The Faith in the Future initiative will bring major changes to the way in which Catholic schools are funded. Under the current Tuition-parish Subsidy financing model parishes are required to subsidize schools directly through parish ordinary income. Currently, this averages about 23% of total parish ordinary income, but varies greatly from parish to parish.
Under the new financing model, parish support will be paid into a central fund to be used for tuition assistance
and school support. It is anticipated by the end of the phase-in period (the 2011-12 school year), total required parish support will be reduced from the current 23% average and set at a uniform percentage of parish ordinary income.
Parishes, rather than directly subsidizing a school, will send their support to this central fund from which a
Catholic School Foundation will be formed for the sole purpose of providing tuition assistance for those who
need it.
In addition, beginning with the 2009-10 school year, the Catholic elementary schools of the diocese will move to a Need-Based Tuition Assistance/Cost-Based Tuition model. The model will be phased in over a three-year period.
While new tuition rates have not yet been set, the average annual tuition in the diocese presently is $2,430, which falls well short of the actual cost of educating a student, which currently is about $4,000. While the diocese is working out the details of new funding model, tuition rates will continue to be set by the schools, as they have in the past.
In the past, every family has received tuition assistance in the form of parish subsidies, regardless of need. This practice of subsidizing even families who do not have financial need, however, has placed an undue strain on parish finances at a time when parishes need to fulfill other important ministries that serve the Catholic people. The change to need-based tuition assistance and cost-based tuition will provide a more equitable means of financing as well as provide more funding for those who cannot afford to pay the full cost.