New School Building Capital Campaign
$8.7 Million Pledged as of 3/2/2024!
The Capital Campaign to raise funds to build a new school is underway. One financial commitment at a time, we will be able to build our new school. This effort will leave our footprints for future generations to enjoy what we have benefited from over the past 100 years.
Remember, anything is possible with God's help and the power of collective prayers, positive energy, and financial commitments. Thank you and may God bless you!
Capital Campaign Committee
Nate Baune Karl Guetter Bruce Plaetz
Paul Daub Mary Franta Kris Tetrich
Fr. Tony Hesse Scott Hanna Gary Rohlik
Monica Rohlik Karen Maertens Cathy Schwarz
Matt Samyn
PRAYER FOR OUR NEW SCHOOL BUILDING PROJECT
Loving God, we who support St. Anne Catholic School, are grateful for all the blessings you have bestowed on us. We are thankful to all who have preceded us, who supported our programs and services, built and improved our current facility, and created the education community we now benefit from. We know that we are stewards of this legacy, and we ask for your wisdom and guidance as we strengthen the future of our education programs by constructing a new school. We join together as we enter to learn Christ and exit to serve Christ. We pray this in Jesus' name. Amen.
Some Frequently Asked Questions
1. How much money is in the Fr. Diehl Endowment
The endowment fund has just over $2,000,000 in the principal.
2. Can we use the endowment principal to help fund the new school building project?
In the past 40 years since the fund was established, those who have contributed to the fund gave their financial support to ensure that St. Anne Catholic School would continue to not only exist, but to ensure it would welcome every student, not just become an elite school for those who could afford it. As a result, the fund is dedicated solely to support the annual operating budget in the event of a downturn in yearly revenue. This provision is clearly stated in the endowment bylaws and the Pastor and Parish Administrative Council have agreed to honor the original intent of the fund and the donors who have contributed to the fund over the past four decades.
3. What is the annual interest earned from the endowment and how is that used?
The annual interest earned from the principal is approximately $70,000. During the Covid Pandemic the interest earned in the past two years was not used to support the school operating budget. Instead, it was reinvested to increase the principal to its present $2,000,000 amount. In place of using the annual interest, the school received COVID-19 Relief Funds that do not have to be repaid. These funds helped support the school operating budget, add much needed technology upgrades, and reduced the parish subisdy for school operations. However, COVDI-19 funding ends on September 30, 2023 and we will, once again need to rely on the annual endowment interest to help support our commitment to provide affordable tuition for any child who wishes to attend St. Anne Catholic School.
4. What about using the interest earned each year to help fund the new building?
By using the $70,000+ interest in the next few years to fund the proposed new building, we strip away our capacity to maintain the school operating budget and keep tuition affordable. In addition, if over the next three years, we were to use the estimated $225,000 (three years times an estimated $75,000 per year) interest for the building, it would represent only 1.85% of the total cost of the building project. The risk to eliminate the annual school operating support in favor of funding a new building is clearly not a wise decision.
5. Will the school enrollment and operating budget be sustainable?
This year, St. Anne Catholic School celebrates 100 years since its founding. Through the course of a century of service, no less than 100 students have passed through its doors each year. The quality of the education delivered, the dedication of the devoted staff, the careful management of resources to ensure affordability, and the multi-generational support throughout the Area Faith Community, provide a strong foundation for ensuring a bright future over the next 100 years. These factors, along with the desire for parents and grandparents to have another option to the public school system and home-schooling make the sustainability of the school a very likely outcome in the years ahead.
6. How much more will a new building cost to operate on a yearly basis?
We can anticipate some degree of increased cost for a new building. The precise amount will not be known until the building is fully designed and we experience 1-2 years of active use. However, it is certain that cost savings will be experienced by using more energy efficient lighting, doors, windows, heating ventilating and air-conditioning equipment and controls. This will create a safer and healthier environment for our children, staff and visitors, along with helping to preserve environmental resources.
7. How much do we need in cash to break ground?
The Diocese of New Ulm requires that all building projects in churches and schools must have 75% of the total project cost in cash and held in an interest earning escrow account designated for the project. This will require that we have $9,132,821 securely in the bank. The remaining 25% or $3,044,274 should be in pledges to be collected or through financing with a plan to pay off the mortgage.
8. If we need 75% of the funds before breaking ground, should I give all I can upfront rather than pledge?
Our $12,223,594 financial goal is a very ambitious challenge. In reality, very few of us have the financial capacity to immediately offer a significant financial contribution to help raise the goal. Most of us will need to spread a significant financial commitment over a multi-year period (2023-2026). Historically, it is a proven fact that a typical household can offer a far larger financial commitment if provided the opportunity to spread it over a 3-4 year pledge period, rather than contribute an immediate one-time gift. This puts us in a difficult "catch 22" position. If we invite immediate one-time contributions, we will raise significant cash up front but nowhere near $12+ million dollars. If we invite financial commitments spread over 3-4 tax years, we will raise far more money in the long-term, but it will also take longer to collect all the contributions. This is the reality we need to deal with.
9. As a business owner and for tax reasons, it is more advantageous for me to fund an advertisement for the new school rather than offer a financial commitment. What type of recognition can I receive?
One of the principles of our proposed project and capital campaign is that we welcome and need support from everyone. As a result, we plan no special recognition or individual signage for donors, businesses, or public/private entities who provide financial support for the project. At the conclusion of the campaign everyone who contributes, regardless of the amount of their financial support, will be listed (name only) in alphabetical order. A designated area in the new building will feature the alphabetical list of contributors.
10. What if I want to wait and see what happens before I offer my decision?
This is a common response we hear from some people and certainly they have the right to respond this way. We may think that we are the only household responding that way. However, the plain truth is that if we withhold our decision on financial support, and others follow the same path, groundbreaking will never take place. Construction (and cost increases) will be pushed out so far in the future, the project will never be completed. We are a community of faith. As a result, we should want to reach our decision and lead with our personal and collective faith, knowing that something very positive will happen if we trust that all project decisions will balance fiscal responsibility and forward thinking. We need each household to step forward in faith knowing that the Lord will never be outdone in terms of the blessings we receive in return.