Metropolitan Council concludes intense two-day session

The Metropolitan Council of The Orthodox Church in America met at the St. Sergius Chapel, Syosset, NY on September 28-29, 2006. The Metropolitan Council is the permanent executive body of the Church Administration which exists for the purpose of implementing the decisions of the All-American Council and continuing its work between sessions.

SYOSSET, NY [OCA Communications] — His Beatitude, Metropolitan Herman, opened the extraordinary two-day meeting of the Metropolitan Council of the Orthodox Church in America with the celebration of a Service of Intercession at Saint Sergius Chapel here on Thursday, September 28, 2006.

In addition to Metropolitan Herman and the Very Rev. Paul Kucynda, acting treasurer and secretary, council members elected by the All-American Council participating in the meeting included the Very Revs. Theodore Boback and Gregory Safchuk, Dr. Faith Skordinski, and Miss Eleana Silk. Diocesan representatives attending the meeting included the Very Rev. John Tkachuk and Dr. Richard Schneider, Archdiocese of Canada; the Very Rev. John Onofrey and Mr. John Zoranski, Diocese of Eastern PA; the Very Rev. Vladimir Berzonsky and Dr. Richard West, Diocese of the Midwest; the Very Rev. Michael Westerberg, Diocese of New England; the Very Rev. Philip Reese and Mr. Gary Popovich, Diocese of the South; the Very Rev. George Hasenecz and Mr. Robert Kornafel, Diocese of Washington and New York; the Very Rev. Matthew Tate, Diocese of the West; and Mr. John Schultz, Diocese of Western PA. Members absent from the meeting were the Very Revs. Constantine White (Thursday only), Sergei Bouteneff, and Igor Soroka; Archimandrite Isidore (Brittain); Dr. Alice Woog; Mrs. Minadora Jacobs; Mr. Daniel Crosby; and Mr. Michael Gregory. Invited to attend the meeting as guests were the Very Rev. John Dresko, OCA development director; the Very Rev. Eugene Vansuch, executive director of the Fellowship of Orthodox Stewards; and Protodeacon Peter Danilchik (Partial participation on each of the two days). Several other guests, as noted in the minutes, also participated. Mr. David Lucs of the Chancery staff served as secretary.

After welcoming the Metropolitan Council members to the special session, Metropolitan Herman offered updates on the health of His Eminence, Archbishop Kyrill of Pittsburgh, Western Pennsylvania, and the Bulgarian Diocese, and His Eminence, Archbishop Peter, retired Archbishop of New York and New Jersey; the upcoming annual prayer service for the United Nations community cosponsored by the Standing Conference of Canonical Orthodox Bishops in the Americas [SCOBA] and the Standing Conference of Oriental Orthodox Churches on Tuesday, October 10, 2006; the Department of Christian Education’s skills conference on September 30, 2006; the recent visits of His Grace, Bishop Damaskinos of the Church of Greece and His Grace, Bishop Mercurius of the Moscow Patriarchate; and the SCOBA meeting of hierarchs slated to be held in Chicago October 3-5, 2006.

Metropolitan Herman also spoke of the ongoing work of OCA’s Church ministries, the increased enrollment at all three OCA seminaries, the current status of the rapprochement between the Russian Orthodox Church Outside Russia and the Moscow Patriarchate, and the interest on the part of sister Orthodox Churches to have representatives visit the Orthodox Church in America and/or to host formal visits by Metropolitan Herman to their Churches. He also noted that the next Metropolitan Council meeting will be held on November, 10, 2006.

After offering general remarks, the Very Rev. Paul Kucynda, secretary and acting treasurer, reviewed the meeting agenda, for which revisions were approved.

The minutes of the June 13-14, 2006 regular spring session were then distributed for review and approval. Dr. Skordinski offered corrections to the minutes. In response to these remarks, Metropolitan Herman asked that Dr. Skordinski’s notes and comments be compared with the previous minutes and that a the official minutes be reedited to reflect the corrections.

