Planning Team on November 14th, and informed them of our current situation, including our inability to proceed with our current building plans because of financial constraints. The meeting continued with a cordial and constructive discussion of future possibilities in general terms.
It was agreed that we would meet again in January 2012 for a half day brainstorming session to further define our joint future plans. In the meantime, SJRC will more clearly prioritize their future needs for worship and fellowship facilities, as we have already done.
We will report to the congregation on further developments at our Annual Meeting on January 22nd.
November 6, 2011 The Council and the Building Committee have agreed to postpone the 2013 construction start date for our new building because of financial constraints.
We are currently exploring our options for going forward, and we plan to meet with the SJRC Building Planning Committee in about a week. Before the end of the year, we plan to provide an update report to the congregation on our future plans.
In the meantime, the Congregation with leadership from the Council will focus on our strategic goals – growing our membership, maintaining and strengthening our ministry, and strengthening our membership involvement.
An Update from the Building Steering Committee-David Douds -June 26, 2011
For the past several meetings, the Building Steering Committee has been reviewing in-depth the entire building situation and related financial status. The purpose of the review was to develop several alternatives for going forward with the building project, and then make a recommendation to the Council and the congregation on where we go from here.
In view of the fact that several Council members are currently doing a review of our congregation’s current status and strategic plan for the future, to be completed by the end of the summer, the Building Committee will wait until the that review has been recommendation on future building-related actions, including a report to the congregation in the September/October timeframe.
March 2011 Council report-There was a revised estimate for building costs which decreased approximately $50,000 from March 2009. The Building Committee is planning on a presentation to a Congregational Meeting to be scheduled in the spring. Current question is how to handle the debt service which is currently estimated at $35,000/year for a $500,000 mortgage. If there is an additional Capital Campaign, it will be directed at reducing the mortgage requirements.
October 2010- We continue to move along the new building planning timeline shared with and approved by the congregation in May and June 2009, which includes a third phase of capital fundraising in early 2011 and actual ground- breaking during the first half of 2013. Our current cash balance in the Capital Campaign accounts is $832,970, reflecting completion of most of the expected First Campaign pledges, near-completion of a major portion of the Second Campaign pledges, and some significant special gifts to the campaign.
We plan to provide a comprehensive new building up- date to the congregation in February or March 2011, prior to kicking off the Third Capital Campaign. The update will include current and projected financial status, a current estimate of building construction costs, and an update to our 2009 estimate of future building- related operations costs.
We ask for your prayers, patience, and understanding as we continue to move toward this important goal for our future together.
Dave Douds for the Building Steering Committee
Happenings since the June 2009 SJU council meeting
¨ 6/29 Met with SJERC committee to present revised phased approach to building along with revised timeline. This was well received by the committee ¨
6/30 Met with Wilde Lake Village Manager and Architectural Representative. They proposed presenting a package of revised drawings in summer of 2011 and clearly define this as a revision. Start the county process during the summer of 2012
¨ 7/21 Presented revised timeline to construction management company and architects and requested a moratorium. They agreed although highlighted that the window of opportunity for reducedmaterials will likely have closed by that time.
¨ 8/03 Sent letter to Howard County PlanningCommission requesting a delay through the end of 2010. Will submit subsequent request at the end of 2010 .
The congregation voted (above) on the motion to continue the building process approving the following motion by 39 (for)-23(against) 2 (present) votes on Sunday June 14, 2009:
“That the congregation approves proceeding with the SJU New Building Project, in accordance with the Revised New Building Plan presented at the Special Congregational Meeting on Sunday, May 31, 2009. In particular, the congregation approves conducting a Third Capital Campaign — soliciting pledges in the Fall of 2010, with the campaign to run for 2 years, beginning in May 2011, with a goal of $350,000 to $400,000. In addition, the congregation approves a project schedule which envisions breaking ground not later than Spring or Summer of 2013.”
Congregational Meeting was held after worship on May 31st, and the congregation was brought up-to-date on the status of the new building project and related financial information by means of a PowerPoint presentation by Dave
Douds, a member of the Building Steering Committee.
