wfn.org | ELCA Assembly Hears Finances Are 'Quite Adequate'

[News News <news@ELCA.ORG>]

ELCA NEWS SERVICE

August 17, 1999

ELCA ASSEMBLY HEARS FINANCES ARE 'QUITE ADEQUATE'
99-CWA-10-DM

     DENVER (ELCA)   "Quite adequate" are the words that Treasurer
Richard L. McAuliffe chose for describing the current financial position
of the Evangelical Lutheran Church in America (ELCA), as he addressed
the ELCA Churchwide Assembly.
     The churchwide assembly, the chief legislative authority of the
ELCA, is meeting Aug. 16-22 here at the Colorado Convention Center.
There are more than 2,500 people participating, including 1,039 ELCA
voting members.  The theme for the biennial assembly is "Making Christ
Known: Hope for a New Century."
     McAuliffe's report, delivered Aug. 17, focused on the ELCA's
income and expenses since the church's 1997 assembly to help prepare
assembly members for the first presentation of the church body's
proposed 2000-2001 budget.
     Although the ELCA's expenses increased by $2.6 million from fiscal
year 1997 to 1998, revenues grew by even more, McAuliffe told the
assembly.  Each of the two years ended with a $4 million surplus, he
said.
     Total revenues were $79.3 million in 1997 and $81.7 million in
1998.
     At more than $66.7 million, mission support -- revenue from
congregations to the churchwide organization through the ELCA's 65
synods -- reached a new high for the ELCA last year, McAuliffe  told the
assembly.  Other revenues grew as well, largely as a result of increased
bequests, interest income and gifts, he said.
     "Revenue in excess of expense or net -- the 'bottom line' -- is
important to us financially because it builds cash reserves and gives us
the flexibility to support new mission opportunities," McAuliffe said.
     McAuliffe showed the assembly a graph that tracked the ELCA's
annual revenue and expenses since 1989, the year after the church body
began operations.  After a rocky start, income has exceeded expenses for
the past eight years, he said.
     A positive financial report also was delivered to the assembly by
the Rev. Arnold L. Pierson, vice president for marketing, ELCA Mission
Investment Fund.  The MIF used funds invested by congregations,
organizations and individuals to provide low-cost loans for building and
renovating church buildings.
     "Since we last met, in Philadelphia, the fund has reached record
heights," Pierson said.  He reported that:
     -- MIF assets increased from $308 million in 1997 to more than
$330 million today.
     -- Total investments grew from $200 million to $217 million.
     -- New loans issued last year rose from $61 million to $86
million.
     The MIF has 621 active loans totaling $250 million, Pierson said.
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