Dr. Skordinski and Mr. Popovich asked that a summary concerning the oral report presented by Mr. William Arnold, CPA be included on page 3 of the June 13, 2006 meeting minutes. Dr. Skordinski further noted that the written request of the Honesdale National Bank should be attached to the June 13, 2006 meeting minutes on page 6, paragraph 2.

Father Kucynda noted that the request mentioned in the June 13, 2006 meeting minutes on page 6, paragraph 2, was from Attorney Michael Sahn.

A question was raised by Dr. Skordinski concerning Father Boback’s question about the status of Proskauer Rose in contrast to the role of Russin-Vecchi as OCA Legal representatives. Father Boback clarified this point. Dr.
Skordinski further suggested that any written legal opinions should also be attached to the minutes.

The minutes from the June 13, 2006 meeting of the Metropolitan Council were accepted with corrections noted upon motion by Father Hasenecz, seconded by Father Onofrey.

Mr. Stephen Lamos of the accounting firm Lambrides, Lamos, and Moulthrop LLP, engaged by the Church presented a report detailing income and expenses versus the approved FY 2006 budget. He noted that the report does not serve as a complete financial statement since it only represents the income and expenses for the period from January 1-June 30, 2006. He also stated that the report does not represent an audit or a review of the finances for the first six months of 2006. He noted the limitations placed upon the Comptroller by the present software program that is very inadequate.

After discussion, Father Tate moved, seconded by Father Berzonsky, that at its November 2006 meeting, the Metropolitan Council should be presented with one or two software options for making an informed decision to meet the needs for the good financial operation of the Church. The motion carried.

Dr. Skordinski introduced a motion, seconded by Mr. Popovich, that “the Metropolitan Council meeting agenda for the November 9-10, 2006 be amended to include a presentation by the attorneys from Proskauer Rose to inform the Metropolitan Council of their findings, briefing the Metropolitan Council members about the investigation, and subsequently be available to answer questions.” With ten votes for the motion, six votes against, and one abstention, the motion passed.

After a break for lunch, Protodeacon Danilchick reviewed the progress made on preparing the documents related to “Best Practices for The Orthodox Church in America” compared to other non-profit organizations. Background preparation was noted, along with the necessary system/process to abide by the guidelines of “Best Practices.”

Protodeacon Danilchick reviewed and led a discussion on the document “Best Practice Principles and Policies for Financial Accountability.”

Father Tate moved, seconded by Dr. West, “as an agenda item, to have a discussion between the members of both the Holy Synod of Bishops and the Metropolitan Council to determine how to be move forward with the ‘Best Practices’ documents.” The motion carried.

Father Westerberg moved, second by Father Tate, to “adopt the first initial section of the ‘Best Practices Documents: On Financial Accountability,’ for adoption and submission to the Holy Synod, and to an attorney with knowledge of New York State law for their review; the document would then be presented for acceptance by the Metropolitan Council at the November meeting.” The motion carried.

Protodeacon Danilchick then reviewed and led a discussion on the Ethics Policy.

Father Berzonsky moved, seconded by Mr. Kornafel, to” accept the Ethics Policy of the ‘Best Practices Documents on Financial Accountability’ for adoption and submission to the Holy Synod, and to an attorney with knowledge of New York State law for their review; the document would then be presented for acceptance by the Metropolitan Council at the November meeting.”

Dr.Skordinski asked that the motion be amended to reflect the same text used for all motions related to the “Best Practices” documents, to read, “Move to adopt the second initial section of an Ethics Policy for adoption and submission to the Holy Synod, and to an attorney with knowledge of New York State law for review, and the document be presented for acceptance by the Metropolitan Council at the November meeting.” The amendment was accepted.

Father Berzonsky moved, seconded by Mr. Kornafel, to “accept the second section of the ‘Best Practices Document: Ethics Policy,’ for adoption and submission to the Holy Synod, and to an attorney with knowledge of New York State law for their review; the document would then be presented for acceptance by the Metropolitan Council at the November meeting.” The motion carried with one abstention.

