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Budget (81570-FA-NonDis-$)

Report No. 1
WORLD SERVICE FUND

Introduction
    When United Methodist congregations give their share of apportioned askings they participate in God’s work around the world...and right in their own parish. The World Service Fund is the heart of our church’s ministry together. Through this Fund each of us becomes a partner with the church’s agencies to be in mission and ministry at home and around the world. The effects of World Service ministry are making a difference across the globe.  
  
    World Service is God’s people reaching out in love and compassion in the name of Christ. It represents a call and a challenge to each United Methodist. As The Book of Discipline 2004 states, the full payment of the World Service Fund is each congregation’s “first benevolent responsibility” (¶ 812).
  
General Observations
   This quadrennium has been a challenge for local churches, annual conferences and the general agencies as each dealt with the effects of terrorism, war, the world economy, natural disasters, global health concerns and double digit increases in health care costs. The local churches and annual conferences have struggled to meet their fixed and missional needs while remaining faithful to their connectional covenant. The general agencies have faced those same challenges and have made tough decisions adjusting their budgets in light of those realities.  
  
    For the 2009-2012 quadrennium the program agencies have been inspired by the Council of Bishops’ seven vision pathways to deeper collaborative efforts with each other and through the Connectional Table (CT). These efforts have resulted in four areas of programmatic emphasis reflected in this budget: (1) leadership development; (2) church growth; (3) ministry with the poor; and (4) global health.
  
    The proposed budget of $333,356,000 represents an increase of $15,758,000 or 4.96% over the four years of the quadrennium.
  
World Service Fixed Charges
   General Council on Finance and Administration. The Council is accountable to The United Methodist Church through the General Conference for receiving, disbursing, and reporting all general funds. This line item is an estimate of the World Service Fund’s share of the Council’s expenses for the quadrennium. The Council also receives income from an allocation in the General Administration Fund, and earnings on invested funds.
  
   The Connectional Table. As part of the total mission of the Church, the  CT facilitates the Church’s program life as determined by the General Conference. Its task is to discern and articulate the vision for the church and the stewardship of the mission, ministries and resources of The United Methodist Church (The Book of Discipline, ¶ 904).
  
   Interpretation Resources. Along with producing materials to interpret United Methodism’s connectional funds, the Marketing Team of United Methodist Communications (UMCom) uses money from this section of the budget for “Promotion of Giving,” a joint effort of United Methodist Communications, GCFA and the General Board of Discipleship (GBOD). The “Promotion of Giving” goal is to develop comprehensive financial stewardship tools, leading to improved financial support of ministry at all levels of the connection. “Promotion of Giving” resources are financed with promotional money set aside from the World Service Fund.
  
Program Agencies
   The World Service Fund provides basic financial operating resources to four general program boards and four general commissions. Allocations were developed with the CT following the procedures described in ¶ 806.1b), The Book of Discipline 2004, and addressing four primary areas of ministry focus.
  
    Through careful research and listening to the church, the general program boards and agencies have focused primary efforts within four program areas:
  
Leadership: enabling our clergy and laity to develop the skills necessary for ministry in the 21st century through leadership education and development with focus on the United States;
Church growth:  extending the outreach of the church’s ministry and grow the church by energetically starting new congregations;
Ministry with the poor:  partnering with the poor to seek justice and address the causes of human suffering that result from poverty; and,
Global health:  bringing healing, health and wholeness through a concerted effort to end preventable diseases of poverty such as malaria, HIV/AIDS and tuberculosis.
  
    These areas of focus offer the church opportunity to bring together ministries that direct efforts toward specific outcomes. Each is deeply rooted in the Wesleyan Movement that values scripture, tradition, experience and reason; and each anticipates deep collaboration at every level of the church.
  
  
Other Ministries
   Contingency Fund. The Contingency Fund for World Service provides funding for emerging needs in the World Service Fund that occur during a quadrennium. A portion of the contingency funds provides funds to allocate to program agencies for new programs to address unanticipated needs.
  
   Salary and Pension Aid. These obligations previously funded through World Service have been funded by other sources or re-allocated to the General Administration Fund.  

  
  
  
  
  
  
Report No. 2
MINISTERIAL EDUCATION FUND

Introduction
    The Ministerial Education Fund was established by action of the 1968 General Conference as a means of engaging the total membership of the Church in an effort to equip annual conferences, theological schools, and the General Board of Higher Education and Ministry (GBHEM) to meet the need for increased resources for the recruitment and education of persons for ordained ministry. Since 1976, programs related to both diaconal and ordained ministry have been eligible for funding. And, since 1996, programs related to recruitment and education of both deacons and elders have received support.
  
    Support is provided for the thirteen United Methodist seminaries in the United States and global initiatives through the GBHEM, as well as local pastor courses of study, continuing education, and other programs that strengthen the ministry of every local church. The 25% retained by each annual conference directly supports ministerial education in that conference.
  
    The General Council on Finance and Administration (GCFA) believes the Ministerial Education Fund is an important part of the general Church focus on the development of clergy and lay leadership for local churches in coming years. The Council shares the concern of GBHEM about the declining proportion of persons coming into annual conference membership who are graduates of United Methodist seminaries, the declining percentage of denominational financial support for United Methodist seminary budgets, and the corresponding increase in student indebtedness. It believes that it is essential that United Methodist seminaries and their faculties play the key role in developing leadership committed to the connectional nature of The United Methodist Church and its mission in the world. Local churches and annual conferences are, therefore, urged to give increased visibility to this fund and the need it addresses.

Apportionment
    The Ministerial Education Fund was first apportioned in 1970 to the annual conferences as one of the church’s general funds. During the period through 2006, over $594 million has been raised to support this important work. The Council recommends that the amounts apportioned for the 2009-2012 quadrennium be as follows:
  
                        Percent
    Year      Apportionment    Changes
    2009      $  28,280,000       0.1%
    2010          28,280,000       0.0%
    2011          28,284,000       0.0%
    2012          28,286,000       0.0%
    Total      $113,130,000
Distribution
    Amounts received by the conference treasurer for this fund shall be distributed as described in ¶ 816 of The Book of Discipline 2004. Promotion and interpretation of the Ministerial Education Fund shall be by GBHEM in cooperation and with the assistance of the General Commission on Communication (UMCom), the cost being a charge against that portion of the Ministerial Education Fund administered by the board, and within a budget approved by the board and GCFA.
  
Report No. 3
BLACK COLLEGE FUND
  
Background
    The 1972 General Conference established the Black College Fund as one of the apportioned general church funds. The objective of the fund is to provide financial support for institutions of higher education that have historically served the educational needs of black students. More than $245 million has been raised since the fund was established to assist the programs and ministries of these schools.
  
