1. 2015-2016 Income and Expenses 2016-2017 Budget

2. Kudos Many people are responsible for crafting the proposed budget including: –Board of Directors –Finance Committee –Office Staff and Clergy –Torah School Board –Program Council

3. What’s On Your Bill? Dues/Torah School FeesBuilding Fund Operating BudgetCapital Budget FUNDS THE…

4. Operating Budget EXPENSES Payroll/Benefits Torah School Building Expenses General Administrative Programs/Committees JRF Dues High Holidays Advertising/Publicity Miscellaneous Expense INCOME Dues School Income Fundraising High Holidays B'nai Mitzvah Fees Building Rental Interest Gift Shop Program/Committee Fees Donations Miscellaneous Income

5. Capital Budget Money In: Building Fund Money Out:Mortgage New Projects Major Replacements/Repairs

6. Dedicated and Discretionary Funds Camp Scholarship Vicki Breman Chesed Fund Daniel Thurz Youth Fund Torah School Jewish Studies Social Action Green Haiti Ritual Library Kulanu Rabbi Fred Cantor Rachel Rabbi George Rabbi Sid

7. Torah School Fundraising

9. Building

10. 2015/2016 Financial Highlights Membership – Currently 478 vs. budgeted 480 Operating Budget – Projecting a $15K surplus vs. budgeted $12K deficit. Collections = 95% of total budget for dues, building fees, and Torah School tuition. (last year was 95%)

11. 2015/2016 Financial Highlights $27K favorable swing in operating income: High Holiday Appeal exceeded expectations- $10K High Holiday revenue/expense- $15K Delay in start of new Executive Director and lower than expected health benefits costs- $15K Sale of car (formerly used by shaliach)- $7K Offset by lower TS enrollment, lower rental revenue and additional payment to RRC- Total $20K

12. 2015/2016 Financial Highlights Mortgage 4.20% interest rate Accelerated payments and refinancing (four times) has saved over $100K in interest for Adat Shalom Loan balance would have been about twice as much Will continue accelerated principal payments to the extent financially feasible

13. Balance Sheet (in thousands) Assets as of 4/30/16 4/30/15 Current Bank Accounts, Inventory$1,331 $1,133 Fixed Land, Building, Furniture, etc. $3,865 $3,857 Total Assets$5,196 $4,990 Liabilities Current $ 60 $ 50 Long-Term$ 52 $ 57 Mortgage $ 385 $ 446 Equity $4,699 $4,437 Total Liabilities and Equity$5,196 $4,990

14. ADAT SHALOM 2016/2017

15. 2016/17 Budget Highlights ASSUMPTIONS Membership relatively flat at 480 member units Collections rate at 83% (consistent with prior year) Torah School continued drop in enrollment

16. 2015/16 Budget Highlights INCOME Dues increase (2%) – For example Family Dues increases by $50, from $2,340 to $2,390 No Torah School tuition increase (large increase last year) Fundraising similar to this year EXPENSES Contractual and cost-of-living increases in payroll All other expenses relatively flat as compared to current year projection

17. PROJECTED ACTUAL 2015-16 PROPOSED BUDGET 2016-17 % Change Income Dues818,000834,000 Torah School176,000163,000 Fundraising235,000257,000 Other Fees61,000 Miscellaneous42,00039,000 Total Income1,332,0001,354,0001.6% Expenses Personnel Costs1,016,0001,048,000 Building & Grounds153,000162,000 General Administration66,00063,000 High Holiday/Program33,00036,000 Torah School23,00022,000 Miscellaneous26,00036,000 Total Expenses1,317,0001,367,0002.0% Operating Surplus (Deficit)15,000 (13,000) Proposed Budget 2016-2017

18. Outlook We are fortunate to have built up capital and operating reserve funds that enable us to absorb economic uncertainties. We remain a financially sound community, but we face challenging long term trends: Expenses that rise more than the capacity of a dues increase to absorb them Flat/sluggish membership growth Decreasing school enrollment Essential need to plan strategically

19. Strategy for the Future Careful Expense Management New Sources of Funding Membership Growth

20. Shalom Chaverim!