Cal-Pac Annual Conference has $3.6 million deficit for 2011

REDLANDS, Calif. — Bishop Minerva G. Carcano of the Los Angeles Episcopal Area revealed that the California-Pacific Annual Conference ended 2011 with a deficit of almost $3.6 million in her address to the annual conference on June 13, 2013. In addition Carcano described an accounting system with many layers of problems, including transfers from one account to another without proper authorization, commingling of funds, and inadequate record keeping leading to uncertainty about payments to the Special Sundays and Advance Specials to ministry projects throughout the United Methodist Church.

As part of a financial review still in progress facilitated by staff of the General Council on Finance and Administration, Carcano had requested information on the possibility of financial malfeasance. Carcano reported that at the current time, there were no indications of improprieties. “What was found was an inadequate accounting system, the lack of clear financial policies, and the absence of appropriate checks and balances. For this we are all responsible,” she told the conference.

In additional to the accounting irregularities, Carcano shared that some local congregations of the Cal-Pac Annual Conference had failed to pay their full pension obligations, leaving a deficit of $467,277. This shortfall was made up from reserve funds, and the conference Council on Financial Resources and Board of Pensions would be addressing the issue in the future.

According to Carcano work was still in progress for fixing the problems in the accounting system, and she predicted a “much more positive financial standing in 2012 for the California-Pacific Conference.”

The full text of Bishop Carcano’s Episcopal Address can be found at http://www.cal-pac.org/pages/detail/2120.

John Meunier contributed to this story

Leave a Reply

Be the First to Comment!

applications-education-miscellaneous.png
The United Methodist Reporter wants to encourage lively conversation about The United Methodist Church and our articles in the belief that Christian conversation (what Wesley would call conferencing) is a means of grace. While we support passionate debate, we cannot allow language that demeans or demonizes others, and we reserve the right to delete any comment we believe to be harmful or inappropriate. We encourage all to remember that we are all broken and in need of Christ's grace, and that we all see through the glass darkly until that time we when reach full perfection in love. May your speech here be tempered with love, and reflection of the fruits of love, joy, peace, patience, kindness, goodness, faithfulness, gentleness, and self-control. After all, "There is no law against things like this." (Galatians 5:22-23)
 
Notify of
avatar
wpDiscuz
Google+
%d bloggers like this: