Messengers approve lean budget for 2010

WOODSTOCK — Georgia Baptist ministries will be operating on a reduced budget for the second consecutive year due to a continuing drop in Cooperative Program gifts in an increasingly tight economy.

That reality was codified Nov. 10 as messengers approved a $45.5 million budget for 2010, down 8.2 percent or $4.1 million from the previous year. When that amount is added to the previous year’s 5.16 percent drop, the Convention will be operating at a level 13.43 percent below that of two years ago, said Mike Williams, assistant executive director and vice president for operations.

The state convention has been planning for the decreased funding level for much of 2009 and has been trimming costs and overhead for much of the year. Part of that downsizing impacted staffing levels: 13 positions were eliminated in March and another 14 staff were removed from the headcount in November.

One of the most visible areas of those earlier cuts reduced much of the Ministry Resource Consultants support staff, closed their regional offices to further reduce overhead, and consolidated support staff responsibilities by moving them to the Missions and Ministry Center. The total number of positions eliminated in 2009 through the two rounds of cuts is 27.

The reorganization was painful but necessary in the current economic climate, Williams said. The cuts lowered operating costs by $1.8 million and reduced payroll obligations by 10.64 percent.

Williams said it was the first time in memory – at least during State Executive Director J. Robert White’s 17-year tenure – when a slumping economy required a budget to be amended before it was even voted on at the annual meeting.

CP income in 1992, coming out of the recession in the early ’90s, was slightly under the previous year, but when that budget was amended downward it was still higher than the previous year; it just did not grow as fast as earlier predicted, he explained.

Headcount at the Duluth office building is currently 175, down from last year’s 202.

“This has been the most challenging economy in my memory and has significantly impacted all of us,” said GBC Executive Director J. Robert White.

“I believe in the faithfulness of our Georgia Baptist churches. They are deeply committed to missions including their giving through the Cooperative Program. When the money comes in they will send it on to the expansive mission ministries of the Georgia Baptist and Southern Baptist Conventions.

“Whether it is our budget at home, in the church, association, or convention, when the giving is down the only responsible thing to do is make adjustments and seek to balance the budget. Our cuts at the convention have been deep, and sadly, have affected some of our fine employees. This is what hurts the most.

“Doing our very best ...”

“We are doing our very best to wisely manage the financial responsibilities of the convention and will continue to exercise a prudent approach. We are very lean, but are fully committed to continue ministry among our churches and all the mission endeavors of the convention,” he continued.

“We need to remember that the Lord is not surprised by any of this. We simply need to remain faithful to Him, remembering that He is always faithful to us.”

Messengers meeting at First Baptist Church of Woodstock also approved elimination of Division V, known as the Challenge Budget, which had tentatively been set at $1,166,000.

GBC Executive Committee members had met as recently as August to finalize the 2010 budget in preparation of its presentation to messengers at the annual meeting in Woodstock. But that budget, based on 2008 funding levels, quickly became dated as income fell to 2001 levels.

That meant GBC Administration Committee members had to amend the proposed budget, trimming an additional $3,100,000 from the 2010 budget. The state convention will now be operating at giving levels last seen nine years ago in 2001.

The retrenchment means state missions ministries and institutions will receive 5.5 percent, or $765,930 less than in 2009. That is a drop of 3.17 percent, or $610,011, from was what projected in the September budget proposal.

Revised budget shows decreases

The revised budget will result in the following decreases in funding:

• Overall budget, 8.27 percent or $4.1 million;

• SBC, 3.9 percent or $765,930;

• GBC, 3.9 percent or $765,930;

• Shared, 10 percent or $1,004,140;

• Challenge Budget, 100 percent or $1,564,000.

Georgia is not the only state convention decreasing funding for ministry during the nation’s greatest recession since the Great Depression. State conventions bordering the Peach State are also struggling with a sluggish economy.

The state’s unemployment is holding at a record 10.1 percent and is expected to hit 11 percent next year, according to the Economic Forecasting Center at Georgia State University. Unemployment in Metro Atlanta has hit 10.5 percent, a dramatic increase from 6.7 percent in the same time period last year.

The next issue of The Index will look at those neighboring state conventions to compare how they are dealing with the economic downturn.

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