Catholic schools, parishes will have to pay more

By Haidee V Eugenio
Pacific Daily News
July 11, 2017

http://www.guampdn.com/story/news/2017/07/11/shell-tuesday-afternoon-byrnes-talk-extent-catholic-churchs-financial-woes/463509001/

Archdiocesan Finance Council member Rick Duenas, left, and Chairmain Richard Untalan answer inquiries on the finances of the Archdiocese of Agana during a press conference in Hagåtña on Tuesday, July 11, 2017. Photo by Rick Cruz

The Archdiocese of Agana, which church officials said is struggling financially because of past mismanagement, plans to collect an additional $1.81 million a year by requiring village parishes and Catholic schools to pay more.

None of the new and increased assessments are related in to clergy sex abuse lawsuits against the archdiocese and its clergy, the Archdiocesan Finance Council said.

Catholic schools will be assessed new fees of $25 per student each year to fund the operations of a Catholic education superintendent, and $144 a year per student to help the church weather its financial crisis, church officials. 

Parishes will be asked to contribute more to the archdiocese, effective July 1, also to help the archdiocese address its financial problems, church officials said. 

The amount the parishes will depend on the parish size and previous collections.    

"The previous governance of this archdiocese was almost upside down, and again we are not trying to lay the blame, but there were many things that were not done in the past and so we’re now doing them," Archdiocesan Finance Council president Richard Untalan said during a press conference Tuesday. "All of this costs money, to run an organization of this size, an archdiocese with 26 parishes and 14 schools and other organizations, takes considerable governance, resources, skills and leadership."

Parish assessments have not been revised in the past six years, contributing to the archdiocese's difficult financial situation, Archdiocesan Finance Council member Rick Duenas said at the press conference. Some parishes also are way behind in their payments, he added.

Untalan and Duenas said each school can decide to how to pay for the new assessment.

Untalan said schools can tap financial reserves, conduct fundraising activities, seek donations or raise student tuition. Untalan said some schools have indicated they will not raise tuition and will find other ways to pay for the assessment.

The additional revenue is part of the archdiocese fiscal 2017-2018 budget, which projects total revenues of more than $2.56 million.

The increased parish assessment is expected to total $1.07 million, the new Catholic schools assessment is expected to result in $637,056, and the new Catholic schools operations student assessment is expected to collect $110,600.

Untalan and Duenas said none of the new and increased assessments are related in to the clergy sex abuse lawsuits filed against the Archdiocese of Agana and its clergy. Accusers have sued the church for more than $545 million combined.

"That matter has separate source of funding, etc. We are not increasing the assessment because of the sex abuse cases. I cannot emphasize that enough," Untalan said. "They're completely separate and apart from each other."

From fiscal 2015 to 2017, including estimated legal fees for May and June, the archdiocese expenses related to clergy sex abuses lawsuits totals $868,476, officials said.

Money to pay for legal fees will come from the liquidation of stock and other investments, officials said.

"Current finances of the Archdiocese of Agana are challenging," said Archbishop Michael Jude Byrnes. 

Untalan said the Archdiocesan Finance Council is committed to accountability and transparency from top to bottom to help regain the archdiocese's credibility and people's trust in the church.

The archdiocese said it has total assets of more than $154 million, while its total liabilities are $21.9 million, based on a preliminary report.

The archdiocese is scheduled to hold two more news briefings this week to talk about finances.