We are reminded In Ecclesiastes that “There is a time for everything, and everything on earth has its special season.” At our last District Conference a new season began in my life and ministry. After almost 30 years as a pastor, I now enjoy supporting local churches and ministries through my present role.
I am honoured to be following Rev. George Atkinson as the Assistant to the Superintendent for Resources and to continue building on the work of my predecessors.
For this printed report to the District Conference I will separate and highlight some of the main categories that come under the “Resources” portfolio.
The District Ministry will be most effective in supporting and assisting churches when its own financial house is in order. You will notice from the audited financial statements that there is continuing movement towards financial health in the telltale areas of debt reduction and equity position.
See printed binder for related graph(s)
Movement towards financial health is being achieved on two fronts. First, as a result of the faithfulness of the local churches in following the Local Church, District and General Constitutions’ mandate of tithing on their General Fund, revenues are on the increase. Secondly, with careful consistent scrutiny, the District Ministry is monitoring and controlling expenditures.
See printed binder for related graph(s)
Overall View of EOD Revenues
See printed binder for related graph(s)
| EOD Revenues | Annual Totals | % of Total Revenues |
| Tithes | 2562011 |
82.74% |
| Missions, Ministries & Chaplaincy | 498930 |
16.11% |
| Interest | 32994 |
1.07% |
| Other | 2457 |
0.08% |
| Totals | 3096392 |
100% |
Overall View of EOD Expenditures
See printed binder for related graph(s)
| Expenditures (Excluding Amortization of Property & Equipment, Internal Interest, and Surplus) | Annual Totals | % of Total Expenditures |
| Care, Service, Support (Ministry Admin.) | 1167061 |
45.32% |
| Subsidies to Churches, Bible Colleges & National Office Tithe | 790331 |
30.69% |
| Missions, Ministries & Chaplaincy | 425150 |
16.51% |
| Interest | 153139 |
5.95% |
| Building & Property | 19793 |
0.77% |
| Other | 19733 |
0.77% |
| Totals | 2575207 |
100% |
Allocation of EOD Surplus
See printed binder for related graph(s)
| 2010 EOD Surplus |
|
| EOHH Mortgage Principal Payment | $50000.00 |
| RBC Line of Credit Principal Payments | 45553.00 |
| Transfers to Restricted Account for Designated Funds | 165318.85 |
| Private Loan Repayment | 100000.00 |
| Capital Improvements on Manor Home (New Roof/Chimney Repairs) | 13917.15 |
| TOTAL | $374789.00 |
Church Subsidies, International Office & Bible Colleges Support
District Ministries forwarded over $900,000 to Eastern Ontario Churches, Bible Colleges, District Camps, and the International Office (including internal transfers to Lakeshore Pentecostal Camp and Ottawa Valley Pentecostal Camp).
EOD support of MCS is equal to 10% of all church tithes received.
EOD also supports our French language Bible College - Institut Biblique du Quebec in Longueuil, Quebec and Aboriginal Bible Academy on the Tyendinaga Mohawk Territory in Deseronto, Ontario.
Lending Sources
The District Ministry has three main lending sources: first, a PAOC sourced mortgage; second, a secured RBC loan which represents a change in 2008 from the previously unsecured term loan; and third, a group of short term loans from individuals and churches (Trust Funds).
The DE policy relating to Trust Fund Loans ‘caps’ the total amount of Trust Funds in a year at no more than the previous year end amount while permitting replacement borrowing to that amount. This encourages debt reduction while allowing some borrowing for fiscal management purposes. In December 2010, the District Executive approved an exception to this in anticipation of a large Trust Fund repayment scheduled for May 31, 2011. The amount of funds exceeding the borrowing “cap” is being held in a reserve cash saving account.
Loan Guarantees
Even though it is EOD’s policy to not provide loan guarantees relative to church building projects, at the end of 2010 the District had four historical church guarantees that were still on record.
Existing District guarantees with the Pentecostal Financial Services Group / Pension Fund are being reduced by a national policy that states each loan guarantee will be rescinded when the debt-to-income ratio reaches 2.5 to 1.
EOD is a joint guarantor for Master’s College and Seminary along with the Western Ontario and Maritime Districts. MCS has a borrowing “cap” of up to $2.2 million.
EOD also the guarantor for both the Ottawa Valley Pentecostal Camp and Lakeshore Pentecostal Camp Pension Fund mortgages.
