2014-15 Budget

Many of you read last week that reduced giving is challenging the future of our ministries. Shepherd of the Valley (SOTV) is a nonprofit organization funded by charitable donations, and a decrease in giving means immediate and future cuts to SOTV’s budget, staff, and programs.

WHAT SOTV WILL DO 

Early in 2014, the Finance Committee began to raise concerns about a trend in reduced giving. To address these concerns, the Finance and Human Resources Committees have identified three steps to reduce costs for the 2014-15 budget which begins August 1, 2014.

Step 1: Reduce Program Spending 
In February, staff was directed to reduce their program budgets now and in the coming fiscal year by 15%. This is in addition to a concentrated effort that began in 2005 to reduce costs and create a more lean organization.  

Step 2: Reduce Personnel Costs
Budget reductions in staffing for 2014-15 will include:

1. Reductions to employee support and advancement. 
2. Reductions to employee benefits. 
3. A freeze in salaries. 
4. A reduction in workforce. 

The budget reductions as a result of these changes will only account for about half of the total reduced giving, if trends continue.
 
Step 3: Further Staff Reductions
The Finance and Human Resources Committees have proposed the following.

1. The 2014-2015 budget be presented to include a deficit that reflects the drop in giving that remains after the reductions to expenses proposed. 
2. Before fully implementing additional reductions to personnel costs, which will significantly affect programming and ministry, the congregation should be educated and an appeal made to seek increased giving from members to eliminate the budget deficit. 
3. Continued review and evaluation through October 31, 2014 by Finance, Human Resources, and Council will evaluate income and determine the need for further staff reductions. Once these reductions have been confirmed, they will be communicated to the congregation. 

It is the hope of the Council and supporting leadership committees that the response of the congregation will be an increase in giving to make the elimination of staff positions unnecessary.


WHAT YOU CAN DO 

Please support the church financially. 

1. Increase your current giving 
2. Make a one-time gift 
3. Consider both increasing your giving and a one-time gift 
4. Sign up for Simply Giving (electronic scheduled giving) 

Every gift counts as we seek to be a transforming community of the Gospel of Jesus Christ. As always, thank you for your generous support! For information on how to give, please visit the Welcome Center or www.sotv.org/stewardship.

Please pray for our leaders. 
Each year, staff and volunteers work very hard and carefully to complete the budgeting process. Please keep them in your prayers as they finalize their work in May and June.

Thanks for reading. If you have any questions about the reduction in our giving, and the steps we are taking, please e-mail council@sotv.org.

Our Giving Challenge

What’s Going On?
During the 2013-2014 fiscal year, Shepherd of the Valley (SOTV) experienced a significant reduction in the gifts it receives to its mission and ministry. Since the beginning of the fiscal year in August 2013, giving is down 7% or about $185,000. The Church Council, with the Finance Committee, monitors giving and expenses on a regular basis.

Why It’s Important
Giving funds our inspirational worship and array of educational offerings that shape and grow faith, including dynamic children and youth ministries. In addition, SOTV serves those in need and brings healing and wholeness to a broken and hurting world. The people of SOTV serve others in hundreds of ways locally, in our own country, and around the world.

What is Being Done?
The Council, Finance Committee, and church staff always work as a team to manage your gifts frugally and responsibly. In 2008, staff and council leadership began to work deliberately to reduce costs and maintain a “lean” staff structure for SOTV. This February, the Finance Committee directed staff to cut their program budgets by an additional 15%. There will be future implications for staffing levels if giving does not improve.

How You Can Help
The people of SOTV have a history of giving generously to make our church a welcoming, inspiring, giving, and serving community of faith. For all that to happen, consistent giving throughout the year is key.

• Consider using Simply Giving, a way to schedule gifts electronically. Sign up forms are available at the Welcome Center and online. 
• We also ask that you prayerfully consider increasing your current giving, even if only by a little bit. 
• And if you haven’t given to our mission before, please consider it. Every gift matters.

Thank you, as always, for your generous gifts!
There are many ways to give to the mission of SOTV - learn more on the stewardship page of our website.  If you have any questions about the reduction in our giving, and the steps we are taking, please e-mail council@sotv.org.