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Boston Archdiocese Cuts Benefits Of Sick, Retired Priests (poor financial planning)
wbur ^ | June 30, 2009 | MONICA BRADY-MYEROV

Posted on 07/01/2009 6:21:25 AM PDT by NYer

BOSTON — The Boston Archdiocese has admitted that, within two years, it won’t have the money to pay for the care and housing of its elderly and sick priests, unless major changes are made to those benefits.

An outside study says a combination of factors, including poor management, has brought the fund that supports retired priests to the brink of insolvency. As a result, starting Wednesday, retired and sick priests are having their benefits cut.

Joe D’Arrigo is a consultant hired by the archdiocese to put the clergy fund on sound footing. He said the fund was managed by priests with little financial experience who didn’t see the problem coming. “A combination of retiree health care, the housing costs and the increasing number of retiring priests over this last eight years or so just acted like a locomotive and the cost just overtook the fund,” he said.

An outside accounting firm concludes the fund was losing money because more priests are sick or retired, their benefits were increased in 2001 and the cost of health insurance has gone up. It says it found no evidence the funds were used to pay sexual abuse settlements, but it couldn’t state that conclusively because of the scope of the study.

The report also confirms that, for 17 years, the annual collections for priests’ retirement were diverted to the general fund. And nearly $16 million from the retirement fund was used to pay benefits to priests placed on administrative leave because they were accused of misconduct with a minor.

The diversion of funds is outrageous, said Peter Borre, chairman of the Council of Parishes, a group that supports lay Catholics fighting parish closings. “Taking $16 million directly out of a trust fund that is earmarked for the benefit of good serving priests who’ve retired in good order,” he said. “That, for many of us — for me and for thousands of Catholics in Boston — goes a bridge too far.”

Some of the $16 million went to third parties on behalf of priests, but it doesn’t say how much or who the third parties were. And the study says there were insufficient financial records to determine whether priests accused of misconduct were paid out of the clergy benefits funds before 2000.

Father Richard Erikson, vicar general of the archdiocese, defends the practice as something other organizations do. “Any priest who is on administrative leave for accusations of abuse, that priest is innocent until proven otherwise,” Erikson said. “While there are civil and canonical investigations, that priest is on paid leave.”

Now priests on administrative leave are supported by a separate fund with money from the sale of the church headquarters in Brighton. But the disclosure that so much money went from a fund devoted to retired priests upset Father Bill MacKenzie, who is on disability and works weekends at a parish in Amesbury.

“I think I’m rather outraged by exactly what happened,” MacKenzie said. “I think there are a lot of things the clergy fund was never intended to do, it was never intended to support priests on administrative leave.”

The result of the dire financial situation means the archdiocese is changing the way it pays for housing retired priests. Monsignor Dennis Sheehan, who was on the official committee that came up with the plan, said the changes ensure that there will be funds for retiring priests. “Before, everyone was dealt with in the most generous manner possible and there were no limitations put on the expenditure of money,” he said.

Now there will be a limit. The majority of the 275 retired or disabled priests live on their own, and their monthly stipend and housing allowance of about $1,900 doesn’t change. Those priests housed in assisted-living facilities will be encouraged to move into Regina Cleri, the priest retirement home in Boston.

Monsignor Sheehan said the plan will be phased in and no one will be forced to move immediately. The most radical change in payment comes for the 15 priests who live in long-term skilled nursing homes. They must now contribute their own funds or go on Medicaid. “We are simply coming into line with the practice of the Catholic church across the United States,” he said.

Sheehan said dioceses of comparable sizes already rely on Medicaid to pay for priests in nursing homes. But he understands that priests will be worried about the changes. “This kind of change brings apprehension and fear,” he said. “The only thing we can do is reassure no lack of place or resources for them to live on or no lack of medical care for them to live on. And no lack of adequate medical care for them.”

