 JANUARY/FEBRUARY 2003 (XXXXI 1) |
As members of PYM we are now wrestling with important questions about our mission and our money, and how to fund the work we feel called to as a Yearly Meeting. As we do this, it is helpful to understand a few basic facts about PYM’s budget.
First, we have an operating budget – which pays for expenses PYM incurs to provide current services and projects for Meetings and members – and then we have a grants budget.
The grants budget includes money we distribute. Some of those grants go to members, Meetings and other Quaker institutions, and some go to other people and groups. (Some of these grant funds even help pay for some of our staff.) But much of the money that we use for grants has been restricted to specific purposes by the donor(s) and cannot be used for other purposes, such as supporting our general operations.
In fiscal year 2003-04 the proposed operating budget will be $2,877,000; while our grants budget will be $2,465,000. So, our overall budget for FY 2003-04 will be $5,342,000.
Second, the revenue that feeds our operating budget and supports our current projects and services comes from several sources. These include “covenants” (pledges of Meetings to PYM); gifts of individuals (and Meetings) to our Annual Fund; bequests and interest from invested funds; and fees we are paid for specific services we offer.
PYM’s income, especially that needed to support current projects and services, is thus affected by a number of factors. These range from declines (or – in better times – increases) in the values of stocks, to the level of generosity of Friends in their giving. Because of this mix of revenues there are some places where cuts in our operations do not gain us much in savings because we will lose the funds we are paid for some activities if we do not conduct them. These are all factors that must be considered when we look for ways to reduce our expenses.
Finally, Friends should know that the reductions in expenses for FY 2003-04 proposed first by staff administrators, and now by the Financial Stewardship Committee, were guided by three essential principles – in order of priority:
- A commitment to PYM’s purpose and priorities as established by Interim Meeting last summer. That is, a commitment to give first priority to activities that best serve to strengthen Monthly Meetings as communities of faith that nurture a more vital, growing Quaker community and its witness.
- A desire to make those reductions that will have the least negative impact on the effectiveness of the organization in fulfilling those priorities.
- An intention to reduce first those projects and services where we can cut expenses effectively, and relatively quickly.
It is hoped Friends find this information helpful in thinking about how the Yearly Meeting should move forward from here.
Last modified: Wednesday, February 18, 2004 at 08:18 AM