7800 Carousel Lane | Richmond, VA 23294 • www.McMahonParater.org

2016-17

A N N U A L R E P O R T

MCMAHON PARATER SCHOLARSHIP FOUNDATION

hen the late Bishop Francis X. DiLorenzo established the McMahon Parater Foundation, his intentions were clear: that every parent who wants a Catholic education for their child should encounter no insurmountable obstacles. When cost is the obstacle, we must find a way to remove that obstacle.

The Board and staff of McMahon Parater see our efforts as a support for and a participation in the Church’s mission to share the Good News. While the Foundation is about providing a quality education, it is also about bringing young Catholics to a school where their faith is integrated into their academic and character formation, helping students to achieve their goals. Side by side with scholastic efforts are prayer and service to our communities.

Pope Francis said, “Our educational work should have a purpose: to elicit a change in our students, to make them grow in wisdom, to help them undergo a transformation, to provide them with knowledge, with new feelings and, at the same time, achievable ideals.”

The work of the McMahon Parater Scholarship Foundation is likewise transformative. We believe that removing financial barriers to Catholic education encourages families, strengthens their faith, and helps them to understand and to live Christ’s teachings together.

I thank all of the donors and volunteers who have brought us this far, and I look forward to working together to assist even more families in the future.

Sincerely,

Most. Rev. Barry C. Knestout

A Reflection from His Excellency, Most. Rev. Barry C. Knestout

Most. Rev. Barry C. Knestout 13th Bishop, Catholic Diocese of Richmond

Most Rev. Francis X. DiLorenzo 12th Bishop, Catholic Diocese of Richmond

Bruce C. Holbrook, Chair Principal, Bruce Holbrook Consulting, Inc.

Raymond F. Honeycutt, President Superintendent of Schools, Catholic Diocese of Richmond

Kathleen B. Barrett, Treasurer Chief Exectuive Officer, St. Joseph’s Villa

Walter J. Malone Senior Vice President, Village Bank

Robert E. Martinez, Ph.D V.P. Business Development, Norfolk Southern Corp.

Stephen Reardon, Esq. Partner, Spotts Fain P.C.

Thomas (Tom) Strassburg Retired

Honorable Geline Williams Former Mayor of Richmond, VA

Margaret I. Keightley Executive Director, Catholic Community Foundation

Joyce A. Schreiber Director, McMahon Parater Scholarship Foundation

Board of Directors

W

MCMAHON PARATER SCHOLARSHIP FOUNDATION

Iam grateful to our donors and for the work of my colleagues on the Board of Directors of the McMahon Parater Scholarship Foundation (MPSF). Because of your support, enrollment in the 29 Catholic schools in our Diocese stabilized for the 2017-18 school year.

For the fiscal year ended June 30, 2017, we assisted 965 students with scholarships averaging $2,532 thanks to your gifts. The $2,443,066 in scholarships for that time period assisted Catholic and non-Catholic students throughout the Diocese of Richmond. While we have increased scholarship amounts, since that time we are only meeting 60% of the need, so there is more work to be done.

I am happy to report that MPSF will be helping students with scholarships at a new school that opens the fall of 2019. Cristo Rey High School in Richmond will be a Catholic learning community that exclusively serves low-income inner-city youth. The Cristo Rey Network comprises 32 schools nationwide and includes a four-year Corporate Work Study Program.

The need for tuition assistance continues to grow. For those not yet a part of this life changing cause, consider giving the gift of a Catholic education, while gaining a tax credit, a win-win.

Your gifts of prayers as well as financial resources will enable us to expand the number of students we aid. The scholarship recipients and their families thank you for making a significant impact in their lives.

May the Good Lord bless you,

Bruce C. Holbrook, Chair

Changing the Trajectory of Students’ Lives - One Scholarship at a Time

Th ose powerful words should be a challenge to all Catholics as we embrace our faith and work to pass that faith to the next generation.

Schools within the Catholic Diocese of Richmond are committed to providing this gift. The doors to our schools are open; the opportunity to develop God-given talents awaits. It is truly a gift that keeps giving! The McMahon Parater Scholarship Foundation continues to be the key to assuring that this gift is available to all our children.

Your generous support helps families experience the difference that is Catholic education!

Raymond E. Honeycutt, Superintendent Office of Catholic Office of Catholic Schools

The future is now…

I would never have been able to send my child to All Saints, let alone any private school without the assistance given to me from the tax credit program...

