Governance

What is the Cathedral Chapter?

It would be easy to describe the Cathedral Chapter simply as a board of directors or a parish council (Vestry in Episcopal Church terminology). But the Chapter is more than that. At its heart it is a group of 13 elected Cathedral members who commit to be good stewards of the Cathedral’s resources. That means that they embrace its mission, wisely manage its finances and property, operate as directors of its corporation and provide counsel to the Dean. They value the Cathedral’s history, live into the challenges of the present and plan for the future.

Twelve chapter members are elected for three-year terms and one, a youth member, is elected for a one-year term. Those elections occur at the annual meeting in January. There are also three officers. The Senior Warden, a leadership role, is appointed by the Bishop and is not among the regular elected members.  The Junior Warden is elected from among the members of Chapter. Ex-officio members include the Service League president, the Treasurer and the Curate  (assisting clergy person).

The Chapter normally meets the third Tuesday of each month and meetings are open to visitors except when an executive session is necessary. The Bishop is the president of the Cathedral Corporation, but traditionally the Dean presides at Chapter meetings. 


Current members of the Chapter are:

  • Jason Brown
  • Colin Haffner
  • Jim Holmes
  • Michael Leiserson
  • Isabella McDonnell
  • Karen Byrne
  • Katherine Karr-Cornejo
  • Gretchen Ramey
  • Elizabeth Rosenzweig
  • Justin Haldeman
  • Kathie Hawkins
  • Patti Stice
  • John Wallingford

 

Lay leadership positions include:

  • Senior Warden - John Wallingford
  • Junior Warden - Katherine Karr-Cornejo
  • Chancellor - Jason Brown

 

Additionally, the Chapter oversees eight standing committees:
•Mission and Strategy
•Education and Youth
•Lay Ministries
•Property
•Finance
•Outreach
•Stewardship
•Communications
 
As with most organizations, the standing committees vary in their activity and regularity of meeting.
 
Assorted task forces, teams, and other groups form, as needed, to provide special events, new programs, etc.

Chapter Minutes - April 24, 2018

All present except Gretchen Ramey & Isabella McDonnell

 

6:30pm Call to order, opening prayer, agenda preview

Called to order by John Wallingford. Turned over to Bruce Miller as representative of St. John’s Property.

Presentation on St John’s Properties annual board meeting – Bruce Miller

Would like to express appreciation for Bill Ellis in his role with SJP.

SJP was formed by Bill Fix in 1984 to provide low-income housing (primarily for elderly). First project was Canterbury Court.

Now have over 200 living units providing low income housing for 600+ people.

65 meals a day from meals on wheels at Canterbury Court, technology classes, yoga classes, and nurses providing health support.

2016 the HUD loan for Canterbury Court was paid off. Refinanced the property in 2017 to complete viable projects: window replacements, HVAC systems, new roof, common room has been redone, and about 25 units were renovated.

SJP IV owned by SJP I, allows to keep tax exempt status for 501c(3).

Call for a vote to re-elect current Directors: Doug Spruance - Secretary, Russell Werkman, Karen Schomburg, Tim Williams, Bruce Miller - President.

  • Michael moved to re-elect, Jason seconded
  • Karen B. asked if the new dean would need to be on the board of directors. Bruce M. expressed desire to have more members and would entertain the idea of the new dean on the board. Bylaws allow for 5-15 members of BoD.
  • Motioned passed

John asked for more info on the Winchester property.

  • About the same size as Canterbury Court, but is a newer property
  • About halfway through its loan
  • Property is full of residents, and offers the same activities as Canterbury Court

Chapter adjourned meeting for SJP

 

Regular meeting of Chapter was then called to order by John W.

 

6:50pm Foundation – Russell Werkman

Origins were as Trust & Endowment, now collapsed into Foundation.  

Foundation purpose is to provide a revenue stream for the Cathedral.