The presentation included:
· a historical timeline of the new building process from 2004 to the present;
· a floor plan and several 3-D views of the proposed Phase 1 of the new building design;
· floor plans of the proposed Phase 2 (addition of 4 Christian Education classrooms) and Phase 3 addition of the Sanctuary), together with a 3-D view of the completed new building (all phases);
· the current and projected financial situation for Phase 1, reflecting a balance outstanding of $350,000 (after both capital campaigns, the SJRC contribution, and a $500,000 mortgage);
· the projected impact of mortgage debt servicing on future operating budgets, with comparison to the projected cost of “staying put” in our current arrangement; a relative timeline for the remaining steps required to complete construction of
the new building (Phase 1); and a brief description of the three financial actions required to support completion of Phase 1 and leading to breaking ground within not more than four years (Spring/Summer 2013).
After several questions and a brief discussion, the meeting was adjourned with the understanding that there will be small discussion groups on the presented material, led by Building Steering Committee and Council members, after worship on June 7th and 14th. (The congregation will vote on the proposal at the June 14th meeting.) Handouts, with a summary version of the presented material, were available at the conclusion of the meeting.
New Building Status and Congregational Meeting
Sunday May 31st
We will be meeting after worship on Sunday, May 31st to hear a report on the current status – and proposed future status – of the new building project for St. John United. As Lon Chesnutt indicated in his newsletter report last month, the question posed at our Annual Meeting in January was, “What is to happen with the construction of new SJU facilities?”
The Building Committee has been working hard since then on a proposal for how best to continue “Building a New SJU.”
First of all, we will present the design history of the proposed new building. This began with the architect’s preliminary drawing, included in the Capital Campaign brochure of 2005, with estimated construction cost of $2.2M. The design continued to evolve through the initial complete design of Spring 2007, which was submitted for the Wilde Lake review process. The construction cost for this design rose from an initial daunting level of $3.5M to the untenable level of $4.2M, largely due to inflation in cost of materials during 2007. The committee began to consider cost-reduction options for a phased construction process, and recommended delaying construction of the sanctuary portion of the original design, as presented to the congregation in July 2008. After completing a Second Capital Campaign in the Fall of 2008 and again reviewing our financial situation, we worked with our architect on further cost reductions and developed the final design, which will be presented on May 31st.
This final design includes delaying the sanctuary (with worship in a reconfigured fellowship hall), lowering the Narthex roof height, reconfiguring the Christian Education space, and changing some exterior finish materials. These changes reduced estimated construction cost to $2.3M – you could say we’ve come full circle. We believe this design represents the most cost-efficient approach to meeting SJU’s needs, while moving significantly toward resolving our financial dilemma.
Secondly, we will present our current and projected future financial situation. Our dilemma has been balancing the impact of construction and related costs against the impact of the new building on future operating budgets. This comes down to the question of how large the mortgage loan component of construction financing should be – the larger the loan, the larger the debt servicing impact on future operating budgets; and the smaller the loan, the larger the capital
costs. Our future financial proposal will be our best effort to fairly and realistically balance the impact of debt servicing and capital construction costs.
Finally, we will present an outline of the time required for the remaining steps in completing the new building construction process.
We fully understand and share your concerns about this whole lengthy and difficult process. This has not been easy for any of us!! However, we remain fully committed to bringing the process to a successful conclusion, and we pray that you will continue your past outstanding support and confidence in our future.
For the Building Committee,
Dave Douds
From the April 2009 SJU Newsletter- At our January Annual Meeting, the congregation asked, “What is to happen with the construction of new SJU facilities?” Accordingly, the Building Committee has been hard at work to produce a concrete proposal for the May 31st report to
the congregation.
The obstacles have been substantial as the initial cost estimates of $4.2 million were beyond the reach of SJU’s resources. This was true even after the Second Capital Campaign added $317,000 in pledges to our Reserve Funds.
The Building Committee is considering alternatives such as: two phases of building to reach the final design, seeking alternative construction methods to reduce costs, and changing the floor design for efficiency. These efforts, plus consulting with many friends and professionals, are moving the Committee slowly but deliberately toward a solution for SJU’s dilemma.
At the annual meeting of the congregation January 25th Lon Chesnutt reported that we have raised $317,000 in pledges to build the new church building-far short of the $500.000 needed to start construction. The Building committee has asked for a six month extension from Howard Country to postpone construction and will ask for a second six month postponement as we study and discuss with SJRC a way to move foreword on this project.
