1. D IOCESAN F INANCE U PDATE Diocese of St. Petersburg January 15, 2014

2. M SGR. R OBERT M ORRIS V ICAR G ENERAL O PENING R EMARKS

3. Nancy Ridenour Chair, Diocesan Finance Council Tonight’s Agenda:  Summary of Audited Financial Statements  Update on Forward in Faith  Connect Now Implementation  Standardized Chart of Accounts

4. Audited Combined Financial Statements Represent the following combined entities:  Pastoral Center Operations/Spirit FM  Bethany Retreat Center  Diocesan Savings and Loan  Diocesan Insurance Trust  Calvary Catholic Cemetery Funds  Emmaus Foundation d/b/a Catholic Foundation  Endowment funds

5. Audited Financial Statements and this presentation are available online at www.dosp.org by clicking on: Offices Finance Then Annual Audits or Annual Financial Updates www.dosp.org

6. Combined Statement of Financial Position ($000) 6/30/20146/30/2013 Assets: Cash $ 5,592 $ 834 Investments Held in Trust 116,730 100,600 Receivables 22,851 24,385 Land, Buildings, and Equipment, Net 36,710 38,759 Other Assets 2,141 2,446 Total Assets $ 184,024 $ 167,024 Liabilities: Payables $ 3,826 $ 6,682 Bank Debt 8,169 8,720 Deposits Held in Trust 87,188 79,999 Reserves for Insurance Claims 3,974 4,165 Total Liabilities 103,158 99,566 Net Assets: Unrestricted 59,723 47,826 Temporarily Restricted 10,186 9,791 Permanently Restricted 10,958 9,841 Total Net Assets 80,867 67,458 Total Liabilities and Net Assets $ 184,024 $ 167,024

7. Combined Results of Operations ($000) Year Ended 6/30/20146/30/2013 Annual Pastoral Appeal & School Assessments $ 12,814 $ 13,209 Contributions and Bequests 2,153 878 Insurance Premium Revenue 22,816 21,593 Earnings on Investments & Loans 12,820 8,112 Fees, Sales, and Program Revenues 5,221 5,101 Gain on Sale of Land 3,156 155 Total Support and Revenue 58,980 49,048 Ministry Expenses (Incl. Cathedral of $260 & $1,280) 8,950 9,844 Catholic Formation & Education 3,974 4,494 Social Services 1,109 1,055 Clergy Development 2,450 2,180 Parochial Services 1,041 1,081 Insurance Programs 24,305 22,957 Other Program Services 2,147 2,956 Total Program Services 43,976 44,567 Diocesan Administration 1,595 1,464 Total Expenses 45,571 46,031 Change in Net Assets $ 13,409 $ 3,017

8. Diocesan Savings & Loan Results of Operations ($000) Year Ended 6/30/20146/30/2013 Investment Income (15.9% & 10.3%) $ 10,523 $ 6,341 Interest Received on Loans 760 733 Total Support and Revenue 11,283 7,074 Interest Paid on Deposits 1,315 1,213 Interest Paid on Bank Debt 124 75 Operating Expenses 496 463 Provision for Loan Losses (724) 329 Total Program Services Costs 1,211 2,080 Change in Net Assets 10,072 4,994 Net Assets, Beginning of Year 5,801 807 Net Assets, End of Year $ 15,873 $ 5,801

9. Diocesan Insurance & Benefits Trust Results of Operations ($000) Year Ended 6/30/20146/30/2013 Insurance Premium Revenue $ 24,762 $ 23,337 Investment Income 191 174 Total Support and Revenue 24,953 23,511 Insurance Claims Expense 17,077 15,725 Insurance Premium Expense 4,798 4,877 Other Operating Expenses 2,038 2,081 Provision for Doubtful Accounts 178 354 Total Program Services Costs 24,091 23,037 Change in Net Assets 862 474 Net Assets, Beginning of Year 9,248 8,774 Net Assets, End of Year $ 10,110 $ 9,248

10. CAMPAIGN UPDATE Phil Signore Executive Director, Finance

11. CAMPAIGN UPDATE

12. Thanks to the generous donations received to date…

13. CAMPAIGN UPDATE

16. Peachtree Other

17. Parish Revenues 4000’s Church Expenditures 5000’s Rectory Expenditures 6000’s Parish Expenditures 7000’s Revenue and Expenses are “grouped” into “CATEGORIES” defined by Functional Account Codes

18. Church Expenditures Salaries, Utilities, Repairs & Maintenance Parish ExpendituresRectory Expenditures Salaries, Utilities, Repairs & Maintenance A unique account code is needed for like expenses that occur in each of these 3 areas.

