The United Methodist Church has agreed to a $400,000 “advance” for the National Council of Churches (NCC) as part of a $2 million bailout fund for the fiscally troubled ecumenical agency. Earlier this year, the Methodists agreed to give $700,000 to the bailout fund paid for by a number of the NCC’s member churches. The Methodist contribution was the largest, and the church tied its gift to financial and structural reforms promised by the NCC.
The NCC needed the bailout money to balance its books for the year 2000 and end the year in the black. Under the agreement approved in mid-November by the church’s General Council on Finance and Administration, the Methodists will advance the NCC the promised $400,000 out of the church’s expected contributions over the next four years at 7 percent interest.
The interest will be repaid in full in the form of a grant, church officials said, once the NCC “demonstrates positive net assets and a balanced operating budget.”
Both NCC and Methodist officials said the agreement was not a loan but rather an early delivery on church funds that have already been promised to the NCC. The plan means the NCC will receive fewer Methodist contributions in the next four years, a scenario that has already been planned for, said NCC General Secretary Robert Edgar. The NCC, to further trim expenses, will eliminate 17 staff positions; full-time staff will then be 47.
“We would have preferred it to be new money, but each of the member communions had to decide how to give us the money over and above what they already give,” Edgar said. “We recognize that this is an advance on future monies.”
Clare Chapman, executive director of finance and administration for the Methodists’ ecumenical agency, said the agreement is in line with the NCC’s commitment to lower each church’s share to no more than 25 percent of all church contributions. Currently the Methodists contribute the largest share of any church to the NCC. Chapman said the Methodist share to the NCC will eventually fall, but that it would be crippling if the church automatically pared down its contribution to the 25 percent level. The Methodists still owe $200,000 from their initial promised contribution, and that money will come from various church agencies and offices.
Several Hispanic churches within the United Methodist Church’s Miami district are less eager to help the NCC, according to The Miami Herald. They are planning to withhold money that would otherwise be paid into the fund used for advancing money to the NCC. Methodist clergy were among south Florida pastors critical of the NCC’s efforts to return Elián Gonzales to Cuba. Miguel Velez, pastor of Coral Way United Methodist Church in Miami, told the Herald, “Most of our Hispanic churches are very concerned about the NCC’s participation in the political arena in Cuba. It is an oppressive system.”
Related Elsewhere
Click here for a list of current NCC members.
The NCC’s homepage links to all their policies and member organizations.
Previous Christianity Today coverage of the NCC includes:
Time to Kiss and Make Up? | The financially strapped NCC reaches out to evangelicals and Roman Catholics. (July 18, 2000)
The War for Elián | Miami churches protest NCC efforts to return Elián González to Cuba. (Feb. 25, 2000)
NCC Presses Case for Boy’s Swift Return to Cuba | ‘This is not a healthy situation for the boy,’ says new general secretary. (Jan. 19, 2000)
NCC to undergo major restructuring to solve financial woes | Newly elected secretary faces an organization with a $4 million shortfall. (Dec. 18, 1999)
Methodists Freeze NCC Funding | Church says questions unanswered over organization’s $4 million debt. (Dec. 16, 1999)
NCC celebrates 50 years of American ecumenism | (Dec. 15, 1999)
