We are a little more than a month in to our new budget and I wanted to give you a quick update. The last couple months have been very exciting with the renovation coming together nicely.
The budget for the renovation was $126,198.14 for the 1st phase and part of the 2nd phase.
The plan:
$100,000 for the demolition and renovation by Lytle Construction.
$26,198.14 for the changes to sound, lighting, video screens, security system (extra panels and cameras), phone system, foyer decorations and signage, and hospitality for the crew.
The final result:
$105,395 paid to Lytle Construction.
The increase in cost for Lytle Construction was due primarily to two things:
1. The sanding work on the flooring. There was an unexpected leveling compound that had to be sanded down.
2. Sprinkler system line had to be moved. One of the lines for the sprinklers was too close to a wall to pass inspection.
Lytle provided all of the materials at cost and did not mark anything up. They were able to reuse most of the stage and found ways to conserve as the job progressed. I could not be happier with the work they did.
$27,108.60 for the additional items.
The additional items came in a bit higher than expected. There were several reasons for this, but primarily it was due to higher than expected costs with Morgantown Security and Fire. The quote was for $3,611.73. The final invoice came in at $5,759.10. A difference of $2,147.37. As we progressed with the installation of the system and changes to the original invoice, I (Ben Smith, XP) failed to request an updated proposal nor realize the additional pieces of the system would change the original quote significantly.
Total Cost: $132,503.60
The total amount over budget is $6,305.46.
The current budget situation:
Over the last four months giving has been less than expected. Our average giving is $33,167 from Jan-April. Our budget is $40,100. Our expenses on average have been less than budgeted. But, still, we have spent $31,055 more than has come in. This does not include the deficit for Project M-Pact. As a result, I have asked Tara to move $31,055 from our 3 months emergency savings to our checking account. This leaves us with $52,693.13 in our emergency savings account and $10,000 of emergency funds in our checking account. A total of $62,693.13 of emergency savings.
To correct this going forward:
A. We will make monthly adjustments to missions giving to equal 10% of the prior months giving. The easiest way to do this without affecting any of our missions’ partners is to adjust the amount we put into the church planting fund each month.
B. We will replenish the deficit in M-PACT with the next phase of fund-raising.
C. We will replenish the emergency savings in the next two budget cycles.
D. I will be asking all staff to consider ways to cut back on spending until we begin to meet budget on a regular basis. (Giving in April was only $170 away from meeting budget).
Thank you for your generosity! Although we are behind on the budget, we were able to raise nearly $130,000 in about 3 months for Project M-Pact. Praise God!
Ben Smith
Executive Pastor