factnotfiction wrote:
Since religions is just business, small, medium, and large, should the churches, temples, mosques, and temples, be included in the current government handout/bailout programs?
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Empty pews, empty collection baskets: c****av***s hits U.S. church finances
Michelle Conlin
6 MIN READ
NEW YORK (Reuters) - St. Anselm Roman Catholic Church in New York’s Brooklyn borough is used to limping along, month after month, at a budget deficit of several thousand dollars a week.
A man prays outside the closed Saint Anselm Church during the outbreak of c****av***s disease (C****-**) in the Brooklyn borough of New York, U.S., April 10, 2020. REUTERS/Caitlin Ochs
But the church that sits in the city that is the epicenter of the U.S. c****av***s p******c could always count on Easter. Last year, its Easter pew collection brought in $11,651. That was more than twice an average Sunday and, coupled with the church’s online Easter donations of $2,500, enough to cover its weekly operating expenses of $13,000, according to church records.
Like most churches around the United States, St. Anselm’s will be closed on Sunday, its members unable to gather and its priests unable to meet with them as the nation endures its worst public-health crisis in a century.
But just as American churches have been unable to meet their members’ spiritual needs — perhaps most painfully represented in the absence of public funerals for the thousands who have died — they also have faced their own unmet needs in the form of untouched collection baskets.
“We are in uncharted waters, financially,” said John Quaglione, a St. Anselm’s parishioner who is also a spokesman for the Roman Catholic Diocese of Brooklyn. “There will be some serious conversations and some strong conversations with the parishes and the economic folks to help get us through this.”
Easter Sunday is one of the biggest donation days of the year for U.S. churches, due largely to the spikes in attendance they typically see, according to church officials and nonprofit groups.
Even before health guidance shuttered most U.S. churches, many were struggling financially. Just half of Americans reported belonging to a church, synagogue or mosque in 2018, according to Gallup polling, down from 70% two decades earlier. Those who attend services go more erratically, according to the Pew Research Center, leaving fewer people to fill collection baskets.
The high cost of maintaining older church buildings and — particularly for the Catholic church, legal costs related to the clergy sex abuse scandal — have also taken a toll on churches in the United States and around the world.
“This is the first time where we have this almost national shutdown of churches,” said John Berardino, president of Fredericksburg, Virginia-based Griffin Capital Funding, which specializes in church real estate loans. He said he believed the extended shutdowns would take a heavy financial toll on about half of U.S. churches.
Scott McConnell, executive director of Nashville, Tennessee-based LifeWay Research, which conducts surveys and research for Christian ministries, sounded a similar note.
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“It would not surprise me at all if 5% of churches close over the next year,” McConnell said.
That is five times the typical annual closure rate estimated by The Christian Century, a U.S. mainline Protestant magazine.
Most American churches do not have sizeable endowments. According to LifeWay, 26% of churches have seven weeks or less of operating income. An additional quarter only have enough to last eight to 15 weeks.
“Churches at the end of their life cycle are going to be at the brink” during the c****av***s crisis, said McConnell.
The pain of the closures is not just fiscal.
After announcing a sweeping list of cancellations, Bishop Charles Blake of the Church of God in Christ, the largest U.S. Pentecostal denomination, expressed regret at their necessity.
Slideshow (4 Images)
“While the fellowship with one another is priceless, your safety is most important to us,” Blake said, adding, “stay at home.”
FIRST BANKRUPTCY, THEN THE V***S
Three years ago, the Mount Calvary Pentecostal Church in Youngstown, Ohio, which had been a pillar of its community since its founding in 1918, the year of the Spanish Flu, faced the “perfect storm,” said the church’s bankruptcy attorney, Andrew Suhar.
“Shrinking population, shrinking congregation and shrinking donations,” Suhar said.
The Church filed for Chapter 11 bankruptcy protection and began to work with its major lender, the Christian Community Credit Union, to reorganize. In 2018, the church emerged successfully from bankruptcy with a new solvency plan, which was on the way to putting the church’s balance sheet back in order — until C****-** emerged.
“They had worked so hard and done such a good job,” said the church’s legal counsel, Matthew Blair. “Now, with C****-**, there is no church attendance ... Revenue is nonexistent.”
