2024 Annual Report
The Brethren in Christ Foundation supports the Church by providing Christ‐centered financial services enabling local congregations to transform lives through Jesus.
Lending Activities
After experiencing a downturn in lending activities because of the lingering concerns relating to the pandemic, loan originations saw a dramatic increase in 2023. The Foundation funded 9 new loans totaling $5.8 million. Nearly half of the loans were closed in December of 2023.
Of particular interest is the building project undertaken by a congregation in Salina, KS. The congregation is refurbishing an old bowling alley and converting it to a church with a meeting space for 500+ and new children’s space to accommodate more than 100 children. They expect to complete the project in March 2024.
A small congregation in Canton, OH purchased an old VFW building. They provide significant ministry to those in need in the area. Their current building location is out of the way, difficult to reach by those in need and lacks adequate space. Their new building is located in the city, has a commercial size kitchen and large meeting spaces. This new space will allow them to better serve their community, once some renovations are complete.
Our loan portfolio remains very secure. We are blessed to have borrowers who are extremely responsible for their finances. As of December 31, 2023, all loans in our portfolio are either current or paid ahead. In fact, during 2023, 7 borrowers paid off their loans early. This totaled $1.6 million. We expect this trend to continue in the future.
As we enter 2024, we continue to see strong interest in new loans. Currently, we have three loans in a construction phase, another four in the middle of the application phase, and at least four more expected to apply for funding in the next few months. In total, we anticipate distributing approximately $7 million in loan funds if all are approved, and that does not include potential loan requests that may come about yet during the year.
Securities
In August, the Foundation introduced a 15‐month Stewardship Investment Certificate. This certificate offers a fixed promotional rate until August 2024. This offering was a first for the Foundation. The issuance attracted $550,000 in new funding to our fixed‐term securities. Additionally, $486,000 was transferred from our TAP program
.Overall, we had a reduction in outstanding securities of $3.2 million. Of this, $2.0 million was withdrawn from TAPs owned by organizations. These funds were used for funding building programs, loan payments and other operational needs. Since TAPs are demand obligations this reduction is not out of the ordinary. Our term securities (SIC and Notes) saw only a slight reduction.
Matching Grants
In 2023 the Foundation awarded 9 matching grants for outreach initiatives, totaling over $6,500. Those programs included weekly outreaches to a nearby senior center, vacation bible school, harvest parties, podcasts on mental health, and outdoor movies and other community gatherings.
This year we are putting more focus on our grants and have updated our webpage and will be featuring the grants in February in both the denominational newsletter, Connect, and its Facebook page. In addition, we are increasing the reimbursement amount for the first year of a new outreach from $1,000 to $2,000. Working with our communications staff, we hope to tell more of the outreach stories.
Technology
In December, we launched our new and improved website. The new site was designed by our Account Officer and the BIC U.S. Communications team.
As part of the design process, a focus group was engaged to ensure the site met the needs of our audience. This process resulted in an enhanced ability to navigate throughout the site. Information for our investment and loans is much more accessible. Participants in the BIC U.S. 403(b)(9) plan can now navigate to a dedicated page.
We plan to utilize our new site to provide current information on the Foundation’s programs as well as telling the stories of our constituents’ efforts to further their ministries with the help of the Foundation.
BIC U.S. 403(b)(9) Plan
The Foundation provides administrative services for the denomination’s pension plan.
As TPA, the Foundation is responsible for the day-to-day operation of the plan. On a daily basis, we assist congregations and employees with their questions regarding enrollment, contributions, disbursements and loans. We have continually upgraded technology to improve access to the plan for both employees and employers.
We remain excited about the future of the Foundation and its partnership with BIC U.S. ministries.
Your partner in ministry,
Jim Reynolds
Executive Director
Brethren in Christ Foundation