System, which has been ordered.  We expect completion by early November.

Roundtable:

Pat – October count is underway.  Due to the pandemic, this year’s count will be abnormally low.

Fr. Rob – We offered to deed our playground equipment, which is on Parish property, to the City for its adjacent park, but they declined the offer because it would cost $200K to bring the equipment up to the City’s standards.  We will watch for any signs of deterioration, reviewing in the Spring.  Separately, would like to get back to 10% tithe for Christian Service funding as soon as we can … it should be a priority.

Following a prayer, the meeting adjourned at 8:05 p.m.

 

Attendees:  Fr. Rob Howe,  Pat Regier, Judy Gross, Andy Pasztor, Kevin Spencer, Kathy Fothergill, Pam Gandy (via Zoom), Mike Erickson (via Zoom),

Reported by:  Fothergill

Opening Comments:  Fr. Rob explained that Blessed Sacrament Parish and each of the other parishes in the Diocese will be set up as non-profit corporations, and that legal title of parish real estate will be transferred to each parish corporation.  This structure will provide civil corporate protection to each parish in the event of claims against another parish or against the diocese.  The structural change will not have a substantial impact on the normal operation of the parish.  Pastors, staff, councils and committees will continue to function as before.

School  Closure Update:  All of the full-time school employees (principal, 5 teachers, 1 para-professional) have found employment at schools in the area.  Most of the school equipment and supplies have been donated to neighboring Catholic schools including St. Brigid, Auburn Catholic and Sacred Heart Catholic. St. Mary’s Cathedral received some tables and chairs for their children’s Faith Formation groups. Preschool toy, supplies and books were donated to Chippewa and Sanford preschool and daycare  programs.  ESA will take the school library books and re-distribute to Midland Public Schools. Windover High School, which experienced significant flood damage in May, was able to take teacher desks, filing cabinets and other equipment and supplies.

Fiscal Year End Summary (June 30, 2020):  Net Assets increased by $30K, with lower expenses in most categories.  Weekend Collections were down $35K vs. budget and $13 vs. prior year. We received $245K in May from the Paycheck Protection Program via an SBA loan.  We anticipate that we will be able to retain the entire amount. Major Expenditures Fund increased by 9%, as our tithe more than offset cost of the year’s projects. PSA Dedicated fund is now zero because of the school closure.  The prior balance of $36K will be sent to St. Brigid School.  Cash reserves at June 30, 2020 were $2,113K, an increase of $209K vs. the prior year, due to the PPP loan proceeds.  The 5-year Annual Average Cash Balance of $1.9M covers approximately 10 months of operating expenses.

Fiscal 2020-2021 Budget:  Budget includes: a 30% reduction in Weekend Collections; no increase in Salaries & Wages; the impact of the school closure, including a reduction of employee costs, supplies, services and food costs; cost of church roof replacement project.

Christian Services Appeal (CSA) is now called Christ Mission Appeal, and will take place on October 24/25.  Our target is $205,734, down 3% vs. last year. The appeal will be coordinated by the Diocese, and will not include home visits.

Financial Results YTD:  For the first two months of the year, Net Assets increased by $82K.  Weekend Collections for the period were $20K above budget but $18K below last year.  Other revenue YTD was below budget due to lower Faith Formation fees and lower Memorial donations. Total Expenses YTD were also below budget but are expected to increase as activity picks up.  Weekend Collections continue to track ahead of budget at this point in September.

Facilities Update:  Church roof replacement is underway; expect to finish by early October. Livestream camera equipment has been ordered; expect completion by end of October.

Roundtable: Sunday Mass schedule for October will be back to “normal” with Saturday Mass at 4:00 p.m. or 5:00 p.m. (TBD) and Sunday Masses at 8:30 a.m. and 11:00 a.m., with the latter Mass held outside in October, weather permitting.  Fr. Rob also mentioned that the school building now gives the Parish more meeting space that satisfies COVID-19 guidelines.  Separate meetings can now be held in the Parish Center, in  the Social Hall and in the school building.

Meeting adjourned at 8:15 p.m.