Making cents out of parishioners’ generosity
Accountability, confidence sum total of streamlined financial review processes

By Andrew Junker, The Catholic Sun
July 5, 2007

The Phoenix Diocese’s ongoing effort to promote parish financial accountability is going well, said Cynthia Tessmer, the diocesan parish financial liaison.

The comprehensive program — which includes tri-annual financial reviews for each parish and educational opportunities for pastors, parish financial council volunteers, and staff — was implemented nearly two years ago based on the recommendations of a diocesan task force.

In the 2006 fiscal year, 33 parishes, schools or missions underwent a financial review. That number increased to 40 this past year and Tessmer anticipates 41 financial reviews will be completed in the months to come.

The financial reviews are conducted by contracted accounting firms or individual accountants. These skilled professionals bring an objective viewpoint to the process while working as an extension of the Diocesan Pastoral Center staff, she said.

The reviewers look at the financial management practices in each parish, then meet with the pastor, finance council, and parish staff offering their findings and recommendations. 

Peggy D’Angelo, parish manager for St. John Vianney in Goodyear, underwent a financial review two years ago. The whole process took about a month with four or five actual visits to the parish by the reviewers.

She said the review helped streamline St. John Vianney’s financial process and offered tips on how to be more efficient and diligent.

“We have so much going on out here,” she explained. “It’s hard with such a small staff.”

D’Angelo listed the parish’s elementary school, outreach center, foster home and Salesian sisters as components to the large parish.

“When you’ve got so much going on, you try to keep up, all with a skeleton crew — we’ve got three people in this office,” she said. 

The good news is that a local CPA and dedicated finance council volunteers, together with the pastor and parish staff, support St. John Vianney’s continued efforts for responsible stewardship, Tessmer said.

 St. John Vianney is hardly alone in its situation. Many parishes rely on few workers and volunteers to keep their finances in order. That’s where the other facet of the diocesan program comes in: education and support.

Tessmer said the diocese hosts three yearly finance forums to help parish staff better understand their roles and responsibilities.  In addition, educational opportunities and financial updates are offered to pastors and finance council members. 

“There many beautiful mysteries in our Church,” Tessmer said. “How we handle our money isn’t one of them.  Education and communication are critical to responsible financial management.” 

This past year, more than 100 people attended each of the sessions held in four locations throughout the diocese, which she described as training and networking sessions designed for parish staff and financial council volunteers.

Acknowledging the importance of additional management resources and educational opportunities benefiting parishes, she said that more are planned for the future.

Supporting pastors and parish finance councils was a main goal of the new policies, said Larry Shima, a consultant to the diocese.

He was one of the members of the original Task Force on Parish Accountability that Bishop Thomas J. Olmsted formed in 2004, and has also worked on implementing task force recommendations.

Shima noted that parish finance councils are advisory groups required by canon law to support the pastor in his financial decision-making for the parish. 

He described some of their duties as reviewing parish financial statements either monthly or quarterly, regularly looking at the parish’s financial statements, and approving the parish’s annual budget.

“They’re involved in all financial aspects of the parish,” he said.

Finding active and qualified members to serve on a finance council can be difficult, Shima said, but it is critical not only for the success of the council itself, but also for fostering communication with others involved in parish finance.

“Having people on the finance council with an accounting degree helps because then the parish finance staff can get advice from within on technical accounting issues,” he explained.

The diocese is also supporting uniform record keeping in all parishes, which also helps communication, D’Angelo said.

“Now the different parish managers get together in our own little forums to help each other out,” she said. “That has been a huge help.”

The response to the new policies by the parishes has been welcoming and appreciative, Shima said, and nearly everyone involved has been willing to recognize that “parish accountability is significantly important in our overall stewardship.”

“That’s the ultimate objective,” he said. “That [parishioners] are confident that the funds they provide are properly maintained and spent.”