Recommendations
    The General Council on Finance and Administration (GCFA) recommends the following:
  
    1. That the 2009-2012 yearly apportionments be set as follows:
  
               Annual             Percent
    Year       Apportionment       Increase
    2009       $11,282,000             0.3%
    2010         11,282,000             0.0%
    2011         11,282,000             0.0%
    2012         11,282,000             0.0%
    Total       $45,128,000

    2.    That the treasurer of GCFA remit monthly receipts for this fund to the General Board of Higher Education and Ministry (GBHEM) for distribution to the colleges on the formula described  in ¶ 815 of The Book of Discipline 2004 that has been approved by the General Conference.   Promotion of the Black College Fund shall be by the Division of Higher Education and in consultation with the Council of Presidents of the Black Colleges, in cooperation with and with the assistance of the General Commission on Communication.
  
    3.    That an annual conference may make direct and/or designated gifts for current expense or capital funds purposes to one or more of these colleges, but only after it has met its full Black College Fund apportionment. There may be reasonable exceptions to this restriction, but such exceptions shall be negotiated with GBHEM prior to implementation.
Report No. 4
AFRICA UNIVERSITY FUND

Background
    The 1988 General Conference approved a report of the General Board of Higher Education and Ministry (GBHEM) providing for the establishment of a United Methodist university on the continent of Africa. By the time the 1992 General Conference convened, Africa University was a reality following the granting of a charter by the government of Zimbabwe. On March 23, 1992, the College of Theology and the College of Agriculture and Natural Resources opened on a site near Old Mutare to 40 students from Burundi, Mozambique, Sierra Leone, Congo, and Zimbabwe.
  
    Each successive General Conference has heard and affirmed reports on the continuing development of this international university, as evidenced by the creation of additional schools, increases in the number of faculty members and students, and the growth of the physical plant. The student body has now reached an economically sustainable enrollment level of around 1,200 students. Capital improvements are now being funded by grants from governments, foundations, annual conferences, and individuals, with the apportioned funds used to support the operating budget.  From 1989 through 2006, over $39 million in apportioned funds has been raised to support the development and operation of Africa University.
  
    World Service Special Gifts have also been sought since 1988. These gifts have been held and invested by GBHEM as permanent endowment funds for the university. Through 2006, contributions and investment earnings have amounted to over $40 million, the goal originally established by the GBHEM for operational stability.
  
    Africa University accomplished Phase I of its 1989 Master Plan at the end of 2006, including paying half of its operating revenues locally from tuition and fees, gifts and grants, and auxiliary enterprises.  GBHEM now proposes that Phase II be initiated to expand the basic infrastructure of the main campus, create a distance-education infrastructure, and increase the permanent endowment fund to $100 million to provide greater support to the operating revenues due to inflationary conditions in Zimbabwe.
  
Recommendations
    The General Council on Finance and Administration (GCFA) has deep appreciation and respect for all who have worked diligently and successfully to bring the University to this point in its development — members and staff of GBHEM; administration, faculty, and students of the University; and all of the persons, churches, conferences, and other organizations who have supported the University with their time, energy, talent, and gifts. The Council believes that the University will continue to enjoy enthusiastic support.
  
The GCFA recommends:

    1.    That the 2009-2012 yearly apportionments be set as follows:
                                  Annual          Percent
                      Year          Apportionment    Increase
  
                      2009          $  2,525,000       1.6%
                      2010              2,525,000       0.0%
                      2011              2,525,000       0.0%
                      2012              2,525,000       0.0%
                      Total          $10,100,000
  
    2.    That the GBHEM continue to seek World Service Special Gifts under the provisions of ¶ 819 of The Book of Discipline 2004, with a goal of $60,000,000 for the 2009-2012 quadrennium, to be used for permanent endowment funds for the University. The GBHEM indicates that an endowment fund of $100 million should be able to provide a sustainable income base to support the operations of Africa University in lieu of general apportioned funds. The GCFA and GBHEM will jointly monitor growth in this fund in order to determine whether funding through apportionments can be discontinued after 2012. The Council is aware that some annual conferences have chosen to apportion amounts beyond the general fund apportionment or to engage in other efforts in order to raise endowment funds for the University. Those and similar efforts are applauded, and annual conferences are encouraged to consider this or other innovative means of supporting this part of the University’s funding which is so critical to its long-term success and stability.
  
    3.    That GCFA remit the net receipts of the fund, after payment of charges for promotion, to GBHEM. Expenses for promotion of the Africa University Fund by GBHEM, in cooperation and with the assistance of the General Commission on Communication (UMCom), are a charge against the fund and within a budget approved by GBHEM and GCFA.
  
    4.     That GBHEM administer the funds in accordance with the Phase II financial plan for the University. It is understood that this financial plan may be amended from time to time, as changing circumstances may require, by the Africa University Board of Directors in consultation with the GBHEM.
  
    The GBHEM shall be authorized to disburse funds for the development and operation of the Africa University and to release such funds to the Africa University Board of Directors or such other structural units as may be created for that purpose, provided that GBHEM shall be accountable for such funds to GCFA under a written agreement developed in consultation with and approved by GCFA, and, provided further, that no such funds shall be released to any structural unit whose charter, bylaws, or other governing documents have not been approved by GBHEM.
    5. That permanent endowment funds for the University be held and invested by the GBHEM.  Permanent endowment funds include the World Service Special Gift receipts and any other funds that may be raised by GBHEM and designated, either by the donor or GBHEM, for this purpose. The GBHEM is authorized to disburse income earned from the permanent endowment funds under the same conditions as set forth in §4 above. The GBHEM shall be accountable to GCFA for all permanent endowment funds raised on behalf of the Africa University.
  
    The provisions of this report shall not limit the authority of the Africa University Board of Directors to raise and administer permanent endowment funds and/or funds for the development and operation of the University from sources other than those from which contributions to the Africa University apportioned fund or the World Service Special Gifts fund would normally be sought.
  
    6. That an annual conference may make direct and/or designated gifts for current expense or capital funds purposes to Africa University, but only after it has met its full Africa University Fund apportionment.  There may be reasonable exceptions to this restriction, but such exceptions shall be negotiated with GBHEM prior to implementation.  
  
    7. Adjustments in the provisions of this report, except for the amount of the apportioned fund, may be made by GCFA on recommendation of GBHEM, after consultation with the Council of Bishops.
  
