1. Quarterly reportback on Diocesan Affairs
Saturday 11th February 2017
AGENDA
Welcome  
Financial position – Draft accounts to 31 December 2016
Standard Bank Update
Vestry Readiness
MOUs with clergy
Diocesan Centre Update
General
Close

2. Quarterly reportback on Diocesan Affairs
Saturday 11th February 2017
AGENDA
Welcome  
Financial position – Draft accounts to 31 December 2016
Standard Bank Update
Vestry Readiness
MOUs with clergy
Diocesan Centre Update
General
Close

3. Quarterly reportback on Diocesan Affairs
Saturday 11th February 2017
AGENDA
Welcome  
Financial position – Draft accounts to 31 December 2016
Standard Bank Update
Vestry Readiness
MOUs with clergy
Diocesan Centre Update
General
Close

4. New layout of financial statements
Historically, the affairs of the Diocese were presented in a fragmented fashion which made it difficult to understand the true overall position of the Diocese. It has therefore been decided to merge the Trustee accounts and the DFB accounts into one reporting document.
A further issue was that the activities reported in the financial statements for the most part did not properly reflect the various activities of the Diocese in line withy the Diocesan Vision and Strategy.

5. New layout of financial statements
In terms of the Diocesan Vision and strategy, the Diocese has the following portfolio teams
Chapter has the following portfolios:
Church Growth Portfolio
Ministry formation portfolio (including School for Ministries)
Pastoral care portfolio
Spiritual formation portfolio
Young peoples ministry portfolio
Trustees have the following portfolios
Property portfolio
Social responsibility portfolio
Institutions and organisations portfolio
The Diocesan Central Office is responsible for the administration of the affairs of the Diocese including Property Management, financing activities, Human Resources and Administration, etc
In addition there are a number of Diocesan wide activities under the Bishop’s office which are Episcopal and Pastoral in nature.

6. New layout of financial statements
The new format of the financial statements therefore follows these various activities with separate accounting for the affairs of Chapter, the Trustees, The Diocese and the office
BUT
All within one set of accounts
While the transition to the new arrangements with Standard Bank is concluded, the Deposit Fund will continue to be reported upon separately but it will in due course be wound up.
We therefore present a summary of 2016 accounts in this revised format

7. DIOCESE OF JOHANNESBURG
Income statement
for the period to 31 December 2016
This year
Next year
Actual
Budget
INCOME
Diocesan Activities income
Diocesan affairs
Chapter income
Church growth portfolio
School for ministries
-20327
Pastoral care
Total Chapter income
Trustee income
Property
Social responsibility
60240
Total Trustee income
Administration income
Administration
Diocesan office
Financing activities
Total
Total income

8. EXPENSES
Diocesan Activity expenses
Synod expenses
54966
60286
214000
Office of the Bishop
Diocesan affairs
146877
144438
220210
Province
Total Diocesan Activity expenses
Chapter Expenses
Church growth
149290
163549
486000
School for ministries
Pastoral Care
Total Chapter expenses
Trustees expenses
Diocesan Centre
Total Trustees expenses
Administration activities
Administration expenses
Financing expenses
811823
782735
752720
Total administration expenses
Total expenses
Net surplus before transfers
Tfrs to/(from) Joint Ordination Fund
-23041
Tfrs to/(from) Pension med fund pre 1955
Total transfers
Net surplus/(deficit)

9. Diocese of Johannesburg
Deposit Fund
Income Statement
for the period ended 31 December 2016
This year
Last year
INCOME
Interest received
EXPENSES
Interest paid
Other expenses
Bank charges
37887
61507
Audit Fee
30000
Admin Fee
279302
301906
DFB Interest management
400000
717189
393413
Net surplus
88187
29513

10. Quarterly reportback on Diocesan Affairs
Saturday 11th February 2017
AGENDA  
Welcome  
Financial position – Draft accounts to 31 December 2016
Standard Bank Update
Vestry Readiness
MOUs with clergy
Diocesan Centre Update
General
Close

11. Update on Standard Bank
Negotiations have been proceeding with Standard Bank for more than a year to develop a new and improved banking experience for the Diocese as a whole.
New arrangements will result in
Consolidation of all balances and payment of interest on total deposits
No bank charges to parishes except cash deposits (fee in the regard has been halved)
Interest will be paid on current account credits
Closure of

