Dromore Diocesan Trust Re ort of the Trustee The Trustee presents its Annual Report and the financial statements of the charity, Dromore Diocesan Trust, for the year ended 31 December 2023. Constitution and alm8 The Roman Catholic Diocese of Dromore was established through the reorganisation of the Irish Church in the late e1fth century. It is one of the smaller dioceses in Ireland and covers portions of Countles Down, Armagh and Antrim with its cathedral located in the city of Newry. The Dromore Diocesan Trust is a charitable trust, established by a trust deed dated 1 November 2010. On 20 April 2016, Dromore Diocesan Trust was registered as a charity with the Charity Commlsslon for Northern Ireland and given the registration number NIC105046. Under amending legislatlon- ihe Charltles Act {Northern Ireland) 2022- reglstratlon of the Dromore Diocesan Trust Is deèmed to commence on l Aprll 2022. For tax purposes, Dromore Diocesan Trust Is also registered with HM Revenue and Customs - reference number XT27177. The sole trustee of the Charity is a Corporation, Diocese of Dromore Trustee. The Company Is Ilmlted by guarantee and was registered on 17 November 2011 registratlon number N1609968. On 13 January 2012 the Lord Chief Justlce of Northern Ireland authorlsed Diocese of Dromore Trustee to act In any Charitable or Ecclesiastlcal Trust as a Trust Corporation. ObSectlves and actlvltlo8 The principal objects of the Charity are., The advancement of the Roman Cathollc religion in the Roman Catholic Dlocese of Drornore subject to any future curtailment or addition of are8 made in accordance wlth the laws and regulations of the Roman Cathollc Church. The advancement of any charltable purpose supported by the Roman Catholic Church throughout the world or in any part of the world. The Diocese of DromorÈ, in unlon wlth the Catholic Church worldwide, seeks to achleve Its objectives through activities Including the following- Proclamation of the Gospel Worship of God Provision of clergy and pastoral personnel Formation and development of parish communities Support for families Provision of educational, pastoral and youth mlnlstrles Provlsion and maintenance of places of worship Aid for impoverished and needy communities worldwide The means used to fvlfil the purposes of the Dromore Diocesan Trust are constantly monitored and revlewed in order to ensure that the principal aims and objectives of the charity are adhered to.
Dromore Diocesan Trust Report of the Trustee (continued) Staternent that the Trustee has had regard to the Charlty Commlssion for Northern Ireland public benefit requirement statutory guldance The Trustee confirms It has complied with the requirements of StIOn 4 (6) of the Charities Act (Northern Ireland) 2008 to have due regard to the publlc benefit guidance published by the Charity Commisslon for Northern Ireland in determining the activities undertaken by the Charity, Throughout thls Annual Report the Trustee seeks to demonstrate that the Charity's aims and objectlves are for the publlc benefit. Structure, Governance and Managomont Eccleslastical Law requires certaln structures to be in place wlth5n the Diocese. Structure5 in the Dlocese of Dromore include.. Dlocesan Consultors (fvlfilled by the Cathedral Chapter), a Council of Priests and a Finance Council. The Bishop is also assisted in ecclesiastical governance by 8 Chancellor, a Vicar General and a Finance Adminlstrator. In the absence of a bishop {sede vacante), the dlocese is under the governance of a Diocesan Administrator (elected by the Diocesan Consultorsl or an Apostolic Admlnlstrator (appointed by the Holy Father). The overall operation of the Charity, Includlng financial and legal responsibility in clvll law, Is overseen by the Trustee. the directors of which are appointed by the Bishop. who Is Chair of the Board. Recruitment of the directors Is basèd on their knowledge of the local Church and their having the professional skills and experiences necessary for overseeing the affairs of the Charity by ensuring it is solvent, well-run, and that it delivers the outcomes for whlch It was established. The Board Is composed of a mixture of clergy and lay members of the Church. On appolntment, new directors receive induction and are Introduced to their role and responslbilltles by the Chancellor, the Finance Administrator and the Finance Officer of the Dlocese. They are provided with copies of the Trust Deed and the latest financial information and reports. Directors 8ltend formal and informal training sesslons as requlred. The day-to-day business of the Diocese is managed through the Diocesan Curia. The Bishop refers ecclesiastical related matters to the Chancellor and other appropriate officials. Civil administrative matters are referred to the Finance Administrator and the FinanGe Officer. The Council of Priests also assists the Bishop in the governance of the Diocese according to the norm of law 'so that the pastoral welfare of that portion of the people of God entrusted to the Bishop may be most effectively promoted, (Code of Canon Law, canon 495). Reflecting Canon Law, the activities of the Charity are separated in thls Report into Parish and Curia functions. On 15 April 2019, Archbishop Eamon Martln, Archbishop of Armagh, became Apostollc Administrator of the Diocese. An Apostollc Administralor is appointed to temporarlly govern a diocese when special or serious circumstances warrant such an appointment. Archbishop Martln governs in the name of the Holy Father and has all the powers and duties of a diocesan blshop.
