Buffalo, New York, June 16, 2025 – The Diocese of Buffalo has completed a week-long series of Vicariate meetings during which details on the Chapter 11 settlement allocation methodology were shared with parish leadership, including clergy, trustees, business managers and chairpersons of the finance and parish councils.
At those meetings, parish leaders were provided an overview of the $150 million settlement, which has been agreed to in principle by the Creditors’ Committee. Each parish received a detailed statement of their expected contribution to the settlement fund. The Diocesan Internal Audit Department is assisting to ensure the accuracy of the funds that were self-reported by each parish and used to determine the expected contribution. The contribution is based upon a progressive percentage applied to the parishes’ self-reported and unrestricted cash and investments held as of August 31, 2024, the end of the Diocesan fiscal year. Unrestricted cash and investments exclude any prepaid tuition held, Mass offerings and donor-restricted gifts.
“We recognize that some parishes will see the disparity of settlement contribution levels as somehow unfair,” said Richard Suchan, Diocesan Chief Operating Officer. “What is important to understand is that the unrestricted cash position of parishes varies greatly, as well the fact that parishes identified for closure and merger with other parish families are naturally assessed at a higher level. This has been discussed extensively with our priests and parish leaders as an essential approach for fulfilling our obligation to the Creditors’ Committee, and to bring healing to survivors and enable the Church in Western New York to finally close this long and difficult chapter of our Diocese and move forward.”
The diocese continues to address any questions raised by parishes on their contributions, including St. Leo the Great in Amherst, and if any adjustments are warranted, those will be addressed. Contribution percentages range from 10 percent to 80 percent of each parish’s unrestricted cash and investments with the highest percentage being applied to parishes scheduled to be closed or merged as part of the Road to Renewal program, aimed at better sharing resources and bringing together unsustainable parishes with stronger parish communities.
The contribution allocation formula based upon unrestricted cash and investments are as follows:
| Parish Level Unrestricted Cash & Investment Assets | Percent Applied for Contribution |
| Less than $250,000 | 10% |
| Less than $500,000 | 25% |
| Less than $ 750,000 | 45% |
| Less than $ 1,000,000 | 55% |
| More than $ 1,000,000 | 65% |
| More than $ 3,000,000 | 75% |
| Merging/Closing Parishes | 80% |
Parishes appealing their closure to the Vatican are assessed at 80 percent of unrestricted cash and investments. If the appeal is successful and the merger decision overturned, the parish will be returned the difference between the 80 percent assessment and the rate that would have applied had the parish not been designated for merger.
All parish contributions will be held in their respective names in the St. Joseph Investment Fund where all parishes in the Diocese of Buffalo have investment accounts. Transfers affecting these contributions are to be done by July 15, 2025, and will be held in reserve until the settlement is confirmed by the federal bankruptcy court. Parish contributions from this process total $80 million of the $150 million settlement proposed by the Diocese to the Creditors’ Committee and accepted in principle. Additional sources of contributions to the settlement are expected from the Diocese, affiliate Catholic organizations, as well as from proceeds of real estate sales. Proceeds that may be provided through coverages by diocesan and parish insurance carriers would be in addition to this settlement amount.