  
  
  
Report No. 5
THE EPISCOPAL FUND

    The Episcopal Services Committee has projected a spending plan for the support of the bishops of The United Methodist Church that reflects the current economic climate and the financial challenges in our jurisdictional annual conferences. All levels of the church have faced the challenge of escalating health costs. The committee attempted to strike a balance between adequate financial support of our episcopal leaders and the reality of a diminishing financial base. The committee also wrestled with the reality of growth in our central conferences concurrent with decreasing membership in our jurisdictional conferences, the latter being the principal source of funding.  Because of these factors and other costs that are difficult to contain, this spending plan requires the largest percentage increase among the general funds. Even with this increase we believe the level of compensation and office support recommended in this report is inadequate for the quality of leadership we expect and receive from our bishops. However, we are cognizant of the struggles of our annual conferences and local churches to meet their financial commitments. The General Council on Finance and Administration (GCFA) presents the following recommendations concerning items in the Episcopal Fund spending plan for the 2009-2012 quadrennium, to become effective at the adjournment of the 2008 General Conference.  
  
    The Episcopal Fund, raised in accordance with ¶ 817.3, shall provide for the salary and expenses of active bishops from the date of their consecration and for the support of retired bishops and surviving spouses and minor children of deceased bishops. Subject to the approval of GCFA, the treasurer shall have authority to borrow for the benefit of the Episcopal Fund such amounts as may be necessary for the proper execution of the orders of the General Conference.
  
  
I. Bishops Elected by the Central Conferences

    A proposed annual spending plan of estimated receipts on apportionment of the Episcopal Fund and expenses for each episcopal office in the central conferences shall be submitted to GCFA on forms furnished by the council, in compliance with ¶ 543.4 of The Book of Discipline 2004. The proposed spending plan shall include funding salaries, housing allowances, and office expense as recommended by the respective central conference or its committee on episcopacy.
  
    Central conferences are asked to increase their partnership with the general Church by assuming greater cost sharing in the support of their bishops (see ¶ 543.4) with a minimum level of 10%. After reviewing the recommended spending plan of estimated receipts and expenses, the council shall establish the spending plan and determine what amounts from the Episcopal Fund are required for the support of the episcopacy in each central conference, and shall send such remittances to the bishops and/or to the treasurers administering the funds of the episcopal offices.
  
A. Salary
  1.   Amount of Salary. The salary of each bishop shall be recommended by the respective central conference or its committee on episcopacy as included in the area spending plan. The Episcopal Services Committee shall review this recommendation in light of all requests from central conferences and submit a spending plan of salaries to be adopted by GCFA, in accordance with ¶ 543.4 of The Book of Discipline 2004.
      2.   Reactivated Retired Bishop. If a retired bishop is reactivated and assigned to assume presidential responsibilities, the Episcopal Fund shall be responsible, upon request, for the difference between the remuneration of an active bishop’s salary in the central conference area from which the bishop retires, and the pension payment.
3.   Special Assignment. Retired bishops who accept a special assignment from the Council of Bishops following mandatory retirement shall receive remuneration of 20% of an active bishop’s salary in the central conference area from which the bishop retires. The Episcopal Fund share shall not exceed 50% of the established compensation.  The agency or institution of higher learning shall assume all responsibility for the bishop’s operational and travel expenses related to the assignment. The status of a retired bishop on special assignment shall, for purpose of housing and other benefits, be that of a retired bishop. Compensation for any special assignment shall cease after the bishop has reached the mandatory age of retirement for ordained ministers within their central conference or completes the assignment, whichever comes first.
4.   Salary Payment. Due to the variation in time of election, consecration, and assignment, there may be up to seven weeks of salary and benefits provided prior to the date of assignment from the Episcopal Fund for any newly elected bishop.
    
B. Episcopal Housing Funds
   Funds for housing of each bishop shall be recommended by the respective central conference or its committee on episcopacy and included in the episcopal area spending plan in accordance with ¶ 543.4 of The Book of Discipline 2004.
    1.    The annual conference or conferences constituting the episcopal area shall be responsible for funds for housing in which the bishop shall reside.
    2.     The housing allowance of each bishop shall be recommended by the Episcopal Services Committee and set by GCFA in accordance with ¶ 543.4 of The Book of Discipline 2004.
    3.     When a death occurs while a bishop is in active service, the surviving spouse may continue to occupy the episcopal residence for up to 120 days following the date of death of the bishop.
    4.     Guidelines will be developed by the respective central conference committees on episcopacy for transition in episcopal residences (repairs/ renovations; move out; new purchase, etc).  
  
C. Office Expense
   1.  Each active bishop shall receive an annual grant paid in monthly installments as recommended by the Episcopal Services Committee and set by GCFA to be applied towards the operation of the episcopal office.  
    2.  The Episcopal Fund will reimburse purchases of office equipment and furnishings at the discretion of each bishop in an amount not to exceed $10,000 in any one quadrennium for any one episcopal area. Requests for reimbursement shall be submitted with monthly travel expenses.  
  
    All purchases remain the property of the episcopal office with the exception of the computer in the bishop’s office. Each bishop must comply with and sign the computer protocol and transfer of files agreement developed by the Council of Bishops stating his/her intent to take or leave the computer. If the bishop takes the computer, he/she will reimburse the episcopal office the current value of the computer.  
  
    3.  Maintenance of office equipment shall be an office spending plan item paid from the office allowance.
  
    4.  Capital expenditures are not reimbursable from the Episcopal Fund.
  
    5.  A full audit shall be conducted based on approved International Standards on Auditing. Financial statements accompanying the audit should be prepared in accordance with International Financial Reporting Standards. A full audit shall be conducted annually for each calendar year, and a written report shall be provided to GCFA by July 31 of the following year.  
  
    An audit conducted by the staff auditors of the General Board of Global Ministries (GBGM) will be an acceptable alternative to a separate audit by a chartered public accountant.
  
    A status report on audits is made by the Audit and Review Committee of GCFA to the Episcopal Services Committee and to the full Council. If the audit is not prepared on time the Episcopal Services Committee shall have the right to suspend funding to the episcopal area.
  
    The cost of the annual full audit shall be an office spending plan item paid from the office allowance.
  
D. Moving Expense
   1.  The Episcopal Fund shall be responsible for the payment of only one moving expense incident for the assignment of a newly elected bishop, the relocation of a retired bishop to a permanent retirement residence, or the relocation of a surviving spouse when a death of an active bishop occurs.  

    The move must be made within the first twelve months of the assignment of an active bishop, within three years for a retired bishop moving to a permanent residence, or within 120 days for the relocation of a surviving spouse, all within the continent of the bishop’s episcopal service.  
  