Mount Calvary’s pastor declined to be interviewed.
Many churches are turning to their online donation portals for help, but those typically lag what funnels into church coffers from passed donation plates during Sunday services.
“Many churches are still run by older people ... they may not be as technically savvy,” said Berardino, of Griffin.
He noted that religious organizations and lenders had successfully lobbied lawmakers to include church personnel in the list of American workers offered support by the $2.3 trillion c****av***s relief package passed by Congress last month. Churches will also be eligible for the administration’s stimulus package small business loans.
Reporting by Michelle Conlin in New York; Editing by Scott Malone and Daniel Wallis
Since religions is just business, small, medium, a... (
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How the CARES Act Works for Churches
Churches, along with other non-profit entities, have explicitly been declared eligible for the Paycheck Protection Program. This is designed to enable small businesses–and, yes, congregations are classified that way for the purpose of the program–to keep giving their employees a paycheck, even though they cannot come to work and even though the company is not bringing in its usual revenue due to the c****av***s epidemic. They can also get money to pay for facility costs and utilities.
This comes in the form of a loan, but the loan used for these purposes will be “forgiven.” That is, it does not have to be repaid. The money comes from a lender, which makes it quicker to receive, but the government will fully reimburse that lender. It is possible to get larger loans for other purposes at a low rate of .5%, but loans for payroll and facilities are actually a grant.
Congregations that cannot hold corporate worship services cannot pass the offering plate. So many are finding themselves in dire financial straits. There is not enough money to pay the pastor or the church secretary, and the mortgage payment for the building is due. If that happens to your congregation, the government is willing to bail you out.
Cheryl Magness has written an excellent article for the Lutheran Reporter, explaining exactly how the program applies to churches and how congregations can apply for this money. Basically, you fill out a form, which you can get here. Then go to a regular lender approved for Small Business Administration loans. Not all of them are, but your local bank may well qualify.
But Should Churches Take the Money?
So that’s how the government bailout for churches works. The bigger question, though, is, should a congregation take this money from the government?
First of all, it shouldn’t need to, if members would keep up their giving as they did before the c****av***s hit. Friends, just because you can’t attend corporate worship, just because worship has moved online, you still need to keep giving your tithes and offerings! Don’t forget that!
But what if that doesn’t happen? My own view is that congregations should take the money. They should do that rather than cutting their pastor’s salary or laying off other staff or missing a payment on the mortgage. Not paying someone what they are owed is more problematic morally than taking money from the state.
A congregation is a spiritual entity, but insofar as it exists physically, handles money, owns property, and is a legally-incorporated body under the laws of the state, it is also a temporal institution, part of God’s Kingdom of the Left.
As such, a local congregation should be entitled to the same benefits as any other corporate entity–such as secular non-profit organizations and small businesses–in the state.
If strings are attached to those benefits, it’s another story. But the Paycheck Protection Program attaches no strings, to the point of including a clear Religious Liberty statement exempting religious institutions from federal anti-discrimination statutes that are often used against Christian teachings regarding sexual morality.
There is certainly plenty of precedent for the state to support churches, as is the practice in Europe. For centuries, this was the norm for Lutheran churches, including in Luther’s day. The United States, though, has laws separating church and state, though sometimes, arguably, they are taken further than they need to be. One could reasonably ask why tax money should go to a church. But that assumes the bailout is funded by taxes, whereas, given the deficit spending, it is actually money created by government fiat.
Consider this: Taking government money is against our principles. Not paying our pastor violates a clear command from God (1 Tim 5: 17-18). There are times when we may have to sacrifice our principles, valid though they be, to avoid an outright sin.
So I say, if your congregation has to, take the money. I may be wrong, though. In fact, I feel uncomfortable with my own advice. So feel free to correct me if you think I’m wrong.
I do agree that churches should be supported by their members. If the government prevents that from happening, it’s right for the government to make up the difference. And yet, churches are not businesses selling goods or services to their customers. Members of a church are not customers. Rather, they constitute that church. So members, no matter what the c****av***s does, keep giving to your church. Doing so would make this issue a moot point.