1. ON-LINE GIVING OVERVIEW July 2013

2. Overview: On-Line Giving Provides convenient electronic giving options for more than 10,000 religious and non-profit organizations Allows members to have their one-time or recurring gifts transferred electronically from a checking/savings account or credit/debit card to the church’s bank account 2

3. Vanco Services, LLC This is the vendor selected to provide the services to the church Provides electronic payment and donation solutions for over 17,000 organizations in a variety of markets nationwide Delivers secure and reliable processing for both recurring and one-time transactions Has 20+ years of experience in Automated Clearing House (ACH) processing, cash management and risk management 3

4. Overview: How It Works Members register on-line through the organization’s web-site indicating the donation type (i.e. tithe, building fund, etc.), duration (i.e. weekly, monthly, etc.) and amount Each time a donation is scheduled, Vanco executes the transaction as instructed and sends the fulfillment request to Wells Fargo Wells Fargo completes the order, transferring the money from the member’s acct to FMBC’s bank acct The church receives a confirmation that the giving occurred, as well as access to giving reports 4

5. Overview: On-Line Giving Benefits +Provides churches with more financial stability via consistent giving patterns (reduces seasonal variations) +Helps members manage their giving more efficiently +Reduce time spent tallying donations and preparing deposits +Reduce handling of checks and cash in the office +Appeals to a range of congregation members +Improved reporting and auditing (for church and members) 5

6. The Pilot Purpose : Assess actual experience with Vanco On-Line Services (e.g. convenience, security, customer service, etc.) Confirm benefits as promoted Determine operational and financial integration requirements assuming we expand to the entire congregation Parameters: Small group of volunteer members Track pilot for 3-4 months Budget ~$300 (cover participants’ costs) 6

7. The Pilot (cont.) Began: August 2012 Number of members participating: 12 Participants: Trustees, deacons, etc. Giving frequency: Varied (one-time, weekly, etc.) Giving amounts: Varied Total Funds received since inception: $15,560 Total Cost to operate Pilot: $255

8. Pilot Feedback “The feature I like best is the ease of signing up” “Best part is the frequency in which the deposits can be set up” “I will be glad to continue….assuming this continues” “I love the online giving capability!” “Takes the hassle out of tithing” “It takes the thinking out of giving -- no need to worry about envelopes, checks, cash, etc.”

9. Pilot Lessons Learned 1.Easy to register and setup as a user if you are relatively tech savvy…. 2.….but need to ensure setup assistance is available for members that are not tech savvy 3.Various types of training is required for users 4.Levels of support are required to deal with requests, issues, etc. 5.Vanco website works as it should -- easily accessible to make any changes

10. Income and Cost Analysis Supporting the congregation Assumptions – Appx. 550 families attend FMBC Average contribution per family: $30/week Giving method split between Credit Cards (20%) and Automate Clearing House (80%) Num (%) of Participating Families Anticipated Income (annual) Associated Fees (annual) 100 (18%)$156,000$2,850 200 (36%)$312,000$4,860 275 (50%)$429,000$6,995

11. Summary Pilot successful - realized the benefits as promoted Feedback validates the user experience Financial case is very compelling BOT voted to extend the On-Line services to the entire congregation and cover the costs of the services Shared pilot results and BOT decision with the Joint Board

12. Next Steps Rollout program to the entire congregation Target the July timeframe for the church-wide launch

13. THANK YOU !

14. APPENDIX

15. Customer Experience Notes Progressive Missionary Baptist Church Customer of Vanco for 2 ½ years Very satisfied with their experience; reported no problems Achieved consistent giving patterns (reduce seasonal donation slumps) Audit and reporting benefits were valuable Easy to setup and use Member participation rate is 20 - 30% 15

16. Integrating with Standard Giving How On-Line giving is integrated with standard giving? 1. Daily, weekly, monthly reports obtained from Vanco 2. Review Vanco reports 3. Review Trustee counting record 4. Merge giving of sources and add to weekly spreadsheet by giving category 5. Enter envelops and Vanco giving details in Power Church

17. Security & Risks Compliance SAS 70 Audit (standards developed by the American Institute of Certified Accountants ) Completed an in-depth audit of their control activities Payment Card Industry (PCI) Data Security Assessment Level 1 Compliant Service Provider (highest level) Conducts quarterly external penetration test of its systems Includes: servers, firewalls, applications, routers, encryption, privilege management, protecting stored data, tracking system access, etc. Has the necessary methods, procedures, personnel and technologies in place 17

18. Security & Risks Compliance (cont) Disaster Recovery Conducted by Vanco’s IT department on a quarterly basis at their redundant data centers (Minnetonka and St. Paul) System Security Maintains an Information Security Policy and a Computer Security Incident Response Plan Data Encryption Uses encryption techniques (128-bit) such as Secure Sockets Layer (SSL), Point-to-Point Tunneling Protocol (PPTP), and Internet Protocol Security (IPSEC) to safeguard data during transmission 18

19. Security & Risks Compliance (cont) Risk Management Hold meetings to analyze threats and vulnerability to systems Implements appropriate countermeasures Hold annual Risk Assessment meeting to discuss the organizations’ Risk Management Plan for the upcoming year Employee Security Requirements Sign Confidentiality & Non-Disclosure Agreement Attend quarterly compliance meetings that include a review of the Employee Information Security Policy and Confidentiality & Non- Disclosure Agreement 19