I thought that the expose on Earlham College was going to be this week’s Quaker financial melt-down story but Friends United Meeting did the proverbial “hold my beer” and announced it’s in serious financial peril.
Friends United Meeting (FUM) is the largest Quaker membership organization in the world. Simplifying quite a bit, it grew out of the Gurneyites, the more churchy branch of Quakers who often adopted ministry and international missions. Those missions are the reason why there are so many Quakers in places like East Africa and Bolivia. Most of the worldwide body of Friends are part of that movement and many are formal members of FUM.
Theologically, today’s FUM is a “big tent” association that tries to hold together a wildly divergent set of beliefs and cultural norms, with gender and sexuality being the most common lightning point. There’s always corners of FUM threatening to leave or threatening to withhold membership dues. There was serious talk in the 1990s of a “realignment” that would split up FUM along evangelical and universalist lines but somehow that’s never quite happened and the tent has held. To its credit the big tent approach means that FUM has been a key facilitator of cross-branch dialogue among North American Friends.
The financial problem is pretty straightforward, a story as old as nonprofits:
Our audits have not been done in a timely fashion, internal financial controls have been missing, and we did not ensure that good accounting practices were being followed. We have not been careful enough in reviewing financial information given to us or in developing the ability of new board members to understand FUM’s complex financial structure.
I’m genuinely surprised that FUM leadership was this asleep at the wheel but I sympathize. A nonprofit I worked for in the 1990s went through a similar crisis when a few years of backlogged audits came back and showed us we were in far worse shape than we had imagined. The other major U.S. Quaker association, Friends General Conference, went though something similar in the 1980s; the story I’ve heard is that the lawyers told them they were broke to go bankrupt and they figured their way out of the financial hold.
Many nonprofits go through boom and bust cycles but this sounds more than just that. I do hope Friends United Meeting can pull through.
AKONGCUAN