Terms of endowment:

  • Spending Policy = Governance guide
  • This is what we can take out of endowment on annual basis. The governing board (Chapter) must decide how much to spend from the endowment (%). Think about sustainability when determining this annual pull. Also take into consideration competing interests (operating budget vs. endowment assets)
  • Intergenerational Equity
  • Hurdle Rate (Spend rate + inflation + expenses). Prudent fiduciary oversight consists of two responsibilities no matter what: preserve the investments into perpetuity (long-term) and provide consistent funding for real needs (operating budget costs).
  • Fiduciary Duty
  • UPMIFA (Universal Prudent management of institutional Funds Act)
  • Restricted vs. Unrestricted Funds
  • History of the Foundation: started in 1964 as the Trust & Endowment committee by Bill Fix who managed the funds for many years. In 2012-13 Chapter voted to establish a separate 501 (c)3 to manage the endowed funds for SJC and hired independent investment managers. The Foundation was established in 2013. Managed by Becker Capital, with assets at $16m in 20+ different investment funds. Foundation looks into socially responsible investing on case by case basis and takes deemed appropriate action.
  • The Foundation Board administers the Foundation, provides financial support to the Cathedral and encourages planned giving. Has 5-7 members on 5-year terms. Members can serve up to two terms. The dean may appoint up to two members for one-year term. One member must be from Chapter. Current members: Liesel K., Pat W., David W., Libby P., Russell W.
  • Use Becker Capital as external manager of funds. Cathedral book keeper is paid part-time by Foundation.
  • Current hurdle rate: 5.31%+2%+1% (draw, inflation, expenses). Provides just over $450k, with nearly $250k as restricted funds. Total Cathedral budget is close to $1M.
  • Planned giving is growth through bequests (wills, etc.) and foundations. This is the area where most endowments grow.
  • Long term goals of the foundation over next 10 years: get down to a 4-4.5% annual draw, $100,000 added to endowments annually, reach $18m in endowed funds, Have a $720,000-810,000 annual draw.

 

7:10pm Old Business

March 2018 minutes

  • Minutes were distributed electronically. Karen B. moved to accept the minutes, Justin seconded. Motion carried.

Windfall offer(s)

  • A second offer was made on the Windfall property and was turned down, noting Windfall disposition toward sale.

 

7:20pm New Business

Marsden Scholarship – Russell Werkman/Ken Beck

  • Scholarship is managed as part of the endowment not owned by Foundation. $2M is used for scholarships. Applicants from all around Episcopal Diocese of Spokane region. To support scholars at the nation’s great institutions.
  • The committee met and determined to renew 5 students at $7500/each. One student still in negotiations with (satisfactory progress not fully apparent). Adding two additional scholarship recipients, one student, Solveig Baylor, attending Georgetown, Brienna Buchanan
  • Michael moved, Jason seconded to accept these scholars and recommendations to Chapter. Motion carried by Chapter.

Safeguarding training and CPR

  • We have a requirement for doing Safeguarding training as members of Chapter. New training materials may be rolling out from TEC later in 2018.
  • Marianne Harrington is willing to do CPR and equipment (AED) training if desired.

Parochial report – John Wallingford for Kristi Philip

  • There was discussion with Bishop around how the Cathedral has been filling in the parochial report. We were instructed that we were not filling in according to TEC rules. Rosie B. has completed two reports, one how we’ve done it and one according to TEC. This will alter how we pay into our diocesan assessment and have budgetary affect.
  • John W. read a statement prepared by Kristi P. regarding preparation of parochial report.
  • Executive committee will ask finance committee to do initial review in consult with Bishop Rehberg. An attempt to resolve this will be made by the time a new dean is at the Cathedral.

