St Andrew’s Parish Church, Coatbridge

Commentary on 2002 Accounts and 2003 Budget

This document should be read in conjunction with the Financial Statements for

St Andrew’s Parish Church, Coatbridge for the year to 31 December 2002.

General Fund - Income

Freewill Offering	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Freewill Offering	£ 60,062	£ 62,000	£ 61,232	£ 62,000
Freewill Offering is the largest element of our income. In 2002 the income from this source was 1.9% higher than in 2001 but despite this increase it fell short of budget by more than £ 750. The 2003 budget is an increase of 1.3% on the actual givings in 2002, a level of increase which will be necessary if we are to meet our financial commitments in 2003.

Tax Recovered via Covenants	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Tax Recovered via Covenants	£ 8,487	£ 8,500	£ 9,057	£ 9,000
In 2002 the income from this source showed a substantial increase of 6.7% over 2001. The budget for 2003 shows little change on 2002 as it is based largely on the givings in 2002 rather than 2003. We will only see the amount of tax reclaimed increasing substantially if givings increase or if more of the Congregation sign tax forms.

Ordinary Offerings	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Ordinary Offerings	£ 2,905	£ 3,000	£ 3,164	£ 3,250
Ordinary Offerings decreased by 8.9% compared to 2001, with the 2002 actual givings being £ 164 above budget. The 2003 budget shows an increase of 2.7% over the actual amount received in 2002.

Donations	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Donations	£ 1,056	£ 1,200	£ 2,411	£ 2,000
Like the ordinary offerings the donations item is volatile and, although we saw a significant increase in 2002 when we were well ahead of budget, there had been a significant reduction in 2001. We have set the budget for 2003 midway between the 2001 and the 2002 actual amounts.

Collection Boxes	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Collection Boxes	£ 1,411	£ 1,500	£ 1,550	£ 1,500
The income from Collection Boxes increased by just under 10% in 2002. The income from this source had declined steadily until 2000 but has seen increases in 2001 and 2002. As a result we have set a budget for 2003 at the same level as the 2002 budget.

Sunday Teas	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Sunday Teas	£ 900	£ 800	£ 900	£ 800
The Sunday Teas continued to be a very valuable source of income with the amount transferred to the Church being above budget at £900. The budget for 2003 is unchanged from the 2002 budget level.

Fund Raising	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Fund Raising	£ 120	£ 2,000	£ 264	£ 2,000
In 2002 our fund raising income for the Church directly rather than for organisations were a Floral Display, the Salvation Army Concert, Silent Auction and the Christmas Fayre (the proceeds of the last two of which were placed in the Fabric Fund). We have not increased the budget of £ 2,000 for 2003.

Organisations	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Organisations	£ 2,150	£ 2,000	£ 1,650	£ 1,750
The donations from organisations declined in 2002 (principally because of the discontinuation of the line dancing which contributed £ 600 in 2001) and a number of organisations did not contribute financially to the Church. We have reduced the budget to £ 1,750 for 2003.

Other Income	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Other Income	£ 710	£ 0	£ 1917	£ 0
Once again in 2002 a number of external organisations, although fewer than in previous years, made use of the premises and made donations to our funds. In addition we received two charitable support donations from Abbey National and Prudential. We choose not to budget for such income as it is variable and unpredictable from year to year.

General Fund - Expenditure

Local Ministry	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Local Ministry	£ 36,862	£ 37,124	£ 36,852	£ 38,694
The items in this category are mostly dictated by the Church of Scotland. The budget for 2003 shows an increase of 5% over the actual costs in 2002.

Mission and Wider Work	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Mission and Wider Work	£ 19,101	£ 18,760	£ 18,774	£ 17,990
The 2003 budget shows a decrease of 4.2% over the actual expenditure in 2002 due to a reduction of £ 820 in our Mission and Aid contribution to central funds.

Local Congregational

2001 Actual

2002 Budget

2003 Budget

£ 21,616

£ 25,032

£ 18,932

£ 25,470

Largely the individual expenditure items were close to budget but a few items are worthy of mention

Sunday School expenses were £441 above the anticipated level of £250
repairs and maintenance were £5,400 below budget due to our focus on larger renovations (which arise in the Fabric Fund) and the saving of costs due to voluntary work carried out on the buildings
rates and insurances were £1,400 below budget as expected increase in costs did not occur
we had a cost of £635 for a new Communion Table runner and pulpit fall. Although this cost arose in 2002 it was met by a donation in 2001.

The budget for 2003 shows little change compared to that for 2002 but three items are worthy of note

an increase of £250 in the budget for the Sunday School
a £500 increase in the budget for heating and lighting
a £500 reduction in the budget for rates and insurance as a result of the substantial difference between actual and budget for 2002

Surplus	2001 Actual	2002 Budget	2002 Actual	2003 Budget
Surplus	£ 222	£ 84	£ 7,587	£ 146
We anticipated a small surplus on 2002 but actually generated a large surplus. This was largely due to the expenditure being below budget (particularly on repairs and maintenance and on rates and insurances). The budget for 2003 again anticipates a small surplus.

Opening balance	Income	Expenditure	Closing Balance
£ 72,341	£ 29,067	£ 19,793	£ 81,615
The Fabric Fund again saw several transactions in 2002. The income items were the proceeds of the Christmas Fayre and Silent Auction plus the interest income, the transfer from the General Fund and a recovery from the Landfill Tax of £13,985 which was to cover the costs of the repairs made to the stained glass windows. The major items of expenditure were the repairs to the stained glass windows and renewal of the central heating system in Mrs Dunn’s house in Silvertonhill Avenue.

Hugh McKee

Finance Convener

13 February 2003