March 8, 2010

ITASCA, Ill. – Despite the financial challenges of 2009, much of it the result of the downturn in the U.S. economy, the churchwide organization of the Evangelical Lutheran Church in America (ELCA) finished the year with net income of $3.9 million.

Christina Jackson-Skelton, ELCA treasurer, reported to the ELCA Conference of Bishops meeting here that current operating income to the churchwide organization in 2009 was $76.5 million, down nearly $7 million from the previous year. Current operating funds expenses were $72.6 million, down by $7.6 million from the previous year. The ELCA's 2009 fiscal year ended Jan. 31.

The ELCA Conference of Bishops is an advisory body of the church, consisting of the ELCA's 65 synod bishops plus the presiding bishop and ELCA secretary. It is meeting here March 4-9.

A key reason for the reduced income was a decrease in mission support to the churchwide organization to $59.7 million, a historic low. Mission support funds are shared by congregations with synods, which commit a percentage of their funds for churchwide ministries.

Jackson-Skelton reported that in 2009 mission support income was reduced by 64 synods, 53 with decreases of greater than 5 percent, and 19 of those with decreases exceeding 10 percent.

Early last year the ELCA Church Council, the church's board of directors, cut the churchwide budget based on lower income projections. Their actions eliminated about 35 full-time equivalent positions.

In addition to the current operating funds, contributions to the ELCA World Hunger Appeal in 2009 were $19.6 million, exceeding the budgeted amount by nearly $850,000, Jackson-Skelton reported.

"The past 15 months have been challenging for all expressions of this church because of the economic downturn," she said. "This has been compounded by disagreements within congregations related to the decisions of the 2009 Churchwide Assembly. It was important for us to stay on top of this to close the year with a small positive variance." She thanked the bishops, their staffs and executives of the churchwide organization for their work on budget matters.

For 2010, 16 synods are tentatively planning to increase mission support percentages, 31 plan the same level as in 2009, and 18 are planning to decrease mission support percentages, Jackson-Skelton said.

The Rev. Craig A. Settlage, director for mission support, ELCA Synodical Relations, agreed with Jackson-Skelton's assessment about why mission support declined in 2009. In a written report to the conference, he said synods shared an average of 49.5 percent of their funds with the churchwide organization in 2009, the first time the average for mission support was below 50 percent in the ELCA.

"These have not been easy days for us," he said.

Quoting Winston Churchill, Settlage's message to the conference was "Keep calm. Carry on." He said as he meets with synod councils and bishops, "the consistent word I hear is commitment to carry out the mission of this church."

He emphasized "trust, transparency and mutual accountability" among synods, and between synods and the churchwide organization, as each synod makes mission support decisions. "A decision made by a synod regarding mission support not only impacts the churchwide organization, but it impacts the other 64 synods as well," he said.

Settlage said he believes ELCA members' capacity for giving "is greater than we've experienced."

"We need to emphasize telling the story of the ELCA, and deepen our giving capacity," he said.

ELCA News Service