Almost. We have made good progress ($8 million), but will need more time to achieve our goals. Support continues to come in, but people are un­derstandably more hesitant to commit future gifts in the midst of an uncertain economy. Construc­tion will proceed when we have enough funds in hand to make this a fiscally sound project.

Overall, our year ended down a bit from last year’s numbers, but we still had a better year than anticipated in a down economy. Cash gifts by individuals to the campaign and annual fund together were equal to the prior year, around $2.5 million. However, due to declines in other sources of contributions, and because expenses are still increasing, even the 1 percent decline from last year’s giving leaves us $450,000 short of our goal, and that means we’ll need to find reductions in next year’s spending.

Reaching a decision to approve the campaign was a long, careful process for both boards, involving extensive research and surveys of key leadership groups and members of Mennonite Church USA. Ultimately, we believe that a new facility will:

Enable us to strengthen our mission programs, while practicing sound stewardship. In 2008, we paid $265,000 in facilities costs for a 23,000-sq.-ft. temporary office facility. Annual operating expenses for the new building are expected to be about $100,000 per year. This savings will allow us to redirect a total of approximately $2.5 million to programs and ministries of Mennonite Mission Network and Executive Leadership over the next 15 years. In addition, the church will own a tangible asset worth $10 million or more.

Create synergies across the church. Being located near the Associated Mennonite Biblical Seminary community will allow us to regularly draw from the insights and experience of AMBS faculty to strengthen the theological, pastoral and missional foundations of Mennonite Church USA. The new location will also allow us to connect future church leaders studying at the seminary with Executive Leadership and Mennonite Mission Network.

Provide adequate functional office and meeting space. A new facility will provide much needed efficient work space for Mennonite Mission Network, Executive Leadership and other agency staff, with shared office and communications equipment and room for both private and group meeting arrangements.

To ensure we made the best stewardship decision, a facility audit by architectural and mechanical professionals determined cost estimates for renovating and expanding the Beardsley facility to meet our facility needs. While we are grateful this building was available as a temporary solu­tion, there are several drawbacks to staying here long-term.

The Beardsley location does not provide any of the important benefits of being adjacent to the seminary.

The cost of purchasing, renovating and expanding the Beardsley facility is only 15-30 percent less than new construction.

Continuing to lease and maintain this space will cost $265,000 per year ($85,000 more than our previous location) and gives us no long-term guarantee of occupancy.

The lower operating expenses of the new facility will free about $2.5 million for mission programs over the next 15 years.

We are grateful to God for the response of Mennonite Church USA households who have become new donors and increased their cash donations from $1.6 million per year to $2.5 million per year with many pledge payments still to come. $4.4 million of the $8 million in cash and commitments received by January 31, 2009, are annual fund gifts that pay for current and future mission programs, not facilities. We anticipate that many donors who invest in this project will become increasingly interested in missions.

The design process has emphasized function and utility over appearance from the beginning.

Our design statement demonstrates values in facility design that we believe are shared by other Mennonite Church USA members.

We hope to design a building that is first simple, functional and energy-efficient, and, second, attractive to those who drive by or enter to do business.

The cost per square foot compares favorably with other commercial projects, and the total cost is comparable to large congregational facilities and much less than most educational facilities being built across Mennonite Church USA. This is for a facility that is used heavily five days a week and occasionally on weekends.

The $6 million figure is a combination of several capital cost items.

The cost estimate for design and construction as of October 2008 was $5.7 million ($146/sq. ft.).

Since construction is not planned to begin until spring 2010, the actual cost may be somewhat lower or higher depending on construction cost inflation or deflation during the coming year.

The capital costs also include $600,000 (adjusted for inflation) for equipment.

The land is being purchased with $135,000 of capital funds already on hand.