Protodeacon Danilchick reviewed and led a discussion on the Conflict of Interest document. Mr. Kornafel, seconded by Father Onofrey, moved to “accept the third initial section of the ‘Best Practices: The Conflict of Interest Statement’ for adoption and submission to the Holy Synod, and to an attorney with knowledge of New York State law for their review; the document would then be presented for acceptance by the Metropolitan Council at the November meeting.” The motion passed.

Protodeacon Danilchick then reviewed and led a discussion on the Whistleblower policy. Mr. Kornafel, seconded by Mr. Popovich, moved to “adopt the fourth initial section of the ‘Best Practices: A Whistle Blower Policy,’ for adoption and submission to the Holy Synod, and to an attorney with knowledge of New York State law for review, and the document will be presented for acceptance by the Metropolitan Council at the November meeting.” The motion passed.

After reviewing and discussing the Audit Committee Principles and Standards, Father Tate, seconded by Father Berzonsky, moved to “adopt the fifth initial section of the ‘Best Practices: An Audit Committee Policy,’ for adoption and submission to the Holy Synod, and to an attorney with knowledge of New York State law for review, and the document will be presented for acceptance by the Metropolitan Council at the November meeting.” The motion passed.

Protodeacon Danilchick then reviewed and led a discussion on the Donor Bill of Rights, after which Father Tate, seconded by Father Onofrey, moved to “adopt the sixth initial section of the ‘Best Practices: A Donor’s Bill of Rights,’ for adoption and submission to the Holy Synod, and to an attorney with knowledge of New York State law for review, and the document will be presented for acceptance by the Metropolitan Council at the November meeting.” The motion passed.

With regard to the Document Retention Policy, Father Tate, seconded by Dr. Schultz, moved to “adopt the seventh initial section of a ‘Document Retention Policy’ for adoption and submission to the Holy Synod, and to an attorney with knowledge of New York State law for review, and the document will be presented for acceptance by the Metropolitan Council at the November meeting.” The motion passed.

Upon motion by Father Tkachuk, seconded by Mr. Kornafel, the Council members decided to “move forward with the review of the organizational structure of the OCA chancery, its information technologies, and the software structure of the organization.”

Father Kucynda asked Father Tate, as a member of the Metropolitan Council, to work with him to ensure that the right questions are asked concerning computer software and hardware in obtaining proposals. Father Tate concurred.

Protodeacon Danilchick added that he has a list of ten individuals from various regions who have expressed a willingness to work on information technology tasks. He noted that the Church should also utilize the expertise of these individuals to review proposals that are being assembled.

Protodeacon Danilchick proposed the establishment of a finance committee.
Father Tate, seconded by Ms. Silk, moved to “establish a finance committee within the Metropolitan Council.” The motion passed.

Protodeacon Danilchick then proposed the establishment of an investment committee. Father Tate, seconded by Dr. Schultz, moved to “establish an investment committee within the Metropolitan Council.” The motion passed.

Protodeacon Danilchick reviewed the Responsibilities and Functions of the Audit Committee, after which Father Tate, seconded by Mr. Popovich, moved to “accept the Responsibilities and Functions of the Audit Committee within the Metropolitan Council.” The motion passed.

In response to Protodeacon Danilchick’s review of the Responsibilities and Functions of the Administrative Committee, Father Tate, seconded by Dr. Schultz, moved to” accept the Responsibilities and Functions of the Administrative Committee within the Metropolitan Council.” The motion passed.

Dr. Schneider asked that the minutes reflect a deep appreciation for the work that Protodeacon Danilchick and his team have accomplished.

Metropolitan Herman stated that the minutes of the Holy Synod of Bishops’October 2006 session will be ready for the Metropolitan Council’s November meeting.

Father Vansuch, Fellowship of Orthodox Stewards executive director, reported on his work, and asked the members of the Metropolitan Council to help spread the FOS message so that he can meet people face to face.
Metropolitan Herman thanked Father Vansuch for his ongoing work on behalf of the FOS.

