Stewardship

Facing Challenges with Grace

Fiscal 2020 Congregational financial results were slightly positive, despite the impact of the COVID-19 pandemic on expenses and the investment markets. Investment returns were in the 2-3 percent range, significantly less than the last four years which have averaged about 7 percent.

Excluding investment results, total net operating revenue and expense were favorable to budget primarily due to lower than anticipated spending, higher bequest income, and the receipt of Economic Impact payments. Operating revenues and expenses were consistent with last year’s results.

Looking ahead to Fiscal 2021, equity markets have recovered and are again near all-time highs despite the pandemic. Record levels of monetary and fiscal intervention by the Federal Reserve and u.S. Government have stabilized markets, but the economy still faces a high degree of risk. Investment market valuations are relatively high and any slowdown in the economy due to the pandemic or social unrest, could cause a significant market pullback.

During Fiscal 2020, the Sisters of Charity faced challenges of historic proportions. The COVID-19 pandemic and resulting economic crisis and investment downturn were met with steadfast Sister of Charity resolve. Leadership put in place many new controls and safeguards to protect both Sisters and employees. At the height of the pandemic, certain employees were unable to be on campus to do their jobs; others could remotely perform their duties. Our employee caregivers remained on campus to provide for the needs of the Sisters. no matter the

By Tim Moller, CFO

circumstance, employees continued to be paid and those present on campus received extra pay. The fiscal year was one of mutual gratitude – both the Sisters and their dedicated employees met their grace as lived out by their caring responses to each other’s needs.

The charts below depict the categories of congregational income and outflow for Fiscal 2020.

On the Source side, Retirement Income provided 44.4 percent of Total Income, and includes support payments from the Sisters of Charity Charitable Trust, Social Security and Sisters’ pensions. Investment Income, which includes interest, dividends and realized gains, amounted to 47.0 percent of Total Income. General Congregational Income amounted to 7.9 percent of Total Income and is primarily comprised of Sisters’ earnings, bequests and support from benefactors. Other Sources totaled 0.7 percent.

On the use side, Retirement Related Expenses was the largest expense category at 43.6 percent, and includes costs associated with the care of our retired Sisters. unrealized Losses on Investments amounted to 21.0 percent. Local House Expenses, comprised of total living expenses for Sisters living away from the Mount St. Joseph campus and incidental expenses for Sisters living independently at the Motherhouse, amounted to 10.6 percent of Total Expenses. The cost of maintaining Sisters of Charity facilities is reflected in Property Expenses, which totaled 11.2 percent of Total Expenses. Service Department Expenses, net, amounted to 7.1 percent of total costs and includes the unallocated costs of Shared Services such as Maintenance, Grounds, Finance, Human Resources and Information Services. General Congregational Expenses, primarily comprised of administrative costs, legal and audit fees, insurance premiums and contributions, amounted to 6.5 percent of Total Expenses.

Sisters of Charity of Cincinnati, ohio, inc. Source and use of Funds June 30, 2020

Source of funds

1 Investment Income 2 Retirement Income 3 General Congregational Income 4 Other Income

46.98% 44.37% 7.86% 0.79% 100.00%

2

Use of funds

1 Retirement Related Expenses 43.62% 2 Unrealized Losses on Investments 20.97% 3 Property Expenses 11.17% 4 Local House Expenses 10.62% 5 Service Department Expenses, net 7.11% 6 General Congregational Expenses 6.51% 100.00%

Meeting Our Grace Vulnerable is this space of now … ambiguity and questions bear the tale … answers not yet visible not yet revealing … where are we? new paths await in the fog We cannot see them We feel uneasy … queasy, insecure.

Oh to not miss and savor this time this middle place we find ourselves in … while we wander to the edges and wonder what’s beyond.

Can we hold still and quiet in this defenseless place where the past looms large and real and full of grace, with the future vague and obscure yet to unfold, grace to behold. Can we cling to God who walks with us and talks with us in this formless, faith-full time and space?

Can we just be … in God … just be? Can we willingly yield to God’s holding pattern attentively meeting our grace?

S. Mary Ellen Murphy, SC February 2006

Intercom is the magazine of the Sisters of Charity of Cincinnati. This apostolic Catholic women’s religious community exists to carry out the Gospel of Jesus Christ through service and prayer in the world. Approximately 240 Sisters are joined in their mission by 200 Associates (lay women and men). Sisters, using their professional talents as ministers of education, health care, social services and environmental justice, live and minister in 16 U.S. dioceses and in two foreign countries. They also sponsor institutions to address education, health care and social service needs, with particular concern for direct service to the poor.

Intercom Staff

Editor Erin Reder

Graphic Design/Layout Michelle Bley

Director of Communications S. Georgia Kitt

Executive Council Liaison S. Monica Gundler

Advisory Board Members: Veronica Buchanan S. Mary Ann Flannery S. Tracy Kemme S. Joyce Richter Debbie Weber Vicki Welsh

Letters to the editor, articles and photos are welcome. The staff reserves the right to edit for space and readability. Make submissions to: Communications Office 5900 Delhi Road Mount St. Joseph, OH 45051 Phone: 513-347-5447 Fax: 513-347-5467 Email: erin.reder@srcharitycinti.org Subscriptions: $15 per year

5900 Delhi Road Mount Saint Joseph, OH 45051 www.srcharitycinti.org www.facebook.com/ sistersofcharityofcincinnati

5900 Delhi Road Mount Saint Joseph, OH 45051 http://www.srcharitycinti.org www.facebook.com/sistersofcharityofcincinnati

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A finished bench from EarthConnection’s Bottle Caps to Benches program now sits proudly outside the front entrance of the building.

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Planning and preparation for the demolition of Seton Hall began this summer as Sisters and employees packed boxes and began moving office space.

During the Season of Creation OPJCC Director Debbie Weber (right) provided “handouts” to Sisters and SC employees which included compostable corn straws, fairly traded tea, and recycled newspaper pencils.