We are a depository for North Pacific Union's members, churches and institutions who have entrusted us as an investment vehicle. In return, they receive interest on their funds on a quarterly basis. They have deposited these funds with us so that church-related entities can borrow funding to purchase, build, expand or renovate their facilities.
We provide these funds to the church-related entities at competitive rates but without the collateral that a commercial institution might require. To compensate for that collateral, each conference guarantees the payment of the loans within their conference should the church-related entity default on their loan. It is called a revolving fund because once loans are paid off, these funds are then available to loan out again.
To provide funds to purchase, build, expand or renovate the facilities in our Union so that people in the North Pacific Union can be reached with the distinctive, Christ-centered, Seventh-day Adventist message of hope and wholeness.
Jay Graham, Association director
Debbie Morauske, Association accounting clerk
Fast Facts:
- Manage approximately 100 loans totaling approximately $25 million.
- Manage approximately 500 depository accounts totaling approximately $40 million.
- Loan amounts have ranged from $6,000 to $2.57 million.
- Over half of the depository funds have come from churches, conferences and schools.
- The Revolving Fund opened in January 1978.
Accomplishments:
- Transferred the administration of our Trusts to Western Adventist Foundation as of January, 2020. With this transfer and retirements and relocations, staffing has been reduced in the department.
- Initiated the availability of paperless statements for both loans and deposit accounts for those that choose to receive them that way.
- Changed our investment advisor to a local firm.
- Mandated all new loans to entities, as of 2018, to be paid via ACH. Encouraged pre-2018 loan holders to sign up for ACH payments as well. Currently, approximately 65% of loans are paid via ACH monthly.
- Encouraged depositors to receive their quarterly interest payments via direct deposit. This resulted in approximately 93% of quarterly interest payments paid to depositors via direct deposit.
- Loaned over $14.6 million to churches, conferences and schools within the North Pacific Union.
Opportunities:
- Investing non-loaned funds to get the highest possible returns while still following investment policy the guidelines.
- Managing the balance between loans and deposits to avoid too many excess deposits while still having enough to service loan requests as needed.
- Signing up more loan holders to remit their monthly payments via ACH.
- Getting more account holders to go to paperless statements.
Author
