Finance, Construction Are Focus of Priest Meeting


Special to the Herald
(From the issue of 10/14/04)

The annual fall gathering of priests took place on Oct. 6 at Sacred Heart Church in Manassas. Hosted by Arlington Bishop Paul S. Loverde, approximately 150 priests from across the diocese were in attendance.

Each October, priests serving the Diocese of Arlington meet together to pray and learn about topics presented by Chancery staff or other speakers. There are also separate days of prayer and retreats when priests are convened during the year. Bishop Loverde opened the day and led the priests in mid-morning prayer. Father Augustine Tran, the diocese’s most newly ordained priest, was introduced to the other priests.

With financial and construction issues a focus of the meeting, Bishop Loverde shared highlights of the diocese’s annual financial audit report for the fiscal year ended June 30, 2004, which showed an increase in diocesan assets due to the generosity of thousands of donors and a strong stock market.

"In short, it was a good year," Bishop Loverde said. "Such success will allow us to move forward with projects and programs to support the faithful of the Church in our diocese. The diocese is quite solvent and financially secure, but we must consistently practice good financial discipline to maintain such a position."

The "Rooted in Faith — Forward in Hope" Capital Campaign and the Bishop’s Lenten Appeal provided significant funding to the diocese and parishes during the past year.

William Kirst, appointed Chief Financial Officer of the Diocese in April 2004, gave a report on the rapid growth of the region attributable in part to the post-9/11 rebound of the Northern Virginia economy. Such economic growth has created a surge in the real estate and building construction markets which have benefited many, including some homeowners who have seen annual double-digit increases in the value of their homes.

In his report, Kirst outlined how such rapid growth over the past few years has dramatically driven up construction building costs (steel, copper, gypsum, concrete) by some 35 to 50 percent and more. In addition, there is a shortage of skilled labor and reliability of some subcontractors. Finally, the four hurricanes which recently hit Florida are creating an extraordinary demand for building labor and materials which will only further increase the cost of construction.

Kirst said the combination of these factors is driving up building prices at the same time the diocese is experiencing unprecedented construction growth. Such factors are now having a significant adverse affect on all capital construction projects underway in the diocese, as parishes are seeking to limit cost increases.

Kirst spoke of how fortunate the diocese is to be undergoing such growth, especially given that many dioceses and parishes around the country are currently facing the consolidation, clustering or closing of parishes.

To ensure that parish and diocesan projects are delivered on time and on budget, Kirst said there is now a clear and urgent need for additional diocesan construction management resources and tools, but it will take time to find and put them in place.

In light of this, Kirst announced the recent decision of Bishop Loverde, with the approval of the Diocesan Finance Council, to temporarily postpone — for six months or more — many of the new construction projects in the diocese. Such a decision is necessary, according to Kirst, if the diocese is to ensure its financial stewardship commitment to parishioners and donors.

Robert Mueller, director of Stewardship and Development for the Diocese, updated priests on the "Rooted in Faith — Forward in Hope" capital campaign and Bishop’s Lenten Appeal. Currently, over $46.3 million has been paid (or 41 percent) of the $115 million pledged by approximately 29,000 members of the diocese. Mueller also gave highlights about this year’s Bishop’s Lenten Appeal, which provides significant annual funding to ministries and programs that assist people in the diocese.

Plans for a new committee of priests were announced to identify and develop additional resources for priests and parishes in the area of stewardship education. Statistics were shared with the clergy concerning parish and diocesan stewardship programs, e.g., less than one percent of parishioners currently remember their parish in their will. It is hoped that this number may grow in the future as more parishioners are asked to reflect on the needs of the Church and consider a planned gift for their parish and or the diocese.

Copyright ©2004 Arlington Catholic Herald.  All rights reserved.


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