Plans » Costs and Finances
1. How have the plans and costs changed since 2004?
2. What is our campaign goal, and is it achievable?
3. Is it a good idea to undertake a capital campaign during a national recession?
Summary:
Discussion:
The plans changed because of requirements by the Board of Zoning Appeals and the Board of Architectural Review. Originally we intended a new, stand-alone building for $3.2 million to be followed with a $2.4 million renovation of the present educational and fellowship space. Those projects could have been phased, and we estimated that the total cost would have been $5.6 million. Now, however, we are looking at a more extensive project that requires the demolition of the present Molly Wier Hall and the two-story Annex Building behind it, followed by a construction and renovation project that will approach $7.2 million. Included in the total cost are furnishings for the new building, moving expenses, and the expense of relocating some of our programs to other sites during the interim. [Back to top of page.]
Summary:
Discussion:
Our total goal is $7.2 million. In 2004, we raised $3.6 million in pledges and gifts. We therefore need another $3.6 million. And yes, raising that amount is possible; here's why. The Session has stated that in order to proceed we must have . . .
As of mid-December 2008, we had more than 1/3 in hand ($2,653,550). This has been placed in interest-bearing accounts or conservatively invested, and earnings on these funds have largely paid for architectural fees and other costs incurred since 2004. We have been assured by most contributors that the unpaid amounts pledged in 2004 ($950,000) will soon be received. That means we have already pledged $1.2 million toward the second 1/3. We therefore need a minimum of $1.2 million in pledges to complete the second 1/3 and proceed with demolition and construction.
While the Session approved financing the final 1/3 through the annual operations budget, it also unanimously agreed to challenge the congregation to reach for a second $3.6 million in pledges in order to eliminate any need for major long-term financing. The Session made this decision knowing that our regular and generous givers will continue to give beyond their original pledge, that only 1/3 or our members made any pledge in 2004, and that we have received 365 new members since our last campaign whom we expect to join in the effort. [Back to top of page.]
Surprisingly, yes. Although many people find their assets reduced by the current economy, the great benefit is that the costs of material and construction are greatly reduced. In fact, the total cost of $7.2 million is well below the nearly $9 million which we expected as recently as a year ago. [Back to top of page.]