F01 Convenor of Finance Advisory Committee
LCNZ Treasurer and Finance Advisory Committee
During the past synodical term Council of Synod has been operating without the position of Treasurer being filled. The function has in part been performed by our accounting provider CATAS, our Finance Administrators (Karolina and Debbie) and myself. Whilst this is not ideal, given the circumstances we have had to make do.
With Rutherford Rede managing the investment portfolios for us and the financial transactions and reporting being performed by the Finance Administrator and CATAS, the requirements of the Finance Advisory Committee were reviewed. Council of Synod determined to not appoint members to the FAC for this synodical term, but for the functions to be performed by the elected FAC Convenor. Council of Synod and Gateway Gift Trustees were provided detailed financial and performance reports on a quarterly basis.
Council of Synod recommends that there be change to the LCNZ Constitution, removing the role of FAC Convenor and appointment of FAC members. The proposed changes are included in the Remits.
A major issue facing the LCNZ is the condition of the former Bishop manse in Wellington. There has been gradual deterioration over a number of years due to water leaks which have resulted in black mould in some areas of the house. The staircase also requires remedial work. The water leaks stem from the roof design, this requires the redesign of portions of the roof structure and replacement of the roofing.
Because of the state of the premises, it could not be made available for rent or accommodate any interim pastors as it does not meet the Healthy Homes standards.
The property cannot be sold without full disclosure of the defects and such disclosure would result in a significantly discounted price being obtained. The alternative is to undertake renovations and then determine whether the property is retained or sold. Council of Synod have determined that the renovations be done and have had plans prepared for the work and obtained 2 quotes. Financing of the work needs to be determined.
Included in the information to this convention is the budget for 2025 and the audited consolidated performance report for the LCNZ to 31 December 2024.
Points to note include:
- As both the LCNZ and Gateway Gift have the same members on their governing bodies they are deemed related bodies and therefore the financial statements of each are required to be consolidated.
- Bequests, Contributions, Donations & Grants:
- St Michael’s Lower Hutt congregation, which closed in 2002, held shares in Vector Energy. In October 2023 we became aware of unclaimed dividends. After considerable research of archived materials, we were able to provide sufficient evidence that LCNZ was entitled to the unclaimed dividends and also the shares. The shares were valued at the date of transfer into the LCNZ name at $4,361.
- Grants for Andy Marr and Felix Tong to attend Mission Retreat and Preaching Training in NSW respectively $3,400.
- The LCNZ continues to be reliant on grant funding from The Gateway Gift to support the costs of the office of the Bishop. In 2024 the grant amount was $85,000.
- Interest & Dividends
- Rates remained higher than anticipated and repairs to the Bishop’s manse were not commenced as early as planned this resulted in $2,791 more Interest Income.
- Dividends from Vector shareholding $1,891 and an increase from Christian Savings by $2,156.
- John King Estate – budget included LCNZ income, but this is recorded as a movement in the Reserve value ($3,420).
- Unrealised Gains are increases in value of investments managed by Rutherford Rede $44,872.
- Wages – additional hours for training and transition of Finance Administration, including Payroll; Administrator additional hours for District Administrators meetings, Ordination Way Forward gatherings preparation and attendance – $9,631.
- Church Workers Conferences – increased attendees and guest presenters $3,173.
- CoS meeting expenses include the costs associated with the Ordination Way Forward gatherings.
- Bishop Manse Property Expenses – expenditure on the major repairs to date of $16,620 has been capitalised as Improvements. The Budget included $40,000 of repairs.
The Comparison of Actual to Budget for 2024 and the Budget for 2025 are appended.
In November 2024 Karolina informed us of her resignation from the role of Finance Administrator, a position she had held for 3 years. We were saddened by this as she was a much-valued employee. Debbie, as part-time LCNZ Administrator, had capacity to fulfil the Finance Administration role, so commenced the dual roles as from 1 December 2024.
I wish to record my appreciation for the tremendous support that I have received from both Karolina and Debbie during this synodical term. There was much to become aware of and they assisted me hugely in navigating the finances and associated functions of the LCNZ and Gateway Gift.
Respectfully submitted and I welcome any questions you may have.
To God be the glory.
Dennis Mollet