Dromore Diocesan Trust Report of the Trustee (continued) Parishes The Diocese is divlded into parish communilies. The parishes in Ihe Diocese are estsblished and operate under the Church's Code of Canon Law which bestows on them separate canonical status which explains their treatment in the following financial accounts specifically through the columnar layout. The funds and assets of each parish are held in trust by the Dromore Diocesan Trustee forthe benefit ofeach specific parish. Under Canon Lew, each parish must have a flnance committee to advise the parish priest in ragard to the administration of the parlsh. Parish finance committees include parishioners with knowled9e and experien In flnance, propety management and administration, Parish PriestslAdministrator8 and Curates are appointed by the 818hop to provlde pastoral care for parish communities and to manage parishes In all Jurldlcal affairs thus ensuring that parishes are administered in accordance with the norms of Canon and Civll Law while fulfilling the aims of the Chan'ty. As encouraged by The Directory for the Pastoral Mlnistry of Bishops {Apostolcrum Successores), the Blshop, In consultation with prlests and laity, reviews on a regular basis the parish structure to ensure the long-term pastoral sustainabllity of the parishes. Curla The Diocesan Curia consists of those institutions and persons whiGh furnish asslstance to the Bishop in the governance of the entire DioGe5e, especially, In dlrectlng pastoral activity, in provlding for the administration of the diocese and in exerclslng Jurldleal power. It also includes all who participate in the overall administration of the dlocesè, especially those who direct dioGesan activities such as pastoral support. youth work, education, family ministy, liturgy, and other faGets of the local Church's life. The Trustee Board delegates oversight of the Diocese's day to day financial, Pfoperty and admlnlstratlon matters to the personnel within the Curia, Under the leadership of Archbishop Martin, the commlttee structure of the Trustee Board was revised to provide greater oversight of the areas of Finance, Bulldings and Property, and Personnel, The remuneration of key personnel Is disclosed in the Financlal Statements, All employment matters and remuneration Issues are overseen by the Trustee Board and reviews are undertaken periodically. R18k Management The Trustee Board, through the corporate governance framework identify and manage the rlsks to which the charity is exposed. The Trustee Board, aware of the various risks to which the Diocesan Trust Is exposed, p8rticular5y those relating to the operation and finances of the Trust, has establlshed a comprehensive planning process, together with established systems and procedures which enables them to assess and address risks. They have published and promulgated Intern81 controls for use throughout the Diocese, The implementation of these controls continues to be monitored and an ongoing assessment is being undertaken to ensure that systems are in place to manage th8 exposure to major risks,
Dromore Diocesan Trust Report of the Trustee (continued) The main areas of risk identified and monltored by the Board Include: Safeguarding Compliance with Health & Safety, employment and other legislatlon Reduction in active clergy numbers Reduction in voluntary income Increaslng costs for the care of sick and retired clergy Reduction in reserves due to capital projects and other long-term commitments Compliance with data protection regulations. Achievements and performan¢e The territory covered by the Diocese of Dromore has a total population of approximately 190,000 people of whom approxlmately g0,OQO are Catholics, The Diocese con51Sts of enty-10 parlshes, clustered Into five pastoral areas. Each pastoral area consists of a number of adjolnlng parlshes unlted In the interests of promoting and realizing the objects and the mlsslon of the Dlocese of Dromore wlthin their local communities. Proclamatlon of the Gospel and Worshlp of God Within the Diocese, religion is advanced through the provision of places of worship, the facllilation of religious practice, and in particular the community celebratlons of Mass. In rnost parishes, there is a public lebratiOn of Mass every day., and on every weekend there ar8 several community Masses celebrated in each parish over Saturday evenlng and Sunday morning. All such celebrations are open to the public without any restrictions on attendance. In some parishes, where there is a declinin9 number of Clergy avallable, other forms of worship have been Introduced such as Liturgies of the Word and Eucharlstic Adoration, led by members of rellgious ommunities or lay personnel. other activities of the Charrty in thls category Include th8 celebration of other religious ceremonies (including baptisms, weddings and funerals), running programmes in relation to spiritual formation and development, and encouraglng and supporting inter-church relationships. As many of the places of worshlp wlthln the Diocese are listed and some contain significant religious works of art and other artefacts which form part of our national heritage, these places are open to the general public and provlde a publlc benefit to the whole community. They offer spaces for qulet reflectlon and splrltual contemplatlon. It is within the parish community that people experience what it Is to be a member of the Cathollc Church. It is in this context that faith is nurtured and given expression. Hence parlshes provlde, In various ways, for the moral and spiritual wellbeing of all parishioners. Oppjrtunlty Is given for practical manifest8tions of faith in various pastoral, social and educational actlvlties many of whlch rely wholly on the voluntary involvement of parishioners. In the last year for whlch statlstlcs are currently available (2023}, there were 1,310 Baptisms (2022: 1,306). 1,426 children made thelr Flrst Holy Communion (2022: 1,418) and 1,579 young people recelved the Sacrament of Confirmation (2022. 1,473). A total of 280 marriages (2022.. 297) were offlclated in the same period.
