We began the year of 2009 with much uncertainty in the economy of the United States and most other developed nations as one financial crisis after another unfolded in a downward spiral. In our financial planning for the work of the Church we recognized these conditions and trends early and made a drastic change of direction in delivering our message on television. We made the decision to cancel 38 commercial television stations, which greatly reduced our expense. This was very painful, since we had been on some of these stations for years and had built up an established audience.
At the same time, we also carefully analyzed the budget and put several projects on hold such as hiring and moving ministers, office staff and expanding the University. We also took a close look at the Tomorrow’s World subscription list and initiated an annual renewal program to drop subscribers who have not responded to any offer for more than one year. Travel, regional conference plans and many other expense categories were scaled back or postponed. We cancelled a planned cost-of-living pay increase for our employees. Though painful, these cuts—which, when annualized, amounted to more than $500,000—allowed us to conduct the Work within budget and to end the year with a small surplus, which is vital to the financial stability of the organization.
Such drastic reductions might be expected to have a negative impact on the Work and the preaching of the Gospel message. But God had other ideas. Doors opened for the Church to go on two national networks, the ION Network and the CW Network. These networks actually extended our reach by adding more stations than we had cut—allowing us to reach an even larger audience. As our program has established a presence on these networks, our audience has grown and continues to increase. Our responses to the television program for 2009 were up 4.7 percent over 2008. Through April 2010, our responses are up 7.1 percent over the same period in 2009.
It seems that when we made the painful decisions required by good stewardship in a down economy, our Heavenly Father blessed the decisions by giving us an increase that we could not have anticipated. The promise remains today which God made long ago through the prophet Malachi, “Bring ye all the tithes into the storehouse, that there may be meat in mine house, and prove me now herewith, saith the LOR D of hosts, if I will not open you the windows of heaven, and pour you out a blessing, that there shall not be room enough to receive it” (Malachi 3:10, KJV).
As we reflect on the Church’s operations in 2009, and analyze the report of the voluntary independent audit which was conducted by Cherry, Bekaert & Holland, L.L.P., Certified Public Accountants and Consultants (a well-known regional accounting firm that specializes in non-profit organizations), there are some observations to be made.
Our support from members and co-workers is phenomenal. This faithful support makes possible the globe-circling Work that Jesus Christ is accomplishing through His Church. Think of it! A small band of about 8,000 people undertakes, with God’s help and direction, to reach the whole world with the Gospel message. It is a huge and challenging task indeed, but we remain undaunted in our determination to get the job done.
Sometimes a dry exposition of numbers can seem quite dull. But if we can relate those numbers to our personal circumstances, they can become much more meaningful. With that in mind, consider the question: “Where does the Church’s income go?” The chart above may help put this into perspective.
Church expenditures can be divided in to three broad categories, reflecting our commission: Preaching the Gospel, Feeding the Flock, and Administration.
In 2009, the Church received 77.8 percent of its income through tithes and regular donations. Another 18.1 percent came from Holy Day offerings. Just under 1 percent came from restricted donations. Less than 0.3 percent came through tuition and fees. About 2.9 percent came from investment income. The pie chart on page 10 shows how that income was spent carrying out the commission Christ gave His followers.
The year 2009 was a time of innovation and progress on many fronts. We completed our television production equipment upgrades in the new studio facility. Not only did our television efforts thrive, but our Web sites increased in traffic—in the numbers of unique visitors, downloads of literature and videos, video streaming, and the use of the social media such as Facebook and Twitter to reach new audiences.
As we go forward in 2010, we find that many of our costs of operation are increasing, such as hall rental expense. We are also monitoring travel costs, including air travel for our traveling ministers, as well as fleet vehicle costs (e.g. lease expense, maintenance costs, fuel) for the field ministry. Necessary travel will certainly continue, but we are looking for ways to reduce these costs wherever possible.
We welcome suggestions and recommendations from our members and ministers, as we constantly seek ways to improve and to make the funds that God provides go even further in accomplishing His will and Work. Your prayers for God’s guidance in these important matters are deeply appreciated.
As we go forward in the Living Church of God, it becomes very clear that we can count on God to “pour… out a blessing, that there shall not be room enough to receive it.” Our job is to be faithful in matters financial at every level and phase of the Work, using the resources that God provides in the most effective way possible to carry out the Great Commission (Matthew 28:19–20).
The independent audit is only one factor in our efforts to be certain that we are good stewards in carrying out the responsibilities we have been given at the headquarters of the Work. If you have questions or comments about any aspect of the audit or this report, you may direct them to [email protected].
All of us here in Charlotte offer our gratitude and heartfelt thanks for the faithful, prayerful support of our members, co-workers and donors.