MCMAHON PARATER SCHOLARSHIP FOUNDATION

Virginia Beach: Saint Gregory the Great Catholic School

Saint John the Apostle Catholic School

Saint Matthew’s Catholic School

Star of the Sea Catholic School

Bishop Sullivan Catholic High School

Norfolk:Christ the King Catholic School

Saint Pius X Catholic School

Saint Patrick Catholic School

Portsmouth:Portsmouth Catholic Regional SchoolPeninsula:Our Lady of Mount Carmel Catholic SchoolSaint Mary Star of the Sea Catholic SchoolPeninsula Catholic High SchoolWilliamsburg:Walsingham AcademyHenrico:Our Lady of Lourdes Catholic SchoolSaint Mary’s Catholic School

Chesterfield:Saint Edward-Epiphany Catholic SchoolRichmond:All Saints Catholic SchoolSaint Benedict Catholic SchoolSaint Bridget SchoolBenedictine College PreparatorySaint Gertrude High SchoolPowhatan:Blessed Sacrament Huguenot Catholic SchoolPetersburg/Tri-Cities:Saint Joseph School

Charlottesville:Charlottesville Catholic SchoolLynchburg:Holy Cross Regional Catholic SchoolDanville:Sacred Heart SchoolRoanoke:Roanoke Catholic SchoolBlacksburg:Saint John Neumann AcademyBristol:Saint Anne Catholic SchoolSC

HO

OLS

MCMAHON PARATER SCHOLARSHIP FOUNDATION

Financial Report

REVENUESContributions, NetContributions from Bishop of RichmondRealized Gain (Loss) on InvestmentsUnrealized Gain (Loss) on Investments Interest Income, Net of Investment

Expenses of $33,615 in 2017, $31,119 in 2016

Total Revenues

EXPENSES Program Services:

Tuition Assistance, Net Awards to Designated Schools

Total Program Services Administrative and General

Total Expenses

CHANGE IN NET ASSETS FROM OPERATIONS

Transfer of Funds to Catholic Community Foundation

TOTAL CHANGE IN NET ASSETS

Net Assets - Beginning of Year

NET ASSETS - END OF YEAR

(9,229,933) 2,712,277

13,018,804 10,306,527

$ 3,788,871 $ 13,018,804

3,315,010 2,472,581

2,266,351 2,712,277

(11,496,284) -

20,000 -3,036,136 2,277,804

278,874 194,777

5,581,361 5,184,858

3,016,136 2,277,804

168,891 166,000515,758 (9,153)149,228

75,532

(272,946)

70,108

2017 2016

$ 4,671,952 $ 5,230,849

MCMAHON PARATER SCHOLARSHIP FOUNDATION

Statements of Activities Years Ended June 30, 2017 and 2016

2017 2016ASSETS

CURRENT ASSETSCash and Cash Equivalents $ 3,724,779 $ 2,085,300Pledges Receivable - Current Portion, Net 125,000 33,471Receivable from Catholic Community Foundation 170,597 -

Total Current Assets 4,020,376 2,118,771

NONCURRENT ASSETSInvestments - 8,878,667Pledges Receivable - Long-Term Portion, Net 47,257 2,216,110

Total Noncurrent Assets 47,257 11,094,777

Total Assets $ 4,067,633 $ 13,213,548

LIABILITIES AND NET ASSETS

CURRENT LIABILITIESAccounts Payable $ 278,762 $ 194,691

Total Current Liabilities 278,762 194,691

NONCURRENT LIABILITIESOther Liabilities - 53

Total Noncurrent Liabilities - 53

Total Liabilities 278,762 194,744

NET ASSETSUnrestricted 22,791 22,099Temporarily Restricted 3,766,080 5,482,012Permanently Restricted - 7,514,693

Total Net Assets 3,788,871 13,018,804

Total Liabilities and Net Assets $ 4,067,633 $ 13,213,548

*see our website for more �nancial information, McMahonParater.org

Statements of Financial Positions

June 30, 2017 and 2016*

Individuals and businesses making contributions to MPSF under Virginia’s EISTC program will receive a Virginia tax credit equal to 65 percent of the donation, in addition to the federal and state deduction for charitable gifts, if the donor itemizes. Note that:

• These contributions provide scholarships for low and middle income students to attend one of the 29 Catholic Schools in the Diocese.

• The minimum donation for individuals is $500; the maximum donation for individuals is $125,000. There are no limits for businesses, including sole proprietorships. Donations may be monetary or marketable securities.

• Credits can be applied to the current year’s return or carried over for up to five years. (Please consult your tax advisor to determine your specific tax savings.)

Education Improvement Scholarships Tax Credits (EISTC)