Rev__Exp_Board_-_June_2026.pdf
4Q Finance Summary FY2025-26
Year in Review
The past fiscal year showed yet another solid financial year for the Fellowship. Giving patterns continue to track with growth in attendance and membership. ERUUF is positioned well for the next few years with multiple designated funds for specific and strategic purposes.
We completed a successful pledge drive that again yielded the highest pledge total to date for ERUUF (for the fourth year in a row). For FY 2026-27 the congregation responded in a generous way to the pledge drive in order to support the vision and mission of the Fellowship: 405 pledging households for a total of $1,005,000.
This year the long-range finance planning team completed a comprehensive report which included a series of recommendations for:
- Management and growth of financial resources and multiple streams of income
- Impact of growth trends in the Triangle area and the growing needs of the congregation.
- Frequency and timing of any special campaigns.
- Impact of membership trends and best practices for pledge development work.
- Development of Foundation funds and reserve funds (includes Legacy Giving)
While this report has been shared with the Board, BFAC, and Coordinating Team, a video executive summary was shared at the annual meeting with the congregation as well. This work will inform discussions about implementing plans over time to create a sustainable financial future.
Income/Expense Highlights for FY 2025-26:
- Rental income increased for the year ($95,616 for 25-26 vs. $76,595 for 24-25; $63,703 for 23-24).
This is due to a revised rental plan and price schedule, summer camps, multiple music groups, early voting, and strongly supported client relationships.
- Generous gifts for special collections. ($36,946 donated beyond our walls!)
- Six Generosity Sundays:
- El Centro Hispano ($3,079)
- Communities in Partnership ($2,061)
- Urban Ministries of Durham ($4,638)
- Durham Literacy Center ($3,017)
- Life Skills Foundation ($3,071)
- Straight Talk Support Group ($3,239)
- November Justice month:
- Urban Ministries ($6,557)
- Cristosal ($9,835)
- LGBTQ Center ($449)
- Jazz Vespers ($821, plus amount from Minister’s Discretionary Fund = $1,000 to local non-profit, Village of Wisdom)
- Plus, Minister’s Discretionary Fund ($25,166)
- Six Generosity Sundays:
- Most budget lines are at budget, though some are slightly above budget. This is a sign of growth, program activity, full staffing, and engaged participation. Examples:
- Music and worship -- higher due to special services, sabbatical, and programs.
- Membership - higher due to coffee and influx of new members.
- Information Technology - higher as our tech needs continue to grow as our systems become more complex (livestream, multiplatform, remote access, AV upgrades, and full staffing).
- Administration/Other Supplies/Facilities – higher due to inflation, cost of doing business (like bank fees with increased giving); etc.
- EV Station. Providing an honor system for usage did not work and we are working for alternate payment gateway solutions.
- 60th This celebration was an important milestone in the life of the congregation and expenses exceed budget, mainly from food and robust attendance at events.
Key Balances (as of June 30, 2026)
|
June 2026 |
June 2025 |
|
|
Net Operating Total YTD |
$-72,556 |
$-94,968 |
|
Strategic Initiative Fund |
$519,081 |
$205,380 |
|
Campus Needs Fund |
$164,084 |
$99,287 |
|
Truist Loan |
$10,221 |
$34,195 |
|
Minister’s Discretionary Fund |
$24,693 |
$9,728 |
|
Schwab Investment (T-bills)** |
$651,813 |
$790,894 |
**Some funds were cashed out of the Treasury bills investment in order ensure sufficient cash flow during the year.
As noted on the Balance sheet, our cash position is over $112K at the end of June, which will only increase as the program year begins.
Inside the Numbers
Giving Patterns. In past years May and June often see an uptick in contributions which lead to sizable shift in the amount of reserve transfer needed to balance the budget. This year, end of year contributions were a bit flat. At the same time there continues to be a growth trend in membership and giving which portends a solid fiscal year for FY 26-27.
* Planned Reserve Transfer. Per recommendation from BFAC, this year the planned transfer posted 50% of the planned amount at six months into the fiscal year, with the remainder to balance the budget posting at the end of June. This shift in accounting practice means that $75,000 was posted in December 2025. The intention here is to reflect expenses relative to budgeted income in a more realistic way as the fiscal year unfolds. This impacts the June YTD total comparison with last year
|
Fiscal Year |
Budget Planned Transfer |
Actual Transfer |
Variance |
|
2025-26 |
$150,000 |
$147,556 |
$2,448 |
|
2024-25 |
$129,000 |
$94,968 |
$34,032 |
|
2023-24 |
$116,000 |
$73,644 |
$42,356 |
|
2022-23 |
$135,000 |
$75,512 |
$59,488 |
|
2021-22 |
$180,000 |
$85,791 |
$93,209 |
|
2020-21 |
$130,000 |
$31,107 |
$98,893 |
The Strategic Initiatives Fund balance is not static, especially at the turn of the fiscal year. The July balance sheet will record the new balance after the transfer to balance FY 2025-26. In addition, the Treasury Bill interest (over $27,000) will be split evenly between Strategic Initiatives and Campus Needs.
Revenue Adjustment
Per accounting recommendation from the Board Finance Advisory Committee, special gifts are recorded as income the month they are received then transferred to the fund, so the revenue/expense report is not skewed by the large gifts as we track monthly, quarterly, and annual contribution and spending patterns. This transfer is categorized as “Transfer to designated reserve funds” on the monthly Rev/Exp report and includes special gifts, minister discretionary contributions, and Urban Ministries collection, each allocated to the appropriate fund.
FY 25-26 Transfer to Designated Funds (Total = $76,356)
Minister’s Discretionary Fund $29,647
Special Gifts $40,152
Urban Ministries $6,557 (part of Justice income)
Loan for AV to help extend Strategic Initiatives Fund:
Amount of Loan: $114K. Term: 5 years, 3.2%. Monthly payment: $2,060.
This is listed as a liability on the Balance Sheet with only the interest expense posting to the monthly Revenue/Expense report. Current loan balance (6.30.26): $10,221. Loan paid off by end of 2026.
Facilities
As our buildings age, things need to be replaced or repaired. This year’s major projects:
Memorial Garden upgrade (grant) HVAC repair in multiple locations
Sanctuary sound upgrade (grant) Parking lot gravel
Campus signs Landscape/ fallen trees
Washer/dryer (Fellowship Hall kitchen) Siding/window repair (Care bldg./Chapel)
Greenery/plants (sanctuary, gallery) Sidewalk repair for safety
Dishwasher replaced (Fellowship Hall) New set of tablecloths (Fellowship Hall)
Annual costs for scheduled maintenance generally run about $70-80K per year. FY25-26 lands in this range.
Document prepared by
Daniel Trollinger, Executive Minister