Dromore Diocesan Trust Report of the Trustee {continued) As well as pastoral care and the provision of the sacraments fo the members of parish communities, the Diocese offers chaplaincy services to those who cannot be part of a regular parish community. A Hospital Chaplaincy service is provided to Craigavon Area Hospltal, while other clergy and lay pastoral visitors regularly visit other hospitals and nurslng homes in the area frequented by members of the Diocese. Each year, priests and people of Dromore joumey to anclent pllgrlmage sltes within the dloce88 and beyond. The annual Diocesan pilgrimage to Lourdes and the pllgrimage to Knock have resumed following the interruptions caused by the COVID-19 pandemic. Since the challenging years of the COVID-19 pandemic, the pilgrimage dlrector and committees have been re-vitalising the annual pilgrimage with a view to returning to the treasured Practice of bring sick and assisted pilgrims to the shrlne In France. By the start of 2023, parish life was returning to normal following the COVID-19 pandemic. While parishes continued to be cautlous (taking cognisance of the elderly members of Congregations), there was a welcome return to ctturches and to the celebration of the sacraTnents throughout this year, Provislon of clorgy and pastoral personnel Central to parlsh life is the relationship between the priests, deacons and people. Clergy are not employees of the Diocese. However, In Canon Law the care and welfare of incardinated priests of the Diocese Is mandatory and is, therefore, part of the Charity's on-going commitments. For the maln part, prlests mlnlsterlng In parishes organise, animate and motivate the Ial faith communStles. They constantly strive to be witnesses of hope and authentic shepherds for their people. At the end of 2023 there were 14 diocesan priests active in the Diocese. The provision of dedicated, well-quallfied and competent clergy to serve in parishes and other ministries remains a priority for the Diocese. Through means of regular conferences, retreats, courses. workshops and sabbaticals the priests ofthe Diocese are kept informed and provided with guldance In regard to current issues and developments in all aspects of ministry and mission. A key to sustalnlng the advancement ofthe Catholic religion is the promotion and support of vocatlons to the Prlesth¢)od. The Vocations Director works closely with the local branches of St Joseph's Young Priests Society, a national lay organisation forthe promotion and support ofcandldates for the prlesthood. After several years when there were no students in formation for the priesthood, in September 2018 iwo candidates entered Ihe first year of their formation and one continues in formation in the academic year 2022-23, bringing the current total of seminarlans for the years concerned to tsvo, In recent years, the Diocese introduced the Permanent Dlaconate. The role of the Permanent Deacon is to be a helper to the bishop and priests, to proclaim by his life the Church's call to serve the needs of others, to proclaim the Gospel message, to Ilve a life of fidelity to Christ and the Church and to lead the community in buildlng a Klngdom of grace, faith, justice and compassion. The Diocese completed a cycle of discernment and tralning in January 2022. Five candidat8S were selected to begin their formation In 2022 and four of thes8 continued their preparation in 2023.
Dromore Diocesan Trust Report of the Trustee (contlnued) The important role played by the many volunteers who are active in their parishes cannot be overstated, and thelr contrlbutlon is vltal to enabling the Diocese to continue to fulfil and develop its stated objectlves. Volunteers give generously of time and energy, serving in varlous mlnlstrles as part of the worshlpplng community and also caring for and visiting the sick, the housebound and those on the marglns of our society. They play a significant role in helping to maintaln parlsh propertles and asslstlng in financial and other administrative duties such as through membership of parish and diocesan pastoral, finance and safeguarding committees, Such volunteè.rs are often th6 lifeblood ofthéir communities. It is not possible to quantify the number and range of voluntèers active throughout the Diocese, nor is it possible to put a financial value on thelr involvement. A5though the Charity relies on the donations from parishioners for Its fundlng, access to religious services is never restricted on the grounds of ability to pay. In additlon, members of the Catholic communlty are encouraged, as a consequence of their faith commitment, to contribute towards creating a better society by becoming active promoters of the Common Good within their local area through membership of other charities, local socletles and community groups and by volunteering in 811 sorts of ways to benefit society in general. Besides the work accomplished at parish level, the Curla {the central administration of the Diocese) coordinates and carries out a number of essenlial functions necessary to the advancement of the Calhollc religlon at local, national and international level. In order to do 50, the Curla operates through a range of dlocésan commissions, committees and through various personnel charged wlth spe¢lfic responsiblllties. The Diocese continues to foster close relationships with other Christian churches and to participate in important ecumenical activities, included the Week of Prayer for Chrlstlan Unlty and the Irish Inter Church meeting which takes place annually in the Diocese. At clergy conference8, held on at least a quarterly basis, significant liturgical moments are prepared for and dlseussed. The general well-being and care of clergy in a1ve ministry is coordlnated by the Diocesan Curla. Priests, stipends and re18ted matters are overseen and regulated by a Clergy Remuneration Committee. Equally important is the welfare of priests who are slck or retired. Thelr welfare is thè responsibility of a committee that adrninisters the Clerlcal Provldent Fund. The Diocese continues to engage with men and women who wish to undertake dlscemment In regard to vocations to the priesthood, the permanent dlaconate and the religious and consecrated life. The Diocesan Vocations Director, along wlth the Diocesan Vocations Commission, coordlnates this essential mission mostly through the means of discernment groups, prayer vigils, discernment retreats and chaplaincy work In the post-primary schools of the Diocese. The objectives of the Charity are greatly supported, and the life of Ihe Diocese Is enriched, by the ontribution made by the many members of Religious Institutions, Secular Institutions andlor Societles of Apostollc Life servlng In the Dlocese, The Diocese of Dromore expres5es its sincere gratitude to these men and women of falth for their ministries of generous service and sacrifice