From Sept Council meeting-The Building Committee submitted a recommendation to build the new facility in two phases. Phase One would not include the Sanctuary. Worship would be held in the Fellowship Hall. This would save approximately $712,000 of construction costs. Other options were explored but this option would have the greatest potential savings and least amount of impact on Phase Two.
Phase Two would include the Sanctuary as originally designed. A letter will be sent to the Wilde Lake RAC to inform them of our phased approach to complete the new building. This phased approach will be presented during the Congregational Meeting. The initial Building Campaign is scheduled to conclude in April 2009. There will be an extension of the Building Campaign for three years to conclude in April 2012. Groundbreaking will begin when 50% of the estimated construction costs have been obtained
From the SJU Council minutes of their August meeting -At a meeting with SJRC, a request was made for additional funding of $500,000 contribution. That request was denied. Other requests were accepted which included extending timelines for completion of building and move of our congregation from current facility. The Building Committee is also suggesting extending the current campaign from May, 2009 until May, 2012. The Committee will be holding several meetings during this week to define more specific estimate of deficit. The Council voted to conduct a special Council meeting on Monday, August 25 to review this information and plan Congregational Meeting scheduled for Sept. 21.
At a Special Congregational Meeting, held after worship on July 27th 2008, Rev. Bass, Dave Douds, and Lon Chesnutt explained the history of the project that began in 2002 and where we are now.
The 2002 proposal for a new building for SJU with financial input from SJRC based on SJU’s share of the total equity in WLIFC.
The timeline concluded with our most recent action, which was Council approval of the selection of Henry Lewis Contractors of Owings Mills as our Construction Manager for the new building. (Much of the timeline since 2006 has been detailed in this chronology.)
We have a current Balance On Hand of $475,000. A report on projected income and expense for the entire project, because of inflation over the past six years, reflected a deficit of expenses over income in the daunting amount of $1,362,500.
Rev. Bass affirmed that the SJU leadership was committed to seeing this project through.
That we would be planning an extension of the Capital Campaign and we encouraged all members and friends to submit their thoughts and suggestions on how best to proceed.
Lon Chesnutt stated that we have postponed our groundbreaking date, in view of the funding gap, to a future date.
The Joint SJU/SJRC Team met on Tuesday evening, July 29th. This team was formed as a forum for discussion of items of mutual concern throughout the SJU new building project. SJU then announced that we would commit to:
An extension of the current Capital Campaign by another 2 to 3 years,
Raising additional funds with an emphasis on upfront payment of pledges;
Consideration of a phased building approach to spread the total cost over a longer period;
Minimizing the delay in the groundbreak
· the current and projected financial situation for Phase 1, reflecting a balance outstanding of $350,000 (after both capital campaigns, the SJRC contribution, and a $500,000 mortgage);
· the projected impact of mortgage debt servicing on future operating budgets, with comparison to the projected cost of “staying put” in our current arrangement; a relative timeline for the remaining steps required to complete construction of
the new building (Phase 1); and a brief description of the three financial actions required to support completion of Phase 1 and leading to breaking ground within not more than four years (Spring/Summer 2013).
After several questions and a brief discussion, the meeting was adjourned with the understanding that there will be small discussion groups on the presented material, led by Building Steering Committee and Council members, after worship on June 7th and 14th. (The congregation will vote on the proposal at the June 14th meeting.) Handouts, with a summary version of the presented material, were available at the conclusion of the meeting.
New Building Status and Congregational Meeting
Sunday May 31st
We will be meeting after worship on Sunday, May 31st to hear a report on the current status – and proposed future status – of the new building project for St. John United. As Lon Chesnutt indicated in his newsletter report last month, the question posed at our Annual Meeting in January was, “What is to happen with the construction of new SJU facilities?”
The Building Committee has been working hard since then on a proposal for how best to continue “Building a New SJU.”
First of all, we will present the design history of the proposed new building. This began with the architect’s preliminary drawing, included in the Capital Campaign brochure of 2005, with estimated construction cost of $2.2M. The design continued to evolve through the initial complete design of Spring 2007, which was submitted for the Wilde Lake review process. The construction cost for this design rose from an initial daunting level of $3.5M to the untenable level of $4.2M, largely due to inflation in cost of materials during 2007. The committee began to consider cost-reduction options for a phased construction process, and recommended delaying construction of the sanctuary portion of the original design, as presented to the congregation in July 2008. After completing a Second Capital Campaign in the Fall of 2008 and again reviewing our financial situation, we worked with our architect on further cost reductions and developed the final design, which will be presented on May 31st.