20. School Revenues 4000’s Instructional Costs 5000’s Administration Costs 6000’s Plant Costs 7000’s Revenue and Expenses are “grouped” into “CATEGORIES” defined by Functional Account Codes

21. Good Chart Keep it Simple Management Tool StandardizeOrganize

22. Organized Structure Standardized Functional Accounts to define specific types of expense Cost Centers define areas of responsibilities and provide better Management Tools Categories group ranges of Cost Centers for Simple reporting The New Chart of Accounts

23. Entity XX Category XX Cost Center XX Functional Account XXXX Sub Account XX New Account Code Structure XX-XX-XX-XXXX-XX Organization Type Ranges of Cost Centers Areas of Responsibilities Types of Revenues and Expenses Optional to break out larger accounts for better tracking and detail

24.  Categories: A Range of Cost Centers  Cost Centers: Areas of Responsibility

25. Parish Offertory Revenue Other Operating Revenue Program Revenue Supplemental Operations Revenue REVENUE

26. EXPENSE Parish Pastoral Leadership Liturgy Faith Formation Charity & Outreach APA Assessment School Support Other Ministries & Organizations Administration Facilities Supplemental Operations

27. School Tuition & Fees Other Operating Revenue Program Revenue Supplemental Operations Revenue REVENUE

28. EXPENSE School Charity & Outreach School Support ECC/VPKInstructionalAthletics Other Organizations & Ministries AdministrationFacilities Supplemental Operations

29. One Cost Center is used for Each Category Multiple Cost Centers are used for Each Category

30. Faith Formation 12 Religious Education RCIA Adult Faith Formation Multicul tural Faith Formatio n Vacatio n Bible School (VBS) Young Adult Ministr y (YAM) Youth Ministry (YM) Middle School Ministry (MSM) 1011121314151617 Charity & Outreach 13 Outreach Ministry PastoralCa re Prison Ministr y 181920 APA Assessment 14 APA Assessment 97 School Support 15 School Support 98 Facilities/PPE 32 Facilities General Administration Building Auxiliary Building Chapel Church Building Convent Education/ Classrooms Maintenance Building Parish Center Building Rectory Building Youth Center/Gym 3031323334353637383940 Pastoral Leadership 10 Clergy & Religious Rectory 0102 Liturgy & Worship 11 WorshipMusic 0304 Other Ministries & Organizations 23 Other Ministries Child Care Ministry Social Ministry Auxiliary Organizations 21222324

31. Supplemental Operations 34 Thrift Store Religious Article/Book Store Rental Operations Major Fundraisers 93949596

36. Standardize Structure, Functional Accounts & Sub Accounts Entities track different data Use different methods Offertory, tuition, wages Alternative methods & Custom Solutions (“Projects”)

37.  Those that want less do not have to be Burdened with sub accounts they will not use  The New Chart of Accounts is designed with flexibility.  Those that want more do not have to make do with a simple Chart of Accounts

38.  Mapping sessions - March 24,25,26 & April 21,22,23  Connect Now “Hands on” Training - April 28,29,30 with more to be scheduled during May & June  Data conversion:  Connect Now users – Convert as soon as mapping is complete  PDS and other users – JE’s for Beginning Balances & summary activity  All parishes and parochial schools go live by July 1 Implementation Timeline

39.  Non Connect Now users to provide an electronic back up of year to date data for FYE 6/30/15 from present accounting system. Data will be stored at the Pastoral Center.  Connect Now users data is backed up daily in the cloud by ParishSoft.

41. Your COA Team: Espiritu Santo ParishTom Heironimus Incarnation Parish Paul Hunter Light of Christ Parish & ECC Pat Brunette Most Holy Redeemer Parish Alice Murray Nativity Parish & SchoolRob Martin St. Brendan ParishKelly Bujaski St. Anne Parish - Ruskin Diana Coker St. Cecelia Parish Peggy Rhodes St. Cecelia Inter-parochial School Angela Peterson St. Ignatius Parish & SchoolRon Appel St. Joseph Parish – ZephyrhillsTheresa Miner St. Michael Parish - Hudson Pat Hennessy St. Stephen Parish Bonnie Dittbenner St. Stephen School Bonnie Rose St. Timothy ParishJulie Acker Pastoral CenterJanice Dooly

42. Q UESTIONS ?

43.  Tonight’s presentation is available online at www.dosp.org by clicking on: Offices Finance www.dosp.org Annual Finance Update 4/16/15 quick link