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[Back to index of December 2008 articles] Cathedral Announces Further Budget Cuts By Lucy Chumbley In its second round of cuts this year, Washington National Cathedral has slashed its fiscal year 2009 budget by $9.6 million, closing the Cathedral College, outsourcing its retail operations and eliminating an additional 30 staff positions. The College will shut its doors at the end of March; and while the Cathedral’s 24 retail employees will lose their jobs, about half are expected to be re-hired by Event Network Inc., the new vendor. Cathedral Dean Samuel T. Lloyd announced that layoffs were imminent during an “all staff” meeting about a month before the specifics were announced on Nov. 19, and held weekly meetings to update staff as decisions were made. “Those most impacted were notified before [Nov. 19] to the extent that we could manage that,” said Michael Hill, executive director for external relations. All staff members who were laid off are being paid through Jan. 1, Lloyd said, and will receive some kind of severance package. While some will lose their jobs in January, others will remain on staff through the end of the fiscal year. While declining to reveal details of individual severance packages, “I can say that the Cathedral has been generous within its means to help those impacted by this,” Hill said. “The first thing to be said is none of these were actions that we wanted to take,” Lloyd said. “These were really wonderful people on our staff. The decision was to eliminate positions, not the people holding those positions.” Lloyd spent Nov. 20 speaking with those most affected, and said the Cathedral’s pastoral care coordinator, Mary Baylor, and vicar, the Rev. Steve Huber, also have been meeting with staff. Additionally, Lloyd has been speaking to groups of volunteers, donors and members of the Cathedral’s congregation about the difficult decisions taken. The budget cuts come in the wake of the worsening national economy, Hill said. Also, Bishop John Bryson Chane said, “giving to the National Cathedral over these last 10 or so years has remained pretty stable. On the one hand, that’s a good thing, but on the other, with increasing inflation and the need to fund programs, it has been really hurtful.” Endowment funds have suffered, Chane said, pointing out that the Diocese of Washington also is facing a reduction in its income, although on a lesser scale. On May 15 of this year, the Cathedral announced that it was paring $3.2 million from its budget, closing its greenhouse and relinquishing 33 staff members. In the early fall, senior staff realized that further budget reductions would be necessary, and convened a “kitchen cabinet” of advisors from the four institutions on the close. The Protestant Episcopal Cathedral Foundation’s board of trustees met with the Cathedral, the dean, the bishop and the Cathedral Chapter to offer financial oversight. With Andrew Hullinger, associate dean for administration and finance, and chief operating officer Kathleen Cox, the group produced a balanced budget for fiscal 2009, ending June 30, 2009, Chane said. The panel began its work by identifying funding priorities, Hill said, focusing on the core of the Cathedral’s work. “First and foremost, we are a house of worship,” he said. “From there, we identified those things that were most closely aligned with our spiritual life.” The result is that while the Cathedral’s visitors and worshippers may not be aware of much change, people who enjoy its educational offerings “will notice,” Hill said. The Cathedral College will close at the end of March, putting an end to residential preaching programs, although some educational programs, such as the Sunday Forum, will continue. “One important development already coming out of this is a new lifting up of volunteerism, or lay ministry,” Lloyd said. “In a time like this when we are having to let go of so many of our professional/paid staff, we’re going to need a level of volunteer participation that we haven’t seen for a long time.” Lloyd said he will move quickly to establish an Office of Volunteers. “We’re getting a lot of enthusiasm for this,” he said. “I see the potential in this of a real strengthening of the whole community of the Cathedral.” He stressed that it will take some months until the Cathedral finds a “new rhythm,” but said the current economic circumstances are unlikely to improve for some years. “We assume we will be in this a couple of years more – maybe three or four,” he said. “But we will grow out of this and we know that we have important lessons to learn in this phase, about the vision we’ve been given and the journey we’ve been on.” “I think it’s folly for anyone to predict that this is the last of any cuts,” Hill said. “I would say what the dean said in the spring: That as long as nothing goes further south, we hope not to have to make further cuts. But what this has largely taught us is that we can never predict the national economy. “I think history is a tremendous guide for any institution. The Cathedral will not only bounce back but live into what it hopes to do in the next century. Can the Cathedral live into its vision? My view is that it can and that it will, and my hope is that the national economy repairs itself so that all nonprofits can move forward from here.” During these difficult weeks, Lloyd said he has often found the words of Psalm 23 running through his head. This is a time to trust that God is always here holding us even when times seem shaky, he said. My job in all of this is to raise up, hold onto and name the hope that keeps us going. Things will get better and I honestly believe that God has some great things in store for this Cathedral after this difficult time. Lucy Chumbley is the editor of Washington Window, the newspaper of the Episcopal Diocese of Washington. [Back to index of December 2008 articles]
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