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	Davenport Diocese Outlines Settlement By Gregg Hennigan The Gazette February 1, 2008 http://www.gazetteonline.com/apps/pbcs.dll/article?AID=/20080201/NEWS/332735452/1006/news [Includes links to documents: the reorganization plan (2.4M), the schedule showing the 'matrix' of how people will be paid, and the disclosure statement (2.6M) with exhibits 1 and 2.] The Roman Catholic Diocese of Davenport on Thursday detailed the $37 million settlement it hopes will allow it to emerge from the bankruptcy protection it sought because of a clergy sexual abuse scandal, but an abuse victim said it's not the money that's important. It's the non-monetary terms of the agreement — including Bishop Martin Amos' acknowledgment of the abuse and the publication of the names of all perpetrators of abuse — that victims have wanted all along, said Mike Uhde of Davenport, co-chairman of the committee that represents victims in the bankruptcy case. In fact, Uhde said, if the diocese had made such public admissions and apologies years ago, there would not have been an avalanche of lawsuits that led to the diocese declaring bankruptcy. "It's a sad thing that's happened," he said. "It's encouraging, though, that with the non-monetary agreements in place ... it's a new start for them and for this diocese." The diocese and the case's creditors committee last night jointly filed a reorganization plan and disclosure statement detailing the agreement in the U.S. Bankruptcy Court for the Southern District of Iowa. "This is a successful resolution to a difficult situation," said Richard Davidson, the diocese's attorney. The diocese filed for Chapter 11 bankruptcy protection in October 2006, saying it did not have the money to settle the claims stemming from its clergy sexual abuse scandal. It already had paid nearly $10.7 million to 45 other victims since 2004. By filing for bankruptcy, the diocese — with 105,000 parishioners in 22 counties in southeast Iowa, including Johnson County — was able to settle all claims. Claims were filed by 156 people, with most of the abuse happening between 1940 and 1985. Davenport was just the fourth diocese in the nation for file for bankruptcy because of the priest abuse scandal that has rocked the Catholic Church. The others are in Portland, Ore., Spokane, Wash., and Tucson, Ariz. The San Diego diocese later filed for bankruptcy. The Davenport diocese agreement still must be approved by a judge and creditors. A court hearing is set for March 5. As reported when an outline of the settlement was released in December, $37 million, minus legal fees and other expenses, will go to victims. The diocese said Thursday it will pay $17.5 million of that, while Travelers Cos. of St. Paul, Minn., its insurance carrier, will pay the other $19.5 million. Of the diocese's share, $5.9 million will be paid by four parishes and the St. Vincent Home Corp., which funds organizations that help children. The diocese said it would not name the parishes until parishioners were informed. The diocese said it was considering its options, including borrowing money, to raise the rest of the payment. The plan releases all diocese schools — including Regina High School in Iowa City — and parishes from liability for abuse that happened before the bankruptcy filing. It likely will be summer before payments are made to victims, Davidson said. Those with claims against the diocese will have three options: They can take $10,000 and do nothing more; they can go before an arbitrator, who will weigh the circumstances of their cases and use a matrix to assign values to the claims; or they can go through the court system. The expectation is that most people will use the matrix system because the payouts likely will be higher. A portion of the settlement, $1.5 million, will be set aside for future claims.
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