A letter from Fr. Sojan, Rector of St. Patrick Cathedral:
Dear Parishioners of St. Patrick Cathedral,
In August 2016, I presented to the community a financial report of the parish as of June 30, 2016. Our finances were in really bad shape. We were spending more than we were bringing in, which resulted in $486,000.00 debt in our operating expenses from 2012-2016. Our first priority was to balance the budget and make sure that we were not spending more than we were bringing in. We made some necessary cuts in our budget to balance it. In the past 18 months we have tried to be frugal with our spending and in addition to paying all our bills we have been able to pay off our operating expenses debt. We were also able to add $100,000.00 to our savings as an emergency contingency fund.
In addition to our operating debt we had nearly 2.2 million in capital asset debt. These debts were from our Pastoral center, Parish Rectory, Street scape project and from the acquisition of the Dollar property (Property between the Pastoral center and the Religious Formation building purchased from Mr & Mrs Dollar).
Below was the capital asset debt as of June 30, 2016:
$213,375.53 (Principal) + $12,303.80 (Interest) = $225,679.33
$964,868.71 + $15,612.27 = $980,480.98
$443,571.00 + $23,266.23 = $466,837.99
$500,000.00 + $26,266.04 = $526,266.04
The total capital asset debt with the interest totaled $2,199,264.34 as of June 30, 2016. Through the generosity of our parishioners and using our extra income we receive (from weddings, use of the parish hall, special contributions) we have been able to bring our pastoral center debt down to $274,410.87 plus $64,689.88 in interest. We have still a long way to go to pay off our debt. As always, I sincerely appreciate the time, talent and treasures of many people who have contributed to building our parish community throughout the years.
Below is the current status of our debt as of December 31, 2017:
$213,727.53 (principal) + $25,952.49 (Interest) = $239,680.02
$274,410.87 + $64,689.88 = $339,100.75
$443,571.00 + $51,594.02 = $495,165.02
$500,000.00 + $58,157.59 = $558,157.59
Our total remaining debt is $1,632,103.38 of which $200,393.98 is the accumulated interest in the last three years. We have to pay 4.5% interest for the loan until we pay this off. We need to increase our effort to reduce our debt. Our generous parishioners have always responded whenever the parish is in need. Beginning this month (Jan.2018) we will undertake this debt reduction campaign known as “Paid in Full- Free to continue the mission”. This will be done through a special monthly second collection for the next three years (36 months). This collection will take the place of the ‘building fund collection’.
We humbly ask that you become part of this important effort to reduce our debt by making a financial pledge for the next 36 months through this special second collection. Please prayerfully consider making a donation of 2-3 % of your income for the next three years. I realize that some of you are in a position to give more while some may not. Rest assured any contribution is greatly appreciated. Your sacrifice will help our parish to continue the programs we currently have and to even expand them. We have made some simple pledge cards available for you to make a pledge.
Please pray and consider how God is calling you to partner with other members of our parish family to reduce our debt and retire our mortgage. Our first monthly debt reduction collection will be taken up on January 21. Please return your pledge card that day. May equal sacrifice, not equal giving, unite and guide us in this effort. Thank you in advance for your unending charitable commitment to St. Patrick Cathedral.