Another Challenging Year with Positive Results
Today we are providing our Fiscal Year 2020 financial results (July 2019-June 2020) to our Parish Family.
The COVID-19 Pandemic and Response has altered our lives considerably, including our worship lives. We have been reacting and adjusting as quickly as possible to our environment. This included acting quickly to reduce expenses given our COVID-Era operating approach. Closed buildings drove reduced maintenance needs and eliminated our hospitality and food service. Refining our needs for landscaping, pest control, housekeeping and other services delivered significant savings.
A difficult aspect of the Pandemic has been the suspension of programs at the Parish and the reduced outreach we are able to support. Programs have been dramatically pulled back in a response to the understandable reduction in the gifts provided to our Parish Family.
Here is the snapshot of the 2020 Fiscal Year, including July and August 2021 actuals and forecast expenses for the balance of FY 2021 (assumes our current operating profile). Please note the reduced actual expenses each month beginning with March 2020 running right through August.
Our Income Statement and Balance Sheet for the fiscal year have been adjusted to reflect only Church operations. The “Finish the Church” campaign debt and Catholic Faith Appeal results are noted separately below.
Our Income Statement shows that we finished the year with a surplus of $77,400. At the end of our fiscal year we created a full depreciation schedule for our fixed assets in accordance with Diocese policy. We have excluded a required catch-up depreciation schedule from the illustrated Income Statement. It amounted to $2,728,339 and will be shown in our future Income Statements – approximately $704,000/year.
Our parish holds 1 to 2 months of expenses in a checking account to operate the Parish, per Diocesan Policy. Specific ministries carry balances as well (ex. Thanksgiving in the Park, Scouts, Social Ministry, etc.). Our savings is used to fund our normal summer deficits. The Balance Sheet incorporates fixed assets net of accumulated depreciation.
As a direct result of the Pandemic, we applied for and received a PPP loan of $219,355 on which we will apply for forgiveness this fall.
FINISH THE CHURCH
The Hurricane Irma damage has been explained with pictures and in the context of our Capital Campaign to build the Pulte Center and reinvigorate our campus. At the high point we had borrowed well over $2 million dollars from the Diocese on a line of credit to complete repairs, obtain Hurricane Irma related insurance reimbursement, and to “Finish the Church”. In the early part of 2020, we continued to incur costs to complete the many details of the campus repairs and enhancements.
In May, we completed work and formalized a 10-year, $1,214,460 loan with the Diocese related to the entire campus renewal. At June 30, 2020, the loan balance was $1,110,875 and as of September 1, thanks to your overwhelming generosity, our loan balance is $976,240. We are making progress and will continue to need everyone’s help to eliminate the debt!
CATHOLIC FAITH APPEAL (CFA)
Our CFA goal this year is $572,000. As of August 27, we have pledges of $402,657 and are $169,343 away from our goal. The CFA remains a critical component of how we deliver support to our region in a shared way as part of a 61 Parish Catholic community. Your support is critical to the many programs we work to deliver in our Diocese. Please review the good works of the CFA on our website!
CONCLUSION
Our Parish Family’s financial outlook is considerably positive, even in the midst of the challenges that have been thrown at us over the past 3 years. There is increased need in the community due to COVID-19. It is more difficult to serve those people as we normally would because of our debt of $13,000 a month that we must prioritize.
We are committed to being good stewards of our resources and are committed to the financial viability of our Parish. Soon, you will be receiving a letter from Father Tom, describing a new initiative to Finish the Church and asking you to prayerfully consider how your family can help. Thank you for your generosity and continuing to support our Mission: To Know, To Love, and To Serve God, in His Church and Our Community.