    2.  In the year of election, travel expenses incurred after the effective date of assignment because of the failure of the bishop to move to a newly assigned area shall not be reimbursed.
    3.  Moving storage expense is reimbursable for a 30-day period.
  
    4.  If a bishop, upon retirement, accepts an assignment of church-wide responsibility with direct relationship and accountability to the Council of Bishops (¶ 409.1c[1]), and if the assignment is such as to require residence at a specific location, the Episcopal Fund will be responsible for the payment of moving expenses to that location. In such case, a bishop remains eligible for payment of moving expenses by the Episcopal Fund to a permanent retirement residence within the continent or their episcopal service if that move occurs within three years of the time the assignment ends.
  
    5.  If a bishop, upon retirement, accepts an assignment of church-wide responsibility with a general agency or United Methodist Church-related institution of higher education (¶ 409.1c[2]), moving expenses related to such an assignment are the responsibility of the agency or institution, unless the location of the assignment is also the bishop's permanent retirement residence, in which case the Episcopal Fund will be responsible for the cost and this shall be considered the one moving expense. A bishop whose moving expenses to such an assignment are paid by the agency or institution will remain eligible for payment of moving expenses from the Episcopal Fund to a permanent retirement residence within the continent of their episcopal service, if that move occurs within three years of the time the assignment ends.  

E.  Pension
   Pensions for the support of bishops elected by central conferences and those of their surviving spouses shall include the benefits provided by the Global Episcopal Pension Program.
  
F.  Other Benefits
   1.  Central conference bishops are eligible to be covered under the same group health plan as staff of the general agencies receiving general Church funds. Bishops are covered for health benefits from the effective date of the beginning of salary compensation. All bishops will participate in a cost-sharing plan for their health insurance coverage.
  
    2. If the participant is in a national mandatory health plan and there is an employer share, an amount will be paid up to the amount paid from the Episcopal Fund or general agency.    
  
    3.  Upon retirement, the Episcopal Fund will provide supplemental insurance if chosen.  Retirees will participate in a cost-sharing plan for this supplemental health insurance coverage.  
  
    4.  If a bishop is eligible to retire, the Episcopal Fund shall pay the prevailing employer rate for health insurance. The retiring bishop shall contribute the prevailing rate for retirees based on his/her age.
  
    5.  The central conference bishops are covered by the Basic Protection Plan administered by the General Board of Pension and Health Benefits (GBOPHB). In addition, the following benefits are provided: disability of an active bishop, surviving spouse death benefit, and a surviving dependent children benefit and educational benefit as determined by the policies and procedures adopted by GCFA.
  
    6.  The surviving spouse or one family member of the bishop, invited by the Council of Bishops, shall be entitled to the payment of expenses to attend the bishop’s memorial service held at the Council of Bishops’ meeting.  
G.  Renewal Leave, Continuing Education, and Sabbatical Leave
   1.  Renewal Leave. The Book of Discipline 2004 provides that every bishop in the active relationship shall take up to three months’ leave from the normal responsibilities of the episcopacy for purposes of reflection, study, and self-renewal during each quadrennium (¶ 411.2).
       a. A bishop’s renewal leave request shall first be approved by the College of Bishops and reported to the Council of Bishops. The secretary of the Council of Bishops will certify to GCFA the approved list of bishops to be on renewal leave.
  
       b.  During the period of a renewal leave, the following financial arrangements shall be in effect:  
       (1)  Cash salary will continue.
(2)  Reimbursement within the usual guidelines for Episcopal expense from the Episcopal Fund, supported by necessary documentation, shall be:
                  i.   Transportation to and from the site of renewal leave by the most direct route and the  
          most economical coach air fare; mileage to and from the site of renewal leave  
          reimbursed under established policies for mileage reimbursement.
       ii.  Expenses up to $2,000 for the quadrennium for actual expenses of tuition and housing.  
            (3)  Expenses incurred in providing temporary Episcopal supervision by a bishop from a nearby episcopal area necessitated by the absence of a bishop on renewal leave shall be  
          reimbursed.
                (4)  Meals during renewal leave are not reimbursable.
            (5)  Reimbursable episcopal travel expenses will not be paid during renewal leave unless authorized by the Council of Bishops.
       (6)  Compensation or honoraria received for any activity during renewal leave shall be deducted from b. (1) or (2) above.
             2.  Continuing Education.  The Episcopal Fund will reimburse up to $500 of a seminar, workshop, or other continuing educational experience annually.
  
    3.  Sabbatical Leave As provided in ¶ 411.3 a bishop may be provided sabbatical leave. No travel expenses shall be provided during that time.
  
H.  Travel Expense
   The Episcopal Fund shall pay the travel expenses of all members of the Council of Bishops in accordance with the Travel Expense Reimbursement Policies in the Episcopal Office Handbook as provided to the Council of Bishops. These travel expense policies are in accordance with the General Agency Expense and Reimbursement Policies for all general funds of The United Methodist Church as approved by GCFA.
  
I.  Emergency Fund
   When the safety of a bishop is threatened, evacuation expenses of the bishop, spouse, and minor children of the bishop may be reimbursed. The Episcopal Fund has limited resources to provide assistance for the replacement or repair of episcopal residences and offices destroyed or damaged by conditions of war or civil unrest in the central conferences. In consultation with staff of GBGM and the officers of the Council of Bishops Executive Committee, priorities will be determined to respond to needs when conditions of peace have been restored.  
  
    When GCFA has been notified that a bishop in a central conference is being evacuated due to unsafe conditions in the episcopal area, payment of housing and office allowance amounts will normally be suspended; evacuation costs for the bishop and immediate family shall be paid from the Bishops in Exile account of the Episcopal Fund upon authorization of the Council of Bishops, and the GCFA General Secretary; costs for temporary housing and/or office expenses for the interim shall be provided in the same amount until peace is restored to the area. When the bishop returns to the episcopal residence and office, payments of established amounts for housing and office support shall resume.  
  
  
II. Bishops Elected by Jurisdictional  Conferences

A. Salary
1.   Amount of Salary. The salary of a bishop newly elected in 2008 shall begin on the date of his/her consecration at the annual rate established for 2008 by GCFA in keeping with the formula approved by the 2004 General Conference.
  
    The salary increases for the years 2009 through 2012 shall be set by GCFA, either at the percentage increase in the DAC (Denominational Average Compensation) figure available each year as calculated by GBOPHB, or at a percentage increase consistent with the rate of increase for leaders of other denominations.
  
