2022 Year-End

Financial Report

A letter from the Co-Pastors & Finance Committee

We write with some serious news to share. And while this financial update is as tough to hear as it is to deliver, we believe as someone who gives to and calls Mountainview Christian Fellowship their church home you would like to know.

Donation Shortfall

Based on the giving in 2021, we conservatively expected general donations in 2022 to average $12,833/month. Yet, those expectations were not realized. Instead, we ended the year with donations averaging only $10,600/month. For the year, that’s a difference of nearly $27,000 less that was actually given verses what was budgeted.

There was a silver lining. Through our partnership with West Chestnut Academy (WCA), we received Facility Use income of $22,000.

The following table shows total income (all donation types and all other income types) – actual vs budgeted:

Expenses

Regarding expenses, we actually underspent in most categories.

The overspending in the Ministry category was offset by the savings in the Pass-Thru category – discrepancy is due to how expenses for the Youth Colorado trip were entered.

The overspending in Operations was mainly due to 3 factors: Snow Removal last Jan, increase in Online Giving fees, and increase in janitorial and utility expenses due to West Chestnut Academy using the building during the week.
Overall, subtracting our expenses from our income, we ended the year with a net loss of $813.88. As stated above, WCA brought in $22,000 this year. Had the Lord not provided this partnership, we’d have an even bigger shortfall.

Cash Position

Our cash position tells a different story:

The checking accounts dropped by $24,560 and savings increased slightly by $734.01; for a total drop of -$23,826.46. How can this be if we only had a net loss of $813?

We began the year with a budget that presumed $12,400 would be taken from the savings accounts to meet expenses. In addition, 75% of the funds we received from WCA were set aside in our savings account and thus not used for general expenses.

So even though general donations were nearly $27,000 less than expected, God was faithful and provided us a partnership with WCA to keep us from sinking further.

2023 Budget Outlook

For 2023, the finance team was even more conservative in our income expectations. We only estimated $10,000/mo in donations and we dropped “Other Income” since WCA is only expected to be here for the remainder of this school year.
Yet, even after cutting most expense areas we were still $39,871 over budget.

How should we respond?

First, we ask you to pray. We don’t say this in a cliché or flippant way. We believe God answers prayer. We don’t know how he will answer; perhaps through another partnership, or by adding new giving families to the church, or some other way we don’t know about.

Secondly, consider how Jesus may be asking your to respond financially. Perhaps he is asking you to start giving consistently, or give a special gift above and beyond your normal giving, or he may be asking you to increase your monthly giving.


As a finance team and board we also discussed other methods to close the $39,000 gap.

The Operations costs are pretty much fixed from year to year, so that leaves making adjustments to Personnel and Ministry.

We considered completely slashing the budget. One way would be to cut ALL ministry expenses entirely AND cut ALL salaries by 37%. But a church that cuts out ministry expenses is not much of a church at all.

Another method would be to keep ministry expenses but cut ALL salaries by 45%. In a year where inflation has risen to between 7-9% overall, this option would feel like a double whammy to our staff.

We considered selling the building or part of the land. For our size congregation, this does seem like a big building with too much land. But in conversation with PNWC leadership, we agreed the problem isn’t the building, it’s the size of our congregation. Just a few years ago when Mountainview was thriving, there wasn’t consideration of selling the building. Let’s put our focus towards growing the congregation.

We could find and charge double to another preschool (or other organization) to rent our facility in order to meet the $39,000 shortfall. While $5k per month is well within fair market value for an organization to rent our size facility for 5 days a week, it may not be easy to find an organization who is willing to pay it.

Finally, we could open a preschool ourselves. Most parents will do everything in their power to provide for their kid’s needs, protect them from harm, and set them up for success. Yet, not every family can afford to be a one income household with the other parent staying home to raise the kids. So for many families, the most important decision they make is who will watch their kids when they aren’t able to.

And that’s where we have an opportunity to meet a tangible need to the families around our community with a preschool that provides an outstanding education; while welcoming children and families from diverse religious and cultural backgrounds; and also teaching biblical values.

There are several reasons this seems like a natural fit for Mountainview.

  1. Doing some research of area childcare facilities, all of them had long waiting lists, so our area could absorb another facility.
  2. Our building was designed from the beginning to have a preschool. Mountainview has already run a preschool here in our history. And seeing WCA here for the past year has shown us how well it could work again.
  3. And some quick back-of-the-napkin calculations indicate that tuition and fees from a preschool could not only close the $39,000 gap we have, but could also produce a healthy surplus.

Obviously a project of this size would be a God-sized undertaking. Please continue to pray for us and the Board as we consider these options.

Trusting Jesus together,

Abraham Lara

Lead Co-Pastor

Deborah Lara

Lead Co-Pastor

Jason Babcock

Church Treasurer

Joyce Anstett

Finance Committee