Coombs Library proposal – Katherine Karr-Cornejo

  • The proposal was emailed to Chapter members. The issue was first visited last summer (2017). There are currently some structural issues (carpet is molding, windows, multiple cataloguing systems).
  • The Ed & Youth committee would like to take on the care for the library as the charge for formation at the Cathedral. The library can become a helpful and productive educational resource for the Cathedral.
  • There does not seem to be a record of what materials are in the library, and people tend to just “drop off” books in there.
  • James Rosenzweig has volunteered to put some policies together around the library and be the librarian for the Coombs library.
  • Jason reminded that the obstacle originally was who would do the “purge” of books and how that would be decided.
  • If the materials are completely out of date or in poor condition was the proposed policy, along with searching for better condition materials elsewhere if possible. Jim raised caution on how books are deemed to be kept or gotten rid of.
  • Jason reminded that the family that put the library in place may have some thoughts or concerns with steering of library purpose and use.
  • Katherine motioned to put James Rosenzweig as in charge of the library. The motion was seconded and carried.
  • Karen M. asked Katherine to let her know who would sign the green slips for the library expenses.

 

7:50pm Committee Reports

Communications – Jim Holmes & Patti Stice

  • The last meeting was a review of previous initiatives brought forth by Nic: Website, Cathedral signs (these cost $500/each but are re-usable from year to year), the sign at the corner of Grand & 12th (Joan Sulser has drawn up a few variances of what the sign could look like to send out for price quotes).
  • There was a discussion about the tradition of advertising only cathedral business and nothing that takes place outside the cathedral. There is a four-sided kiosk that is being explored to place in the Great Hall for greater advertisement of events.
  • John proposed that the communications committee draft a policy for what can be posted and what is not.
  • Michael moved to direct communications committee develop a Cathedral-wide display/communications policy, Karen B. seconded the motion. The motion carried

Outreach – Gretchen Ramey

  • Gretchen has initiated an invitation to people who are ongoing outreach leaders and some others to organize and begin discussions and create a programmatic approach to Cathedral outreach.

Outreach grants – John Wallingford for Judy Beane

  • We have selected recipients for the Leuthold outreach funds. The total to distribute was $31k to more than a dozen organizations.

Welcoming – Katherine Karr-Cornejo

  • Has a shortlist of people to talk with about initiating welcoming group. Is requesting more possible names to extend an invitation to. The group would be a point of entry group of greeters, and work on welcoming materials.

Property – Jason Brown for Bill Selby; carpet

  • Most pressing update is on repairs to the deanery. Richie is coordinating those repairs. He has re-sealed the leaks/plaster and will hold off on painting until the new dean arrives. he is also working on the upstairs floor where the buckling has diminished with putting a fan on it, and he will sand it down. The carpeting lip on the carpet leading down the hall to Cathedral from Welcome has a short-term plan in place to fix. Richie just completed stripping and waxing the Great Hall floor.
  • Elisabeth raised the question if the nursery repairs were discussed. John confirmed they had been.
  • Karen B. asked if property was moving on getting the deanery cleaned. John mentioned this to Bill S., who asked what the budget was.
  • Patti asked about the pile of bricks near the choir entrance at southwest wall of Cathedral. This is on the docket to be addressed this spring.

Finance – Karen Martin

  • Review of March is mostly “business as usual.” April will be much different. Plate will pop up due to Easter. Expenses are currently way underbudget due to property not utilizing the funds fast enough (this will level out in time). Music spent some in March, but most will show in April.
  • Current budget shows surplus of $29k, though that will shift as accounts start paying out.
  • Light activity in the innerbank funds. Music concerts looked to have done well. Money is coming in for holiday flowers. June will be the last payment to the Haiti Project. South of 12th expenses show repairs to the Priest Associate’s residence.
  • Our deficit is now at $12,900, it is going down little by little.
  • Discussion about separation of book keeping for Cathedral funds and Foundation funds took place and further discussion is warranted.
  • A Square has been ordered and payment options for cc payments will be underway soon. Funds may be available for an iPad.
  • Finance will be moving forward with text messaging donation services. This comes with a $19/month entry-level cost. Should happen in the next few weeks.
  • Attendance and plate report will be shared at May meeting.
  • A motion to accept the finance report was made by Jason, Katherine seconded. The motion carried.
  • A motion to pay bills as funds become available was made by Jason, Katherine seconded. The motion carried.

 

8:20pm Junior Warden comments

 

8:25pm Senior Warden comments

 

8:30pm Closing prayer and adjournment