Property
In 2009 the farm and much of the acreage surrounding the District Office was sold with the proceeds being applied to the debt. The Office building (Manor Home), Gate House, Mission’s House, Carriage House and other out buildings are now sitting on the remaining 6.69 acres.
Manor Home Property
See printed binder for related picture
Omniwatt / Solar Farm Project
The solar farm project that is associated with the property located south of the railroad tracks and west of Lakeshore Pentecostal Camp is still awaiting Ontario Power Authority approval. A nominal amount of rent is presently being collected for the property but the lease agreement specifies that a greater monthly amount will be received when electricity is being produced from the site.
Stewardship Department
“Building Financial Security” is a 90-minute seminar which presents biblical principles dealing with budgeting, debt reduction, money management, retirement and estate planning. It's a practical, easy-to-understand talk everyone in the church will appreciate.
In addition to the Seminar, congregation members are given the opportunity to make an appointment to discuss their financial situation and have personal Wills and Powers of Attorney documents prepared free of charge through their local church. This free service has proven to be a substantial savings for those who take advantage of this unique opportunity. In addition, many churches have benefited from being named as beneficiaries in the Wills.
The seminar is available in Eastern Ontario through the District Stewardship representative, Wayne Ball. He and his wife, Pat, are graduates of EPBC. Wayne worked for one of the chartered banks in Canada for many years as a Manager, District Manager and Banking Executive.
For information, contact:
Rev. Wayne Ball
Stewardship Director, Eastern Ontario District
Telephone: (905) 349-2749
E-mail: stewardshipministryplus@sympatico.ca
Processes and Protocol
Audit Review Committee
In 2007, the District Executive established an Audit Committee as part of a process to upgrade financial management and accounting practices. The Audit Committee reports directly to the District Executive and not to the Officers. The Officers do interact with the Committee in reporting, clarifying and explaining, however the operation of this Committee ensures a direct relationship with the District Executive.
Finance Committee
Following recommendations from the Audit Review Committee, a District Finance Committee has been established to provide oversight and validation of choices made towards:
A. the efficient allocation of funds.
B. financing by maintaining appropriate levels of working capital and long term capital.
C. the overall financial risk accepted by the District Executive of the Eastern Ontario District.
EOD GROUP INSURANCE PLAN
The District’s Group Health Plan administered by Kechnie Benefits, continues to serve us well.
Short Term Disability Coverage
For a few years the District has had a formal Short Term Disability Program with premiums paid by respective churches at the time of claim. Since the implementation of this unified program with central access and administration, there have been several challenges. One of the major issues was in the area of funding. It has become evident that churches require not only administrative guidance but also financial support.
In 2009, due to the continued progress and success of the EOD Group Insurance Program, the funding of short term disability claims was assumed by the Plan. The risk to individual churches or organizations was removed and funding is no longer an issue for the churches that submit a Short Term Disability claim. This amended Plan took the stress out of the system and gave member churches one less thing to worry about. More importantly, the money was already on reserve for members who needed to use the short term benefit, on a qualified basis.
The move to a centrally funded Short Term Disability Plan has gone so well in such a short period of time that we are pleased to confirm that an enhanced Short Term Disability benefit became available, effective May 1, 2011.
By partnering with the Employment Insurance Plan of Canada, we have now increased the amount of the benefit from 75% of normal pay to 85%. The Plan will now be able provide an increased income benefit to those employees who are absent due to either serious illness or accidents but not yet eligible for Long Term Disability. Partnering with the Employment Insurance Program (EI), the Plan will top up EI payments to equal 85% of a District Group Insurance Plan member’s normal pay for up to 15 weeks.
The EOD Group Insurance Plan is now covering the income and expenses associated with those eligible for Short Term Disability benefits!
Who is covered?
All full-time and part time staff currently enrolled in the EOD Group Insurance plan will automatically be covered. One must also be paying EI Premiums to receive the benefit.
What is covered?
This benefit is intended to help offset the loss of normal income due to serious injury or protracted illness that may result in significant loss of income but unfortunately does not immediately meet the eligibility requirements for Long Term Disability (LTD). If necessary, for more serious illnesses or injuries, it can provide a bridge to LTD. Please note that in order to receive Short Term Disability benefits from the insurance provider, eligibility requirements for EI must be met to initiate the beginning basic coverage. Therefore, only absences greater than two weeks would begin to receive payment.
