The accrediting physique for greater than 2,700 evangelical nonprofits seeks to lift its requirements to handle “one of many biggest monetary dangers” going through church buildings and ministries as we speak: moral failure of management.
Over the many years, the Evangelical Council for Monetary Accountability (ECFA) has established pointers on monetary transparency, stewardship and governance. This yr, the company introduced plans so as to add a brand new requirement to handle the integrity and character of a ministry chief.
This would be the greatest change to ECFA requirements in 45 years.
First launched in March 2024, the proposed customary states, “Every group shall proactively look after its chief and help its chief’s integrity per ECFA’s ideas to help management integrity.”
ECFA members and consultants from Christian nonprofits agree with the idea of the brand new customary however aren’t positive easy methods to implement it.
In an interview with Dr Christianity As we speak, ECFA President and CEO Michael Martin in contrast the usual to a railroad Whereas no written coverage or accountability measure can remove misconduct by management—every chief in the end bears accountability for their very own integrity—organizations can do extra to assist preserve them in test.
“There’s consensus across the thought … that the board has a chance and a accountability to be a pacesetter in addition to to assist leaders be able the place they will greatest thrive,” Martin mentioned.
In 2021, ECFA surveyed greater than 800 of its member ministry leaders and board chairs, and 94 % mentioned management failures had been affecting donor belief. Respondents additionally mentioned they wanted extra assets to help the integrity of ministry leaders and sought ECFA’s assist.
A 3-page commentary on the brand new customary contains the next directions for member church buildings and ministries:
- The board, or a board committee, ought to talk about with the chief at the very least yearly how the board “can present acceptable help to actively look after the integrity and well-being of the chief as an entire individual.”
- Leaders are liable for “investing of their relationship with Jesus and guarding their hearts (Prov. 4:23), striving to stay above reproach within the biblical expectations for leaders (1 Tim. 3:1-7; Tit. 1:6) – 9), and submitting in an perspective of affection and humility (1 Peter 5:1-6) to the care and help given to the chief by the ministry board.”
- The board must also ask the chief in regards to the chief’s dedication to uphold the ideas of biblical integrity outlined in a written code of conduct. In keeping with the commentary, leaders ought to exhibit traits resembling humility, progress, and fruit of the Spirit. The board is then liable for documenting these conversations in its minutes.
ECFA accreditation could present a degree of assurance to donors and contributors, nevertheless it doesn’t exempt a ministry from high-profile moral failures. In 2021, ECFA revoked RZIM’s membership as a result of the ministry’s assets had been “improperly used for sexual abuse and misconduct by the ministry’s late founder,” Ravi Zacharias.
In 2019, Harvest Bible Chapel misplaced its place with ECFA following an issue over founding pastor James MacDonald, which culminated in his dismissal.
Final month, Pursuit Church in Denver, North Carolina, an ECFA member, fired a pastor for sexual misconduct. Pursuit Church stays an ECFA member.
Scott Rodin believes ECFA’s strategy to management integrity represents the form of “holistic considering” that retains ministry leaders and boards in wholesome relationships.
Rodin is a senior marketing consultant and chief technique officer at The Focus Group, which helps faith-based organizations join with their donors. He mentioned the failure of management has a ripple impact by means of the ministry, affecting workers, donors and the broader neighborhood that the ministry is making an attempt to achieve.
Though the psychological, non secular and bodily well being of a ministry chief doesn’t appear instantly related to donor belief, Rodin believes that the well being of a pacesetter is mirrored within the well being of the group. He mentioned the proposed customary represents the form of considerate work that boards of administrators must be doing within the first place.
“A pacesetter’s relationship with God, with themselves, with their neighbors — it has a huge effect on how they do their job,” he mentioned. Rodin mentioned leaders face alternatives for compromise every single day. “Blurred coverage edges flip into cliffs in a short time.”
Since asserting the proposed requirements in early March, ECFA has sought suggestions from members by means of a kind on the ECFA web site. Martin mentioned most organizations that responded confirmed the necessity for such requirements and requested ECFA for steerage on what implementation ought to appear like.
The integrity customary will likely be eighth on ECFA’s listing of accountable stewardship requirements. The seven current requirements cowl moral integrity, governance, monetary oversight, authorized compliance, monetary transparency, compensation and third-party transactions, and stewarding monetary presents. ECFA doesn’t specify what kind of integrity questions must be requested of the CEO of a ministry
Frank Somerville appreciates the intent behind the usual, however says it is unclear what compliance ought to appear like. As a practising lawyer and CPA, Sommerville’s purchasers, about 70 % of whom are faith-based organizations and ministries, are contacting him for recommendation on implementation.
“I applaud ECFA’s efforts to handle the difficulty of management integrity. I’ve seen in my 30-plus years that lack of integrity amongst senior leaders can harm or destroy a company,” he mentioned.
Nonetheless, he wonders how ministries will implement a normal that ECFA has intentionally left imprecise and open to many interpretations.
In its commentary on the usual, ECFA says its members “have an excessive amount of latitude to look after and help the integrity of their senior leaders … in a approach that’s greatest suited to their context.” The commentary additionally clarifies that the chief of the board needn’t be the accountability group. However ministries can wrestle with the place to attract these strains.
Somerville notes that ministries could have a tough time figuring out which forms of integrity to watch. Monetary integrity? Sexual integrity? Learn the Bible every day?
“Is it the board’s job to carry a pacesetter accountable for non-work, non-job efficiency actions?” Somerville mentioned. “Is that this the most effective use of board time?”
As Pursuit Church explains, failure of ministry management doesn’t disqualify a ministry from ECFA accreditation.
Whereas incidents of corruption and monetary mismanagement seize the headlines, Somerville believes they signify a small proportion of the ministry. In nearly each case of failure, he says, board members believed it was their job to help the chief with out query.
“You do not want a board that serves the chief’s imaginative and prescient; You want a board that makes positive the chief is implementing the imaginative and prescient of the group.”
Somerville hopes that organizations will take the usual critically and never deal with it as a field with out addressing key points.
Most of ECFA’s membership is parachurch ministries, though the group says church buildings are the fastest-growing membership section, at simply over 10 %. Members are capable of touch upon the proposed requirements till the tip of Might. ECFA expects to formally roll out the brand new requirements within the fall.