Dromore Diocesan Trust Report of the Trustee (continued) Support for famllles Family Ministry within the Diocese is dedlcated to strengthening marriage and fam115es by coordinating programmes and ministries that have faith as their foundats'on and Chrlst as their goal. By responding to the needs of today's families, as they strive to live in a very challenglng culture and a rapidly changing world, Family Ministry serves as a resource for famllles, clergy and parlsh communities. In collaboration with other groups, Famlly Ministry offers services and practlcal resources to assist people, at all stages of1Sfe, In order to help them Éxperience more fvlly the love and compassion of God in the ordinary events of Ilfe. Among the various servicès provided wlth the Diocese are: ACCORD Catholic Marriage Care Servicè, Marriage Encounter, Engagéd Encounter, Familles Flrst (Parentlng Skllls). Since the ending of the Covid-19 pandemic restrictions, various pastoral groups have been resuming in-pgrson pastoral activities, home visitation and gatherings which had been curtailed. A digital presence has continued for those who are vulnerable and most parishes which had developed an online liturgical presence and spiritual support activities have maintained these resources which were highly valued by vulnerable members, The Universal Synodal Procgss within the Diocese The dlocese continues to be involved in the universal synodal process with the steerlng commlttee overseeing meetings and discussions in 2022 and 2023 that fed into preparations for the flrst stage of the Unlversal Synod held in Rome in October 2023. The Dromore Diocesan Synod Core Group organised local and dlocesan-wlde consultation leading to a Diocesan Synopsis submitted to the National Synodal Team In 2022. A Dlocesan Synodal gathering took place in January 2023 to which the Apostolic Nuncio to Ireland was invited. In late 2023 this was followed up by the establishment of a Diocesan Pastoral Councll pilot team which accepted the challenge of bringing alive a vision for the Diocese going forward, namely.. We will have vital and vibrant parish communities that are sustainable for future generations. Four particular areas have been identified for ongoing action pSanning.' Pastora1 Care of the Clergy; Communications- Faith Development resources., Effective pastoral and administrative structures to support the mission of the Diocese.
Dromore Diocesan Trust Report of the Trustee (continued) Provislon of educatlonali pastoral and youth mlnlstrles Catholic schools wlthin the Dlocese A key aspect of the contribution of the Dlocese to the local community is the lar9e network of Catholic Schools. There are nine nursery schools, thirty-s8v8n primary schools and e1ve post- prlmary sc.hools In the Dlocese with a total 8nrolment ofapproximately 22.,000 pupils. The Dlocese partlclpates In celebratlng this contrlbution in Catholic Schools Week, an event held throughout Ireland in JanuarylFebruary of each year. The Diocese of Dromore remains fvlly committed, through its Catholic Schools, to malntalning, by way of a holistlc méthodology, the highest standards in learning and thus continulng to offer academic excellence and faith-filled education to all youn9 people. Many non-catholic parents choose to educate their children in Catholic Schools, not least, because of the excellent education on offer but also the identifiable ethos of trust, mutual respect and recognltlon of responsibility to those in need. The Diocese offered support to school communities as they struggled wlth the impact of closure and the difficulties of distance learning. From the inablllty to make pastoral visits to schools to the interruption of the public celebration of key mments the lives ofthe children (e.g. the sacramentsl celebrations of First Communion and Confirmation), the pandemic had a significant impact on young people and their spiritual development whlch Is still hard to quantify. Parish communities are to be praised for the provision of alternatlve arrangements for these key events under greatly restrlctlve clrcumstances. A new dlocesan advlsory team was established working closely with partners in the Archdlocese of Armagh to share best practice, resources and ideas to support religious educallon and the ethos of Catholic schools. Celebrdtions to mark Catholic schoo15 week took place In January which were well attended by local schools at both primary and p05t-primary level. Schools Singing Programme 2022-2023 saw the roll•OUt of a pilot project to encourage young people to enjoy the benefits of singing as part of their curriculum, while growing in their understandlng of faith and liturgy. Partly funded by a UKcharity, the project united 600 children from schools In the Archdiocese of Armagh and the Diocese of Dromore. The children benefited from free weekly, professional singing tuition aimed at raising pupil self.esteem as well as provldlng opportunities for school staff to develop leadership skills in whole-class and group singing. 10