The new policy is unsettling to some priests, including Father MacKenzie, who doesn’t think his situation will change now, but he’s concerned about the future. “When they started this clergy fund, the priests were going to be taken care of — the priests would be taken care of from the day they were ordained until they died,” he said. “Now they are saying, ‘If you go to a nursing home, you’re on your own, you have to pay it yourself.’ ”

To shore up the retirement fund, the church has taken up an additional collection for retired priests with good results, and it’s planning a major fundraiser in the fall that celebrates the fact the Pope proclaimed 2009 the “Year for Priests.”



TOPICS: Catholic; Current Events; Ministry/Outreach
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1 posted on 07/01/2009 6:21:26 AM PDT by NYer
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To: Salvation; narses; SMEDLEYBUTLER; redhead; Notwithstanding; nickcarraway; Romulus; ...

This is very sad. These priests have given a lifetime of service to our Lord and now they are being slighted by profiteers.


2 posted on 07/01/2009 6:24:12 AM PDT by NYer ("Run from places of sin as from a plague." - St. John Climacus)
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To: NYer

Good heavens!

Sell off some relics!

Surely things are not important than human life ...

or

are things more imporatant than human life - even if it is an old person?


3 posted on 07/01/2009 6:24:34 AM PDT by nmh (Intelligent people recognize Intelligent Design (God).)
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To: NYer

How awful. Like the vets, we just do not take care of our own.


4 posted on 07/01/2009 6:26:21 AM PDT by Islaminaction
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To: NYer

Sad, true, but a preview of “Obiecare”.


5 posted on 07/01/2009 6:26:23 AM PDT by gov_bean_ counter (Barak Obama: Pontificator in Chief and Poster Child for the Peter Principle)
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To: NYer

If someone gives their life to an organization that has promised, and empirically delivered, care until death ... and then pulls the plug, must ultimately color that organization in the same hues we accuse socialized health care .... black and blue ... from the beating good intentioned people receive at the hands of thugs.


6 posted on 07/01/2009 6:28:15 AM PDT by knarf (I say things that are true ... I have no proof ... but they're true)
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To: nmh

Relics are rarely ever sold. I can’t think of the Church doing it any time in living memory.

Archdiocese of Boston has sold off a great deal of property to pay off abuse claims. Now it has little it can sell.


7 posted on 07/01/2009 6:31:07 AM PDT by vladimir998
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To: NYer

Exactly what’s in every American’s future if Obama has his way.


8 posted on 07/01/2009 6:35:24 AM PDT by MayflowerMadam
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To: vladimir998

Frankly relics are rather useless anyway ... .

I would only hope the LIVING, living human beings rate higher than some questionable relic that serves no real purpose. To cling to relics and let people die is a sin. Why bother to claim abortion is wrong when older people are denied proper care that will end their life? I smell materialist hypocrisy.


9 posted on 07/01/2009 6:35:24 AM PDT by nmh (Intelligent people recognize Intelligent Design (God).)
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To: NYer
This scenerio is like a carbon copy of the way the politicians are running our country.

By the end of the day - we'll all be in the same boat - especially, if the Obamanation health care plan is put in place.

10 posted on 07/01/2009 6:35:26 AM PDT by LADY J
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To: NYer

Just another example of the “punish the good people and reward the bad people” philosophy that rules modern society.


11 posted on 07/01/2009 6:36:44 AM PDT by Seruzawa (Obamalama lied, the republic died.)
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To: NYer

Apparently there are no last “rights” for retired priests.


12 posted on 07/01/2009 6:41:47 AM PDT by dblshot
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To: NYer

Platinum is about $1200 an ounce. The Vatican has an enormous cross made of pure platinum. Let them sell that, it will bring far more than $16 million.


13 posted on 07/01/2009 6:57:31 AM PDT by ikka (Brother, you asked for it!)
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To: nmh
You wrote:

“Frankly relics are rather useless anyway ... .”

