Oregon presbytery feels financial sting of stagnant economy, departing churches
By Jason P. Reagan, The Layman, December 9, 2011
An Oregon-based presbytery will reduce staff hours next year, reflecting a trend within the Presbyterian Church (USA) as the denomination faces declining membership, an increase in church departures and a bleak U.S. economy.
In a Dec. 1 press release, the Presbytery of the Cascades announced a plan to reduce staffing and to close its three regional offices on Mondays.
“This is a difficult time for both congregations and the Presbytery of the Cascades,” said Janet Wylie, chair of the presbytery’s personnel and administration committee. “There is not enough money to do everything we would like to do,” she added, noting that Cascades depends on per-capita revenue from member churches to fund its operations – revenue that has steadily declined over the last decade.
Cascades slashed its budget for 2012 by more than $110,000 by reducing work hours for several positions. The presbytery cut hours down to 80 percent for its three full-time co-executives, business manager and four office assistants as well as cutting its full-time program and bookkeeper staff to 20 hours.
The personnel committee also cut part-time program staff hours by half. The stated clerk’s previous reduction to 75-percent work schedule will remain in place. The presbytery will be able to provide medical and pension benefits to employees who work 20 hours or more, Wylie said.
Based in Portland, Ore., Cascades also maintains offices in Eugene and Phoenix. The presbytery is comprised of 118 churches as of 2010 – down from 124 in 2000. Of those losses, some have included churches leaving the PCUSA due to ongoing disagreements over Biblical authority and ordination standards
One controversial change in ordination standards is the passage of Amendment 10A. The amendment deleted the explicit “fidelity/chastity” requirement from the ordination standard, and now allows the PCUSA to ordain of gays, lesbians, bisexuals and transgender people as deacons, elders and pastors. Cascades voted in favor of 10A by a wide margin at 106-39.
In 2008, the presbytery suffered a financial and membership setback when Sunset Presbyterian Church, a 2,000-member congregation in Portland, left the PCUSA to join the Evangelical Presbyterian Church. Although figures detailing how much Sunset contributed to Cascades were unavailable at press time, the presbytery experienced a $2-million drop in total contributions between 2008 and 2009.
According to church officials, the church left the PCUSA because the denomination “is dominated by the liberal wing. General Assembly is not enforcing the constitution of PCUSA and the liberal wing is pushing a social and political agenda that directly contradicts … Sunset’s essential beliefs.”
The presbytery has also spent funds in court fighting to seize property from departing churches it claims belongs to the denomination.
Between 2000 and 2010, Cascades lost six congregations and has lost 7,332 members. After seeing an increase in overall contributions to $30.56 million in 2005, the presbytery took in $25.8 million in 2010, according to PCUSA Research Services – a decline of more than $4 million.
Wylie also pointed out that Cascades could no longer “depend on reserves to cover current expenses,” adding that the presbytery had already cut mission funding to local congregations and communities, the Synod of the Pacific and the PCUSA General Assembly.
Due to the staff reduction, the committee advised congregations to be prepared to wait longer for responses from the presbytery. Also, staff members may not be able to attend as many committee meetings or visit as many churches.
“Special events and programs that are heavily dependent on staff coordination will need more volunteer leadership—or they might not happen,” Wylie stated in the press release.
“Presbytery staff members are no less committed to assisting congregations, but their reduced hours constrain what they can do,” she said, adding, “Your understanding, patience and willingness to volunteer will allow effective ministry to continue.”
Financial woes plague presbyteries
Cascades’ bleak economic outlook is a growing problem among PCUSA presbyteries.
In October, the Presbytery of San Francisco asked member churches to help shore up its ailing budget. The presbytery’s churches have not paid $232,000 in total per-capita bills since 2003. The presbytery expects that gap to widen by $74,000 this year.
The expected per-capita payment for churches in San Francisco is $28 per member — $16.68 of which is kept by the presbytery. To keep afloat, the presbytery has proposed a 10 percent reduction of presbytery staff and services.
Other examples include:
- According to Monmouth Presbytery Stated Clerk Carl E. Wilton, the New Jersey-based presbytery reported that about “one-third of the churches are seriously behind on their per capita payments. A few churches have made no payments, or only minimal payments, for several years now. As a result, the overall amount of the presbytery portion of per capita has had to be steadily raised (even as expenses have been slashed, by downsizing programs and staff).”
- At its November meeting, the Presbytery of New York City reported its investment portfolio had lost $1.07 million over the past 10 months. The presbytery has proposed a $108,035 cut in salaries in its 2012 budget – from $221,738 in 2011 to $113,703 in 2012. In 2010, the presbytery approved a staff-reduction plan that resulted in a cut from 11 to four positions. The plan included reducing the stated clerk’s position from full to part time – a move that drew a complaint by the clerk that has been appealed to the General Assembly Permanent Judicial Commission with an expected decision in 2012.
- In 2010, two presbyteries in New Mexico agreed to share one regional presbytery/stated clerk in an attempt to save money. The Presbytery of Sierra Blanca and the Presbytery of Santa Fe also announced plans for more staff reduction.
- Hudson River Presbytery (N.Y.) reduced some staff members from full to part time and agreed to close the presbytery’s office on Fridays. The presbytery recorded a budget deficit of $19,000 in 2010 and $14,000 expected in 2011.
In a 2010 survey conducted by PCUSA Research services, only 30 percent of churches described their financial health as “good.” Forty-seven percent described their situation as “tight” while 24 percent stated their churches faced significant financial difficulty.