The Diocese of New Jersey requested and received a hardship waiver for 2024 that allows it to pay less than its full 15% assessment – as is required of all dioceses to support the churchwide budget – while New Jersey leaders investigate and address what the bishop has described as “disarray” in its finances.
Executive Council, The Episcopal Church’s governing body between triennial meetings of General Convention, authorized the waiver April 20 at the conclusion of its three–day meeting in Raleigh, North Carolina. Instead of paying its full obligation of $600,000, the diocese will be required to contribute $400,000 under a one-year reduction.
The diocese had asked to contribute even less this year – $300,000, or 7.5% of its assessed revenue – but Executive Council’s Finance Committee settled on a reduced rate of 10%, which it said is in line with the waivers that have been granted to other dioceses dealing with short-term financial crises.
“Here in the Diocese of New Jersey, we are working to gain a full understanding of the financial issues we face, which will require completing overdue diocesan audits, correcting historical errors in financial recordkeeping, and obtaining accurate information about church properties,” Bishop Sally French told Episcopal News Service in a written statement after Executive Council’s vote.
French, who was consecrated as bishop in June 2023, shared an overview of the challenges discovered in the diocese’s past handling of its finances in a Feb. 27 letter and again in a speech March 9 at the diocese’s annual convention. At that time, she assured the diocese that there was “no indication of any financial malfeasance or fraud,” and she urged patience as diocesan leaders determine the full scope of the matter.
“We anticipate that it will take some time to come to terms with our financial situation and develop a strategy for the sustainability of God’s mission in our diocese,” French said in her April 20 statement to ENS. “We are grateful to the Executive Council for considering our request for a temporary reduction in our assessment rate so that we can have time to support our congregations and strengthen our budget, and we are grateful to other dioceses for their support as we move toward firmer financial footing.”
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