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May 4, 2006
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CFO answers VOTF questions
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Schneider discusses archdiocesan finances
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GREENDALE — The Archdiocese of Milwaukee’s chief financial officer, Wayne Schneider, addressed concerns about finances raised by members of Voice of the Faithful April 29 at St. Alphonsus Church.
Schneider distributed copies of the archdiocese’s financial statement to the several dozen people attending the meeting. Attendees had been encouraged to come to the meeting with written questions for Schneider to answer.
According to the financial report, as of June 30, 2005, the Archdiocese of Milwaukee has total assets of $112,759,068.
One participant asked what would happen to the asset of a parish if it were to close. Along a similar line, one wanted to know what happens to parishes if the archdiocese were to declare bankruptcy.
“All parishes are basically like separate corporations,” said Schneider. “Initially, if a parish closes, the assets go to the archbishop. If a merger takes place, the assets go toward the merger. At the time of closure, the archbishop puts into writing how the assets are to be used.”
Another question concerned cemetery plots. The financial report shows that more than $5 million is designated to cemetery and mausoleum sales. The questioner wondered if cemetery purchases are protected.
“If the archdiocese goes bankrupt, is that money available to creditors?”
“The candid response is, ‘I don’t know,’” said Schneider. “We’ve been doing this research over a year. When you purchase a cemetery plot, you sign a contract that the money is only for this purpose. But there’s no precedence for this in law. But this type of thing exists throughout the country.”
Another questioner wanted to know the source of money paid in sexual abuse settlements.
“In the budget, you see there is $1.9 million designated for future parish sites, and $1.5 million in real estate accounts. We could sell these properties, invest the money and with the money gained in interest rates, use that for sex abuse cases,” Schneider said.
One question-writer wanted to know how much money had been spent on sexual abuse cases in the archdiocese.
“Between the first payout in the late 1980s and 2005, more than $11 million has been spent on this,” answered Schneider. “Of that $11 million, $3.5 million is for legal fees.”
When asked by your Catholic Herald the amount of the payout covered by insurance, Schneider answered through an e-mail,
“The $11 million is the net amount. The gross amount through June 30, 2005 is approximately $14 million, with approximately $3 million having been reimbursed by insurance, the perpetrator, or through structured payments.”
One meeting attendee asked specifically what the $3.8 million labeled “professional services” covers. Schneider answered that it is used for a variety of things, including funding speakers, workshops, outside consultants, public relations, newsletters, legal fees outside of abuse settlements, and accounting fees for the audit. |
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