Dear Friends of the Diocese of Lincoln,
It is my privilege to present this financial report which provides an overview of the faithful and prudent use of funds that have been received by the Diocese of Lincoln for fiscal year 2019-2020. It is my hope that this report provides you with an understanding of the sources and uses of the funds entrusted to the Diocese of Lincoln and how those funds are used to make a positive impact on our community in southern Nebraska.
The summary of the financial status of The Catholic Bishop of Lincoln is limited to the activities of the Chancery of the Diocese. The summary is derived from the audited financial statements and does not include the activities of parishes, missions, schools, the Diocesan Investment and Loan Trust Fund, or other related entities.
These financials, which cover the time period from July 1, 2019 to June 30, 2020, do not reflect the impact of the coronavirus pandemic. It is clear that our parishes, schools, and diocesan ministries have all been impacted by the COVID-19 global pandemic. We are thankful for the generous parishioners that provided resources to their parishes, schools and the diocese, even as Masses were suspended and state and local coronavirus restrictions took hold. The Chancery, along with many of our Catholic institutions, received additional resources from early federal stimulus through Paycheck Protection Program loans helping us weather the financial storm. Forty-five of our parishes, schools, and institutions received funding for 10 weeks of payroll, a major blessing.
We are continually thankful for all of the faithful of our diocese for their support during these uncertain and unprecedented times. Without question the pandemic will continue to impact the financial health of our Catholic institutions in the months ahead. Our two diocesan wide appeals, The Charity and Stewardship Appeal and The Bishop’s Appeal for Vocations have both seen decreased participation and pledges are down about 17% from the previous year. Even so, we remain encouraged by all the good we have seen in our communities across southern Nebraska and we continue to put our hope in Christ.
Sincerely,
Tracy Lockwood
Chief Financial Officer
Chancery Fiscal Year 2020 results and 2021 budget
Every year the Chancery goes through a detailed budgeting effort with the goal of budgeting at a break-even or better operation. For fiscal year 2019-2020 we were within a narrow margin of our break-even operating budget of $7 million in expenses. The overall decrease in net assets is mostly due to the distribution of Joy of the Gospel proceeds and other gifts that were collected in previous periods and utilized in the current year. Our budget for 2020-2021 is mostly consistent with the 2019-2020 budget with the exception of the change in the funding for the Educational Technology department. The Educational Technology department provides standardized, current technology to diocesan schools. In the past, this department was funded by a private foundation which is now winding down its contribution and beginning with the 2020-2021 school year is now being funded through an assessment to the supported institutions. The cost of operating the Educational Technology department is approximately $2,000,000 per year and will be fully funded by an assessment by the school year 2022-2023.
The charts below represent the budget for the Chancery excluding the programs for property and health insurance and the St. John Vianney program.
