Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities1 Parish Finance Council – Roles and Responsibilities Parish Finance Council Norms

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 2 Introduction As defined in Canon 532, the Pastor represents the parish in all matters. Canon 537, however, requires that each parish must have a finance council In this session, participants will learn the role, authority level, and responsibilities of finance councils and council members, as defined by diocesan Norms

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 3 Key Session Focus Roles and Responsibilities of the Parish Finance Council  Consultation and Support to the Pastor  Confidentiality  Membership  Officers  Member Requirements  Member Responsibilities  Meetings

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 4 Consultation and Support to the Pastor, Parish Finance Councils in parishes provide vital support and expertise in the area of finance and fiscal management to the pastor Finance Councils also provide lay input into the business affairs of the parish Finance Council members constitute a “Financial Cabinet” of advisors to the pastor

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 5 Confidentiality All business discussed within the context of the council, whether in a meeting or outside, is confidential  Confidentiality is critical to the effective functioning of the council  Members’ failure to observe confidentiality will result in immediate removal from council Example

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 6 Membership Finance Council membership includes 3 to 7 parishioners Appointment is by the Pastor 3 year, staggered terms Members may serve no more than 3 consecutive terms Members may not serve simultaneously on the Pastoral Council

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 7 Membership Requirements Candidates must be a member of the parish and in full communion with the Catholic Church Candidates must have expertise in regard to temporalities; finance, accounting, business management, law Candidates must have a working knowledge of parish life and pastoral values Candidates must be free of conflicts of interest arising from occupation, relationship to the pastor, or other condition that might be perceived as bringing inappropriate benefit to the individual Candidates may not be a paid, parish staff person

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 8 Officers of the Finance Council Finance Council officers may be appointed by the pastor or elected, depending on the decision of the pastor Chair  Presides over meetings Vice-Chair  Serves in the absence of the Chair Secretary  Records and maintains minutes of each meeting

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 9 Council Duties Finance Councils are to be involved with and approve the annual Parish operating budget Finance Councils oversee the preparation and submission of the annual parish financial report Finance Councils oversee the preparation and distribution of the annual report to parishioners Finance Councils prepare and submit the annual report to the Dean A member of the finance council must review monthly bank reconciliation reports

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 10 Pastors’ Duties The pastor must consult with and receive input from the parish finance council prior to any extraordinary expenditure (non-budgeted items, construction projects, real property purchase and leases, fund raising) or sale/transfer of goods The pastor must consult with the Finance Council on expenditures exceeding 10% of any approved budget item

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 11 Finance Council Meetings Finance Councils typically meet monthly, but not less than quarterly Meetings must include financial statement review (statement of financial position, statement of activities, and budget-to-actual report) The Pastor must attend all Finance Council meetings Minutes to all regular Finance Council meetings are to be recorded and kept on file

Diocese of Phoenix - Parish Finance Councils, Role and Responsibilities 12 Summary Finance Councils are mandated by Canon law Finance Councils fulfill a critical, supportive role to the pastor with respect to temporalities of the parish Finance Councils serve the greater mission of the parish in helping to protect the temporal goods of the church that, in turn, provide the resources that allow the each parish to accomplish its mission