Archdiocese Spent $8.8m on Clergy Misconduct; Deficit: $3.8m

By Jean Hopfensperger
Star Tribune
February 13, 2014

http://www.startribune.com/local/245384491.html

For the first time, the Archdiocese of St. Paul-Minneapolis released a detailed financial audit report to the public Thursday, saying it was a move to “improve transparency and accountability” in the wake of growing allegations of child abuse by its clergy.

The report said the archdiocese spent $8.8 million over the past decade on costs related to clergy misconduct. That does not include settlements and other payments made by the archdiocese’s insurance company, the report said.

The archdiocese spent more than $6.2 million on cases involving misconduct with minors, assisting the victim and abuser, the report said. That includes $2.3 million for legal settlements, $1.8 million for victim support such as counseling and therapy, and $566,000 in legal fees.

Priests who committed the abuse received another $1.5 million during this period for their living expenses, the report said.

In addition, the archdiocese spent $2.6 million over the past decade on priest misconduct that didn’t involve children. That includes inappropriate behavior with adults, alcohol and gambling addictions.

The biggest share — $1.7 million — paid for the living expenses of the problem priests. Another $519,000 was used for victim support services, the audit said, and $209,000 for legal services. The archdiocese said it is required under church law to care for priests who have been removed from the ministry.

The archdiocese has been criticized for failing to disclose how much money it has spent on child abuse cases, in particular how much it has paid to the priest abusers. In recent months it has been rocked by lawsuits and complaints, resulting in the departure of key archdiocesan officials.

Bishop Lee Piche issued a statement that said, “We are taking these steps because they are the right thing to do — because they protect the young and vulnerable, care for victims of abuse, and restore trust among the laity as well as our clergy who are serving honorably.”

$3.9 million deficit

The audit shows a $3.9 million deficit. But Thomas Mertens, chief financial officer for the archdiocese, concluded that as of June 30, “the financial condition of the archdiocese is solid,” even with the liability stemming from the recent wave of lawsuits claiming clergy child sexual abuse.