What should be is simple. Any claims should be turned over to civil authorities as the law states. These are crimes.
Settling the case and putting the priest back out to prey on other children is not the answer, that in itself is a crime.
As I am not a Catholic, I don't follow this issue that closely. A lot of the media coverage focus would leave us believing that all aspects of Religion are bad, so I hesitate to assume their focus on this issue in the past decades is indicative or an increase versus a decline.
It is certainly apparent that this Bishop, in this locale, has done a very poor job in this regard.
Anyone, however, that doesn't understand that pedophiles and gays seeking initiation don't gravitate to all places in society where they come into contact with children while they are in a role of authority, doesn't understand those fallen people. It is my opinion that even prior to acting out their evil, that predispostion with implant them in the position to promote their crimes. ALL institutions need to beware, not just churches or boy scout troops.