BURLINGTON (VT)
WPTZ, NBC-5 [Plattsburgh NY and Burlington VT]
October 3, 2025
By Michael Cusanelli, Digital Content Manager
BURLINGTON, Vt. — The Roman Catholic Diocese of Burlington continues to struggle with financial problems as the embattled organization racks up legal fees tied to the abuse that took place decades ago at St. Joseph’s Orphanage.
The diocese had already paid out more than $20 million to abuse survivors, but it is still struggling to cover about $1.5 million in related legal bills.
Despite their bankruptcy filing in September 2024, the diocese is still required to pay out attorney fees for itself and officially recognized creditors. That includes more than 100 claimants alleging sexual abuse by the clergy.
About 5% of the diocese’s remaining funding has been used to pay those legal bills.
Now, it is forced to cut the hours of staff at their South Burlington headquarters to make up for the deficit.
The church said it is aiming to make a new financial plan before the end of the year.
Some survivors of the orphanage were in bankruptcy court this week. Bishop John McDermott said he was there as well.
In a post on social media, McDermott said “I had the opportunity to listen to survivor statements. On behalf of the Diocese of Burlington … I want to express my deep regret for the suffering endured.”
He said he continues to pray for those who were impacted.