Friday, December 21, 2012

Aaron Dean on UCG Cash Flow Problems



Those poor overworked boys at UCG have had to cut out all kinds of expenditures that have made life so much more difficult.  Poor things!

Financial Report—Aaron Dean

The Church is currently receiving 5 percent more income than last year, which is a blessing, but it doesn’t make up for our current allocated expenditures. The special offering has so far reached almost $400,000. He explained that we are not in a bind to pay our current bills and that the main concern is our cash flow. None of our spending has been for anything except caring for the Church and preaching the gospel—the business of the Church.

The reason for the special offering letter was due to the reduction in bank balances by the use of reserves to care for pastorates and to preach the gospel. In losing a third of our prior income ($7 to $9 million per year which is it), we knew that the planned use of reserves could not go on indefinitely and that we would have to cut back in due course. It did cost more than we initially anticipated to have ministers visit churches without pastors until workable solutions could be found. Extra travel and accrued mileage was necessary to allay unfounded rumors of doctrinal change.

We did not replace every pastor that left, and have reorganized several circuits to be more efficient. Our annual payroll was $8.1 million before the split, and last year it was only at $5.7 million—even though we were serving virtually the same number of congregations. Additionally, costs for international subsidies, international Good News (GN) subscriptions (plus booklets) were growing and all being funded by the Church in the U.S. We didn’t try to expand, but we did spend a lot to maintain operations and our congregations in America and internationally. Current growth will allow a reasonable level of service even with the budget realignments.

We are now seeking to increase cash balances to avert projected cash-flow shortages before the annual Holy Days. We are cutting nearly $2 million to have a balanced budget. Since it was a special offering, it will be not be listed as regular income or used in projections for budgeting next year.

8 comments:

Douglas Becker said...

UCG has the money.

They just want more.

Should we point out that according to the Bible, being a false prophet is the death penalty.

Wonder what a collection of false prophets get?

The debt penalty?

Corky said...

Maybe, just maybe, if the money wasn't wasted by the "church" as if it was just so much worthless paper, they might have a surplus.

So far the CoGs haven't learned that owning church buildings is cheaper than renting. For one thing, no rent, for another, no tax. Plus, there's the added benefit of having church buildings that can be sold at a profit in the future.

Oh, I forget, the CoGs like to sell off property at a loss. Oh well, just so much worthless money anyway...right? And besides, the boss needs a new jet.

Byker Bob said...

Nice business report there. Aaron has mastered the art of subliminal spin.

The sad aspect of this all is that members are so emotionally tied into generously contributing to these "works" that when it becomes apparent that the money was misused (a given in Armstrongism), they're probably going to feel ripped off, bitter, and hostile towards any kind of charity, even honest ones.

BB

Anonymous said...

This may just be a personal opinion, but it seems there is a lack of understanding in the work of God and how God works. The financial crisis reported here is due to this lack.

My experience is that if God expects something He provides everything necessary to meet those expectations and it is not dependant on faith. If God opens doors He wants us to go through He will lead us through and not push us through.

If there is something we want to do that has God’s approval it will flow smoothly. Anything that is a continual battle may not have God’s support. When it comes to money He can and will supply what’s needed without burdening those who have no say in how it is used.

A loss of income is a sign that a change in the way of doing business is needed. A loss in membership (customers) is a strong indication services rendered are inadequate or lacking. A continual downward spiral could mean the organization should focus on serving its members while waiting to see a clear purpose for their existence.

This is a logical approach in a secular business so it seems that God would have a similar approach. Yes, I know all religious people are not logical, but there are some logical people who are religious, believe it or not. No, I am not interested in starting another splinter!

Steve Kisack said...

Anonymous said...
"A loss of income is a sign that a change in the way of doing business is needed. A loss in membership (customers) is a strong indication services rendered are inadequate or lacking. A continual downward spiral could mean the organization should focus on serving its members while waiting to see a clear purpose for their existence."

MY COMMENT: Maybe they need to have a "sale" of their merchandise. How about 30% to 60% off? Everything I did for the cult, I did for free, taking a hit on my income. why can't the "ministers" do the same? Yeah, right. That will be a cold day in hell!


Lake of Fire Church of God said...

Aaron Dean said, "We did not replace every pastor that left, and have reorganized several circuits to be more efficient."

MY COMMENT - An open admission that Pastor circuits were designed based on personal preferences, favoritism and perhaps nepotism. The circuits weren't originally designed to be cost efficient.

Why would anyone given more money to this money pit? Oh, that's right. God calls the weak and base things otherwise know as the dumb sheep tithe slaves.

Richard

Anonymous said...

No doubt it's true that there will always be "true believers" in the ex-WCG camp who stubbornly refuse to ever acknowledge reality.

But the fact remains that even the larger of the splinter groups are slowly crumbling apart, as evidenced by the desperate fund-raising pleas they are constantly having to send out to their dwindling supporters.

The long-range demographics are not looking good at all for these spiritual swindlers.

Anonymous said...

None of our spending has been for anything except caring for the Church and preaching the gospel—the business of the Church

Come again Aaron?!
Define "caring" for me will you please since "the Church" has had a funny way of doing this ever since Herbert's unbiblical triple tithing dogma.
And "preaching" what "gospel" exactly, may I ask? Herbert based his "good news" on apocalyptic visions of death and disaster! That's far from "good news" don't ya think!
Some "business" you have huh?! And they always said they're not a "business"! Well, bottom line is it's always been about the bottom dollar now hasn't it?! So I guess how else could you describe Herbert's "Church" except as just another business selling "salvation" Armstrong-style!