Philadelphia Archdiocese sells three properties for $56 million

[ProVobis]

catholicnews.com/data/briefs/cns/20141003.htm#head2

PHILADELPHIA (CNS) – The Archdiocese of Philadelphia’s finances took a major step toward good health with the announcement Oct. 2 of agreements of sale for three archdiocesan properties collectively worth an estimated $56.2 million. Proceeds from the latest transactions along with the $53 million initial payment from long-term leasing of the 13 archdiocesan cemeteries completed last May and the sale of the archdiocesan nursing homes, projected to net $95 million after closing costs, will address three underfunded obligations of the archdiocese. Collectively underfunded by $340 million in June 2013, those three funds plus the Lay Employees Retirement Plan include the Trust and Loan Fund, the Self-Insurance Fund and the Priests Pension Fund. The lay employees’ traditional pension plan, underfunded by $142 million, was frozen last July as the archdiocese began to offer its employees a “403(b)” employee-contribution retirement plan. At the end of fiscal year 2013, the plan had $522 million of assets against actuarially determined liabilities of approximately $664 million – a funding rate of about 79 percent. Funds in the plan are more than sufficient for immediate and mid-term payments, but the goal is to have it fully funded. The property sales announced Oct. 2 include the 213-acre site of Don Guanella Village and Cardinal Krol Center in Marple Township, for $47 million; the 454 acres of the former Mary Immaculate Retreat Center, which is in the Diocese of Allentown, for $5.5 million; and a 55-acre tract of the St. John Vianney Center property in Downingtown, for $3.7 million.

 

[phil19034]

catholicnews.com/data/briefs/cns/20141003.htm#head2

I commend Archbishop Chaput for making these hard choices to bring the Archdiocese out of financial crisis.

However, it also saddens me that mass attendance is so low that the Archdiocese isn’t raising money.

For any fellow Catholics living in the Archdiocese of Philadelphia; we have to figure out how to do local fund raising within our local parishes to help the Archdiocese, not just our local parishes.

May The Lord Bless Archbishop Chaput and help him gain wisdom to continue to lead this great Church back to health. Amen.

 

[ProVobis]

I commend Archbishop Chaput for making these hard choices to bring the Archdiocese out of financial crisis.

It’s difficult to sell out over 700 acres just to meet retirement obligations of their employees. But this is something many pension plans (as well as insurance companies) are faced with, much of it because of the extended low-interest rate environment. (The Fed Chair has already acknowledged this.) From the sounds of it, there will have to be a continued effort to meet those obligations 100% and I just hope it doesn’t cut teachers and other valued services.

 

[phil19034]

It’s difficult to sell out over 700 acres just to meet retirement obligations of their employees. But this is something many pension plans (as well as insurance companies) are faced with, much of it because of the extended low-interest rate environment. (The Fed Chair has already acknowledged this.) From the sounds of it, there will have to be a continued effort to meet those obligations 100% and I just hope it doesn’t cut teachers and other valued services.

yeap

The thing is that according to catholic-hierarchy.org/diocese/dphil.html, there are 1,464,938 Catholics in the Archdiocese of Philadelphia. If everyone could give an average of $10 to the Diocese, that would be $14,649,380. If everyone could give $100, then it would be $146,493,800. I think it’s very sad that people care so little now a days. Back in the days of 80% Mass attendance, we could raise the money in days. :imsorry:

 

[oldgraymare2]

Hi phil,

I am sorry to see that.

I am sure that it was a difficult decision for your Archbishop.

 

[ProVobis]

One can view the Archdiocese’s financial statement here.

catholicphilly.com/media-files/2013/12/FY-2013_OFS-Financial-Statement.pdf

 

[ProVobis]

yeap

The thing is that according to catholic-hierarchy.org/diocese/dphil.html, there are 1,464,938 Catholics in the Archdiocese of Philadelphia. If everyone could give an average of $10 to the Diocese, that would be $14,649,380. If everyone could give $100, then it would be $146,493,800. I think it’s very sad that people care so little now a days. Back in the days of 80% Mass attendance, we could raise the money in days. :imsorry:

There was a recent article which tried to explain the reduction of per capita contributions after parish mergers and the larger crowds per Mass. For example, the more in the Church, the more they’ll figure someone else will do the contributing. I don’t know the extent of this in your archdiocese.