    The GCFA will notify each newly elected bishop's salary-paying unit of the date on which payment of salary from the Episcopal Fund will begin.
  
2.    Reactivated Retired Bishop. If a retired bishop is reactivated and assigned to assume presidential responsibilities, the Episcopal Fund shall be responsible, upon request, for the difference between the remuneration of an active jurisdictional bishop and the pension payment.
  
3.    Special Assignment. Retired bishops who accept a special assignment from the Council of Bishops following mandatory retirement shall receive remuneration of 20% of an active bishop’s salary. The Episcopal Fund share shall not exceed 50% of the established compensation.  The agency or institution of higher learning shall assume all responsibility for the bishop’s operational and travel expenses related to the assignment. The status of a retired bishop on special assignment shall, for purpose of housing and other benefits, be that of a retired bishop. This salary shall cease after the assignment is complete or upon reaching the mandatory retirement age for ordained clergy, whichever comes first.
  
B. Episcopal Residence
1.    The annual conference or conferences constituting the episcopal area to which the bishop is assigned shall be responsible for providing an episcopal residence in which the bishop shall reside.  

2.    The Episcopal Fund shall provide a grant of $10,000 annually to assist in the cost of purchasing and/or maintaining the episcopal residence.

3.    When a death occurs while a bishop is in active service, the surviving spouse may continue to occupy the episcopal residence for up to 120 days following the date of death of the bishop.  

4.    Housing allowance exclusion shall only apply to expenses related to the episcopal residence.

5.    Guidelines will be developed by the respective jurisdictional committee on episcopacy for transition in episcopal residences (repairs/renovations; move out dates; new purchase, etc).

C. Office Expense
1.  Each active bishop shall receive an annual grant paid in quarterly installments as recommended by the Episcopal Services Committee and set by GCFA to be applied towards the operation of the episcopal office, including telephone, fax, and internet service.
  
    The annual grant towards office expenses shall be in the following amounts for the general office spending plan:  
  
                            2009       $ 73,600
                            2010       $ 74,800
                            2011       $ 76,000
                            2012       $ 77,300
  
2.  The Episcopal Fund will reimburse purchases of office equipment and furnishings at the discretion of each bishop in an amount not to exceed $10,000 in any one quadrennium for any one episcopal area. Requests for reimbursement shall be submitted with monthly travel expenses.  
  
3.  All purchases remain the property of the episcopal office with the exception of the computer in the bishop’s office. Each bishop must comply with and sign the computer protocol and transfer of files agreement developed by the Council of Bishops stating his/her intent to take or leave the computer. If the bishop takes the computer, he/she will reimburse the episcopal office the current value of the computer.  
  
4.  Maintenance of office equipment shall be an office spending plan item paid from the office allowance.
  
5.  Capital expenditures are not reimbursable from the Episcopal Fund.
  
6.  A full audit should be conducted based on generally accepted auditing standards (GAAS). Financial statements accompanying the audit should be prepared in accordance with generally accepted accounting principles (GAAP).  A full audit shall be conducted annually for each calendar year, and a written report shall be provided to GCFA by July 31 of the following year.  
  
    When the episcopal office spending plan funds are administered through the annual conference treasury, a separate audit is not required if the conference audit includes a separate schedule for episcopal office funds.  The internal audit group of GCFA strongly encourages the use of the annual conference treasury to ensure the appropriate segregation of duties in the handling of episcopal funds.
  
    A status report on audits is made by the Audit and Review Committee of GCFA to the Episcopal Services Committee and to the full Council. If the audit is not prepared on time the Episcopal Services Committee shall have the right to suspend funding to the episcopal area.
  
    The cost of the annual full audit shall be an office spending plan item paid from the office allowance.
  
D. Moving Expense
1.  The Episcopal Fund shall be responsible for the payment of only one moving expense incident for the reassignment of a bishop, the assignment of a newly elected bishop, the relocation of a retired bishop to a permanent retirement residence, or the relocation of a surviving spouse when a death of an active bishop occurs.
  
    The move must be made within the first twelve months of the assignment or reassignment of an active bishop, within three years for a retired bishop moving to a permanent residence, or within 120 days for the relocation of a surviving spouse, all within the United States.
  
2.  In the year of election or reassignment, travel expenses incurred after the date of assignment because of the failure of the bishop to move to a newly assigned area shall not be reimbursed.  
  
3.  Pre-approved moving storage expense is reimbursable for a 30-day period.
  
4.  If a bishop, upon retirement, accepts an assignment of church-wide responsibility with direct relationship and accountability to the Council of Bishops (¶ 409.1c[1]), and if the assignment is such as to require residence at a specific location, the Episcopal Fund will be responsible for the payment of moving expenses to that location. In such case, a bishop remains eligible for payment of moving expenses by the Episcopal Fund to a permanent retirement residence if that move occurs within three years of the time the assignment ends.  
  
5.  If a bishop, upon retirement, accepts an assignment of church-wide responsibility with a general agency or United Methodist Church-related institution of higher education (¶ 409.1c[2]), moving expenses related to such an assignment are the responsibility of the agency or institution, unless the location of the assignment is also the bishop's permanent retirement residence, in which case the Episcopal Fund will be responsible for the cost and this shall be considered the one moving expense. A bishop whose moving expenses to such an assignment are paid by the agency or institution will remain eligible for payment of moving expenses from the Episcopal Fund to a permanent retirement residence, if that move occurs within three years of the time the assignment ends.  
  
6.  GCFA contracts with a national moving company for the relocation of household goods for bishops. If the bishop chooses not to use the moving company contracted by GCFA, three estimates are required from moving companies of the bishop’s choice.  Following approval, the move will be reimbursed upon receipt of the invoice.
  
E.  Pension
   For service years beginning before January 1, 1982, the pensions for the support of bishops elected by jurisdictional conferences and those of their surviving spouses shall include the benefits provided by the Global Episcopal Pension Program.
  
    For service years beginning January 1, 1982, and thereafter, the pensions for the support of bishops elected by jurisdictional conferences and those of their surviving spouses and dependent children shall include the benefits provided by the Ministerial Pension Plan, amended and restated effective January 1, 2007, as the Clergy Retirement Security Program (CRSP), and the Comprehensive Protection Plan of GBOPHB.
  
F.  Other Benefits
1.  All jurisdictional conference bishops are covered under the same group health plan as staff of the general agencies receiving general Church funds. Bishops are covered for health benefits from the date of election.
  
2.  Upon retirement, Medicare is the primary health plan. The Episcopal Fund will provide Medicare supplemental insurance. Retirees will participate in a cost-sharing plan for this supplemental health insurance coverage.  
  