Dromore Diocesan Trust Report of the Trustee (continued) Youth Mlnlstry The Dromore Youth Commission develops faith services to young people across the Diocese. Developing and nurturing leadership skills is a key facet of its work, as the leaders of tomorrow are to be found in the ranks of today's young people. Parental participatlon and contribution Is encouraged as drawing the family into this youth work, draws them closer to God. The organlsatlon of thls ministry is led by the Diocesan Youth Dlrpctor who roordinates over 75 volunteers across the Diocese. Volunteers undergo approprlate safeguarding vetting and training to prepare them for ministry, as well as speclalist preparatlon for particular programmes hosted by the Commlsslon. The Diocesan Youth Dlrector maintalns actlve engag8ment with the schools of the Diocese to support thelr work In the spirttual development of pupils, The Diocesan Youth Commission malntalns actlve collaboratlon with other agencies such as the Education Authority Youth Service, YouthLink and other community youth initiatives at regional and national level. In partnership with the Archdiocese of Armagh, a group of young leaders attended World Youth Day in Portugal in July 2023 and a parallel "World Youth Day at Home" was organised for those who were unable to travel abroad. This included pilgrimage to Knock Shrine and Croagh Patrick In Co Mayo, A successful initiallve IVAKS> to provide 42 young volunteers to asslst at Knock Shrine was highly valued by the participants in terms of growing in faith, personal confidence and leadership skills. Summer camps in NewGastle, Co Down, attracted 70 young people and facilitated the training of young leader5. 42 parents and grandparents travelled for a 0-daY resldential experience at Knock Shrine to discuss support for young people and to develop parentlng skllls. Key programmes offered by the Youth Commission are. Growing in Faith Together, (GIFT) offered to puplls after receiving the Sacrament of Confirmation, the Pope John Paul 11 Award offered to school-leavers. The activities of the Youth Commission have resumed in 2023, including the participation of students in the Pope John Paul11 Award. Safeguardlng The Diocese is committed morally and legally to upholding the rights of children, young peoplè and vulnerable adults. The Diocesan Safeguarding Office continues to co-ordlnate and build upon the existing good work of safeguarding throughout the difficult circumstances of recent years. The Diocesan Safeguarding Office was led by Mrs Patrlcia Carvllle (Dlrector of Safeguarding and Diocesan Liaison Person) who retired from post In January 2024 after 15 years of service. She has been replaced by Mr Stephen Sherry. Safeguardlng Informatlon Is readily accessible through the Dlocesan website. The role of the Safeguarding Office is to develop and oversee the Implementation of safeguarding practices for the Dlocese, for both chlld protection and adult safeguarding, and to liaise with the statutory agencles In felation to the management of cases and the development of best praclice. All the safèguardlng personnel in the Diocese work to a Code of Practice in line with the National Board for Safeguarding Children In the Cathollc Church in Ireland {NBSCCCI) Standards and Guldance Document. Following the Impact of the p8ndemlc in previous years, there has been concerted effort on the implementation of a development plan written to ensure that parishes were compliant with the Standards for Safeguarding. This acts'on was successfully implemented during 2023. 11
Dromore Diocesan Trust Report of the Trustee (continued) The Diocesan Safeguarding Committee meets regularly to review and support the work of the Safeguarding Office and is accountable to the Apostolic Administrator. The Diocese has opted to use, as its Advisory Panel, the National Case Management Committee of the Natlonal Board for Safeguarding Children {based in Maynooth) because of the expertise of the group and the fact that they were independentofthe Diocese and objective in their perspective.. the D5ocesan Llalson Person meets with them 1c& each year to discuss case managemenL Much has been achieved, particularly, by havin9 so many dedlcated people provlding exemplary support. It is important to note that the Diocese of Dromore safeguarding parish structures comprise of Local S8feguarding Councils made up of representatlves who themselves are vetted and trained. These dedicated volunteers continue to maintain a unlque and robust safeguarding structure designed to ensure that best practice is drlven and rnalntained at parish level where children, young people and vulnerable adults partlclpate in parish activities. In 2023 the arrangements for Safeguarding In the Diocésè of Dromore were Independently reviewed by the National 8oard for Safeguardlng Children in the Catholic Church in Ireland. The Review Report is available on the diocesan website and shows that the Diocese of Dromore Is abldlng fully with best practice in safeguardlng standards. In 2021, the dlocesan authorities and its legal advisors devised and Inltlated a Redress Scheme for survivors and victims of child sexual abuse perpetrated by members of the clergy and other representatives acting under the authority of the Diocese of Dromore. The scheme was Inltlally scheduled to run for 0 years, but during 2023 the Diocese agreed to extend the scheme for a further six months to March 2024, Over 40 applications have been made to the scheme with the vast majority proceeding to resolution. A full report will be Issued following the completion of the scheme. It 15 vltally important that the Diocese has the necessary human and financial resources going forward for Safeguarding best practice and for respondlng, vla counselling, support and just compensation and redress to those who have been abused. Being conscious that remaining dlocesan funds are limited, the Dlrectors of the Dromore Diocesan Trust have conducted a review to Identlfy any diocesan assets that could be sold in order to meet existing and ongoing safeguardlng responsibilities. Followlng an extensive feasibility study during 2023, the Trust has Identlfied lands at Armagh Road, Newry, whlch it proposes to sell in order to finance the liabilities of the Dlocese. These lands, adjacent to. and Including the existing Bishop's House, are in the ownershlp of the Dlocese of Dromore. Given their proximity to the amenities of Newry City Centre and to varlous educatlonal and retall facillties, it is understood that sections of the land would Ilkely be very sultable for resldential development in order to help meet the identified social and prlvate houslng need In the Newry area, 12