Not to Christians they're not. To someone in need even St. Peter's shadow is useful.

“I would only hope the LIVING, living human beings rate higher than some questionable relic that serves no real purpose.”

I'm sorry but you seem clueless on this. 1) The relics DO SERVE A REAL PURPOSE. Every parish needs one for its altar for starters. 2) There's no indication that the archdiocese won't take care of its clergy. It's just going to have a hard time doing so. 3) Selling relics won't raise much money anyway. And once that money is gone it is gone for good and so are the relics - forever.

“To cling to relics and let people die is a sin.”

And where is that happening? Don't go all Liberal Exaggerator on me and start claiming people are dying in Boston because the Church isn't selling its relics. That's the sort of wacko claim only a liberal would make.

“Why bother to claim abortion is wrong when older people are denied proper care that will end their life?”

Again, where is that happening? Who is denying them care? Give me an explicit example. Can you post even one such example from the Boston Archdiocese? Even one?

“I smell materialist hypocrisy.”

What you smell may be what you left cooking on the stove while wasting your time post this anxiety ridden post of fantasies.

14 posted on 07/01/2009 7:26:05 AM PDT by vladimir998
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To: NYer; All
The report also confirms that, for 17 years, the annual collections for priests’ retirement were diverted to the general fund. And nearly $16 million from the retirement fund was used to pay benefits to priests placed on administrative leave because they were accused of misconduct with a minor.

Somebody needs to go to jail over that. And that person is the current Archpriest of the Basilica di Santa Maria Maggiore in Rome.

15 posted on 07/01/2009 7:27:41 AM PDT by markomalley (Extra Ecclesiam nulla salus)
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To: ikka

You wrote:

“Platinum is about $1200 an ounce. The Vatican has an enormous cross made of pure platinum. Let them sell that, it will bring far more than $16 million.”

The Church rarely if ever sells its treasures - most of which are donated by the faithful. The faithful do not donate them with the desire that they later be sold. In the past the Church has sold treasures to save Jews in WWII. It will do it in a crisis when lives are at stake. This is not that situation and this is not happening in Rome. Boston made it’s own mess and will be expected to get out of it on its own.


16 posted on 07/01/2009 7:28:17 AM PDT by vladimir998
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To: NYer
And if the church had put the kebosh of the abuse of children that was going on, they wouldn't have 1/2 the financial problems they have.

I can't work up too much sympathy.

17 posted on 07/01/2009 7:35:25 AM PDT by ex91B10 (The only response now is mass resistance.)
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To: NYer

...or is it that secular activists have exploited the pedophile priest scandal to wipe out the finances of the diocese?


18 posted on 07/01/2009 7:48:18 AM PDT by Buckeye McFrog
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To: ex91B10
And if the church had put the kebosh of the abuse of children that was going on, they wouldn't have 1/2 the financial problems they have.

The Catholic Church is the only church that has addressed this problem and enacted a program to prevent future recurrences. Nothing is being done about protestant ministers, Jewish rabbis, Islamic imams, public school educators, camp counselors or any of the others who continue to abuse children. How do you plan to address these?

Sexual Abuse of Children by Protestant Ministers

Sex Abuse by Teachers Said Worse Than Catholic Church

Long list of Jewish Child Molestor Rabbis gets no media coverage and Jewish homosexual pedophiles are undisturbed.

19 posted on 07/01/2009 7:56:37 AM PDT by NYer ("Run from places of sin as from a plague." - St. John Climacus)
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To: Buckeye McFrog
...or is it that secular activists have exploited the pedophile priest scandal to wipe out the finances of the diocese?

They are definitely culpable. One NYS legislator has introduced a bill to extend the time limit for reporting sexual abuse claims. The Catholic Church lobbied to have the bill include public school victims, as well. See my comment above.

20 posted on 07/01/2009 8:00:01 AM PDT by NYer ("Run from places of sin as from a plague." - St. John Climacus)
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