3.  If a bishop is eligible to retire, the Episcopal Fund shall pay the prevailing employer rate for health insurance. The retiring bishop shall contribute the prevailing rate for retirees based on his/her age.
  
4.  The jurisdictional bishops are covered by the Basic Protection Plan and the Comprehensive Protection Plan administered by GBOPHB.  
  
5.  The surviving spouse or one family member of the bishop, invited by the Council of Bishops, shall be entitled to the payment of expenses to attend the bishop’s memorial service held at the Council of Bishops’ meeting.
  
G. Renewal Leave, Continuing Education, and Sabbatical
1.   Renewal Leave. The Book of Discipline 2004 provides that every bishop in the active relationship shall take up to three months’ leave from the normal responsibilities of the episcopacy for purposes of reflection, study, and self-renewal during each quadrennium (¶ 411.2).
  a.   A bishop’s renewal leave request shall first be approved by the College of Bishops and reported to the Council of Bishops. The secretary of the Council of Bishops will certify to GCFA the approved list of bishops to be on renewal leave.
    b.   During the period of a renewal leave, the following financial arrangements shall be in effect:
         (1) Cash salary will continue.
          (2) Reimbursement within the usual guidelines for episcopal expense from the Episcopal Fund, supported by necessary documentation, shall be:
                   i.    Transportation to and from the site of renewal leave by the most direct route and the most economical coach air fare; mileage to and from the site of renewal leave reimbursed under established policies for mileage reimbursement.
          ii.     Expenses up to $2,000 for the quadrennium for actual expenses of tuition and housing.  
                (3)    Expenses incurred in providing temporary episcopal supervision by a bishop from a nearby episcopal area necessitated by the absence of a bishop on renewal leave shall be reimbursed.
       (4) Meals during renewal leave are not reimbursable.
       (5) Reimbursable episcopal travel expenses will not be paid during renewal leave unless authorized by the Council of Bishops.
       (6) Compensation or honoraria received for any activity during renewal leave shall be deducted from b. (1) or (2) above.
  
    2.  Continuing Education.  The Episcopal Fund will reimburse up to $500 of a seminar, workshop, or other continuing educational experience annually.
  
3.  Sabbatical Leave. As provided in ¶ 411.3, a bishop may be provided sabbatical leave. No travel expenses shall be provided during that time.
  
H. Travel Expense
   The Episcopal Fund shall pay the travel expenses of all members of the Council of Bishops in accordance with the Travel Expense Reimbursement Policies in the Episcopal Office Handbook as provided to the Council of Bishops. These travel expense policies are in accordance with the General Agency Expense and Reimbursement Policies for all general funds of The United Methodist Church as approved by GCFA.
  
  
III. MISCELLANEOUS OTHER MATTERS

A. Spending plan for the Office of the Executive Secretary of the Council of Bishops
   The Council of Bishops will submit a spending plan to GCFA to provide for the expenses related to the position of the Executive Secretary and the office located in Washington, DC. The administrative assistance and other expenses incurred by the Executive Secretary of the Council of Bishops in the performance of the duties of this office shall also be included in such spending plan since it is subject to the approval of GCFA.  
  
B.  Spending plan for the Ecumenical Officer of the Council of Bishops
   The Council of Bishops will submit a spending plan to GCFA to provide for expenses incurred by the Ecumenical Officer of the Council of Bishops in the performance of the duties of this office. Such spending plan is subject to the approval of GCFA. When representing the Council of Bishops, travel of the Ecumenical Officer shall be paid from the Episcopal Fund.  
  
IV. FUNDING

A. Change During Quadrennium
   If, in the judgment of GCFA, economic conditions are such as to require increasing or decreasing the amounts authorized in this report, the council is authorized to make such adjustments by a three-fourths majority of its total voting membership
B. Apportionment for the Episcopal Fund to the Jurisdictional Conferences
   The Council recommends that the annual apportionment for the Episcopal Fund during the 2009-2012 quadrennium shall be:
  
                      2009       $21,210,000
                      2010       $22,723,000
                      2011       $23,498,000
                      2012       $25,969,000
  
   The Book of Discipline 2004 provides that GCFA shall recommend the formulas by which all apportionments to the annual conferences shall be determined, subject to the approval of the General Conference (¶ 806.1c). The approved budgets for the Episcopal Fund and any other general apportioned funds created by the General Conference are to be apportioned pursuant to the methodology described in Report No. 8 so that they and their local churches will have full opportunity to be involved financially in the total mission of the church.
  
C.  Participation of the Central Conference
   Each central conference episcopal area will have a minimum participation of 10% of the total episcopal support in the spending plan for their area.
  
    When the total estimated expenses including salaries, housing funding, and office costs for the bishops elected by it, and the estimated receipts on apportionment have been determined by a central conference, a statement of these amounts in itemized form shall be submitted to GCFA. The council, after consideration of the relative cost of living in various central conferences, shall determine the amount to be paid from the Episcopal Fund in meeting the spending plan, after which the treasurer of the Episcopal Fund shall pay the amount established to the bishop concerned, or as the central conference may determine (¶ 543.4).
  
Report No. 6
GENERAL ADMINISTRATION FUND

    The General Administration Fund (¶ 813) finances those general church activities that are specifically administrative in nature, as contrasted with programmatic, missional, or ecumenical.  
  
    In the 2009 – 2012 quadrennium, the required apportionments for these General Administration Fund activities have increased by approximately 30% from the prior quadrennium.  There are two primary themes that have given rise to the need for this increase.  The first is a change in the funding source for Pension and Salary Aid.  This does not represent an increase in general church spending, but merely a change to the fund that will be supporting the claim.  The second relates to the costs associated with the preparation for and management of General Conference.  Both of these themes are described below as are the changes in other aspects of the General Administration Fund.
  
    The general economic pressures affecting spending at annual conferences and the shrinking membership of the jurisdictional conferences of The United Methodist Church have resulted in increasing challenges for annual conferences to respond to general church apportionment growth.  Further, the needs of the agencies funded through World Service, the needs for significant increased funding for our bishops through the Episcopal Fund and the need for additional General Conference spending requires that the General Council on Finance and Administration keep increases of the General Administration Fund to a minimum.  GCFA has been successful in doing this.  Had the Salary and Pension Aid support been presented within the General Administration Fund for both the 2005 and 2009 quadrennia, rather than in World Service in 2005 and General Administration for 2009, the increase to the General Administration Fund for 2009 – 2012 would be shown to be approximately 8%.
  
