October 19, 2008 Congregational Meeting Announcement

We wanted to update everyone on the financial status of CUC across its long-term investments, its annual operating budget, and the capital campaign progress.

We just passed an important deadline on our capital campaign. About a year ago the congregation voted to authorize a fund drive to raise pledges towards a renovation project of the central part of the building. At our June 1st annual meeting, we passed a resolution setting specific benchmarks to be met in order to move forward with actual construction.

The key criteria in the resolution called for:

• permission to spend up to $200,000 on architect steps of the process

• a requirement that $1.1 Million dollars must be raised in pledges by October 15, 2008 in order for the full project to move forward

The board of trustees met on October 15th and deliberated over the progress of the capital campaign as well as the status of other financial information.

To date, we have received $840,000 in pledges. While this is an impressive amount of money from a caring and committed congregation, it is still short of the $1.1 million goal set back in June. When coupled with these extraordinary economic times, certainly impacting all of us, the board of trustees has determined that we will NOT go forward with either the capital campaign or the renovation of the central core of the building as was originally envisioned for next spring, 2009.

The decision to delay the project is based on 3 key points:

1. The goal of $1.1 Million was not met

2. The 2008-2009 operating budget pledges are behind and we think it prudent to take more immediate action and stabilize the budget before we take on such large a project as the renovation.

3. The capital campaign funding depended on our ability to draw on some monies from the endowment fund which has now experienced losses during this economic crisis.

I will briefly review those three points and then provide some next steps for the congregation.

We want to thank everyone for their generosity in helping us raise more than $840,000, an achievement that should be viewed as a joyful accomplishment for CUC, particularly as we have not run a full-fledged capital campaign in decades. Also we've made significant progress focusing on the needs and the vision of the renovation project which made this a tremendous learning experience for all of us. We made big strides this summer with architectural plans. The new architects have listened well and we will be showing you new floor drawings and a vision of what is possible. We've also learned to talk about money more openly and forthrightly which is not easy for Unitarian Universalists to do. As a side note, the 100th anniversary committee is finishing volumes of the history of CUC and you will find other stories where CUC does not accomplish what it wanted the first go around. There are stages, developments, and alterations to everything that we do and do well.

Second, the operating budget:

The operating budget approved at the June 1st meeting was based on the expectation that we would receive $366,000 in pledge money from members and friends of the congregation. This amount makes up 75% of the money needed to run our programs and pay our bills. As of today, families have pledged $319,000. Again, we thank all of you who have contributed generously to the church, but we still are $47,000 short if we are to finish out this year in the black. Of course we usually get more pledges at the end of the tax year, by December 31st. But given current economic conditions, we need to know whether or not additional pledges will be made and to what extent. If we don't receive the additional $47,000 in pledges, we will have to close the books on the 2008-2009 budget by withdrawing money from the endowment fund by as much as $90,000. Typically we only use $30,000 from the endowment fund to cover operating expenses.

That's the revenue side of the operating budget. On the expense side we already tightened up expenses as much as we felt possible back in June when we approved the budget. This year we are covering a sabbatical, purchasing 2 new furnaces and repairing 5 others, and hosting wonderful anniversary events, some of which bring revenue back to the church. We're maintaining all the programs that are near and dear to our hearts, we're anticipating increased utility costs, and we gave much deserved salary raises. We already made budget cuts across all areas – music, worship and guest speakers, religious education, social action programs, grounds maintenance, and administration. In summary, for 2008-2009, we will maintain a balanced budget through increased revenue, not further expense cuts.

Third, the endowment.

At a peak our endowment was over $1 Million. On September 30th our endowment fund was close to $800,000. On October 15th, it was at $735,400, which was another loss of almost $69,000. Our plan was to use between $350,000 and $500,000 towards the capital campaign project. But the board of trustees and the finance committee have a policy of maintaining enough endowment at all times to equal one year's operating expenses. In other words, $500,000 is not to be touched for other projects if at all possible. If we project a couple of years of a bumpy ride on the operating budget where we need to borrow from the endowment, and we maintain a crucial base amount, that leaves us with little money to give back to the capital project.

So what are our next steps?

1. We are releasing all members and friends from their pledge to the capital campaign. This month we would have started sending statements requesting payments to be made towards the capital campaign project according to the pledge you made. Those statements will not go out. We want to be clear that we are not releasing pledges just because the renovation project is being delayed. We want to release pledges so that your family has some time to reassess your own financial situation and to give those of you who need it some personal breathing room at this difficult time.

2. Here's the “But”. You knew there'd be a BUT. But the board of trustees requests that you consider increasing your financial commitment to the operating budget and provide us with that commitment in writing for our planning purposes. There are a few ways to increase your pledge. You could review the pledge you made to the capital campaign project and consider putting a portion of that towards the operating budget. You could review all charitable contributions you plan to make between now and the end of the year and ensure CUC stays at the top of your list. Or, you could just increase the amount or make a pledge to the operating budget for the first time. We will be sending statements next week on the status of your pledge.

3. The board of trustees has given the building committee permission to work with the architect for 2 more weeks so that we can show you new floor plans and square footage cost estimates immediately. We have not spent the $200,000 allocated to the architects, and we authorized a phased contract with the architect which allowed us to stop work without any financial penalty. We can complete a set of plans that can be used to assess and benchmark the project for when we decide to move forward. Whether it is in 18 months or 5 years, the work that we have done together so far will serve us well when the congregation decides to proceed.

4. The board of trustees, along with the capital campaign committee, is still working through the details of the capital campaign project. We are not making specific recommendations on other capital projects or the specific date to return to this project because the market is still too volatile. Also, we know you made a pledge because you were committing to a significant and transformative project. We want to honor that commitment. We want to reach for that truly altering project when the time is right.

