THE COMMITTEE WAS ASKED to provide the Board a list of priorities for the use of funds currently held in the Mishkon Tephilo Capital Improvements Fund (at Morgan Stanley). The committee was informed that approximately $400,000 was deposited into this fund from proceeds of the sale of the Powerhouse property and the bequest of Larry Kasdon.
(So begins the report. Below the jump, the remainder is given verbatim.…)
INTERPRETING FINANCIAL NUMBERS so that they give us an informative picture of our situation is not easy. Having belatedly seen the reports from the most recent fiscal year, I notice that our congregation’s treasurer has made further refinements, compared to previous year’s reports.
It’s challenging to track the relationship between the capital income/expenditures and the operating income/expenses. Operating income/expenses come and go within a single year. In contrast, the capital can accumulate over more than one year; and conversely several years’ worth of accumulated capital can be spent in a single year.
The trick is to display those capital spring tides in a manner that sets them apart from the more regular, daily ebb and flow of the operations budget.
Below the jump, this post discusses two aspects of financial reporting where there still seems to be room for improvement.
DURING THIS YEAR of the 75th anniversary of our historic sanctuary building, the time seems ripe for a Friends of Mishkon organization to emerge.
Friends of Mishkon would enable our former members, their families, denizens of Venice, and others to channel their good wishes for Mishkon in support of restoring our historic building. And it would enable that building to receive the loving attention that it deserves from more than just our current synagogue membership. It’s a win-win proposition.
Below the jump, this post outlines what this support organization might look like…
If you would like to make an estate gift to Mishkon to support capital improvements, it’s easy to do.…
“I hereby give [____ percent (__%) of my estate /or/ ______ dollars ($____) /or/ the residue of my estate] to the Capital Improvements Fund at Temple Mishkon Tephilo (Tax ID: 95-1544590).”
According to Mishkon’s Board Policies, all monies donated to the Capital Improvements fund are segregated in a separate bank account, distinct from the accounts in which operating funds and Maintenance Fund monies are kept. And all expenditures from this fund must meet the I.R.S. definition of a capital improvement, which includes restoration.
In short, you can, with little effort, ensure that the facilities that you value are preserved or enhanced in the future.
LAST NIGHT, the board of directors approved an enabling resolution stating that two related B&G projects should be undertaken as reserve funds become available.
Expenditures of up to a certain stated amount* were authorized, provided that the usual procurement procedures are followed. Due to the uncertain nature of working on poorly maintained older buildings, an allowance for contingency was included.
Already the funds equal to the authorized amount are either in the Capital Improvements Fund, or verbally committed by donors specifically for these projects.
So the ball is now back in the court of the B&G Committee, for the execution of these projects.
THE TERM “CAPITAL IMPROVEMENT” is perhaps more controversial than it needs to be. There’s a widespread misconception that an “improvement” must be something new and different. Yet that’s not what the IRS says — which matters because Mishkon’s Policies cite the IRS’s regulations for business expenses as its model for determining what qualifies as a capital improvement.…
BACK IN DECEMBER, the board had voted to approve the installation of 2 seismic gas shut-off valves: one for the school, and the other for the sanctuary. I’m pleased to announce that the first one was installed today! (Hopefully the second one will be done tomorrow.) This is a capital improvement, in that it has resulted in a betterment to the facility: a safer synagogue. Thus it’s to be paid for from our Capital Improvements Fund.
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| The new inlet pipe downstream from the meter features a bright red earthquake valve. |
This post treats the history of this issue and its resolution.…
(Weekly posts from July–August 2021)
Compiled in one handy location:
Now you can binge-read the entire series…
9. Reckoning with Hole-iness as the Year Turns
An unexpected underground void turns up between our building and our neighbor’s
8. The Season for Going Beneath the Surface
Surprising challenges that must be faced while restoring the front patio
7. How is This Hole Like My Life?
On dealing with a void that opened up in the “solid” concrete pavement
6. Donating to Support Our Buildings' Restoration
About the newly created Capital Improvements Fund
How we found and dealt with these voracious critters
4. How Your Dues Helped Preserve Our Facilities
Tabulation and categorization of expenditures during the 2020–2021 fiscal year
3. Board Plans Facilities Restoration
Defines “restoration” and describes the board’s forthright approach to it
2. Restoring the Building Means Solving Puzzles!
Challenges in dealing with stormwater drainage, given the absence of records
1. Restoration Project Underway: Flagstone on Main Street
Why this project had been undertaken, and its goals