Discussion of Specific Budget Items

Interpretation Resources (¶ 1806.11-.13).  United Methodist Communications has been allocated $60,000 from the General Administration Fund for the cost of resources used by United Methodist Communications in promoting the Fund.  No increase in these amounts over the prior quadrennium has been proposed.
  
The General Council on Finance and Administration(¶ 805.6).  The Council reports to and is amenable to the General Conference and is responsible for receiving and distributing general church funds.  In addition, GCFA provides certain administrative services to the General Administration Funds including general ledger processing and maintenance, cash management and group insurance plan administration.  As described in Report No. 14, a portion of the Council’s expenses is charged to the General Administration Fund as provided in ¶ 805.6a.  These estimated charges, which are based upon certain assumptions regarding payment rates by Annual Conferences of apportionments, represent a 4% increase over the prior quadrennium.  
  
General Conference  (¶¶ 501-510).  The amount budgeted for the General Conference includes delegate expenses, meeting operation costs (convention center and equipment rental, publishing, petition tracking software, worship, labor), language services (printed translation of advance materials and spoken interpretation on site), expenses of the offices of the secretary, business manager, and treasurer of the General Conference and expenses of the several commissions and committees in support of the event.  The budget for General Conference for 2009 – 2012 represents a funding increase of approximately $3.9 million over the 2005 – 2008 period.
  
    The changing global nature of the church, with the increased growth of the church internationally, has increased the percentage of international delegates compared to U.S. General Conference delegates over recent quadrennia (1996 - 14% international, 2000 - 16% international, 2004 - 20% international, 2008 - 29% international, 2012 - 40% estimated international).  This change in international representation has resulted in two of the four major cost drivers in the current quadrennium.  1) The cost of language services has increased from $380,000 in 2000 for spoken interpretation to an estimated $1.5 million in 2012 for the combination of spoken interpretation in seven languages as well as written translation in two languages.  2) In 2004, the average travel costs for delegates from within the United States was approximately $500 for each delegate, while the average travel cost for delegates from outside the United States was approximately $3,500 each.  As representation outside of the United States grows, so likewise does the cost of travel for delegates.  3) The third cost driver is the continual increase in hotel and food per diem costs.  In recent years, hotels, especially in major convention cities, are becoming less rate-competitive.  Lodging costs are increasing at a rate that exceeds the general rate of inflation in these markets.  4) The fourth cost driver is under-funding of the General Conference in past quadrennia.  A deficit of $540,000 has accumulated from the General Conferences that took place in 1996 and 2000.  An additional short-fall of $750,000 is estimated for the 2008 General Conference.  These deficits have been funded in the form of a non-interest bearing loan from the General Administration Fund of approximately $1.3 million and $870,000 is intended to be repaid through this proposed budget for 2009-2012.  After the $870,000 repayment, the remaining accumulated deficit will need to be addressed in the 2013 – 2016 quadrennium.  
  
The General Commission on Archives and History  (¶¶ 1701-1712).  The purpose of this commission is to gather, preserve, hold title to and disseminate materials on the history of The United Methodist Church and its antecedents.  The Commission's "Ministry of Memory" envisions increased support to Central Conference historians and leaders and among racial ethnic populations.  The spending in support of this new work results in an increase in the Commission’s budget of $750,000, or 22% from the prior quadrennium.
  
Historic Sites and Heritage Landmarks  (¶ 1712).The supervision of historic sites and heritage landmarks is part of the responsibility assigned to the General Commission on Archives and History and the funds budgeted for this purpose are administered by the commission.  The proposed quadrennial increases are approximately 11%.
  
The Judicial Council  (¶¶ 2601-2612).  The Judicial Council is the highest judicial body in The United Methodist Church.  It determines the legality and/or constitutionality of actions by agencies, boards, conferences, and officials of the Church.  ¶ 813.3 provides that the expenses of the Judicial Council shall be paid from the General Administration Fund, within a budget submitted annually to the GCFA for its approval.  The membership of the Judicial Council has changed to now include an individual living in Africa.  As a result, increased spending for language interpretation services and travel has resulted in a need for the council’s budget to increase by 67% from the budget for the prior quadrennium.
  
Pension and Salary Aid.  Funding for several salary and pension assistance programs are combined in this item.  It includes salary and pension aid to the Oklahoma Indian Missionary Conference, salary and pension aid to the Rio Grande Conference, and pension support to three unfunded pension programs (the Special Programs), as more fully described later.  Funding for these programs in past quadrennia has been from the World Service Fund.  During the 2009 – 2012 quadrennium, the funding has been moved to the General Administrative Fund so that it is no longer in competition with important missional initiatives of the World Service Fund.
  
    Over the past few quadrennia, GCFA, working with GBOPHB and GBGM, has sought alternatives to funding these unfunded liabilities in order to minimize their on-going financial impact on the general church.  During the 2005-2008 quadrennium, GCFA, working with GBOPHB, has been able to fund the previously unfunded Rio Grande pension liabilities eliminating their impact on the 2009-2012 Quadrennium.  The apportionments in support of these Rio Grande pension liabilities were approximately $2 million in the 2005-2008 quadrennium.  In addition, it is expected that the three Special Programs will be fully funded before the beginning of the quadrennium, eliminating their financial impact also.
  
    The following table reflects apportionments for the last six quadrennia that have been used in support of these Pension and Salary Aid programs.  They have totaled approximately $32 million.  Following 1988, all of these amounts were funded by the World Service Fund.  As mentioned earlier, beginning in 2009, funding will be transferred to the General Administration Fund.
  
                      1985-1988       $3,032,200
                      1989-1992         4,520,000
                      1993-1996         5,772,000
                      1997-2000         6,426,000
                      2001-2004         6,385,000
                      2005-2008         5,867,000
  
The proposed budget for 2009-2012 for these purposes is:

Oklahoma Indian Missionary Conference
                   Pension Aid             $    240,000
                   Salary Aid                1,560,000
Rio Grande Conference Salary Aid                1,044,000
Special Programs                             -0-  
Total                                  $  2,844,000
  
    The Special Programs provide for certain persons in a variety of fields whose pensions were not previously funded.  These include European Service, which funds the pensions of displaced clergy who emigrated from Europe to the United States after World War II; ¶ 1506.16 payments, which cover the pensions of retired clergy members of missionary conferences; and Cuba Service II, which provides funding for pensions for clergy who stayed in Cuba after autonomy for service in the annual conference prior to autonomy.  As mentioned above, GCFA believes it will be able to fully fund these liabilities before the beginning of the budget period, resulting in a lower level of required apportionments than might otherwise be required by approximately $600,000.
  
