Archdiocese of St. Paul & Minneapolis Faces Budget Deficit, Possible Bankruptcy

By Mitch Keegan
KEYC
November 20, 2014

http://www.keyc.com/story/27439589/archdiocese-of-st-paul-minneapolis-faces-budget-deficit-possible-bankruptcy

The Archdiocese of St. Paul and Minneapolis is reporting a $9.1 million operating deficit for fiscal year 2014 and says it's considering filing for bankruptcy.

The archdiocese says the deficit can be partly attributed to $4.1 million spent to address allegations of clergy sexual abuse.

The archdiocese's CFO say the archdiocese's financial condition has become more uncertain due to potential liability from lawsuits. It's unknown how many more may be filed before the three-year window to pursue abuse claims expires.

The archdiocese hasn't decided if it will seek reorganization, but it could be a way to distribute funds fairly to victims.