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 Annual Report

annual_report_cover.jpg A message from Bishop Edward C. Malesic

Dear Brothers and Sisters in Christ,

On November 13 of the past fiscal year, I formally closed the Extraordinary Jubilee of Mercy proclaimed by Pope Francis. This Year of Mercy was a unique time for us to contemplate God’s mercy in our lives and extend this Christ-like mercy to others.

I am grateful for the many ways in which the faith-filled people in all four counties of our diocese came together to be a more effective sign of God’s mercy in the world. Side-by-side, many people celebrated Masses and prayed together, engaged in corporal and spiritual works of mercy, and participated in service projects for our four diocesan-organized Days of Mercy.

In August 2016, many people in Connellsville were devastated by a flood.  Without fail, our people rallied to help those in need by joining with Catholic Charities to give assistance. A special collection coupled with amounts in reserve for disasters contributed more than $150,000 in aid, in addition to people volunteering their time on cleanup efforts.

I am pleased to report that we met our diocesan obligations, provided for the needs of the people throughout the diocese and ended our June 30, 2017, fiscal year with a surplus — for the fourth year in a row.

This annual report is based on the diocese’s audited financial statements and reflects the accounting and stewardship of the diocesan offices and its two junior-senior high schools. Catholic Charities, The Catholic Foundation, The Catholic Institute, parishes and our 11 regional elementary Catholic schools (which operate under separate Pennsylvania Charitable Trusts) produce separate reports.

Aligned with the requirements of canon law, our Diocesan Finance Council exists to give counsel to me regarding financial matters of the diocese. I am blessed to work with a highly competent council composed of skilled professionals with diverse financial expertise. We work together as responsible stewards of our diocesan assets while maintaining financial transparency.

The Statements of Financial Position outlined in this report indicate that the Pastoral Center has an Unrestricted net assets balance of $3.9 million. These funds help support all of our centralized administrative programs, which include faith formation, Catholic schools, priestly vocations, clergy formation, and corporal works of mercy such as hospital ministry and the work of Catholic Charities.

Our Self Insurance Fund has a healthy net asset balance of nearly $9 million, which covers the property and liability insurance claims for all parishes and Catholic schools, in addition to health care coverage for priests and lay employees in the diocese. This fund has absorbed a portion of the legal expenses incurred in providing data to the Pennsylvania Attorney General’s office in regard to the statewide diocesan Grand Jury investigation initiated in September 2016.

Additionally, as noted in the Statements of Activities, Legal and professional fees also have increased more than $300,000 this year as a result of this statewide Grand Jury investigation. These legal costs were allocated between the Pastoral Center operating budget and the Self Insurance Fund.

Greensburg Central Catholic Junior-Senior High School (GCC) and Geibel Catholic Junior-Senior High School (Geibel), our two diocesan-owned and operated schools, have a combined net asset deficit of $1.48 million. Geibel incurred debt in 2015 to strengthen its academic programs by upgrading infrastructure for the building and purchasing laptops for all teachers and students. GCC continues to carry an outstanding debt from the construction of the auxiliary gym, but it also incurred additional debt in 2015 for infrastructure and the 1:1 computing initiative. Both schools continue to provide an excellent education for its students, teaching Gospel values to be lived inside and outside the classroom and ministering to our youth.

The Statements of Activities reflects the operations of the Pastoral Center for the past 12 months ending June 30, 2017.  The Diocesan Lenten Appeal continues to support nearly 31 percent of these operations, while the diocesan assessment on parish income contributes 26 percent of our revenue. Both of these revenue streams resulted from the generosity of our people.

Investment income of $900,000 resulted from an improving economy as well as earnings distributed from our endowments, many of which were the direct result of our Today’s Challenge ~ Tomorrow’s Hope Capital and Endowment Campaign.

Faith Formation and Catholic Education expenses increased approximately $50,000 over the prior year primarily due to the allocation of more resources, such as tuition assistance, toward the lay ecclesial ministry program, which forms future lay leaders in parishes and schools. We continue to provide nearly $1.4 million, or 13 percent of our operating budget, to Corporal Works of Mercy.

The Office for Vocations, Clergy Development and International Priests expenses increased over the previous year, with a notable increase at Neumann House, which provides food, housing and care for our retired priests. Clergy Development costs also increased as we continued to provide continuing education and development for our active priests.

The Gospel of Matthew tells us that every blessing is meant to be tended with care and used to build up the kingdom of God. I am deeply appreciative of the many ways in which the faith-filled people of our diocese are generously sharing their blessings so that we may produce good fruit for God.

 Thank you for using your God-given gifts to help our Catholic Church continue to grow and thrive. I am blessed because of your goodness.

Yours in Christ,

The Most Reverend  Edward C. Malesic, JCL
Bishop of the Diocese of Greensburg

 View the full Annual Report, dated July 1, 2016 to June 30, 2017.

View past reports:

 July 1, 2015 to June 30, 2016
 July 1, 2014 to June 30, 2015
 July 1, 2013 to June 30, 2014