Father Dresko reported on the work of the Office of Development and Stewardship and asked that the Metropolitan Council agree and approve the plans proposed. Metropolitan Herman thanked Father Dresko for his ongoing work on behalf of the Office of Development and Stewardship.

Mr. Lucs offered a brief summary on behalf of Mrs. Michelle Jannakos on the ongoing work of the Church Ministries.

Prior to adjournment for the day, Father Kucynda read an e-mail response from the law firm of Proskauer Rose concerning the motion to have one of their representatives attend the Metropolitan Council session on Friday, September 29, 2006. The firm responded that, due to the limited time, prior commitments, and the sensitive nature of the case, the lawyers would not be able to attend the meeting at this time.

On Friday morning, September 29, 2006, the session opened with a report by attorneys Michael Sahn and John Ward. Mr. Sahn provided the Metropolitan Council members with an update on the loan received from the Honesdale National Bank, which closed on September 20, 2006 at the attorneys’ offices in Uniondale, NY. He reviewed the appraisal values of the Martin Drive property and the OCA Chancery property on Northern Boulevard, confirming that currently dated surveys had been accomplished for both properties. He offered his firm’s assistance on any plans by the Metropolitan Council to subdivide the OCA Chancery property on Northern Boulevard and/or to sell the Martin Drive property.

After a discussion, Mr. Popovich moved, seconded by Father Berzonsky, to “guarantee the remaining monies received from the special appeal organized in 2004 to aid those affected by the hurricanes be granted to Saints Peter and Paul Church, Miami, FL, and Saint Herman Church, Lake Worth, FL.” The motion carried.

Mr. Kornafel further moved, seconded by Mr. Popovich, to amend the previous motion concerning the remaining funds from the special hurricane appeal to read, “guaranteeing the remaining monies received from the special appeal organized in 2004 to be split 50:50 between Saints Peter and Paul Church, Miami, FL, and Saint Herman Church, Lake Worth, FL. Any additional individuals affected by the hurricanes should be paid out of the annual Charity Appeal.” The amendment to the motion carried.

Father Safchuk moved, seconded by Ms. Silk, “to send the $3,300.00 owed to IOCC immediately.” The motion carried.

Metropolitan Herman asked Father Westerberg to speak briefly on the new Privacy Policy adopted by OCA Pension Plan.

Father Westerberg noted that, while none of the information is new inasmuch as it has always been in place, it was formalized and posted for public consumption on the OCA website. He added that the pension funds are separate, that they have never been commingled, and that the Pension Board has separate signatures, access, and oversight without access from the OCA administration.

Father Westerberg noted that on September 11, 2006, Mrs. Bette Kondratick, pension plan coordinator, reported to the Pension Board that the plan’s computer had been hacked into in August, prior to the formal adoption of the privacy policy. Information that could have come only from the plan computer later appeared on various chat and internet forums. In speaking with the Pension Plan’s lawyers, this breach of security and the related theft of information is a federal offense.

1. CONCERNING THE CHANCERY REORGANZATION. Father Kucynda mentioned that the Metropolitan Council had briefly spoken on Thursday about the Chancery operating reorganization. The committee should submit budgetary considerations for 2007, especially those related to human resources.

2. CONCERNING METROPOLITAN COUNCIL COMMITTEES. Father Kucynda announced the names of volunteers who signed up for Metropolitan Council committees.
Volunteering for the finance committee were Fathers Onofrey and Tate, Mr.
Popovich, and Ms. Silk. Dr. Skordinski and Father Reese volunteered to serve on the audit committee and investment committee, respecively.

Father Tate was nominated by Dr. Schneider to chair the finance committee. Metropolitan Herman asked Father Tate to assume this duty, to which he responded in the affirmative.

3. CONCERNING PROPERTY. Dr. Schneider, seconded by Mr. Popovich, moved that, “subject to the final recommendation of the finance committee, the Metropolitan Council approves the expenditure required to gather the necessary information for a subdivision of the Northern Boulevard property.” The motion carried.