Dromore Diocesan Trust Report of the Trustee (continued) Provlslon and malntenance of places of worshlp Churches play a centr81 role in the spiritual life of Parishioners and along with parochlal houses and other associated parish buildings they are often significant landmarks within the wlder local community. Public benefit is provided through the provision of sale and worthy places of worship and assembly for not only the Catholic community but for those who wish to make use of them for personal or spiritual contemplation. Many ol the Churches and assoclated bulldings afe listed as being of special or historical architectural interest. The proper care of these buildings can be onerous but they are essential for the on-going realisation of the prlncipal object of the Charity, the advancement of the Catholic religion. Church Buildings and their contents amount for approxlmately 7SOk of the tangible fixed assets on the balance sheet of the Drornore Dlocesan Trust (see page 26 and note 13). These churches are held by the Dromore Dlocesan Trustee In trust for each parish in which the churches are located. General malntenance, mlnor and major schemes of renewal and projects of construction in regard to church bulldlngs and propertles often require major outlays which are essential If these important structures, which form part of our national heritage, are to be maintalned not lust for present use but for future generations. The management of this responsibility is on-golng and Is carefully regulated and professionally monitored so that legitimate requests for new works, renovations and adaptatlons can be readlly assessed and progressed. The Dlocese ha5 In place insurance cover in respect of all Its bulldlngs so that public access should not be unduly restricted by laGk of funds to repalr or restore buildings harmed as a result of acGidental or other damage. Renovatlons to the exterior of the sanctuary of Newry Cathedral were carried out in 2022-23. This work to Ilmlt Ingress of water and marked the commencement of phased series of renovations to the Cathedral In comlng years. Fundralslng The Trust receives a large proportion of its income from donations, bequests and legacles from its supporters who are generally parishioners or those who have close connectlons to the Church. Without this valuable support the Trust would not be able to carry out most of its mission. The Trust is mindful of its duty of care to those who support it including vulnerable people, and therefore ensures that fundraising is done in a responsible and caring manner, always bearing In mind that the people themselves are integral to the Church. The Trust does not require its parishioners to donate in order to share in the generous resources thal God has provided for thelr use, It rather encourages a Culture of giving where this is posslble and ther8fore places no pressure on its donors to glve more than is affordable. Our aim Is to look after our parishioners and continue to engage with them in interesting, informative and innovative ways. We continue to strive to reach out to new potentlal donors and diversify revenue streams. The closure of churches for public worship durlng the COVID-19 pandemic and the restriclions on capacity for worship in those years had a serious Impact on the ability of parishes to raise funds. Efforts were made to engage parishioners with onllne donatlons and standing orders. The Diocese was able to make an insurance claim on behalf of parishes for Business Interruption. These claims were resolved to the sum of £662,000 for 2020 and £465.000 for 2021. 13
Dromore Diocesan Trust Report of the Trustee (continued) Ald to Impovèrlshed and needy communltl88 worldwlde Trocaire is the official overseas development agency of the Catholic Church In Ireland. It was established by the Irish Bishops, Conference in 1973 as a means through which people contrlbute to overseas emergency relief and development aid pro9rammes. Its dua1 mandate Is to support the mostvulnerable people in the developing world while, also, raising awareness of In]ustlce and global povety. The f&liocese of Drornore, despite its small size, is a slgniflcant contributor to the charitable work of Trocaire, and in 2023 contributed over £169,260 (wlth additional funds sent directly by parishioners to Trocaire), Management of Re8ourc88 Dromore Diocesan Trust is governed by the Diocese of Dromore Trustee through its Board of Directors. The Directors meet regularly throughout the year to attend to the financi81, propety, building, legal and administrative affairs of the Dlocese. There are six {2022.' eight) directors of the Dlocese of Dromore Trustee. The Archbishop is Chalr of the Trust Board. The Vlcar General Is ex officio member of the Board. There are three lay and three priest members of the Trustee Board chosen by the Archbishop for their integrity, experience and expertise. The Secretary for the Trustee Board, appointed by the Archbishop, Is the Diocesan Flnancial Administrator. The Trustee Board has instituted a number of Gommittees to assist and advise it in the proper performance of its duties, including the Diocesan Building and Property Committee, The Diocesan Finance Committee and the Diocesan Personnel Committee. The Building and Propety Cornmlttee provides overslght and makes recommendations in relation to the area of building and property development and considers all capital expenditure budget requests. This includes acquisitions, disposals, lettlng, leasing, licensing and any other form of alienation which alters the value of a property. The