St. Paul School First Casualty of Settlement, by Esteban Parra, News Journal, February 10, 2011

St. Paul School First Casualty of Settlement

By Esteban Parra
News Journal
February 10, 2011

http://www.delawareonline.com/article/20110208/NEWS/102080311/St-Paul-School-first-casualty-of-settlement-?odyssey=tab%7Cmostpopular%7Ctext%7CFRONTPAGE

Teachers Lori McGowan (left) and Jennifer Markle (upper right) supervise pupils leaving St. Paul School on Monday afternoon. Seventh-grader Bria Foster holds on to her sister Jasmine Dennis, a kindergartner, while seventh-grader Jose Maldonado (above) makes a point and kindergartner Yaline Colon (right) looks on.

St. Paul School in Wilmington will close at the end of the academic year -- one of the first ministries to be affected by the $77.4 million settlement reached last week between the Roman Catholic Diocese of Wilmington and survivors of priest abuse.

"It's very sad because the school has a 125-year history ... and a school like St. Paul is especially needed here in our neighborhood because it does provide a safe environment," said the Rev. Todd Carpenter, pastor of St. Paul Parish. "Unfortunately, declining enrollments, changing demographics and the current diocesan bankruptcy have challenged the ability of the parish to fund Saint Paul School."

Enrollment at the prekindergarten-through-eighth-grade school at 312 N. Van Buren St. has dwindled to 128 students this year. The school also was expected to lose $400,000 in support it relies on every year from the Catholic Diocese Foundation. The foundation, which was started in 1928 through a donation from John J. Raskob, is being liquidated to help pay the settlement between the diocese and survivors of priest abuse.

That money made up about 40 percent of the school's budget.

"I had a sense the school was not going to get that money," Carpenter said. "But when the settlement was announced on Jan. 10, that's when I knew for sure ... and I knew that that's it for us."

Diocese officials released an amended bankruptcy plan in January saying survivors of priest sexual abuse could get an average settlement of $750,000 to $3 million. The settlement was not reached, however, until Wednesday, setting aside $77,425,000 in a trust to pay survivor claims, along with a number of nonmonetary conditions, including the release of files related to abusive priests.

Thomas S. Neuberger, who represents the majority of the approximately 150 plaintiffs with claims against either the diocese or one of its parishes, said it was shameful the diocese was faulting those abused by priests for the closure. He said the diocese has other funds it could have used to subsidize the school.

"Quit blaming the survivors for the mismanagement of the diocese," Neuberger said.

While there are other funds, that money is restricted for other uses, diocese attorney Tony Flynn said.

"Believe me, if there was money elsewhere to tap to save St. Paul School, it would have been tapped," Flynn said.

Bob Krebs, a diocesan spokesman, declined to comment other than to say parish officials were spoken to last week about the decision to close the school.

Parents were informed Thursday.

"I wasn't surprised," said Margarita Colon, who was picking up one of her two granddaughters who attend the school Monday afternoon. "But I was sad. The school has given this community so many years of service.

"This has been a privilege for the Hispanic community to have our children educated in this school. They've done a great job all these years."

Twelve-year-old David Fierro and 13-year-old Manny Villalobos stood outside the school talking to each other Monday. Both said it was a bit sad their school was closing.

"I've been coming here all my life," said David, a sixth-grader. "It's just really sad."

"There was a rumor that it was closing down," said Manny, a seventh-grader. "I'm kind of all right now. We found out last week, so I'm kind of used to it."

St. Paul's students will be able to attend Our Lady of Fatima School, at 801 N. Du Pont Highway near New Castle. Both St. Paul's parish -- staffed by Franciscan friars -- and Our Lady of Fatima serve largely Hispanic parishioners.

Tuition for St. Paul's students who transfer to Our Lady of Fatima will remain at $2,800 for the next three years, officials said.

"We have in place a great opportunity for our students at Our Lady of Fatima," St. Paul Principal Karen Patterson said. "We're going to be giving them the chance to still get a quality Catholic education in new building with a new staff, but it's still going to be a quality education we are able to offer here."

The diocese is trying to find jobs for the school's 20 employees.

"It's hard," Patterson said, adding she had two nephews graduate from the school, as well as a niece and nephew currently attending. "This is not just a school. This has been my home for 10 years and I've had family go through here, so it's like losing part of my family and my family is losing part of its family."

Contact Esteban Parra at 324-2299 or eparra@delawareonline.com.