Treasurers from Monthly Meetings throughout the Quarter met in January to address the question of what to do with reserve funds the Quarter has saved up as a result of careful stewardship over the years. Each of the Quarter’s ten Monthly Meetings were represented in the conversation, led by WQM Finance Committee Clerk, Dick Logan (Hockessin MM). Among the ideas for using the funds were 1) establishing an operating reserve that would set aside funds to cover 50% of the Quarter’s operating expenses; 2) allocating a portion of funds that could be available for special programs or projects that would benefit the entire Quarter; and 3) establishing a capital reserve to ensure the continued care of properties under the Quarter. Notes from the meeting were circulated among the treasurers, and Monthly Meetings were invited to give feedback to the Quarter. As of the March meeting of the WQM Support Committee, a few had responded in general support of the ideas proposed. One Monthly Meeting brought forth a Minute as a result of their discussion (below). Discussion will continue during Quarterly Meeting in April.
Here is the minute approved by London Grove Friends Monthly Meeting with respect to Quarterly Meeting reserves:
The London Grove Friends Meeting makes the following recommendations with respect to maintaining the appropriate level of reserves by the Western Quarterly Meeting. At the present time the Quarter holds approximately $130,000 as reserves.
First, the Quarter should hold an operating reserve of 50% of the current operating budget. For instance, if the operating budget for staff and facilities is $40,000 an additional $20,000 should be held to cover unexpected expenses. We understand that there is agreement on this direction.
Second, the Quarter should establish a capital reserve to cover expenses that may arise with respect to the repair and maintenance of the historical meetinghouses that have been given over to its care. In order to define the appropriate level for this fund the Quarter should appoint a committee to evaluate the needs and risks for each of the buildings for which it has responsibility. An estimate of appropriate level of funds would become the planned capital reserve for the Quarter. This reserve would include the designated funds that are held for a given meeting’s care as part of the transfer of responsibility for the building. Dedicated funds would be restricted to the associated meetinghouse.
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