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[UMNS-ALL-NEWS] UMNS# 540-Louisiana bishop predicts huge financial


From NewsDesk <NewsDesk@UMCOM.ORG>
Date Tue, 27 Sep 2005 16:51:55 -0500

Louisiana bishop predicts huge financial toll on churches

Sep. 27, 2005

NOTE: Photographs and related coverage are available at
http://umns.umc.org.

By Kathy L. Gilbert*

BATON ROUGE, La. (UMNS) - The toll from Hurricanes Katrina and Rita is
going to be significant for the Louisiana Annual Conference, according
to Bishop William Hutchinson.

"There is not a single church in New Orleans Parish that has not been
impacted by Hurricane Katrina, and now some have been hit again by
Rita," Hutchinson said at a Sept. 26 meeting of Baton Rouge District
pastors.

More than 90 pastors are without congregations, and the conference will
need to pay their salaries plus a few other basic needs, he said.
Destroyed churches cannot take up collections, he noted.

"In the worst-case scenario, over the next four months, the conference
will need to pay out $1.1 million," he said. "That is a huge undertaking
which the conference does not have in reserve funds." If pastors are not
able to get churches rebuilt and their salaries have to be paid in 2006,
the cost will rise to $3.3 million, he said.

Having more than 90 churches unable to pay salaries for their pastors
also means those congregations will be unable to pay apportionments to
the conference, he said. For the rest of 2005, that will mean a $700,000
shortfall, plus an additional $1.7 million if churches still cannot pay
anything in 2006.

The third large impact the conference faces is the cost of insurance
deductibles for church property in New Orleans Parish, which is valued
at more than $100 million. Complicating the problem is that many of the
district records were destroyed in the flood caused by Hurricane Katrina
and "many churches have disappeared." Finding records of insurance and
property values will be challenging, he said.

The Louisiana Conference has set up a special bishop's appeal to pay for
the shortfalls and pastor salaries, Hutchinson said. The United
Methodist Committee on Relief does not deal with churches or pastor's
salaries, he explained. UMCOR's money goes to humanitarian relief for
communities affected by the hurricanes.

"We are asking churches in Louisiana to please direct funds to the
bishop's appeal if possible," Hutchinson said.

Other conferences are beginning to place pastors, but they will not pay
their salaries, he said. The Texas Conference is providing placement for
14 pastors and will provide housing, utilities, clothing, etc. for the
pastors.

The North Texas, Oklahoma and North Georgia conferences have also placed
some of Louisiana's displaced pastors. The Louisiana Conference's Storm
Recovery Center in Baton Rouge is using displaced pastors to run the
disaster relief efforts.

The impact of Hurricane Rita on other parts of the state is being
assessed, Hutchinson said. Despite the bad economic news, he told the
pastors many churches and individuals from around the world have sent
money to Louisiana.

Nanci Youngblood, a volunteer in the Storm Recovery Center, said "hearts
are broken over the church for South Louisiana."

"We have had some incredible offers from people who want to help," she
said. "The beauty of the United Methodist connection is working."

The Rev. Don Cottrill, conference provost, said it would take five years
at a minimum to recover fully from the storms. "We can't even start
relief efforts for some of our churches yet because we can't get into
the areas."

Cottrill said the Rev. Tom Hazlewood, UMCOR disaster response executive,
predicted donations will top the $40 million collected by the agency
after the Dec. 26 tsunami that struck in the Indian Ocean. However, only
about 30 percent or less of the money coming in will go to Louisiana, he
said.

"Nothing like this has ever happened before," Cottrill said. "We are
building the boat while we are still in it."

Response to the needs of churches from pastors in the state has been
"overwhelmingly positive," Hutchinson said. "The church has been the
church."

Hutchinson said there is a song he has been living with for the last few
weeks based on Psalm 29. "God rides above the storm, giving peace to his
people."

*Gilbert is a United Methodist News Service news writer based in
Nashville, Tenn.

News media contact: Kathy L. Gilbert, Nashville, Tenn., (615) 742-5470
or newsdesk@umcom.org.

********************

United Methodist News Service
Photos and stories also available at:
http://umns.umc.org

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