Father Westerberg stated that the promissory note on the Martin Drive property should be discussed at the November 10, 2006 meeting of the Metropolitan Council.

4. ALASKA LANDS ACCOUNT. Father Kucynda initiated a discussion on the open question concerning the Alaska Lands Account, since the matter needs to be resolved between the OCA and the Diocese of Alaska. He noted that Church cannot have certified audits until the matter is resolved.

5. INVESTIGATION BY PROSKAUER ROSE. After a discussion, Dr. Skordinski moved, seconded by Father Reese, that “as an interim solution, [that] within ten days, Proskauer Rose provide a summary of all billings to date and a projection of the number of additional billable hours expected by Proskauer Rose.” The motion carried.

Dr. Skordinski made a second motion, seconded by Father Westerberg, “that Proskauer Rose establishes an e-mail account to receive questions from the Metropolitan Council.” The motion was called with none in favor. Hence, the motion failed.

Dr. Skordinski made a third motion, seconded by Mr. Popovich, “that Proskauer Rose be represented in person at the next Metropolitan Council meeting, November 10, 2006, to respond to questions from the members of the Council.” The motion carried.

Father Tate, seconded by Father Reese, moved “that one clergy and one lay delegate be appointed by Metropolitan Herman to be involved in future conversations with Proskauer Rose.” The motion carried.

6. THE 15TH ALL-AMERICAN COUNCIL IN 2008. Metropolitan Herman discussed the possibility of changing the date of the 15th All-American Council from 2010 to 2008. Father Tate moved, seconded by Father Boback, “to recommend moving the date of the 15th All-American Council from 2010 to 2008.” The motion passed.

7. PERSONAL LIABILITY OF METROPOLITAN COUNCIL MEMBERS. Father Kucynda stated that members of the Metropolitan Council are responsible for their efforts only from the point of their serving on the Council. He further stated that the Metropolitan Council needs to assemble a database of “time and talents” resources that would enable assistance with various projects within the Church on the national and diocesan levels.

8. OVERVIEW OF THE REORGANIZATION COMMITTEE’S EFFORTS. Mr. Kornafel reported that committee members are working on the structure and qualifications for the Central Church Administration. A report with job descriptions will be presented to Metropolitan Herman by November 1, 2006, with the final version to be completed by the November 10, 2006, meeting of the Metropolitan Council.

9. THE MEXICAN EXARCHATE. Father Kucynda suggested that the Metropolitan Council look at the good work that could be done by utilizing the efforts of His Grace, Bishop Alejo of Mexico City. When the Metropolitan Council speaks of being the local Church, Bishop Alejo is an example of that, as he is respected as the local indigenous bishop, and he needs the support and help for his clergy from the rest of the OCA.

Father Tate suggested that the Mexican Exarchate’s clergy be considered for application to the Orthodox Christian Mission Center’s “Sponsor a Mission Priest” assistance program. He offered to bring the matter to OCMC’s board at their fall meeting. He also volunteered to speak with His Eminence, Archbishop Dmitri of Dallas and the South to coordinate this request to OCMC with Bishop Alejo.

10. NOVEMBER METROPOLITAN COUNCIL MEETING. Father Kucynda noted that the next Metropolitan Council meeting is slated to be a one-day meeting on November 10, 2006. He asked if it was possible to expand the meeting to two days, beginning on Thursday, November 9, and ending on November 10. The Council members approved this change.

Proposed items for the November 9-10 agenda include:

a. The Alaska Lands Account.

b. The Martin Drive Property promissory note.

c. The subdivision of the Northern Blvd. property.

d. The development of the proposed 2007 budget.

e. An update on the disbursement of the loan.

f. A presentation of central administrative job descriptions.

g. The personal liability of Metropolitan Council members.

h. An update on funds for Religious Books for Russia.

i. Proskauer Rose presentation.

There being no further business, the meeting was adjourned by Metropolitan Herman upon motion from Ms. Silk, seconded by Mr. Popovich.

Photo gallery of the Extraordinary Session of Metropolitan Council held at OCA Chancery.