Abuse cost for Catholic dioceses tops $1 billion

updated 8:46 p.m. ET June 9, 2005

The cost to the U.S. Roman Catholic Church of sexual predators in the priesthood has climbed past $1 billion, according to tallies by American bishops and an Associated Press review of known settlements.

And the figure is guaranteed to rise, probably by tens of millions of dollars, because hundreds more claims are pending.

Dioceses around the country have spent at least $1.06 billion on settlements with victims, verdicts, legal fees, counseling and other expenses since 1950, the AP found. A $120 million compensation fund announced last week by the Diocese of Covington, Ky., pushed the figure past the billion-dollar mark.

A large share of the costs — at least $378 million — has been incurred in just the past three years, when the crisis erupted in the Boston Archdiocese and spread nationwide.

The Rev. Thomas Doyle, who left a promising career with the church to help represent victims, had warned the bishops in 1985 that abuse costs could eventually exceed $1 billion.

"Nobody believed us," said Doyle, a canon lawyer. "I remember one archbishop telling me, `My feeling about this, Tom, is no one's ever going to sue the Catholic Church."

‘Just to all sides’
Asked about the figure, a spokesman for the U.S. Conference of Catholic Bishops, Monsignor Francis Maniscalco, said church leaders believe the payouts "should be just to all sides." He said victims deserve compensation, but the church must also have enough money to continue serving parishioners.

The bishops are set to meet in Chicago next week to review their plan for protecting youngsters.

The exact financial effect on the church is hard to determine, since each diocese owns property separately and settles cases on its own. Insurance policies cover some costs, but policies differ across the country. And in many places, the coverage has run out.

Also, many dioceses already had money problems before the scandal hit, because of rising labor costs, maintenance for old churches and other expenses, said Charles Zech, an economics professor at Villanova University who studies church finances.

However, the church avoided one financial hit: A feared widespread boycott by donors never happened, Zech said. The number of donors has fallen in the past few years, but the amount contributed overall has held steady, he said.

Still, some of the damage is plain.

The Boston Archdiocese and several others have agreed to sell property to cover their multimillion-dollar settlements. Three dioceses — Portland, Ore., Tucson, Ariz., and Spokane, Wash. — have filed for bankruptcy, and more are expected to follow.

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