Sacred Heart Roman Catholic Parish
Finance Council Meeting-July 24, 2019
“Being the Living Example of God’s Love to Others”
Fr. Raj began the meeting by introducing our new Principal, Shelly Cooper.
Fr. Raj led prayer at 5:30.
Present: Fr. Raj, Terry Brennan, Anne Welborn, Dan Putschoegl, Eileen Grant, Yvonne Napolitano, Brad DeSaye, Bill Jacobs
Guests Present: Jim Wren, Donna Maneely, Shelly Cooper
- Capital Campaign Report: figures as of July 23, 2019
- Pledges and donations paid to Capital Campaign: $2,476,221
Completing the Mission Report: figures as of July 23, 2019
- Pledges Made: $418,653
- Total Contributed: $392,021
- Balance on Reserve Fund Loan $109,000
- Terry suggested that we close down the One AZ credit union account to save on maintenance fees. Brad motioned to pay down the Reserve loan by $20,000 and close the One AZ Credit Union accounts, Anne seconded it, motion passed.
- Jim suggested that the Council give authority to Fr. Raj or Jim to pay down the reserve when capital campaign cash balance is around $5000. Eileen agreed with 5K. Yvonne made the motion and Dan seconded it, motion passed.
- Eileen suggested we put another reminder in the bulletin of how much we owe to pay off the Capital Campaign loan. Anne suggested this be done for a few weeks in a row. Eileen will write something up and get it to Jim by Friday for the 1st Sunday bulletin in August, which is the Welcome Back School Mass.
- Minutes Approval: May 22, 2019 Minutes approved
- Anne made the motion to approve the May minutes, Bill seconded it, motion passed.
- Financial Statements: May and June Financials approved
- Brad motioned to approve the May Financials, Bill seconded it, motion passed.
- Jim commented on the capital campaign consolidation entry, which was required by the Diocese. Jim converted fixed asset purchases from expenses to assets and capitalized what had been in Construction in Progress.
- Jim has asked the diocese how to account for the inter-fund receivable and payable, which are offsetting amounts. According to Terry, the Financial Accounting Standards Board says to eliminate the receivable and payable.
- The balance sheet was amended prior to the council meeting, opening equity was corrected and the payment on the reserve was reduced from $30k to $15k as the other $15k wasn’t paid until after June 30th.
- Eileen asked if capital improvements included more than just Capital Campaign, Jim answered that new fixed assets are combined with existing fixed assets.
- Yvonne made a motion to approve the June Financials, Dan seconded it, motion passed.
- Bank Statement Approval: Dan reviewed May bank statements; no changes needed
Terry reviewed June bank statements; no changes needed
- Donna asked for another Finance Council member to look over the bank reconciliation each month. Bill Jacobs agreed and Brad DeSaye will also participate, if needed.
- Pastor’s Report:
- Raj commented that we had many visitors in July. Many commented on Sacred Heart’s hospitality and spirituality.
- In July there were six new families; the average has been 5-10 per month in 2019. We have developed a welcome packet to give to new families to establish a new relationship.
- In order to improve communication between the Councils, there will be a Council Social on August 28th. It will replace the Finance Council meeting.
- The second collection totals since we changed back to passing a second basket have improved two or three fold.
- Raj thanked the Finance Council for using our Reserve Funds wisely. He also thanked them for their planning and foresight. We are transparent and the Diocese is appreciative.
- Parish Manager Report:
- Diocesan Capital Campaign-Martha Gamez comes every week to work with Father. Fr. Raj has chosen a cabinet to help him meet with parishioners. 35% of what our parishioner’s donate will come back to Sacred Heart Parish so we have identified some projects for this money: School and church roofs, Security, especially the School windows, and the Forum renovation. The funds will be received every six months from what is collected. December is the kick off for the campaign.
- Jim discussed how he did not understand how depreciation was recorded in the past. There was a true up at end of year to get to the actual depreciation expense. We should be showing a true depreciation expense per our fixed asset schedule. Depreciation expense will be recorded in the financial statements each month going forward.
- The finance council is responsible for defining the value of accountability for the Mission, Vision Values committee. Jim wrote up definitions of accountability and asked each member to choose 5 before they leave the meeting tonight.
- Reserve budget discussion- the following items appear in the Reserve Study:
- 229 Summit remodel- Jim doesn’t feel it is needed
- 237 Summit-replace floor 10K
- Replace folding chairs in church-5K
- New Forum floor-10k
- Youth center floor- Youth Minister wanted to put windows in the Youth Center but since we don’t own the building yet, we cannot-10k for new flooring
- Asphalt-reduce to 25k since we paid half last fiscal year
- Grounds Misc.-fencing needs to be repaired/replaced in places-10k
- School exterior doors-$3500 not enough, changed to 10k
- School gym floor-refinishing in December -$17,425
- Computers, Printers–20k
- Network equipment-10k
- Phones-looking into VOIP-10k
- Statue of Risen Christ-Finance council discussed and decided it is not a Reserve item; it will be funded from a bequest
- School Kitchen sink –had to bring up to code -15k
- School chiller-John Gust thinks that we can open up the venting at the school to improve air flow. Jim suggested putting 30k toward this. Jim will ask John for an accurate quote before putting it in Reserve budget.
Jim stated that we should be having the discussion about Reserve items when doing the budget process. Also discussed doing the Reserve study internally next time.
- Jim discussed that we need to advise BOK Financial that we will be sending money to the reserve each month again and that 30% should go to Account 2.
- Anne motioned to approve the Reserve budget with the School venting being left out for now, Yvonne seconded it, motion passed. It will be discussed at the August social to amend the Reserve budget to include the venting project.
- Old Business: None
- New Business:
- Donna asked about the tuition receivables accrual process. Donna, Jim, Terry and Dan will meet to set up a process.
- The church received a bequest of $47,000 from the Carlson Estate. It did not specify that it had to be used for anything specific. It will be assessable according to the Diocese but will only be used to help poorer parishes with capital expenses. We can use it to pay for the Statue of the Risen Christ. There is another bequest that is in process for the school. It was discussed that information about making bequests should be put in the bulletin and a meeting be scheduled to explain to parishioners how to set up a bequest. Jim will look into it for the future.
Fr. Raj brought gifts of keychains to the council members. He again welcomed Shelly Cooper and welcomed Bill Jacobs to the Finance Council. He asked for comments or suggestions from the council. Anne commented that it is nice to be heard. Fifteen years ago when she was first on the council, the members’ comments were often overlooked.
Fr. Raj commented that it would be nice to see everyone at the Social.
Fr. Raj led closing prayer at 7:09 .pm.
Respectfully submitted by Donna Maneely