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	Fairbanks Catholic Diocese Trying to Cut Costs By Mary Beth Smetzer Fairbanks News-Miner May 6, 2009 http://newsminer.com/news/2009/may/06/catholic-diocese-trying-cut-costs/ FAIRBANKS — Employees of the Fairbanks Catholic Diocese are taking a 20 percent salary reduction and the chancery — the diocesan office — is closing its doors each Monday in an effort to rein in costs. “Everybody from the bishop on down is taking a 20 percent pay cut,” said Robert Hannon, special assistant to the bishop. “We’re a pretty bare bones operation right now.” The required furlough for 32 chancery employees is a result of decreased interest income, a downturn in donations from the Lower 48 and additional expenses incurred from ongoing bankruptcy mediation. “We’re just trying to work as efficiently as possible and do what has to be done,” said Ronnie Rosenberg, human resources director and litigation coordinator. Previous to the pay cut, which started this week, the diocese cropped unnecessary expenses including its coffee service and custodial services, making employees responsible for cleaning their office spaces. “We’re trying to keep people’s health insurance intact,” Hannon said. “It’s a hardship for everybody.” Separate cutbacks will be made by employees in the diocese’s regional centers such as Galena and St. Marys. The sprawling diocese stretches south from the Alaska Range, north to the Arctic Ocean and west to the Bering Sea. “The salary cut does not affect parish employees,” Rosenberg said. Hannon said employees are taking the shortened work week in stride and some are offering to take more time off to reduce costs. The diocese declared Chapter 11 bankruptcy in March 2008 and spent a year working out a reorganization plan that was filed with the U.S. Federal Bankruptcy Court on April 2. The plan included mortgaging or selling church properties, fundraising and appeals to build a fund to pay the claims of almost 300 victims of sexual abuse. Mediation between the church and claimants is ongoing.
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