The UCC's National Office budget, recently presented to the Executive Committee, paints a picture of declining donations and return on investments that will require creative fundraising and staffing plans for programs in the coming years.

A summary report was issued by Kathy Houston, the UCC's chief financial officer, and the Rev. Jane Heckles, minister for Our Church's Wider Mission development, following the joint board meetings held in April.

An historic 10-year trend of OCWM support for the national setting shows giving from Conferences has decreased from $12.5 million in 1999 to $8.6 million in 2009, a 31 percent drop. Staffing at the national setting of the UCC, across all covenanted ministries, has decreased by 35.4 percent in the same period.

Projections in the report, based on giving and market assumptions, show a rapid rise in the deficit between funding sources and mission spending through 2015. The 2010 budget is anticipated to break even – with $28.9 million in mission spending and total funding which includes OCWM, investment income, funds, reimbursement, unrestricted funds and others.

Looking forward, a deficit budget of $3.7 million is anticipated for 2011. Given an estimated 4.25 percent decrease in OCWM giving over the next five years, drops in investment income and a rise in salaries and benefit expenses every other year beginning in 2011, this figure increases to an estimated $8.1 million difference between income and expenses by 2015. Giving is estimated to decline by 20 percent while expenses are expected to increase by 10 percent over this same five year period.

"The Collegium has a challenge in front of them," says Houston of bridging the financial gap. "Churches are holding on to more of their basic support - they're barely keeping up with inflation and that will impact their ability to give to OCWM."

According to the Rev. Stephen Sterner, executive minister for Local Church Ministries, no dramatic turnaround in the level of OCWM giving is expected. He says the church must work to stabilize its budget through supporting and interpreting the core strengths of the UCC.

"Our offices will experience more impact from last year's economic downturn in the 2010 fiscal year than they did in 2009," says Sterner of the 15.6 percent decline in UCC investment valuation since the beginning of 2008. "It may take several years for our budget to recover, which compounds an already difficult situation."

"We've made commitments to match our core values to how we spend money and resource programs," says Sterner. "The values of extravagant welcome, changing lives and the church's role as a continuing testament to the Gospel will define the future of our mission spending."

Along with strengthening OCWM and finding new income streams, Sterner feels expansion of financial development fundraising through direct, channel and planned giving is a priority for meeting the needs of a values-driven organization.

Minister and Team Lead for Financial Development, Donaldson Hill, will provide leadership to a team exploring a broad range of alternate income streams and says that the projected budget shortfall "reflects the redefinition of the role of denominations."

Hill maintains that attitudes in the church and throughout society have shifted in such a way that the funding of ministry and non-profit organizations is changing dramatically. "We need to catch up with and build our organization around this change," says Hill. "That will be our task over the next few years. Going back to old funding models will not work."

Noting that other denominational offices, such as the Presbyterian Church (USA), have recently cut staff and made large budget adjustments to accommodate essential ministry funding, Hill says the presented budget is a "worst-case scenario" - one that will only play out if structural changes within the denomination are not made.

"We need to build the case for support that demonstrates success to people in what they see as their vision for ministry," says Hill. "If we do this, I have great hope that we'll raise the money we need and be able to do the ministry we need to do."