Buffalo, N.Y. (WBEN) - Catholic Charities of Buffalo insists that donations collected as part of their annual Appeal will not be used to pay for the Buffalo Diocese's $150 million clergy abuse settlement.
Deacon Steve Schumer, president and CEO of Catholic Charities says they have always maintained that the organization is a separate and distinct entity from the Diocese.
He says the Board of Trustees is considering options for how to address the five lawsuits that have named Catholic Charities as defendants. One option is to litigate them directly, while another is settling with the claimants directly. Or, joining with the Diocese and participating in the settlement fund.
He says the last option is attractive, because it brings immunity from any other claims from the past if the state were to re-open the window for sex abuse victims.
"If we decide to proceed in that direction, any funds to settle these matters would come from our unrestricted reserves, not from the annual Appeal," Schumer said during an appearance with WBEN on Tuesday. "All proceeds from the annual appeal will be used to provide services in our community in Western New York."
Schumer adds that is the message they have been trying to get out into the community.
With less than two weeks to go in the current Appeal, which ends June 30, Catholic Charities is more than $1 million short of the $8.5 million goal. He fears that a lot of donors are mistakenly assuming their donations are going to settle legal claims.
"That is not the case," Schumer reiterated. "Every dime that we raise is going to be used to provide services to the community. If we fall short, and it appears we may, that means we will be be serving fewer people, which is very sad."
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If the Board of Trustees decides to join the settlement fund, the money would come from unrestricted reserves. That balance is in the neighborhood of $15-to-$18 million. That fund is mostly from investments and any real estate property sales.
The reserves are essentially an emergency fund. They have tapped it before for operating budget gaps, but not for Appeal shortfalls.
Schumer, in part, blames confusion over the direction of the church for the shortfall in the Appeal.
"Confusion and sentiment around the Diocese is having an impact. It's difficult to put our finger on exactly what is causing donations to decline," he said.