Committee meets on a bNo-monthly basis and the Chair of thls Committee reports Its dellbératlons and makes recommendations to the Trustee Board. The Dlocesan Flnance Commlttee provldes oversight and makes recommendations in relation to the area of flnance wlthln the Dlocese and parishes as set out in the Administrative and Financial Guidellnes. Th5s Includes strateglc planning, fundraising, audit and reporting requirements, controls, Investments, budgets etc. The Committee also meets on a bMonthlY basis and the Chalr of thls Commlttee reports Its deliberations and makes recomrnendations to the Trustee Board. The Personnel Commlttee makes strategic recommendations on behalf of and to the Trust Board In relation to the area of parlsh and Diocesan personnel and human resource management. The Commlttee meets on a 0-MonthlY basls to consider all issues relating to personnel, employment and remuneration. The Chalr of this Committee reports directly to the Trustee Board. 14
Dromore Diocesan Trust Report of the Trustee (continued) Revlew of Flnanclal Performance Thè detailed flnanclal results for the year ended 31 December 2023 are set out in the financial statements th8t accompany thls report_ The table b81ow sun)marises the financial activities of the Diocese..,, 2023 £'ooo 2022 £'ooo Parishes Income Expenditure 4,282 (3,697) 3,835 (2,980) Net income before assessm8nt and transfers Diocesan Assessment and other transfers Investment property revaluation 585 1756) 712 855 (1.338) Increase l (decrease) in reserves Curla Income Expendlture Diocesan assessment and other transfers 541 (483) 288 (877) 756 625 (3,836) 1,338 Surplus l (deficit) before investment gains Net gain l (loss) on investments 167 (1,8731 (1161 103 Investment propety revaluation 1,936 Increase l (decrease) in reserves 2,206 (1,989) Total Incroase l {docroa$el In parish and Curia reserves 2,747 (2,472) Complete detalls ofthe Income and expendlture are shown In the statement of financial activities on page 25 and in the notes to the accounts. Revlew of transactlons and flnanclal posltlon ol the Charlty The principal funding source for parishes has continued to be donations from parishioners through the Sunday offertory and other donations which have been used primarily to fund the costs of pastoral activity, maintenance of buildings and administration in the particular parishes in which the donations were received. This source of income is 79% of the parish total. This Increased from £2.6m in 2022 to £3.4m in 2023. Total Curia income decreased from £0.6m in 2022 to £0.29m in 2023. Total expenditure decreased from £3.8m in 2022 to £0.88m in 2023. 15
Dromore Diocesan Trust Report of the Trustee (Gontinued) The reserves of the Charity at 31 December 2023 total £28.5m (2022.. £25.7m) and of this total £29m relate solely to the assets and activitles of 5ndividual parishes and are not available for the non-parish general purposes of the Charity. Curla total reserves are in deficit (£0,5m) at the year- end. The Curia has a negative unrestricted reserves balance which has arisen due to Ihe provision for liabilities and charges, The Trust regularly réviews its potential liabilities in relation to safeguarding issues. As these have grown in recent years, resulting trom an increase in the number of clalms brought against the Dlocese, the curial unrestricted reserves havo moved further Into deficit. The Trust conslders the resolution of safeguarding issues as of highest priority and Is actlvely commltted to seeking a resolution that brings some level of closure and restitution to the vlctlms. The Trust regularly revlews Its potential liabilities and lists them on the balance sheet. It has also engaged In a process of identifying assets that can be realised to meet those liabillties. The Trust recognises that, the in line with ils fixed assets policy, the carrying value of Its fixed assets on the balance sheet is stated at cost less depreciation which is considerably less than the realisable value of those assets. The Trustee Board have identified unrestricted assets that could be sold to redress the nègative reserves balance (see report on Safeguarding on pages 11-121. The Trust has determined that, once resolved, its future internal incomes and expendltures can be managed in the medium term to accumulate sufficient assets to offset any remainlng deficit In these reserves. Investment Policy and Performance The Trust Deed authorlses the Trustee to make and hold investments. The Trustee has appolnted Davy Charities as Investment Managers. The managers have full discretion to inves( subject to the parameters laid down by the Trustee. There is a regular review of informatlon from the Investment Managers whlch monitors the performance of the portfolio and the Investment strategy. Furth8r detalls are set out al note 14. At present the Diocesan Finance Committee Ilaises with the current Investment managers, monitors the performance and reports to the Trust Board. Under Charity Law the Trust Board must seek to obtaln the best financial return possible consistent with commercial prudence. Investment ObJectlve8 The Trustee Board has adopted investment objectlves that seek to protect and enhance the real value of the Diocesan Assets over the long term whlle also achieving agreed rates of income generation. In fulfilling these objectives, the Trustee Board adheres to an ethical policy that precludes investment in asset classes directly or mainly Involved In the manufacture andlor supply of goods and services which are not accordance with the teachings of the Roman Catholic Church. Environmental issues are also a factor with the Trustee Board seeking to invest in low carbon or carbon neutral investments. In March 2020, the Trustee Board approved to divest from all comp8nies directly involved in fossil fuels in the Dlocesan Trusvs Investment Portfolio, The Diocesan Trust Investment Portfolio (£1.,105m) currently managed by Davy Investment Managers is invested over the mediurn to long term wlth emphasis on current income with a low- medium risk profile. 16
