My Dear Parishioners,
As you all know, I am away on vacation until after August 16th, but I did want to take the opportunity to share with you some concerns that I have had for some time now. You know that I leave financial matters in the care of our Business Manager and our Finance Committee and that I oversee financial matters, but there is one aspect of our parish financial health that I would like to share with you.
All pastors and all parishes like to have a financial “cushion,” a reservoir so to speak, that they can go to when there is a cash flow problem or some other difficulty. We here at Holy Cross have such a cushion - it is a money market account at the bank with which we do our parish business. The concern that I have is that this “cushion” is shrinking more and more because our income from sacrificial giving is not meeting our growing expenses. Let me provide you with some specific examples…
* We began fiscal year 2008-09 with our money market account at $105,529.
* We ended that fiscal year with the account at $107,240.
* We had $107,288 in restricted or deferred funds that were to be covered
by the balance in the money market account.
* To meet expenses during the 2009-10 fiscal year, we had to make numerous
withdrawals from the money market account amounting to $90,000; however, $60,000 was able to be put back into the fund and $20,000 was injected into the Scrip account.
* We began fiscal year 2009-10 with our money market account at $107,240.
* We ended the 2009-10 fiscal year with the account at $77,961.
* We already have had to withdraw $30,000 to pay bills and payroll.
* Our restricted and deferred funds total $110,959 at June 30, 2010. This means that if we had to pay out all the restricted and deferred funds, we would be short nearly $63,000.
At this rate, the time is quickly approaching when we as a parish may have to borrow money from the bank to meet operating expenses, and this in turn will require us to go into debt. I want to assure you that we are doing all we can to keep expenses down. I have asked Lori to include some additional financial data in next week’s letter for your information. I ask you to prayerfully consider your Sacrificial Giving so that we do not have to borrow money and as a school and parish meet our financial obligations.
Oremus pro invicem,
8.8.10 Church Bulletin
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