2012 ANNUAL REPORT

Investing in Our Children

2 McMAHON PARATER FOUNDATION

Board of DirectorsMost Reverend

Francis X. DiLorenzoBISHOP OF RICHMOND

Mr. Charles V. McPhillips CHAIRMAN

Ms. Annette Z. Parsons PRESIDENT

Ms. Kathleen Burke Barrett TREASURER

Mrs. Francine Conway SECRETARY

Mr. Barry J. Fitzpatrick CHAIRMAN

INVESTMENT COMMITTEE

Mr. Henry BerlingDr. J. Alfred Broaddus, Jr.

Mr. Douglas FarleyMr. Bruce C. Holbrook

Mr. Thomas J. LauxDr. Robert E. Martínez

Mr. Stephen G. ReardonMr. Thomas M. Strassburg

The Honorable Geline B. WilliamsMr. Richard Woestman

Honorary Campaign Chairmen

Dr. Robert L. A. Keeley, M.D.Dr. Eugene P. Trani

General Anthony C. Zinni

Investment Committee

Mr. Barry J. FitzpatrickCHAIRMAN

Mr. J. Alfred Broaddus, Jr.Dr. Robert Conroy

Mr. Charles V. McPhillipsMr. David D. PlagemanMr. Richard Woestman

Richmond Leadership Gifts Committee

Ms. Kathleen Burke BarrettMr. Henry H. Berling

Mr. J. Alfred BroaddusMr. Peter Farrell

Mr. Stephen G. ReardonDr. Eugene P. Trani

The Honorable Geline B. Williams

Tidewater Leadership Gifts Committee

Mr. Richard F. Barry, IIIMr. John F. BiagasMr. Mark Biagas

Mr. Randy J. BiagasMs. Miriam Cotton

Dr. Deborah M. DiCroceMr. William Edwards

Mr. Todd GerberMr. Bruce C. HolbrookDr. Robert E. Martínez

Mr. Vincent J. Mastracco, Jr.Mr. Charles V. McPhillips

Mrs. Karen SparksMr. George Stenke

Mr. John WilcoxMr. W. Lewis Witt

Mrs. Margaret I. Keightley

EXECUTIVE DIRECTOR MCMAHON PARATER FOUNDATION

Catholic Education for the Leaders of TomorrowThe Most Reverend Francis X. DiLorenzo

Bishop of Richmond

After four years of hard work and collaboration by the Virginia Catholic Conference, our own Office of Catholic Schools, our Finance and Development teams, and the legislators of the Com-monwealth of Virginia, Catholic school children in the Diocese of Richmond are now beneficiaries of the Education Improvement Scholarships Tax Credits program.

Virginia has joined a growing list of states allowing taxpayers who contribute to foundations funding private school scholarships to receive substantial tax ben-efits for their donations. Under Virginia’s program, an individual or business receives a 65% state tax credit, in addition to all the state and federal benefits for charitable contributions.

This program is scheduled to run through the year 2028, meaning we have entered a new period of opportunity to make our Catholic schools better and stronger than ever.

In addition, the McMahon Parater Foundation continues to participate in the Neigh-borhood Assistance Program (NAP), through which we are growing the Foundation’s endowment for tuition assistance.

Having recently received renewed accreditation, and with a dozen national Blue Ribbons in hand, the Diocese of Richmond schools stand poised to educate the leaders of tomorrow in our Catholic tradition.

Ensuring an Excellent, Affordable Catholic EducationCharles V. McPhillips, Esq.

Chairman, McMahon Parater Foundation

The primary objective of the McMahon Parater Foundation is to ensure that an excellent, affordable Catholic education is available for every family willing to sacrifice for their children: i.e., a Catholic education that affirms their faith, builds character and prepares their children intellectually for the challenges of the 21st Century.

Although the Foundation and the Diocese together contributed approximately $1.2 million in scholarships last school year, there is so much more to be done. Every year we leave almost 2,000 seats

unfilled in our Catholic schools because families cannot afford the tuition. If we could simply meet a decent share of their documented financial needs, we could welcome scores of addi-tional children into our Catholic schools.