12. Update on Standard Bank
Negotiations have been proceeding with Standard Bank for more than a year to develop a new and improved banking experience for the Diocese as a whole.
New arrangements will result in
Consolidation of all balances and payment of interest on total deposits
No bank charges to parishes except cash deposits (fee in this regard has been halved)
Interest will be paid on current account credits
Closure of Deposit Fund
Better management of funding arrangements
More information will be provided once the arrangements are finalised

13. Quarterly reportback on Diocesan Affairs
Saturday 11th February 2017
AGENDA
Welcome  
Financial position – Draft accounts to 31 December 2016
Standard Bank Update
Vestry Readiness
MOUs with clergy
Diocesan Centre Update
General
Close

14. Vestry Readiness (Rule H-1) - Reminder
Vestry meetings should be held no later than the 15th March 2017.
Notice of Vestry should be published 22 days before the meeting.
Note the Agenda in H1.2. No other business may be transacted at the Annual Vestry Meeting except with the consent of the Chairperson.
Rules for nominating Warden and Councillors must be adhered to.
All returns to be submitted one week after the Vestry meeting is held. Please note rule H1.4.
All the returns from Parishes and Organisations will be reviewed in detail in Quarter 2 of this year.
We will discuss the returns with parishes if:
There are areas of improvement that have been highlighted and not addressed.
There are high risk areas that need urgent attention.
Due process was not followed.
Any other matters that may be deemed to be contentious and require attention.
Verifiers have been instructed to report all instances of non-compliance to members at the Vestry Meeting

15. Quarterly reportback on Diocesan Affairs
Saturday 11th February 2017
AGENDA
Welcome  
Financial position – Draft accounts to 31 December 2016
Standard Bank Update
Vestry Readiness
MOUs with clergy
Diocesan Centre Update
General
Close

16. MOUs (Rule F – 3.3) 
All Parishes and clergy were instructed by the Bishop on 18 October 2016 to ensure that Memoranda of Understanding must be in place by 31 December 2016 and that copies must be forwarded to the office.
Less than half have been received thus far.
MOUs must in terms of the Rules be reviewed annually before the end of each Calendar year.
Challenges identified thus far are:
The Easter Offering and 13th Cheque,
The Transport allowance, and
Allowances of Non-Stipendary Clergy.

17. Quarterly reportback on Diocesan Affairs
Saturday 11th February 2017
AGENDA
Welcome  
Financial position – Draft accounts to 31 December 2016
Standard Bank Update
Vestry Readiness
MOUs with clergy
Diocesan Centre Update
General
Close

18. Diocesan Centre Update
HR & Administration will be fully functional and will focus on;
Leave Management;
Payroll administration;
and Staff contracting.
Property Management will include the following areas;
Administering the Insurance,
Diocesan Property Management,
Financial Management will focus on;
Financial Administration; and
Procurement Administration

19. Leave Management
As a start, we would like to focus on mitigating a significant risk of the Diocese.
The cost of unmanaged leave can be very high and this how:
Dan, the Parish Bookkeeper receives R9500 per month and the rate per day is approx. R432.
Dan started working for the church in September 2011 and is entitled to 20 days leave annually.
Dan has always taken 10 annual leave days during the Grahamstown Arts Festival and he does submit leave forms to the Parish Administrator that are approved by the Rector. There are other odd days that he takes too which are average to 5 a year.

20. Leave Management (cont)
Dan had to resign in December 2016 because he has a new accountants job at a law firm.
In Dan’s payslip it reflects that he has 106 days and the problem is that during the filing clean up in the Parish, the leave forms, which were not filed, went missing. The only record of leave is the payslip.
The Parish has to pay R to Dan because the leave was never recorded.
The solution is for the leave information to be centrally stored.

21. Bank charges – Deposit Fund
An error has been identified in the office whereby amounts transferred to the Deposit Fund other than by EFT have resulted in the Deposit Fund being debited with some R37000 of bank charges in 2016.
As these bank charges effectively reduce the amount placed with the Deposit Fund, they will be debited to the relevant Deposit account from January 2017

22. Quarterly reportback on Diocesan Affairs
Saturday 11th February 2017
AGENDA
Welcome  
Financial position – Draft accounts to 31 December 2016
Standard Bank Update
Vestry Readiness
MOUs with clergy
Diocesan Centre Update
General
Close