Contingency Reserve.   This allocation provides funding for unforeseen or emergency situations that fall within the scope of general administration.  In prior quadrennia these funds have been used for certain legal support grants to Annual Conferences and to provide unbudgeted financial support to the Judicial Council.  The proposed funding may be used for similar purposes if needed, and if unused, will allow the reserve to be built back to a level which is believed to be more appropriate than its current level.
  

  
  
  
  
  
  
  
  
  
  
  
  
  
  
Report No. 7
INTERDENOMINATIONAL COOPERATION FUND

    The Interdenominational Cooperation Fund provides basic support for ecumenical agencies through which The United Methodist Church participates in God's mission in cooperation with other Christian communions. The General Council on Finance and Administration (GCFA) recommends the spending plan to the General Conference after considering recommendations developed by the General Commission on Christian Unity and Interreligious Concerns (GCCUIC), in consultation with the Council of Bishops (¶ 818.1).
  
    GCFA, working collaboratively with the Connectional Table (CT), endeavored to keep increases of the Interdenominational Cooperation Fund to a minimum in recognition of financial challenges facing the entire connection. Therefore the quadrennial recommendation for 2009-2012 maintains the same level of funding that was budgeted for the 2005-2008 quadrennium, representing a 0% increase.
  
     General agencies may participate in supporting the budgets of the cognate divisions and departments of the National Council of the Churches of Christ in the U.S.A., the World Council of Churches, the World Methodist Council and other interdenominational ecumenical activities.
  
Explanation of Items in the Budget
Interpretation Resources (¶ 1806.11-.13). United Methodist Communications is allocated the designated sum for the cost of resources in promoting the Interdenominational Cooperation Fund.
  
General Council on Finance and Administration. The Council reports to and is amenable to the General Conference and is responsible for receiving and distributing general church funds. A portion of the Council’s expenses is charged to the Interdenominational Cooperation Fund as provided in ¶ 805.6a and Report No. 14.
  
National Councils of Churches/Regional Ecumenical Organizations. This category includes funds to support the work of councils or organizations whose membership is limited to a specific country or geographic region. Among the specific organizations receiving support is the National Council of Churches of Christ in the U.S.A. This council comprises thirty-five member denominations and communions in the United States representing forty-five million Christians.  
  
World Councils of Churches/International Ecumenical Organizations. This category includes funds to support the work of councils or organizations whose membership is not limited to a specific country or geographic region. The World Council of Churches, founded in 1948, includes 347 member communions throughout the world representing 580 million Christians. Funds in this category provide for United Methodist participation in the basic budget of the Council. These funds support United Methodist participation in the committee work and life of the WCC. Funds are also provided for the United Methodist commitment for costs of the World Council of Churches Assembly, including travel and related expenses for Christians from developing nations. The WCC Assembly meets every seven or eight years.
  
Christian World Communions/Methodist Unity. This category includes funds to support the work of ecumenical organizations whose members trace their origins to some part of the religious tradition started by John Wesley. The World Methodist Council, established in 1881, is a significant channel for United Methodist relationships with other Methodist bodies and with autonomous and united churches formerly part of The United Methodist Church or its predecessor denominations. There are presently more than 34 million members in these churches in 108 different countries. The allocation provides for United Methodist participation in the basic budget of the Council. It represents the majority of the funding for the North American section, and for the general administrative and program activity of the entire Council. The World Methodist Council has established a five-year endowment campaign entitled “Achieving the Vision” in July 2001, for the purpose of ensuring the ongoing work of the council. This permanent fund, with a goal of $20 million, will supplement the annual support from the member churches.
  
Pan-Methodist Commissions. Representatives of The United Methodist Church have been meeting with representatives of The African Methodist Episcopal Church, The African Methodist Episcopal Zion Church, and The Christian Methodist Episcopal Church in two Pan-Methodist commissions for a number of years to deal with areas of mutual interest, cooperation and union. The 2000 General Conference of The United Methodist Church approved the combination of these two commissions into one body called the Commission on Pan-Methodist Cooperation and Union. We affirm and celebrate the Union American Methodist Episcopal Church and the African Union Methodist Protestant Church as new members of the Commission on Pan-Methodist Cooperation and Union. Both communions have been approved for membership by the Commission on Pan Methodist Cooperation during this quadrennium.
  
Ecumenical/Multilateral Conversations. This line item provides funding for ongoing and proposed meetings with representatives of other denominations. Included in this category is Churches Uniting in Christ (CUIC), formerly known as the Consultation on Church Union. Ten communions are joined together in CUIC to seek ways toward greater visible unity among them. During the quadrennium the Moravian Church Northern Province became the tenth member church of Churches Uniting in Christ.  The CUIC is now working to address theological issues related to the reconciliation of ministries, the mutual recognition of each other's churches, and shared Eucharistic fellowship. This allocation provides for United Methodist participation in the basic budget of this organization.
  
Ecumenical Representative Travel. The travel expenses for United Methodist representatives named in advance by the General Conference, the Council of Bishops, or GCCUIC are paid from the Interdenominational Cooperation Fund (¶ 814.4). Costs are paid for travel to the General Assembly and, as approved by the general secretary of GCCUIC, other units of the National Council of the Churches of Christ in the U.S.A.; the Central Committee and other units of the World Council of Churches, including its executive committee and periodic assembly; the Executive Committee of the World Methodist Council;  meetings of Churches Uniting in Christ, Christian Churches Together and the Commission on Pan-Methodist Cooperation and Union, and United Methodist participation in concordat relationships, and other ecumenical activities and bodies.
  
    Expenses are paid in accordance with guidelines adopted by GCFA and shall be limited to round-trip coach air fare and/or other necessary surface transportation from the place of residence of the representative to the place of the meeting, plus food and lodging expense at the meeting. Attendance during three-fourths of the agenda of a meeting shall be required for reimbursement of meeting expenses. Travel expenses shall be paid when approved by persons designated by the general secretary of GCCUIC or by the general secretary of GCFA.
  
Interreligious Relations. This budget line seeks to provide resources for United Methodists to engage more directly with neighbors of other faith communities. The funds shall be used to provide information, materials and support for dialogues locally and regionally, and to support ecumenical programs involving interfaith partners. Allocations of the funds shall be determined by GCCUIC.
  
Contingency Reserve. This allocation for the Interdenominational Cooperation Fund provides for unforeseen or emerging assignments that fall within the scope of the fund. It is distributed by GCFA after  concurrence with recommendations received from GCCUIC.