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Keystones - June 2001 |
| Manna from Heaven, Member Loans & Pledges Total More Than $728,000, CCC Now a Construction Site, CCC Annual Meeting 2:00pm Sunday, June 10, Motions for June 10 Annual Meeting |
| Manna from Heaven Since we began this journey several years ago, the process of renovating our facilities has been aided by a number of miracles, both minor and major. This past week we received another one, this time in the form of a remarkably generous loan offer from Cornerstones, the UCC fund that helps churches finance renovations. On May 24 the Board of Trustees authorized acceptance of the offer, and on May 25 Pete Hotchkiss and I signed the loan commitment letter on behalf of the church. Cornerstones will give us a 30-year loan for up to $1.75 million at an interest rate of 7.25 percent, which will be reset after five years. The main conditions are that we show how we will cover what Cornerstones estimates to be the remaining gap in our financing (which we are doing with the member loans that have been committed and the additional pledges and payments that have been made to Keystones), that we pay off the existing mortgage of $295,000 on the houses behind the church at the closing of the loan, and that any new construction be accessible to all. If we borrow the full $1.75 million, the monthly payment will be $11,938.09. The offer that had been extended to us by Potomac Valley Bank, in contrast, was for a 30-year loan of up to $1.55 million at an interest rate of 8 percent, to be reset after five years. The bank's first two conditions were the same as Cornerstones'-that we demonstrate how we could pay for the remaining gap in the financing of the project and that we pay off the existing mortgage on the houses at the loan closing. But Potomac Valley also would have required us to repay $250,000 of the loan principal within one year after the end of construction, establish a $200,000 es-crow account at Potomac Valley as a debt service reserve, and make the bank our primary depository. Had we accepted Potomac Valley's loan offer, we also would have had to pay a $12,550 commitment fee. The monthly payment rate on the full $1.55 million loan would have been $11,373.35. Potomac Valley's offer came to us about three weeks ago, and for a time it seemed that it was the only loan offer we would receive. The offer was workable, but it would have made the financing of the renovation considerably more complicated and challenging. Had Cornerstones' offer not arrived by May 25, the date that Potomac Valley's offer was set to expire, we would have had no choice but to accept the bank's offer. The process of obtaining these loan offers proved far more difficult than expected and had begun to drain the energies and spirits of those most closely engaged. That it culminated with such favorable terms is due in no small measure to the efforts of Pete Hotchkiss, Rev. Jim Todhunter, and the congregation as a whole. Pete has been the trustees' primary negotiator with all of our possible lenders, and he has been both dogged and effective. Jim, at a crucial moment, initiated a remarkable process involving our conference minister and others that persuaded Cornerstones to be more helpful than it was initially inclined to be. And the congregation responded with what can only be described as a resounding affirmation of the renovation when the call went out for member loans and additional Keystones pledges to show that we could fill the gap remaining in our financing. All of this, and the Cornerstones' offer itself, have been like manna from heaven! Dave Ackerman, Chair, Board of Trustees |
| Member Loans & Pledges Total More Than $728,000 There has been a very generous response to the request for member loans, and for new and increased pledges to the Keystones Capital Campaign. As of late May, there are 47 commitments to provide a total of $550,000 in member loans. These break down into $105,00 for two years, $230,00 for five years, and $215,000 for seven years. There are at least two more loan promises to be processed. Since the request at the April 29th congregational meeting for new and increased pledges to the Keystones Capital Campaign, a total of $178,051 has been pledged by members and friends of CCC. There are five new pledges and 18 increased pledges. With this great response, we believe we'll satisfy our lender's requirements for sufficient financial support. Over the last few weeks there have been many words of encouragement, and there also have been expressions of regret from people who could not participate in the loan program or increase their pledges. We do recognize that not everyone can participate in all the fund-raising efforts, and that members have already stretched themselves for their contributions. We do ask for your continuing prayers for all our church leaders as we move onward with renovation plans, and at the same time endeavor to maintain our bond of community. Neville Platt, Bob Brown and Trish Esposito |
| CCC Now a Construction Site Henry L. Lewis Contractors began demolition and grading at CCC last week, as the construction contract was finalized and work deadlines set. Low, black plastic silt fencing now encircles the church grounds, and heavy equipment has felled trees and houses. The contractor has installed an 8-feet-high chain link fence as a security measure around the property. Electrical contractors have started removing old wiring inside the education wing. At a May 30 meeting, project manager Fred Svec said the next steps include rough grading for the parking lot, inspection by a structural engineer for shoring up walls and ceilings inside the education wing and initial excavation for the new entry addition. The construction contract sets the project's official start date as May 3, with completion scheduled for 360 days after that date. Svec hopes to finish work in eleven months. Property Administrator Dick Meyer and a Building Design Committee representative-Tom Ault, Larry Hanes or Jackie Walters-are on the site daily. All four and Dave Ackerman, chair of the Board of Trustees, communicate daily with each other and with the architects, construction site managers and engineers. CCC staff members provide occasional "sidewalk supervision" from our temporary offices at 9601 Colesville Rd. CCC members are encouraged to stop by 9601 Colesville and observe the action at our church site. At the request of Henry L. Lewis staff, please do not enter the construction site without prior arrangement and an escort from Dick Meyer or a Building Design Committee member. - Jackie Walters, co-chair, Building Design Committee |
| CCC Annual Meeting 2:00pm Sunday, June 10 CCC's Annual Meeting will be held in MMUMC sanctuary Church service and church school to start at 4:00pm Child Care will be provided during the meeting, with fun activities planned Nursery: Room 214 Ages 2-5: Room 216 Elementary/Middle School: Hamilton Hall (lower level) Senior Highs are encouraged to attend the meeting. Motions Motions for June 10 Annual Meeting Paying for the renovation of our facilities will require the use of some of the funds the church has accumulated over the years. These funds include the Capital Fund, which consists largely of the proceeds still remaining from the sale of the parsonage some years ago, and the Permanent Fund, which consists of the bequest to the church from Rev. Marian Tate and other special gifts. The Board of Trustees currently is authorized to expend the interest from these funds for the benefit of the church. But it needs the authorization of the congregation to use the principal of the funds. The purpose of these motions is to give the Board the flexibility to use some of the principal of these funds, if necessary, to help pay for the renovation. The motions are as follows: "Moved, that the Board of Trustees is authorized at its discretion to expend the principal of the Capital Fund for purposes of the renovation of CCC." (Requires a majority vote) "Moved, that the Board of Trustees is authorized at its discretion to expend the principal of the Permanent Fund for purposes of the renovation." (Requires a two-thirds majority vote) |
