The assets of the church include the church property, the inventory, and banking and investment accounts.
A. Asset Protection
The two main ways that church assets are protected are through insurance and staff accountability.
The Senior Minister is responsible for ensuring that the church has in place a Risk Management Plan that provides sufficient insurance coverage for the potential risks associated with conducting church operations balanced with the reasonable and prudent cost of such coverage. The Administrator is responsible for executing and managing this Plan and engaging and working with the church’s insurance provider(s) in compliance with the plan.
II. Responsibility of Staff
Staff members are required to take all reasonable care to protect the Church and its assets. The safe is used for petty cash, grocery and scrip cards, Sunday plate collection and keys to the building. The Safe can be opened by the church administrator, the office assistant and the chair of the grocery certificate team.
B. Determining the Value of the Church Property
Theoretically, the value of the property is the amount that someone might pay to buy the property, but until it is actually sold the value can only be estimated. The value that we currently use in the balance sheet is the replacement cost of our buildings and equipment as evaluated by our insurer, Church Mutual Insurance.
C. Church Inventory
The Administrator is charged with maintaining a master list of all church physical assets with a book value over $1,000, which includes the date purchased, the original cost, and a projected replacement date based on it’s estimated useful life. Once an initial inventory is completed, the schedule will be updated within 45 days of the close of each fiscal year to include new purchases and retirements that occurred during that year and used as a resource during the budget process and the annual insurance review.
I. Grocery Certificates and Scrip Cards
The Administrator is responsible for the management and oversight of the Grocery certificate and Scrip Card Program. The Grocery Certificate Coordinator, a volunteer, is responsible for maintaining inventory, preparing the deposits and inventory reports for the bookkeeper and the recruiting of sellers. The Coordinator is responsible for maintaining a minimum inventory for the upcoming month’s sales. Grocery cards are purchased directly from the local grocery stores and also from the Great Lakes Scrip Center (GLSC). Cards are inventoried and reconciled to the accounting records on at least a quarterly basis.
Scrip cards for non-grocery stores have also been made available for purchase to support the church. However, this program is being phased out and the existing inventory will not be replenished once all remaining cards are sold. The Administrator is responsible for maintaining inventory, preparing the deposits and inventory reports for the bookkeeper and recruiting of sellers until the program is terminated. Scrip card inventory is kept on the GLSC program “Scripware”.