Domore Diocesan Trust Report of the Trustee (continued) Reserves Policy The Trust recognises that its income arises primarily from voluntary donatlons and that accordingly it is important to seek to carry adequate levels of reseryes to ensure its ablllty to meet future expenditure commitments as they arise. Parishes are encouraged to maintaln adequate short-term reserves to ensure that they can meet operating costs In the short-term and to bulld longer-term reserves that will be available if 5ubstantlal commllments, such as bullding refurbishment projects, arise in the future. The Diocese centrally alms to malntain adequ8t6 levels of reserves to meet Diocesan operating costs in the short to medlum term and to provide for any slgnificant expenditures and contingencies that may arise at future dates Unrestrlcted funds are not all freely avallable, should the charlty need Immedlate access to reserves. In order to ensure that the organisatlon has access to funds It is necessary to adjust unrestricted resérves as recommended by SORP 2019 by excluding Fixed Assets as It would be unllkely that the organisatlon would be able to liquidat6 the fixed assets in a timely manner, Our reserves position is heavily impacted by our high asset base which includes Churches which the Board have no intention of selling. The Trustee Board monitors our reseNes position and the cash In bank balances on a regular basis to ensure there is no immediate risk to the Twst. The Charity recogni5es that by excluding Fixed Assets it has a negative unrestricted reserves balance. The Charlty has been impacted by an increase in its provision for liabilities this year. The Trust has a strong Gash position at the year end 2023 of £3.6m which equates to twenty four months of planned operating expenditure going forward, The Charity will Gontinue to monitor thls posltlon and actlvely take steps to address this position by realislng assets and reducing costs. The Charity's targeted policy Ss to maintain 6 months unrestrlcted expenditure as free reserves and it will continue to work to achieve this position of Ilquidlty. Flnanclal Management With the pro-active involvernent of the Trust Committees, Diocesan resources are managed to tightly control all costs in particular property and human resourceslemployment costs. The Trust Committees pursue a policy of obtaining value for money and protection of Diocesan assets. The management of the Trust propety buildings, with input from the Building and Property Committee, is time consuming and costly. However, the resour of propety is key to engaging with the Charity's stakeholders and essential for the public benefit it provides. The Personnel Committee focu5es on the costs of employments and compensatlng employees falrly. The Finance Committee monitors general overheads, one-off expenditure and the financl81 Impllcations of the Building and Property Committee declslons as well as actlng as a sounding board for all the Trustee Committees. Targeted fundraislng Is employèd when major expendllure projects are being planned which would otherwise put too much straln on exlstlng resources. Future plan8 This brief overview reflects the work of the charity in the current year and also Indicates its on- going commitment in regard to fulfilling the principal aims and objectives of the Charltable Trust into the future. The Diocese of Dromore wlll contlnue to build upon and develop the Initiatives and activities outlined in the narrative above and so continue to fulfil the principal aims of the Charity. In addition, primary focus of the Trustee is to secure the long-term financial stability of the Diocese, The appointment of Archbishop Eamon Martin, as Apostolic Administrator, means that the Diocese continues to manage the Issues facing the diocese. Periodically the Trustee undertakes a review exercise in respect ofall aspects ofthe activities of the Charity through reports from Parish Priests, Parish Administrators and thé various bodies whlch are constituent parts of the Diocese. The Trust will continue to build upon the work undertaken to date and will continue to foster strategic 17
Domore Diocesan Trust Report of the Trustee (continued) stakeholder engagement, In support of our work, excellent organisational governance wlll remain a priorlty focus, ensurlng compliance and delivering required assurances to all our stskeholders. The Ilnancial statements reflect a deficit in unrestricted curia reserves at the end of the year of £3.1 m that has arisen from the increasing provision for claims made against the Diocese and the cost of the Redress Scheme launched in September 2021. The Board of Directors of the Trustee have met on numerous occasions since being informed of the increasing provision for claims. It has taken advlce from legal and financial specialists and is implementing a plan of action, Firsiiy, Trustee is reviewing the assets held within the curia to identify those asset¥ that can be realised and gener8t& gains that will allow the unrestricted curia fund5 to settle the liabilities within the provision as they fall due. It is expected that the provision will fall due over a number of year8, Secondly it has been reviewing 811 assets to establish more clearly which are clearly restricted and beyond the use of the Curla, Thirdly, it has commenced actions with assets that have been identified with development potentlal and the Trustee has commenced discussions around the process of increasing the asset value with a view to selllng these to developers. Finally, it is exploring other avenues to raise funds that can ba utilised for the settlement of claims. The Trustee is of the opinion that assels can be identified and work undertaken to increase thelr value and these can be subsequently sold and gains achieved to allow the unrestricted curia funds to settle the liabilities within the provisions as they fall dLJe. Slgned on behalf of the Trustee on.. 31 October 2024 Most Reverend Eamon Martin, Apostolic Administrator Reverend Feidhlimidh Magennis 18