Archdiocese releases 2006 Annual Report

The Pilot published the full Annual Report in its April 27 edition

BRIGHTON — The Archdiocese of Boston released its 2006 financial report on April 25, outlining the significant progress made in the last fiscal year. The annual financial report covers the 12-month period ending June 30, 2006.

Chancellor James P. McDonough described the report as “encouraging.”

“We continue to take steps in the right direction. We still have many challenges in front of us,” he told The Pilot. “We see this as a year of good progress.”

The Catholic Appeal as well as individual parish collections increased in the last year. The archdiocese also cut costs in its central administration by eliminating 50 positions, consolidating programs and reorganizing the cabinet.

Additionally, the central fund of the archdiocese came closer to its goal of operating in the black by 2008. The budget shortfall was $6.2 million in 2006, down from $8.3 million in 2005. The archdiocese projects that the budget will break even excluding debt service, meaning a shortfall of $2.8 million, by the end of fiscal year 2007. The archdiocese projects it will be able to balance its budget, including debt service, by 2008.

Most of the funds in the archdiocese, however, are collected and expended at the parish level, archdiocesan director of finance Teresa McGonagle told The Pilot.

“About 7 percent of all program expenses are at the administrative level. Only about 2-4 percent, over a period of years, of the fundraising expense is at the central level,” she said. “We can continue to streamline our operations to get efficiencies, not only efficiencies over central operations but also efficiencies at the parish level as well.”

There is disparity among parishes with some doing extremely well and others facing many challenges, she said.

The total of archdiocesan-wide parish collections increased to $142 million. However, individual parishes collected anywhere from $48,000 to $1.6 million last year. Some fall far short of paying for their expenses.

McGonagle noted that most parishes’ unrestricted funds are tied up in property — land, buildings and equipment. While technically unrestricted, the assets would need to be sold in order to gain capital. Additionally, many parishes face the challenge of paying for deferred maintenance, McGonagle said.

McDonough added that more and more parishes are working on financial planning so that they can continue to provide, and potentially expand, their pastoral programs. The archdiocese has offered to help parishes with this effort, he said.

“We want to support our pastors and parishioners as they seek to develop vibrant parishes that have the resources to do the good things they want,” he said.

McDonough and McGonagle explained the archdiocese’s three key challenges, which are outlined in the report.

The first is the sale of real estate, which is the main cause of the archdiocese’s improved financial situation over the last year, McDonough said.

“The primary reason for our balance sheet improvement this year is $63 million in real estate sales as a result of primarily reconfiguration but also parish sales,” he said.

Most of the money was collected from the sale of parishes closed by the archdiocese in the parish reconfiguration process. That money was used to pay off debts of remaining parishes and shore up the parish revolving loan fund and lay employee pension fund, McGonagle said.

The sale of property from active parishes accounted for $19 million and is restricted to use within those parishes, she said.

The second challenge was repayment of the clergy funds, she added.

“We, as a leadership team, have been looking at the clergy funds and trying to figure out how best to shore those up for the future of the priests,” she said.

The archdiocese was also challenged by its commitment to parish level transparency, which has not yet been fully implemented, McGonagle said.

“We’ve made significant progress in providing those, but we’re not 100 percent there yet,” she said. “We have parishes at all different stages, just as with their financial condition.”

Facing those primary challenges will require further discussion with parishes as well as the central management team, McDonough said.

This year the archdiocese has highlighted two parishes in the financial report. One is St. Agatha Parish in Milton, a well-established parish that has been providing its financial report to parishioners for years. The other is St. Mary-St. Catherine of Siena Parish in Charlestown, which merged from two parishes last year and has submitted a six-month report.

On April 19, 2006, the archdiocese released its first financial report, fulfilling Cardinal Seán P. O’Malley’s promise of financial transparency. The 2005 financial report was an extensive document that outlined the archdiocese’s “dire” financial condition and $46 million deficit.

“This is our transition year. Financial transparency was our first foray into delivering our audited financial statements to the public. As a result, it needed a great deal of explanation,” McGonagle said.

In future years, the archdiocese plans to release annual reports similar to those released by other non-profits, she said.

The unrestricted net deficit of the archdiocese in 2006 was $13.2 million, far less than the previous year’s $46 million, she said.

But McGonagle cautioned against using those figures as proof that the archdiocese’s financial condition has drastically improved. The figures last year showed that parishes were overall in a negative financial position. This year, the archdiocese wants to focus on whether or not it is operating within its means, she said.

McGonagle cited increases in both parish collections and fundraising. Charitable giving that had fallen off in the past is returning, but there is still room for improvement, she said.