In closing, the board of trustees fully recognizes the long list of people who contributed hours of expertise, analysis, discussion, passion, and even love and anger into making this capital campaign project a reality. The delay is a disappointment, but we are grateful for the carefully placed benchmarks along the way that have allowed us to make prudent decisions. We are truly a community that has gained focus on its mission and needs for the future. We're not delaying because we can't agree on what building materials to use or where to place the bathrooms. We're delaying because of unfortunate economic turns and because the board of trustees remains committed to staff loyalty and strength, physical plant requirements, and fiscal responsibility.

Emily Economou, Chair, Board of Trustees

CUC Renovation Program

For more information on Richard Henry Behr Architect see: www.rhbpc.com

For comments and suggestions regarding the renovation, please email building.committee@cucwp.org.

Building Committee Meeting, October 2nd

The committee reviewed outcomes from the charrette and evaluated three new schemes presented by the architects. These three layouts were fresh looks at the flow of people and room usage within the entrances, fellowship hall, staff offices, a kitchen, and lavatories, as well as visual and actual connection to outside space. The architects left with information from the committee on the pros and cons of each scheme.

Charrette, September 27th

Over 30 people attended the Charrette on September 27^th. The principal architects of Richard Henry Behr Architect P.C. led a productive dialog. Attendees expressed their primary wishes and concerns of renovations for the central part of the building. Ideas are compiled with both the building committee and the architect.

Building Committee Meeting, September 8th

The building committee is working with previous plans and other emerging ideas on the renovation program. The board of trustees has charged the committee with developing the best plan possible that can be presented to the congregation.

The architects recently collected ideas and concerns from the building committee as listed below.

ENTRY/LOBBY:

• be impressive - in a quiet way
• be meaningful, representing “who we are”
• be welcoming
• reflect the 7 principles
• have better lighting
• have Sanctuary protected from noise
• relate to original building idea and plan
• connect to Sanctuary aesthetically and visually
• compare to R.E. Lobby (seating, visuals, etc.)
• be larger
• be easier to navigate
• not very attractive
• connectivity - existing “flurry of extraneous activity”
• existing separation between services and R.E. - not enough interaction
• be secure especially for weekday staff
• be similar to Fay Jones
• provide entry to Sanctuary at main level

RESTROOMS

• accessibility
• size
• # of fixtures
• potential family/”companion”
• space
• one accessible room
• potential double as family bathroom
• baby changing station? - should be in all bathrooms
• energy and water efficient - Sloan water-less toilets?
• NYCERTA - sustainability
• High demand of current bathrooms

FELLOWSHIP HALL

• Should 1.5X the size
• Can accommodate kids now
• Needs to accommodate congregation
• Can help in producing revenue
• Better circulation - how to get there
• Needs refurbished
• Better access to kitchen
• A/C?
• Larger?
• Existing is the wrong shape
• Heating vs. Preparing?
• Youth activities Prep for 200-300 people
• As functional as possible
• Better access for deliveries
• Re-design Mechanical Systems
• Should be together for security reasons

OFFICES / STAFF

• Private office for Louise
• Private office for Director of Religious Ed.
• Private office for another religious professional
• Space for part-time bookkeeper
• 4th multi-use space
• Accommodation for
• office machines
• storage
• committee room/general meeting room - cubbies, etc.

Summer 2008 Progress

Request for Proposals

After the congregational vote in June, we formed a Building Committee, that met extensively in July. With the input from the Design Committee, the Board of Trustees charged the Building Committee with selecting a new architect to review the Lothrop plans and make adjustments by taking into strong consideration our vision of who we are and our UU principles. This newly selected firm will work with the congregation on a refreshed design and ultimately move us through the necessary approvals and construction.

The building committee received proposals from five architect firms, and based on ability to complete the work, four firms were interviewed and visited our building and lands at the end of July. The architects were rated on factors including design sense, chemistry with committee, firm philosophy, local experience, and confidence in the schedule and budget. The committee also considered proximity to CUC to easily enable a close working relationship.

The building committee asked the candidate architects to consider how we take our vision of being a welcoming place and demonstrate that in the design. Especially for the lobby area, we want to celebrate our history and future but also who we are as a community. The committee emphasized our values of respect, hospitality, and social justice , which we want to express through having a more accessible building for all generations.

Making a Decision

The committee easily reached the decision to hire Richard Henry Behr Architect, with offices in Scarsdale and Shelburne, Vermont (www.rhbpc.com). Richard has done many religious projects including the master plan for Our Lady of Mount Kisco and design work for St. John’s Church in White Plains. But just as important, he is an expert in renovations and restoration and is thrilled to work on a mid-century building. Frankly, his excitement for this place and project is contagious. The committee also felt that of all the firms interviewed, Richard’s had the best understanding of how to work with a community.

On to the Work At Hand

At the August board meeting we signed the initial contract so that Richard and his project manager, Christopher Kannel, can begin preliminary measuring and study of the previous plan before our September 27th church-wide brain-storming session. This community charrette will be a fantastic time to share ideas and our vision with the architectural team. We hope that all friends and members will join us for this historic day, which will be a milestone for our next 100 years.

Also, while we’re moving closer to the needed pledge targets, we have some additional fundraising work to do before mid-October, so you will be hearing more from The Capital Campaign Committee in the weeks ahead. To date we have raised over $840,000 in pledges. Pledges are coming from all families at CUC: those who have joined us recently, those who have been with CUC for decades, and every one in between. We are very grateful for the commitment being shown!