The funding of United Methodist bishops is about to be under a microscope.
At its online meeting Nov. 2-5, the Council of Bishops plans to examine both the role of the episcopacy and the financial challenges facing The United Methodist Church as it deals with the COVID-19 pandemic and a possible denominational split.
The bishops have a number of ideas for stabilizing their finances including reducing the number of U.S. bishops or possibly putting some bishop elections on hold.
Even before the pandemic-caused economic crisis, the denomination’s financial leaders warned that the Episcopal Fund was in danger of running out of money within the next four years.
So in May, the bishops decided to create their own task force to develop strategies for moving the fund toward financial sustainability.
The Episcopal Fund covers the costs not only of bishops’ compensation, travel and meetings but also that of the denomination’s ecumenical staff and at least some portion of bishops’ office staff.
Its revenue comes mainly from the denomination’s annual conferences, church regional bodies that each pay apportionments — or shares of giving — to support denomination-wide ministries. The conferences in turn ask for apportionments from their local churches.
At present, there are 66 bishops supported by the fund — 46 in the U.S., 13 in Africa, four in Europe and three in the Philippines.
Bishops’ salaries vary by region. In 2020, U.S. bishops each make $162,345. In Africa and the Philippines, the bishops each have a salary of $79,788. The European bishops’ salaries range from $61,824 in Germany to $127,491 in Central and Southern Europe, where the bishop’s office is based in Switzerland.
The quarantine has brought some cost savings on bishop travel and meeting expenses. In the early months of the pandemic, the General Council on Finance and Administration also obtained a $1.2 million loan for the Episcopal Fund through the U.S. Paycheck Protection Program. The agency expects that loan to be forgiven, essentially becoming a grant.
Nevertheless, GCFA is dipping into the Episcopal Fund’s reserves to cover the bishops’ expenses. At this point, the agency projects that based on giving trends, the Episcopal Fund will have $12.5 million in reserves by the end of 2020. That’s about $1.3 million less than the reserve levels at the end of 2019.
The board has options if it looks like the Episcopal Fund is about to be completely depleted, said Sharon Dean, the agency’s director of communications.
The board could urge that all Council of Bishops meetings be held virtually. It could also adjust the amount of office support and housing allowances provided annual conferences. That currently amounts to about $5.7 million each year. It could alter bishop compensation and benefits, which currently total about $11.4 million annually.
Finally, she said, GCFA could ask General Conference to approve higher apportionments to support the bishops and their work.
excerpt from a story by Heather Hahn, multimedia news reporter, UMNS
One of seven apportioned giving opportunities of The United Methodist Church, the Episcopal Fund pays for bishops’ salaries, office and travel expenses, and pension and health-benefit coverage. Please encourage your leaders and congregations to support the Episcopal Fund apportionment at 100 percent.
