2024-2025 Annual Report

It is my pleasure to present to you the Annual Financial Report for the fiscal year ending June 30, 2025. Within these pages, you will find many numbers but those numbers tell a story. And the story is one of growth, generosity, responsibility, and stewardship.

First and foremost, the consolidated financial statements reflect the continued growth of our parish, school, and faith formation programs. We’ve seen increases in Mass attendance, school enrollment, and participation in faith formation. This is truly encouraging and it speaks to a vibrant parish community and the active movement of the Holy Spirit, especially in our Sunday liturgies.

This growth brings blessings: increased offertory giving and tuition revenue help us provide just wages to our staff and maintain our beautiful (and aging) facilities. But growth also brings new challenges. We’re beginning to feel the limitations of our current meeting spaces, and with more people come higher operating costs. These are signs of a healthy and active parish, but they require thoughtful planning and stewardship.

My second key takeaway is your generosity. The success of our recent capital campaign speaks volumes about your faith in Christ and your trust in the mission we are pursuing together. It tells me that we are moving in the right direction, guided by the Holy Spirit. Your support encourages us to do more.  We recognize the need for formative experiences where our adults can engage the faith more readily.  These discussions are ongoing and we plan to hire someone who is discipled, qualified, and motivated to help form us all the more into disciples of Jesus Christ.  

We must also address the reality of our aging facilities. Though our building is only thirty years old, we’re seeing the inevitable wear and tear. Over the coming year, we’ll need to take a closer look at our capital assets and prepare a long-term capital budget, with special attention to the HVAC system, heating/cooling units, the sound system in the church, and the concrete along the building. We’ll also need to consider some updates to the rectory, including paint, flooring, and safer bathroom fixtures like walk-in showers.

Finally, I am excited about the new school addition!  The planning and approval processes have taken longer than anticipated but we expect to see construction begin by mid-December with a completion date sometime in October of 2026.  This will allow us to reclaim our parish hall and utilize that space for parish events, gatherings, and formation experiences.  It will also provide our students with more adequate space for learning.  Thank you to everyone who continues to participate in the Stewardship for Saints and Scholars capital campaign!  

I would like to thank our Finance Council for their dedicated service - Gigi Matias (chair), Dave Maluchnik (vice-chair), Sue Jenkins (secretary), Jesse Lothamer, Joe Vermeesch, David Martell, and Todd Granger.  They are not only knowledgeable and dedicated, but more importantly are invested in the life of the parish.  I remain grateful to them for their service to me and the parish.  

I also want to thank Kimberly Keefe who is now responsible for the business and human resource affairs of the parish and school.  She is more than qualified for the position and will help bring more organization and standardization to our operations.  I am pleased that she has joined our staff.  

Now, for the nuts and bolts of the report… 

Income

Income related to church operations exceeded the budgeted amount by approximately $128,498 primarily due to continued increases in Sunday Mass attendance, increases in personal giving, and a successful Fall Fundraiser.  

I must make an important explanation about the budgeted amount for the ‘auction and other fundraising income.’ The budgeted number for the Fall Fundraiser (auction) was $132,492.  In addition to the Fall Fundraiser we budgeted an additional $100,000 for a spring cash raffle.  For various reasons we decided against moving ahead with the spring cash raffle.  It was going to be a heavy lift and required planning that exceeded our timing.  The Fall Fundraiser exceeded the budgeted amount by approximately $61,000 making it a successful event for the parish and school.

Income related to school operations exceeded the budget by approximately $85,249 primarily due to increased enrollment and generous contributions to the affordable tuition fund.  Increased enrollment explains the modest positive variance regarding the diocesan subsidy which is calculated on a per pupil basis.

Income related to pre-school and child care exceeded the budgeted amount by approximately $17,693 due to increased pre-school enrollment (which is now at capacity) and greater participation in after school care.  

Total Operational Income exceeded the budgeted amount by approximately $233,624.  

We typically do not budget for Non-Operational Income.  As you can see, however, we recorded $511,224 in Non-Operational Income primarily for the following: 

• $373,892 related to collections of funds from the Stewardship for Saints and Scholars Capital Campaign.  

• $74,089 related to insurance proceeds for the organ replacement. 

• $16,000 related to a generous donation for capital improvements.

• The remaining amounts relate to investment and interest income.  

Expenses

Due to good stewardship and budgetary controls, expenses related to church operations, faith formation, youth ministry, pre-school and child care, and diocesan assessments came in under budget.  

Expenses related to school operations exceeded the budgeted amount by approximately $39,097 under the facility and plant line item.  This, however, is a bit misleading because this variance relates to insurance premiums we were recording 100% to the church.  After careful thought and discussion amongst the Finance Council and diocesan leadership, we decided to record the insurance premiums 50/50 between the church and school.  In doing so, the financial statements will more accurately reflect the operational costs of both the church and school.  When we created the annual budget, we did not include a line item within the school for insurance premiums.  This will be rectified next fiscal year as we will continue splitting the insurance premiums between the church and school.     

Total Operational Expenses came in approximately $42,182 under budget again, due to good stewardship and budgetary controls.

Non-Operational Expenses came in over budget by approximately $207,472.  We extended the Stewardship for Saints and Scholars capital campaign by an additional month to help us reach our goal thereby adding additional administrative costs.  We also incurred a number of capital projects: 

• Completion of the safety and security upgrades to the building. 

• A leak in the rectory roof led to a full roof replacement.  This project cascaded into a complete redecking of the roof because it was not up to code and the roofer would not warranty the work unless it was done.  

• Parking lot resurfacing and crack sealing to prolong the useful life of the asset. 

• Funds paid in advance of full insurance proceeds to cover the cost of the organ replacement.  

• Beginning architectural work on the new school classrooms.

At the end of fiscal year ending June 30, 2025 we report net operational income of $281,634. 

At the end of fiscal year ending June 30, 2025 we report net consolidated (including non-operational income and expenses) income of $386,728.  

You will note that we submitted a negative budget for fiscal year 2024-2025.  For those parishes who decided to conduct a combined capital campaign in addition to the diocesan Stewardship for Saints and Scholars capital campaign, the diocese allowed a one-time negative annual budget to take into consideration the increased costs of hiring the campaign manager as required by the diocesan campaign policies but likely not included in parish budget planning.   

Our balance sheet remains strong.  My number one concern is always cash flow.  Poor cash management will ruin any business - even businesses with strong balance sheets.  We have done a tremendous job managing cash flow so as to not spend from the general savings account.  Our cash position is strong with nearly $400,000 available for operations.  Both restricted and unrestricted investments total nearly $2.5 million.  Liabilities remain under control with the majority of accounts payable related to payroll and insurance accruals and pre-paid school tuition.

It is a pleasure serving at St. Martha Parish and I am excited for what the Lord has in store for us in the year ahead!

Know of my prayers for you all! 

Fr. Ryan