We have the teachers. We have the buildings. It is borderline sinful that we leave so many seats empty in classrooms staffed by outstanding Catholic educators, especially when we know that there are families who are desperate to fill those seats.

In partnership with the Diocese, the work of this Foundation is beginning to have a positive impact. For the third straight year, all 29 Catholic schools in the Diocese re-opened. Enrollment has finally stabilized and now it should start to grow. We owe this success to the generosity of faithful Catholics and other friends who believe that this incredibly valuable institution — Catholic education — must be extended for the present and future benefit of our families and our faith community.

The McMahon Parater Foundation’s financial goal is to build an endowment of over $15 million to preserve and expand enrollment in our Catholic schools for years to come. We also invite you to learn more about the Commonwealth of Virginia’s new Education Improvement Scholarships Tax Credits Program. Together, we can ensure that future gener-ations will receive an education that is academically rigorous, grounded in morality and personal discipline, and inclusive of children from all walks of life. Please join us in this effort.

2012 ANNAUL REPORT 3

Diocese of Richmond Catholic SchoolsA TRADITION OF EXCELLENCE …

According to the Cato Institute in its February 2012 report on schools, “One of the first things you learn when you start to study the comparative performance of school systems is this: on average, Catholic schools are much more educationally effective and vastly more efficient than state-run schools.”

Higher Test Scores: Catholic schools score higher on stan-dardized test scores. A report by the National Center for Educa-tion Statistics shows that in science alone, 8th graders in Catholic schools scored 11 points higher than their public school counter-parts in 2011. Within the Richmond Diocese, our schools

consistently rank in the top 10% on standardized test scores.

Higher SAT Scores: SAT scores published by the U.S. Department of Education show a steady decline in test scores over the last six years with mathe-matics scores falling by 6 points and writing falling by 8 points since 2006. By contrast, SAT scores for Catholic schools con-tinue to grow with an average

score of 1657 last year in the Richmond Diocese compared with the national average of 1477.

Higher Graduation Rates: Diocese of Richmond Catholic schools maintain a 99% graduation rate. The U.S. average accord-ing to the National Center for Higher Education is 75.5%.

More Graduates Attend Four-Year Colleges: The percentage of seniors attending a four-year college is higher among Catholic school students (84.9%) compared to other religious schools (61.3%) and other private schools (57.2%). In the Diocese of Richmond, over 95% of our graduates are attending four-year colleges.

More College Scholarships: In the Richmond Diocese alone, more than 50% of graduating seniors received college scholar-ships in 2011–2012 totaling $24 million.

… A CHALLENGE FOR FAMILIES

2009–10 2010–11 2011–12

779 children 858 children 1,067 children $1,003,750 $1,003,600 $1,272,340

Funding Our Strategic Vision

“It is the responsibility of the entire Catholic Commu- nity — bishops, priests, deacons, religious, and laity — to continue to strive toward the goal of making our Catholic schools available, accessible, and affordable to all Catholic parents and their children…”

THE UNITED STATES CONFERENCE OF CATHOLIC BISHOPS

The McMahon Parater Foundation was established in 2008 as a 501( c )3 organization to sustain and ensure the future of Catholic schools in the Diocese of Richmond. The Foundation began with income from an endowment administered by Bishop Francis X. DiLorenzo and was named for two individuals who attended Catholic schools and were of vital importance to the Catholic Diocese of Richmond: Monsignor John J. McMahon and seminarian Francis J. Parater.

For Catholic Schools to remain viable into the future, they must provide a high quality product at a price the average family can afford. To fulfill this mission, the Diocese has set a fundraising goal of $15,000,000 in endowment monies to fund three main priorities:

Tuition Assistance: $12,000,000

The McMahon Parater Foundation recognizes the importance of affordable Catholic education for all families. Currently, tuition assistance does not keep pace with the needs of even the lowest income families. By providing tuition assistance through scholarships, the Foundation helps to ensure that schools in the Diocese of Richmond remain a financially viable option for Catholic families and others who share our values.

Academic Resources and Programs: $1,500,000

The Foundation recognizes that there are significant academic resources and programs critical to Catholic schools in order for them to remain competitive. Funds will be available for innovative curriculum enhancements, state of the art technology and science labs, and expanded athletic facilities. These resources and programs will augment classroom instruction and enhance the overall student experience.

