The decisions to which Iorg referred were the denomination’s decision to seek a third-party investigation into how the EC had managed reports of sexual abuse and its decision to waive attorney-client privilege.
Iorg said that while the three current lawsuits are “in various stages of progressing through the litigation process,” legal challenges are likely to be a reality for the denomination indefinitely.
“As long as there are legal issues in the churches, there will be misplaced lawsuits,” said Iorg. He added that the “four legal matters” he mentioned “are the cause of our current financial uncertainties. The good news—and it is good news—is we are making steady, incremental progress at resolving.”
“The bad news is the cost of completing the task is unpredictable,” Iorg said.
As such, the EC is recommending, as part of its 2025-2026 budget, “a $3 million priority allocation for future legal expenses and cost.”
“These funds will be set aside during the 2025-26 fiscal year and held by us. If we resolve our legal costs without losing these funds, they can be distributed to SBC entities according to the Cooperative Program allocation percentages,” said Iorg.
Iorg acknowledged that using funds that normally would go to mission and ministry on legal expenses is not ideal.
“As I made clear this past February when presenting this budget to the Executive Committee, I am frustrated by this proposal,” Iorg continued. “No mission-centered Southern Baptist wants to make this recommendation. I don’t want it. You don’t want it. None of us do.”
However, since the EC has already exhausted its reserve funds, cut staff, and put its headquarters up for sale, the denomination is running out of options. Nevertheless, Iorg said that while $3 million is a large sum, it is “manageable.”
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“Past decisions have been costly and cannot be undone. While there is an end in sight, and I am purposely moving us there, we are not there yet,” said Iorg. “The budget recommendation we are making—and I urge you to adopt—provides the resources to satisfy these needs and move us to a healthier financial future.”
Church delegates, called messengers, will vote on the budget proposal later in the meeting.
, Dr. Jeff Iorg offered a report to the Southern Baptist Convention regarding the progress of abuse prevention and reporting reforms—as well as their financial implications. ){kind=link}