Catholic Church Exhibiting Encouraging Signs of Financial Accountability
Portland, Oregon ----- A greater spirit of stewardship in the Catholic church has resulted in new and encouraging signs of financial accountability declared Dr. Francis J. Butler, FADICA's President, speaking October 6th before the National Association of Attorneys General and National Association of State Charity Officials. The joint assembly of the state legal officers met to share views on the adequacy of charitable solicitation laws and public accountability of religious charities.
Dr. Butler singled out the U.S. bishops pastoral letter, Stewardship: A Disciples Response, issued in 1992 as "the principle pastoral framework of the Catholic church in the United States as it seeks to improve Catholic giving and volunteering."
Also speaking before the audience of over one hundred state and federal officials were Paul D. Nelson, President of the Evangelical Council for Financial Responsibility, Harriet Bograd, a board director for the West End Synagogue of New York City, and Lt. Col. Tom Jones, National Secretary for the Salvation Army, among others. David Ormstedt, Assistant Attorney General of Connecticut moderated the program.
Among other positive influences in Catholic fund raising, Dr. Butler told the assembly were: new Canonical provisions requiring parish financial councils and guideline documents published by the United States Catholic Conference entitled, Diocesan Internal Controls: A Framework. Dr. Butler also reported that the majority of Catholic dioceses were now publishing audited financial reports in their diocesan newspapers.
The work and professionalism of Catholic associations like the National Catholic Stewardship Council, the National Catholic Development Council, NATRI, and the Diocesan Fiscal Managers Association were signs Dr. Butler said: "that the church at the leadership level takes the issue of financial accountability seriously."
"There is still a way to go", the FADICA President declared. Recounting a 1995 Symposium on Diocesan Finances, Mr. Butler said Catholic donors heard cases of financial improprieties within a few Catholic dioceses that "illustrate how a lack of internal control in an environment of trust can be a dangerous combination," he said.
"As an observer of Catholic organizations, it is my clear impression that church-sponsored charities suffer far less than business does from white-collar crime," Dr. Butler stated. "But when financial crises arise in Catholic entities, their impact is far more devastating because the trust level is so exceedingly high."
Dr. Butler said that state governments should help their citizens become informed, pro-active givers. "The conscientious participation of donors in the charities they support is the most effective preventative medicine for the maladies that have arisen in the past," he said. Among the services Dr. Butler suggested that state agencies could provide were periodic seminars for volunteers, offering technical assistance on the handling of donations, and showing where to obtain background information on charities.
Dr. Butler advocated connecting citizens to charitable monitoring organizations, encouraging private collaboration of nonprofit groups in the development of accountability standards, and the creation of more donor affinity groups among other measures."
What is needed are new partnerships and cooperative ventures aimed to create the most informed and involved generation of donors ever," Dr. Butler said.
FADICA is a consortium of private foundations created in 1976. It functions as a resource tracking long-term trends in religious philanthropy and providing educational forums where major donors discuss church needs.
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