Finance Committee’s 1st Quarter Report: FY24
The FY24 budget is currently being reconfigured, which Is a bit unusual for this time of year, however, the path forward is substantially the same and relatively straightforward. As in the past, it requires only a decision on the amount of FY24 revenues to be raised from Special Asks. This was left unresolved at the Annual Meeting pending a final estimate of expected pledge revenues.
Overview of Revenues
There have been two major changes in expected revenues since Annual Meeting:
- Pledges are now being restated at $275,500 versus $350,500 in May. This is simply reverting back to how we stated income in the past, not announcing a sudden shortfall. The $75,000 differential is being restated as Special Asks and Fundraisers, which is how we’ve done it historically.
- Grant revenues, estimated at $14,000 in May, are now estimated at $0. This follows a recent IRS decision to place a moratorium on new ERC claims and subjects existing claims to additional auditing. As a result, we are unable to determine when we might receive payment. The likely target dates appear to be in FY24, or possibly FY25. FinCom is investigating the status of our claim and will reinstate these revenues when appropriate.
- The estimated revenue required in addition to Pledges totals $89,000.
Overview of Expenses
- Slightly offsetting the above revenue reduction is a cost reduction of $3,250 in Consultant & Independent Contractor expense (line 5200), which is due on completion of the ERC claim application. We will update the congregation when we have more information.
- The net revenue impact of the above changes is an estimated gap of approximately $85,750.
- However, the May budget also provided for a small budget surplus of $7,678 to be applied to selected reserve funds.
- Elimination of this “surplus” further reduces the FY24 gap to approximately $78,075.
- Establish a FY24 special ask goal of approximately $78,075, of which $15,000 is to come from the Spiritual Exploration Fundraiser now in process. (note: This goal may have to be adjusted to accommodate increased FY24 expenses associated with hiring of a sexton.)
- Develop a plan and schedule to raise the remaining $63,075 from one or more additional special asks to be determined as soon as possible.
Notes on Current Budget Performance
(note: Assumes revised numbers for Pledge, Special Ask, and Grant revenues and for Consultant expenses.)
- The following revenue lines are currently running equal to or ahead of their FY24 budget goals:
- Non-pledge donations
- Ministerial Fund
- Facilities Usage
- The following revenue lines are currently running behind their FY24 budget goals
- Collection plate
- Pledge payments
- Plans and goals remain to be established for the following revenue lines:
- Special asks
- With the sole exception of insurance, all expense lines are currently under budget.
- That said, it is too early to reliably project most final FY24 expenses.
FY24 Budget Report Detail
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