2007-2008 Financial Update by the Finance Council Each year we review with you the financial status of the parish. This year we completed the year with a $5,644 surplus. This is in contrast to the approximately $3,000 deficit reported the previous year.

Last September, as part of our Stewardship Month, the Finance Council asked for your help to increase our Sunday offerings. We are happy to report that the parishioners have generously responded to our plea. Our Sunday offerings this year were about $50,000 higher than in fiscal 2005/2006. Your generosity has again made it possible for us to continue to do the good work this parish community does through many of its ministries. Please take the time to review the accompanying financial report

We would have seen a greater surplus this year except for some unusual circumstances in the school budget. School revenue was $25,134 below budget and line items for school employee benefits (insurance, etc.) was $28,862 over budget. Just these two items would have had the parish realizing over a $50,000 surplus for the year. The problem with budgets is that they can never be exact. The Developmentally Handicap program in the school this past year was almost fully funded from parish money rather than its usual non-parish sources. This program has had a deficit for the last three years and will not be continued in the next fiscal year. The parish subsidy to the school this year was $547,676 which equates to 43% of our parish income. The school continues to be a major component of our parish finances.

In the past year we have depleted our cash reserves to pay for the new Heating & Air Conditioning system for the church. That $200,000 was saved from the profits of prior year Festivals, and Holiday Bonanza raffles. It had been saved over time for the project. We are now saving from those same sources to repair two portions of the school roof; a third section will be repaired when funds are available. For neither of these two projects have we had to borrow money. We are fortunate that we can use these funds to pay for our major building repairs. The parish has no significant savings. We live very much on a cash basis and depend on your generosity through the Festival, Bingo and Raffle and urge your continued support of these fund raisers.

We want to take this opportunity to thank everyone who financially supports our parish. As the Finance Council we work hard to use your gifts to the Lord responsibly for the good of the Church. Every dollar you give benefits the people of this parish and furthers the work of the Kingdom of God. We hope that you will continue to share your blessings in the Stewardship Commitment for the coming year. Thank you in the name of the Lord.

We also want to express our thanks to three retiring members of the Finance Council. Alan Maingot, Paul Nedderman and Anne Marie Wagner have completed their time with this group. Anne Marie is completing 14 years on the Council, the last few as Chairperson. We express our deepest thanks to all of them.

2006/07 Operating BudgetThe 2007/08 fiscal year which began on July 1, 2007 and runs until June 30, 2008 projects balanced revenues and expenditures of $3,710,850, an increase of 3.3% over last year's actual. The budget was compiled guided by the principles established by Pastoral Council:

1. Maintain funding for an Associate Pastor.

2. Restore funding for one Pastoral Associate.

3. Properly fund capital maintenance & improvement projects.

4. Increase funding for parish charitable outreach programs.

5. In order to hold down tuition rate increases, continue parish school subsidy.

6. Review the financial practices & finances of major parish organizations for correctness and inclusion into overall parish financial picture.

Gross School revenues are projected to be $2,051,290; $31,000 is allocated for financial hardship allowance. The school projection is based upon enrollment of 852 students (930 for 2006/07). The tuition rate for 2007/08 for one child is $2,495, an increase of $275 or 12.4% over last year. St. James tuition structure still remains in the lower half of Archdiocesan schools.

The total cost to educate a student at St. James is $3,369 per child, reflecting a gift of $874 per student from the parish. This year the school has established a kindergarten program which is set up to be self supporting. The revenue and expenses are not reflected in the attached budget.

For both school & parish, health care premiums have increased 5% per Archdiocesan uidelines. Both parish and school budgets remain salary intensive, although the parish and the school have eliminated positions for the next fiscal year.

There are no Bingo, Holiday Bonanza or Festival proceeds incorporated in the operating budget. These are used for capital improvements for the church and school.

The final budget consists of direct cost for the school at approximately 63% of the budget with the parish and maintenance absorbing the other 37%.