By Bernie Schnippert
Since this is the third monthly update from the treasurer, probably most of you have learned to read the accompanying tabular report and graph without me having to explain what each number means.
Therefore, instead of reviewing how the report and graph are set up, I will launch directly into an analysis of June's income and expenses.
As you may recall, last time I reported that June's income was sharply down and that we needed extra giving in order to offset that worrisome trend. Thankfully, the members have in large part responded to my appeal and to Mr. Tkach's letter and appeal via the pastors, and July has rebounded somewhat. Thank you very much for responding to the need as you have.
As you can see, the July daily mail income average rose from about $136,000 per day in June to about $166,500. This was encouraging, and it served to boost the daily average for the year back above $165,000. Also, our income as compared to 1995 rose from a minus 44.4 to a minus 41.7 percent. This is still far under last year, but it is less of a drop than we had been experiencing and will be a good sign if it continues.
As I write, it is mid-August, and I can tell you that August started off well on the heels of July, but has dropped somewhat alarmingly in the last week and a half. I hope that this is not an indication that the uptrend in July will be just a one-time spike with a downtrend to resume shortly.
As Mr. Tkach has said, now, more than ever before, what we need for financial stability is regular, consistent giving, not just when an emergency appeal is made, but day in and day out, week in and week out, month in and month out.
This, of course, will be accomplished when God's people budget for the amount they intend to give (whether that amount is a tithe, or more, or less) and then give regularly every payday.
A few changes have been made on the expense side of the ledger that are not reflected clearly on the report. For one, the church lowered its subsidy to Ambassador University. This results in a challenge for Russell Duke, Ambassador president, and the rest of the AU administration, but it is a challenge I expect they can meet because of their ample reserves. It appears that their finances are stable and adequate for now.
Also, while we still intend to sell most of the headquarters facility as an undivided unit if possible, we have been told by our brokers and our consultants that the Office Facilities Building (on the east part of the campus) can probably be split off from the rest without materially affecting the value of the remaining parcels.
We therefore intend to sell this building now and add the proceeds to our reserves for emergencies and to give ourselves a better cash picture. Our auditors, Coopers & Lybrand, were consulted in regard to this finance move, and they encouraged us to implement it.
In summary, July's income was up over June, due no doubt to Mr. Tkach's appeal. Expenses have been lowered by dropping some of AU's subsidy, and the decision to add cash to reserves through the sale of one building has been made.
Although August started off well, the last few days (starting about Aug. 11) income has dropped again. I hope you will help me keep the trend up, or at least flat. In order to achieve financial stability, God's people will need to make their giving planned and regular.
As always, I thank you for your financial and prayerful support, and ask for you to continue both.
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