McDonough added, “At the end of the day we hope that we get more people coming to church, more people going to Catholic schools. This is what it’s all about.”

The full financial report is available in this edition of The Pilot as well as online at Also available online are the audited financial statements of over 40 archdiocesan-related organizations, cabinet secretary salaries, the five highest paid positions in the archdiocese as well as the top five contractors and vendors.

Retired Green Bay auxiliary bishop failed to report abuse, withdraws from ministry

Green Bay, Wis., Sep 20, 2018 CNA/EWTN News.- Bishop Robert Morneau, Auxiliary Bishop Emeritus of Green Bay, has withdrawn from public ministry saying ...

Dolan 'impatient' waiting for apostolic visitation in response to McCarrick

New York City, N.Y., Sep 20, 2018 CNA.- The Archbishop of New York said Thursday that while he has confidence in the way Pope Francis is handling the ...

Two more Chilean bishops step down in wake of abuse crisis

VATICAN CITY (CNS) -- Pope Francis accepted the resignations of two more Chilean bishops, bringing to seven the number of bishops who have stepped down ...

Celebration of the Priesthood dinner raises over $1.8 million

BOSTON -- A record 1,700 people attended the 10th annual Celebration of the Priesthood dinner to raise funds for the Clergy Health and Retirement Trust ...

Lawrence parish helps community cope with gas explosion aftermath

LAWRENCE -- Volunteers at St. Patrick Church's Cor Unum Meal Center were serving dinner when multiple natural gas explosions and fires broke out in homes ...

Ceremony, Mass kick off St. Augustine Chapel bicentennial

SOUTH BOSTON -- St. Augustine Chapel and Cemetery began its year-long bicentennial celebration on the weekend of Sept. 14-16 with tours, special Masses, ...

Mass. Knights install new officers

The Massachusetts State Council Knights of Columbus recently held its Installation of State Officers at St. John the Evangelist Parish in Canton with ...

Deal will keep Sancta Maria Nursing Facility open

CAMBRIDGE -- Sancta Maria Nursing Facility announced Sept. 17 that it has negotiated a comprehensive operational contract with Advocate Healthcare Management ...

From Cardinal Seán's blog

As I mentioned in my preface to last week's blog, this week and last, I have been in Rome for meetings related to the work of the Pontifical Commission ...

N.Y. Archdiocese names judge as independent reviewer on abuse protocols

NEW YORK (CNS) -- New York Cardinal Timothy M. Dolan has named a former federal judge to study archdiocesan policies and procedures with respect to sexual ...

U.S. reports poverty declines, but agencies finding needs remain great

WASHINGTON (CNS) -- The good news from the U.S. Census Bureau Sept. 12 was that the poverty rate dropped for the third straight year in 2017 and median ...

Class-action lawsuit filed against eight Pennsylvania dioceses

PITTSBURGH (CNS) -- A class-action lawsuit was filed Sept. 17 against eight Catholic dioceses in Pennsylvania demanding the dioceses provide proof that ...

Apostolic visitor outlines plans for expansion at Medjugorje shrine

WARSAW, Poland (CNS) -- The Polish archbishop tasked with overseeing Bosnia-Herzegovina's Medjugorje shrine has outlined plans for expansion, including ...

Pope names administrator as Indian bishop investigated for alleged rape

MUMBAI, India (CNS) -- Pope Francis has accepted the request of an Indian bishop accused of raping a nun to be relieved of his duties during the investigation. In ...

In letters to German cardinal, retired pope defends way he stepped down

VATICAN CITY (CNS) -- Retired Pope Benedict XVI expressed his displeasure with the way a German cardinal publicly criticized his stepping down as pontiff, ...

Thousands of Hispanics expected in Texas for Encuentro summit

Fort Worth, Texas, Sep 20, 2018 CNA/EWTN News.- As many as 3,000 Catholics of Hispanic background are expected in Texas this week for the National V Encuentro, ...

Church plans third-party abuse reporting system, code of conduct

WASHINGTON (CNS) -- Pledging to "heal and protect with every bit of the strength God provides us," the U.S. bishops' Administrative Committee Sept. 19 ...

Be grateful to parents, never insult them, pope says

VATICAN CITY (CNS) -- Honoring mothers and fathers means being grateful for the gift of life and Christians should never insult anyone's parents, Pope ...

Canadian cardinal: Women should help screen, train priest applicants

Poznan, Poland, Sep 18, 2018 CNA.- Increasing the role of women in screening and training priests is among the steps that should be taken to prevent future ...

Vatican delegation will travel to China this month to finalize agreement, Chinese newspaper reports

Beijing, China, Sep 18, 2018 CNA.- A newspaper tied to the Chinese Communist Party reported Tuesday that a delegation of Vatican officials will head to ...

