Frequently Asked Questions (FAQs)

1. What is the difference between fiscal responsibility and fiduciary duty?

Fiscal responsibility and fiduciary duty are distinct concepts, though they both relate to financial management. Fiscal responsibility focuses on the overall management of finances to ensure sustainability and prudent spending, while fiduciary duty specifically involves a legal and ethical obligation to act in the best interests of another party, often with regard to their money or assets.

2. What are the 5 fiduciary duties?

The five main fiduciary duties are: 1) loyalty, 2) care, 3) obedience, 4) confidentiality, and 5) disclosure. These duties require a fiduciary to act in the best interests of the beneficiary, with diligence, and to avoid conflicts of interest.

3. What is the scope that will be impacted by implementing this sustainability policy?

Decisions about environment, property management, investments, etc.

4. Here are a few examples that involve sustainable choices by members serving in fiduciary roles:

a) Has DioCal resourced the Episcopal Asset Map and Church Insurance to identify property sites that are anticipated to be physically under water due to climate change by 2050?

b) Can congregations work with Interfaith Power & Light provide energy audits to evaluate smart choices given the age and condition of church properties?

c) Our congregation leased the flat next door to the church offices for non-profit office use before the pandemic. Since 2021, we have been unable to rent this office space at the same rental rate and occupancy levels.   Would conversion to clergy housing be cost effective scenario?