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Submitted by The Rev. Chris Creed, President of
the Diocesan Corporation The
Episcopal Church in the Diocese of El Camino Real
(A California Nonprofit Religious Corporation)
Our Diocesan Corporation is a legal entity: “an
integral subordinate unit and constituent part of
the Episcopal Diocese of El Camino Real and of the
Episcopal Church.” Under the Diocese’s
Constitution, the Corporation does its work under
the authority of the Convention, with specific
responsibility to hold title to and administer the
property, trust funds and real estate of the
Diocese. While the Standing Committee has been
Ecclesiastical Authority, a member of the Standing
Committee has served as president of the
Corporation’s Board, as the diocesan bishop would
when there is one.
At its heart, the Corporation’s business,
supervised by the Board of Directors at quarterly
meetings, is to support the mission and ministry
of the Diocese. In practice, this is done by
managing the assets (financial and physical) and
liabilities of the Diocese.
There are two aspects to managing the financial
assets of the Diocese: investment of the money we
have and ensuring its proper use in ministry; two
sides of the same coin. Following an important
review of our investment policy and the
performance of our portfolio, the management of
the Diocesan Investment Fund was transferred to
the Episcopal Church Foundation in 2006.
Regarding ministry, working closely with the
Diocese’s outside auditors and Finance Committee
members, the Board has completed an inventory of
funds and their purposes and restrictions, and
realigned the accounting for funds to ensure that
they are not only wisely invested but also are
used effectively to support the ministries of the
Diocese. The complete inventory will be published
to the Diocese shortly, encouraging application
for appropriate grants. In an example of different
kind of ministry support, the Board has refinanced
Santa Maria Urban Ministry’s commercial bank loan
in order to decrease Santa Maria Urban Ministry's
(SMUM’s) monthly interest payments while also
enhancing the return on diocesan investment funds.
Financial oversight is a continuing area of Board
of Directors responsibility. Along with the
Diocesan Finance Committee and others, the
Corporation’s Board seeks to make certain that
financial health is maintained and that the
highest standards are observed.
The May 2006 management letter from the Diocese’s
outside auditors reflects the continued progress
made during the last couple of years. The
transition in administration and the new financial
procedures put in place in mid-2004 have borne
fruit and continue to work well and be well
received by the auditors. Continuing credit should
be given to the Board and all those responsible,
especially the Diocesan Accountant, Jo Ann
McClain, Administrator, Deacon Brian Nordwick, and
members of the Finance Committee.
During 2006 the Board’s Property Committee
reviewed our individual properties and is now
developing an overall strategy for managing
diocesan property to include standardization of
documentation, retention policy, rental income
potential, major maintenance and repair
assessments, and the like. This Committee is also
developing a property review procedure to be used
prior to the Diocese leasing property from third
parties. The goal is to work closely with others
in the Diocese, especially DIEM and the missions,
to ensure that diocesan property serves its
overall ministry as effectively as possible.
The progress begun in 2004 has continued, and
thanks go to all the Directors and others who
helped make it possible. Continuing to work
together with other groups and committees, the
Board looks forward to strengthening further the
mission and ministry of the Diocese in the years
to come.
The Rev. Chris Creed
Member, Standing Committee
President, Diocesan Corporation
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