Inter-America moves forward despite weak currencies
IAD Treasurer Filiberto Verduzco starts his report to the church’s Year-End Committee on Nov. 2, 2015, in Miami, Florida. Image by Keila Trejo/IAD
November 3, 2015 | Miami, Florida, United States | Libna Stevens/IAD
“We must move forward,” said Inter-American Division Treasurer Filiberto Verduzco yesterday during his report to the executive body of the Seventh-day Adventist Church in Inter-America in Miami, Florida.
Moving forward, amid the pressing weak currency challenges the IAD territory faces, is the only option, said Verduzco.
Filiberto Verduzco, IAD treasurer of the church in Inter-America said moving forward, amid the pressing weak currency challenges the IAD territory faces, is the only option. Image by Libna Stevens/IAD
According to Verduzco, the fluctuating rate in Mexico means there was over $1 million less in revenue in the operating budget of the entire division in 2015. Verduzco explained that 30 percent of operation comes from churches across the five unions in Mexico, and certain laws and regulations have prevented funds from being transferred out of the country for nearly a year.
“This hurts,” he said. “It hurts us.”
The reduction of income from Colombia has also impacted the Division during the last few months. “One U.S. dollar exchange is about 3,000 Colombia Pesos when just a couple of months was 1,800, so this is also impacting the operation of the church,” explained Verduzco.
The decrease funds from investments have also affected, said Verduzco. The enormous impact of the currency in Venezuela has taken a toll as well.
But fear should not be factored into our plans, said Verduzco.
“We must fulfill the mission and do so responsibly without putting [our] organizations at risk,” he continued, “and adjust accordingly to face the financial challenges that come our way.”
Appropriations to church regions will not be reduced, they will continue, said the treasurer. IAD travel budgets have been cut by 25 percent.
Plans to move forward
Verduzco then laid out the plans to move forward with the operation of the 24-union church territory.
Image by Libna Stevens/IAD
Technology will strengthen the financial system from the local church level to the local field and up, said Verduzco. “Technology should encompass every financial move that we undertake.”
Professional training in finance accounting will continue to be a priority in the use of SunPlus Adventist accounting software.
Transparency in financial audits of local churches and organizations will be a major push.
Financial independence will be fostered among the unions. The concept of self- sufficiency is an important one because “resource appropriations are provided to facilitate advancement in mission rather than to foster a relationship of dependence,” added Verduzco.
Despite the financial challenges, Verduzco said one encouraging constant is that church members still understand the global mission of the church.
“Our church members [in Inter-America] are 94 percent more generous than the rest of the world church.” IAD members contribute 7 percent of offering funds when the rest of the world church contributes 3.6 percent, he added.
Topping that list is Haiti as the most generous across the IAD. “It shows that it does not have to do with the volume of resources but with the commitment that our church members have to fulfill the mission of the church,” said Verduzco.
Verduzco added that trusting in God and seeking His wisdom in managing financial resources will continue to make a difference in completing the mission of the church.
As of September 2015, the working capital as at 200 percent and liquidity at 233 percent.
Initial Funding for Hope Channel Inter-America
Also reported to the committee were the subsidies from the General Conference and the IAD toward the 2016 budget for Hope Channel Inter-America.
Nearly 900,000 U.S. dollars will go towards the rental of satellite, service contracts, equipment, production and materials of the three channels in English, Spanish and French next year. The budget was proposed and accepted by the executive committee.
IAD’s Financial Inspection Auditing Services
Roy Cortez, GCAS associate director for Trans America Area, reads the auditor’s report recommendations. Image by Keila Trejo/IAD
There are more than 12,000 churches and 380 organizations that the General Conference Accounting Services (GCAS) is not able to audit so the new Financial Inspection Auditing Services staff will begin to conduct online inspections of finances in several local church districts in the IAD as a pilot program. The auditing will bring about more stability to the finances of the church and the organization, said Guillermo Gonzalez, associate treasurer of the IAD overseeing the program.
During the report, GCAS Director Paul Douglas applauded the direction of the IAD for their efforts and progress in ensuring entities get audited, and assured of the continued work in partnership to make it happen.
Verduzco noted that a memorandum of understanding was developed with GCAS to move forward with IAD’s FIAS.
In addition, committee members heard the auditor’s report, were updated on the financial manual in progress by IAD’s financial office in Mexico to provide electronic tools for generating resources from the local church, technology advances for cyber security strategy as well as updates on video conference and telephone system in use across the territory.
To view IAD’s photo gallery, visit flickr.com/photos/interamerica