Media reporting Vatican-China agreement could be signed in late September

HONG KONG (CNS) -- The long-awaited Sino-Vatican agreement on the nomination of bishops is expected to be signed in September, reported several media ...

Update: Irish singer Bono calls pope 'extraordinary man for extraordinary times'

VATICAN CITY (CNS) -- Bono, the lead singer of the Irish band U2, said he told Pope Francis that in Ireland "it looks as though the abusers are being ...

Cardinal Marx says mistakes were made, calls for change in German church

Cardinal Reinhard Marx, head of the German bishops' conference, admitted that mistakes were made in the German church's handling of sex abuse of minors ...

Church crisis response: Healing Masses, listening sessions, fasting

WASHINGTON (CNS) -- In response to the sexual abuse crisis in the church, Catholics are praying for victims, talking about their frustration and anger, ...

Pope names Minnesota priest as auxiliary bishop of Hartford

WASHINGTON (CNS) -- Pope Francis has appointed Father Juan M. Betancourt, a priest in the Archdiocese of St. Paul and Minneapolis, as auxiliary bishop ...

Listening church: Pope gives new vision for Synod of Bishops

VATICAN CITY (CNS) -- The Synod of Bishops increasingly should be a structure for listening to the Catholic faithful, demonstrating a local bishop's concern ...

Director of Courage releases letter on Penn. abuse report

Washington D.C., Sep 17, 2018 CNA.- Courage International, an apostolate to support people with same sex-attraction in leading chaste lives, has issued ...

Richmond bishop apologizes to victims; commits to opening, reviewing files

RICHMOND, Va. (CNS) -- In celebrating the Diocese of Richmond's first Mass of Atonement for victims of abuse Sept. 14, Bishop Barry C. Knestout apologized ...

Advocates decry historically low cap for refugee entry in 2019

WASHINGTON (CNS) -- Advocates for refugee admissions into the United States decried what one statement called a historically low cap of 30,000 for fiscal ...

Stanford University to remove saint's name from some properties

WASHINGTON (CNS) -- California's Stanford University will strip the name of 18th-century Franciscan friar, St. Junipero Serra, from some of its properties ...

Catholic Charities distributes disaster relief to areas hit by Florence

RALEIGH, N.C. (CNS) -- The Carolinas were hard hit with record rainfall and flooding rivers from tropical storm Florence since it made landfall Sept. ...

Archbishop Lori assures diocese he's with them in journey toward healing

WHEELING, W.Va. (CNS) -- In his celebration of Mass at the Cathedral of St. Joseph in Wheeling Sept. 15, Archbishop William E. Lori of Baltimore said ...

Bishop takes a (sky) dive to get pilgrims to Lourdes

HOVE, England (CNS) -- "The Moth has landed," tweeted the Diocese of Arundel and Brighton. The tweet Sept. 14 and a similar post on the diocesan Facebook ...

Words, promises are not enough to prevent abuse, archbishop says

VATICAN CITY (CNS) -- Inviting presidents of the world's bishops' conference to the Vatican to discuss abuse prevention reflects an understanding that ...

Pope praises Capuchin order's charism of authenticity, simplicity

VATICAN CITY (CNS) -- Capuchins are called to be men of peace, reconciliation and prayer and to be close to all people, Pope Francis told members of the ...

Path to healing starts with seeking forgiveness, Cardinal Wuerl says

WASHINGTON (CNS) -- A "Season of Healing" for sexual abuse survivors began in the Archdiocese of Washington with a Sept. 14 Mass at the Cathedral of St. ...

Archbishop McCarrick's unofficial role in Vatican-China relations

Vatican City, Sep 17, 2018 CNA.- Following reports that the Holy See and the People’s Republic of China could be about to sign an agreement ...

Archbishop Chaput: When we forget faith, we forget our humanity

Spokane, Wash., Sep 14, 2018 CNA.- When man tries to cling to reason and separate himself from faith, he forgets who he is and loses his source of hope, ...

Pope Francis warns priests against living a double life

Palermo, Italy, Sep 15, 2018 CNA/EWTN News.- During a day trip to Sicily Saturday, Pope Francis told priests and religious to fight their vices and strive ...

What is the pontifical secret?

Vatican City, Sep 14, 2018 CNA.- Following the allegations made by Archbishop Carlo Maria Viganò about the case of Archbishop Theodore McCarrick, ...

Catholic workers say U.S. aid cuts to Palestinians could be disastrous

JERUSALEM (CNS) -- The U.S. budgetary cuts to humanitarian aid institutions helping Palestinians could lead to long-term disastrous consequences, said ...