This final design includes delaying the sanctuary (with worship in a reconfigured fellowship hall), lowering the Narthex roof height, reconfiguring the Christian Education space, and changing some exterior finish materials. These changes reduced estimated construction cost to $2.3M – you could say we’ve come full circle. We believe this design represents the most cost-efficient approach to meeting SJU’s needs, while moving significantly toward resolving our financial dilemma.
Secondly, we will present our current and projected future financial situation. Our dilemma has been balancing the impact of construction and related costs against the impact of the new building on future operating budgets. This comes down to the question of how large the mortgage loan component of construction financing should be – the larger the loan, the larger the debt servicing impact on future operating budgets; and the smaller the loan, the larger the capital
costs. Our future financial proposal will be our best effort to fairly and realistically balance the impact of debt servicing and capital construction costs.
Finally, we will present an outline of the time required for the remaining steps in completing the new building construction process.
We fully understand and share your concerns about this whole lengthy and difficult process. This has not been easy for any of us!! However, we remain fully committed to bringing the process to a successful conclusion, and we pray that you will continue your past outstanding support and confidence in our future.
For the Building Committee,
Dave Douds
From the April 2009 SJU Newsletter- At our January Annual Meeting, the congregation asked, “What is to happen with the construction of new SJU facilities?” Accordingly, the Building Committee has been hard at work to produce a concrete proposal for the May 31st report to
the congregation.
The obstacles have been substantial as the initial cost estimates of $4.2 million were beyond the reach of SJU’s resources. This was true even after the Second Capital Campaign added $317,000 in pledges to our Reserve Funds.
The Building Committee is considering alternatives such as: two phases of building to reach the final design, seeking alternative construction methods to reduce costs, and changing the floor design for efficiency. These efforts, plus consulting with many friends and professionals, are moving the Committee slowly but deliberately toward a solution for SJU’s dilemma.
At the annual meeting of the congregation January 25th Lon Chesnutt reported that we have raised $317,000 in pledges to build the new church building-far short of the $500.000 needed to start construction. The Building committee has asked for a six month extension from Howard Country to postpone construction and will ask for a second six month postponement as we study and discuss with SJRC a way to move foreword on this project.
From Sept Council meeting-The Building Committee submitted a recommendation to build the new facility in two phases. Phase One would not include the Sanctuary. Worship would be held in the Fellowship Hall. This would save approximately $712,000 of construction costs. Other options were explored but this option would have the greatest potential savings and least amount of impact on Phase Two.
Phase Two would include the Sanctuary as originally designed. A letter will be sent to the Wilde Lake RAC to inform them of our phased approach to complete the new building. This phased approach will be presented during the Congregational Meeting. The initial Building Campaign is scheduled to conclude in April 2009. There will be an extension of the Building Campaign for three years to conclude in April 2012. Groundbreaking will begin when 50% of the estimated construction costs have been obtained
From the SJU Council minutes of their August meeting -At a meeting with SJRC, a request was made for additional funding of $500,000 contribution. That request was denied. Other requests were accepted which included extending timelines for completion of building and move of our congregation from current facility. The Building Committee is also suggesting extending the current campaign from May, 2009 until May, 2012. The Committee will be holding several meetings during this week to define more specific estimate of deficit. The Council voted to conduct a special Council meeting on Monday, August 25 to review this information and plan Congregational Meeting scheduled for Sept. 21.
At a Special Congregational Meeting, held after worship on July 27th 2008, Rev. Bass, Dave Douds, and Lon Chesnutt explained the history of the project that began in 2002 and where we are now.
-
*The 2002 proposal for a new building for SJU with financial input from SJRC based on SJU’s share of the total equity in WLIFC.
-
*The timeline concluded with our most recent action, which was Council approval of the selection of Henry Lewis Contractors of Owings Mills as our Construction Manager for the new building. (Much of the timeline since 2006 has been detailed in this chronology.)
-
*We have a current Balance On Hand of $475,000. A report on projected income and expense for the entire project, because of inflation over the past six years, reflected a deficit of expenses over income in the daunting amount of $1,362,500.
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