How much will be received?
The Short Term Disability benefit coupled with Employment Insurance replaces 85% of regular taxable income less applicable deductions. To calculate regular income, include base salary and housing allowance but not any special one-time payments.
NOTE: It is important that proper salary and housing allowance figures are reported annually to the Plan Administrator, Kechnie Benefits, to ensure accurate calculation and payment of eligible benefits.
How does the plan work?
First, apply for Employment Insurance to start the disability payments. This can be done in person at a Service Canada location, by mail or on-line. EI will pay up to 55% of the salary to the maximum allowable under EI rules. Second, fill out a Kechnie Benefits form to start the “top up” payments. The EOD Group Insurance Plan, through Kechnie Benefits, will top up this amount to 85%. Third, a doctor’s note is required.
When is this benefit available?
Your eligibility for Short Term disability is the same as for all other Plan benefits, beginning three months after initial employment.
EOD Church Statistics
| Church Type | Number |
| Affiliated – Self Governing | 134 |
| Pending Being Set in Order | 6 |
| Satellite Congregations | 17 |
| Total | 157 |
EOD Credential Holder’s Statistics
| Credential Status | Number |
| Ordained | 365 |
| Licensed Minister | 32 |
| Ministerial License for Women | 3 |
| Recognition of Ministry | 43 |
| Deaconess | 30 |
| Church Related | 7 |
| Non Voting Church Related | 34 |
| Ordained Provisional | 3 |
| Total | 517 |
Church Name Changes
In 2009 / 2010 there was only one church that completed the process of officially changing its name:
Emmanuel Pentecostal Church in Port Perry became Emmanuel Community Church.
If your church is considering a name change, please contact the District Ministry Office BEFORE you begin the process. This is a process that involves constitutional change, District Executive approval and then CRA verification.
Credential Renewal & Upgrades
Credential interviews take place in the Spring and Fall each year. Related information and application forms are available from the District website.
Change in Personal Information
To help us serve you better, please send notification to the District Ministry any time that you change your personal information such as email address or mailing address. We want to keep in contact with you!
Insurance Protection
Plan to Protect
Adequate Liability Insurance
Director’s & Officer’s Coverage
Incorporation
In cooperation with the Western Ontario District, we have put together a few documents that will be of value to you if your church is considering incorporation.
Accessibility for Ontarians with Disabilities Act, 2005 (AODA)
The Accessibility Directorate of Ontario is mandated with making Ontario more accessible to people with disabilities. They have developed a new Accessible Customer Service Standard and all businesses that have at least one employee will have to comply with this standard by January 1, 2012. This is one measure of many that will, in time, also impact existing church buildings. More information is available by visiting www.AccessON.ca.
Canadian Revenue Agency
There is a new T3010 form that will need to be used by Charities reporting on 2010. Please note that the importance of filing on time has been emphasized by the CRA Charities Directorate.
Thank you for the opportunity that you have given me to serve in this role at this time! I would also like to express appreciation to my wife Kathy. I am away from home a lot and she is extremely supportive and understanding. I am blessed with a wonderful family that now includes two grandchildren with two more expected to arrive in a few months.
My Administrative Assistant, Lori Stratton helps lighten the load with her excellent work. She cares for many of the details relating to credentials and the Group Insurance Plan. It is great to have Dan Smith back with us. He has returned as the new District Accounting Manager. He is a hard worker and a fun guy to have in the office. Prior to Dan’s arrival, Edwin Mendoza served the District well in the Accountant position. Julia Benson is our Accounting Assistant and looks after the Accounts Receivable and Accounts Payable as well many other things. She is a great cook and helps cut EOD expenses by putting excellent meals in front of the District Executive and other groups. Cheryl Rogers keeps track of contracts, organizes District Executive Minutes and looks after a thousand other things, doing each one with excellence. Jeff Hiller is a valued member of the leadership team as a Ministries Specialist. Around the office, Kim and Donna are efficient and cheerful and together we enjoy a steady, upbeat atmosphere to work in!
It is enjoyable and rewarding to work together with Craig Burton and Cal Anthony. Craig is a Superintendent who works very hard and leads well! Cal seems to be tireless as he handles a very busy schedule and challenging portfolio. These men are extremely committed to serving God and His people. We are more than colleagues, we are friends.
Finally, thank you for your fellowship in the Gospel!
Respectfully submitted,
David Blakely