Local

Chancellor’s report on reconfiguration

by
8/12/2005

Running along with this communication is my monthly report to the Reconfiguration Oversight Committee. You will note from the report that it covers both the month of June and the cumulative cash flow of the Reconfiguration Fund from its date of inception.

As you can see, June was the first significant property sales month. In that month, net proceeds from the sale of real estate totaled just over $8.3 million. We also took in just under $1 million in cash from former parish operating accounts. The bulk of the incoming cash went to retire the Reconfiguration Fund’s debt to the Revolving Loan Fund. Hopefully, now that property sales have begun, no additional borrowings by the fund will be necessary.

Now that the Reconfiguration Fund has repaid its debt to the Revolving Loan Fund, it will begin to pay off other debts that closed parishes incurred during operations. The current schedule for closed parishes shows outstanding debts of approximately $2.7 million in excess of unrestricted liquid assets. (Note: excluded from these numbers are those parishes where properties will continue to be used as worship sites.)

Through June 30, about $17 million net of loan advances has come into the Reconfiguration Fund. We have spent $7.2 million to fund portions of our budget that were most directly related to serving parishes. Roughly $2.8 million has gone out as operating aid for parishes with the balance of the money going to expenses of the reconfiguration project and repayment of parish debts. In the coming week, the Chancellor’s report will be expanded to include additional information items, as suggested by the Parish Reconfiguration Oversight Committee.