Summary of the Reserve Study Report Findings
Our beautiful church facility is large and old. It requires continuous maintenance and upkeep. Our staff and committee members manage its maintenance with a budget of approximately $46,000 per year. This repair budget does not leave room for end-of-life equipment replacements or major renovations.
It is difficult to do long term planning for equipment and building infrastructure replacements due to the revolving nature of our church committee structure. Consequently, we have under invested in our facility’s maintenance/refurbishment for several years. This puts the church in a potentially risky position if an infrastructure item suddenly fails (e.g. heating system, cooling system, roof, etc.).
Church leadership desired an accurate long term plan for our facility. In December 2014 the Council engaged Reserve Advisors, Inc. to perform an assessment of our church facility and prepare a Full Reserve Study. The Full Reserve Study provides a professional long term plan for our infrastructure investments for the next 30 years. The church is thankful for a special donation from Dean and Jenny Fischer who underwrote the significant cost of the Full Reserve Study. The Full Reserve Study can be viewed at: https://secureservercdn.net/126.96.36.199/7c5.83a.myftpupload.com/wp-content/uploads/2016/06/First-Congregational-Church-of-Glen-Ellyn-6.28.16.pdf
The Full Reserve Study reviewed 48 major components including doors, entrances, gutters, light fixtures, roofs, masonry, windows, floor coverings, ceilings, kitchen, organ restoration, pew restoration, rest rooms, air handling units, heating and cooling systems, boilers, electrical system, elevator, life safety system, parking lot pavement and fences.
A key takeaway- we are facing $1,100,000 of building investments in the next five years; the ten year total investment anticipated is $2,100,000.
How will these infrastructure investments be funded? Reserve Advisors recommends the church adopt a Reserve Fund budget of $207,000 in 2016. Afterwards, the church should budget gradual annual increases in reserve funding through 2020. It is recommended the church fund stable contributions of $230,300 from 2021 through 2025. By 2026, the church will have fully funded for the replacement of roofs and air handling units. These contributions will maintain a Reserve Fund for the major expenditures. The following table summarizes the first ten years of the Reserve Fund activity:
|Building Reserve Fund Study – Ten Year Summary|
|Year||Contributions||Expenditures||End of Year Building Reserve Fund Balance|
|1||$ 207,000||$ (83,187)||$ 124,494|
|2||$ 212,600||$ (197,446)||$ 141,101|
|3||$ 218,300||$ (180,202)||$ 180,961|
|4||$ 224,200||$ (222,240)||$ 184,922|
|5||$ 230,300||$ (375,810)||$ 40,646|
|6||$ 230,300||$ (168,960)||$ 102,770|
|7||$ 230,300||$ (54,226)||$ 280,943|
|8||$ 230,300||$ (321,887)||$ 191,943|
|9||$ 230,300||$ (224,822)||$ 199,563|
|10||$ 230,300||$ (312,485)||$ 119,121|
|Total expenditures in the first five years||$ 1,058,885|
|Total expenditures in the first ten years||$ 2,141,265|
The game plan to fund these infrastructure projects will be a major initiative for the congregation during the 2017 fiscal year.
Below you will find a table which illustrates the recommended infrastructure improvements for the next ten years.
Progress to Date
We continue to communicate the results of the Full Reserve Study with our members to provide education of this important issue. Our Administration & Property Committee is evaluating which projects to undertake first based on our most pressing needs. During FY2016 our members made voluntary gifs of $156,000 to the Reserve Fund. This total included a very special gift of $150,000 by one of our generous member families.
Next, we need to organize the fund raising efforts. These steps will be key initiatives during the 2017 program year.
How Can You Help?
Please take time to read the Full Reserve Study. (Reader tip: there is a two page Executive Summary, colorful graphs and photos illustrating the worn condition of many components.) Printed copies of the report are also available in the church office. Spread the word to other church members about this important need for the future of our church. Participate at a coming information session about this topic. Respond through your annual giving.
If you have questions or would like to participate on the Reserve Fund team please contact Nancy Ellis, Assistant Moderator, firstname.lastname@example.org .
|Building Reserve Study – The First Ten Years of Projects|
|Windows, stained glass, refurbishment, phased||30,810|
|Asphalt Pavement, total replacement||52,377|
|Roof, Asphalt Shingles, Original Chapel (incl. gutters and downspouts)||17,087|
|Roofs, Asphalt Shingles, Dormers at Clay Tile Roofs||8,227|
|Walls, masonry, inspections and repairs||52,315|
|Floor Coverings, carpet, common areas, phased||74,253|
|Kitchen Equipment, phased||26,368|
|Air Handling and Condensing Units, split systems, phased||12,446|
|Reserve study update with site visit||6,750|
|Light Fixtures, bell tower and mounted||10,832|
|Walls, wood trim, paint finishes (includes sealants)||32,496|
|Windows, stained glass, refurbishment, phased||32,496|
|Floor Coverings, carpet, common areas, phased||76,258|
|Floor Coverings, vinyl tile, common areas||12,955|
|Ceilings, acoustical tiles and grid, phased||55,567|
|Floor coverings, carpet, sanctuary and narthex||32,539|
|Light Fixtures, can and pendant, atrium and chapel||6,424|
|Light Fixtures, sanctuary, narthex and stairs, dome||3,115|
|Boilers, building heat||124,595|
|Windows, stained glass, refurbishment, phased||34,275|
|Windows, wood frames, phased||13,824|
|Ceilings, acoustical tiles and grid, phased||57,067|
|Elevator cab finishes||7,997|
|Air Handling Units, rooftop heating and cooling units||93,684|
|Energy recovery and condensing units, systems||165,661|
|Asphalt Pavement, crack repair, patch and seal coat||3,302|
|Five year total||1,058,885|
|Roofs, thermoplastic, CPE, 2001||103,254|
|Windows, stained glass, refurbishment, phased||36,151|
|Audio Visual Equipment, phased||18,075|
|Gutters and downspouts, copper||23,018|
|Roofs, clay tiles, underlayment and partial tile replacement||298,869|
|Roofs, thermoplastic, TPO, 2007||118,200|
|Walls, wood trim, paint finishes (includes sealants)||38,129|
|Windows, stained glass, refurbishment, phased||38,129|
|Light Fixtures, sanctuary, refurbishment||12,710|
|Air Handling Unit, make-up air||13,981|
|Asphalt Pavement, crack repair, patch and seal coat||3,673|
|Walls, masonry, inspections and repairs||64,742|
|Windows, wood frames, phased||15,794|
|Floor Coverings, tile, common areas||9,398|
|Organ restoration, electrical||71,791|
|Rest Rooms, multiple stalls, renovations||66,569|
|Rest Rooms, single stall and shower rooms,||16,316|
|Life Safety System, (control panel and emergency devices)||67,875|
|Ten year total||2,141,265|