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Published - Wednesday, December 03, 2008

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Financial pinch creeping up on collection plates


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MILWAUKEE — With an economic crisis rocking Wall Street and Main Street, churches are nervously watching collection plates to see whether the financial pain flooding the nation is flowing their way.

The concern comes as churches head into the holiday season and the end of the year, times when many donors make substantial contributions to religious organizations.
So far, donations during weekend services and to fund-raising campaigns appear to be holding steady for many churches.

Some, though, are reporting slight declines in contributions.

That’s the case for the Greater Milwaukee Synod of the Evangelical Lutheran Church in America, which has seen about a 4 percent dip in donations, said Dave Groenewold, director of finance for the synod.

“Is it the economy? I’m sure it has some effect,” he said.

At Atonement Lutheran Church in Racine, giving is down about 10 percent at the ELCA congregation, the Rev. Warren Williams said.

He has told his flock: “We are people who operate by faith, and our center and supply is God. We should not operate out of fear. ... We should trust that God will care for us.”

Tough economic times don’t always translate into decreased giving to religious organizations.

A study by the Giving USA Foundation found that religion-related charitable giving is “relatively insulated from economic downturns.”

Between 1967 and 2007, giving rose an average of 2.6 percent during economic slowdowns, compared with an average 2.8 percent increase in non-recession years.

By comparison, donations to arts and culture organizations fell an average of 1.9 percent in recession years, and giving to education dropped 1.1 percent, according to the study.

Topczewski said there are a couple of reasons churches likely are least affected in recessionary times. During tough economic times when needs are great, such as for hunger relief, people dig deep and give, he said.

And usually, when times are tough, more people head to church. Greater numbers in the pews often translates into more money in the offering baskets, he said.
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