Professional Development Opportunities: $1,500,000

The Foundation believes it is imperative that educators are provided with meaningful and relevant professional development opportunities on a regular basis. Professional development enables teachers to be on the leading edge of advances in education practices and to continue and further their knowledge of the Catholic faith.

This results in teachers who are able to pass on the gifts of both faith and knowledge to students through word and example. Through these ongoing opportunities, teachers receive appropriate religious and professional formation to enable them to live out their vocation to educate effectively.

Diocese of Richmond Catholic School children receiving financial aid awards through the McMahon Parater Foundation

4 McMAHON PARATER FOUNDATION

Holy Cross Regional Catholic School, Lynchburg — the Luther FamilyAll the members of the Luther family are active and engaged in virtually every aspect of Holy Cross Regional Catholic School in Lynchburg. Daughter Maddie is now entering the fifth grade, and twins Austin and Emma are about to start grade two. The children have received scholarships from the McMahon Parater Foundation.

Patricia Culbreth, the Principal of Holy Cross Regional Catholic School says, “The Luthers have been devoted members of our Holy Cross School community. The children are delightful and very involved in our school. Steve and Sarah spend countless hours volunteering at the school.”

Parents Sarah and Steve Luther are both members of the school PTO, and have served as committee chairs for the Holy Cross annual fundraising Yard Sale. Recently, Steve has also joined the School Board.

Patti goes on to say, “My favorite memory of the Luther family is that they used their vacation time one summer to come to the school and paint our athletic offices and weight room — and then donated their own weights to our program. Talk about dedication!”

Portsmouth Catholic Regional School – the Griffin Family“I am very grateful the Diocese of Richmond has worked very hard in establishing and growing the McMahon Parater Foundation, which enables families desiring a Catholic education to make this a reality.”

So says Mary Ellen Paul, the Principal of Portsmouth Catholic Regional School. Because of McMahon Parater scholarships, 41 children received grants to attend Portsmouth Catholic, representing nearly $6,500 in aid to the school.

In particular, says Mary Ellen, “We are very privileged to have the Griffin family as part of our Portsmouth Catholic Regional School Family. They are a wonderful family!”

Jason and Sarah Griffin have three children attending Ports-mouth Catholic — Cullen is entering the seventh grade, Lilith is going into grade four, and Barrett will be a first grader this year.

Mary Ellen goes on to say, “Cullen, Lilith, and Barrett each add to their classes and share God’s love and their unique talents and gifts with our whole faith community. Cullen is also an altar server for our school Masses.”

How does the McMahon Parater Foundation determine who qualifies for aid? All families seeking financial aid must complete a FACTS application form, including supporting documents. FACTS will verify supporting documents and assess a family’s ability to pay and determine the amount of need.

How do I apply for financial aid? Families must complete the FACTS application by March 1 for existing families or June 1 for new families and families with business income. Families can apply online at www.factstuitionaid.com.

When are awards distributed? Awards will be granted to each applicant by April 1 for Round 1 families and July 1 for Round 2 families. Principals are required to verify that the aid provided by

the Foundation has been accepted by the family and the student is enrolled and attending their school by September 15. Distribution of the MPF monies will be available after October 1 of the new school year, and will be sent to the school on the child’s behalf and credited towards tuition. Should a family decline the MPF financial aid or should a family leave the school during the year, the Foundation must be notified immediately.

How much will be awarded? The awarded amount will not exceed $1,000 per student, with the exception of funds from Virginia tax credits scholarships. Those awards will not exceed FACTS calculated need, or the limit established by the Virginia Department of Educa-tion for the Scholarships Tax Credits program, whichever is lower.

Qualifying for Assistance

SCHOOL HIGHLIGHTS

2012 ANNAUL REPORT 5

Statements of Financial Position McMAHON PARATER FOUNDATION FOR EDUCATION — JUNE 30, 2012 AND 2011

ASSETS 2012 2011

Cash and Cash Equivalents $ 9,170 $ 20,246

Investments 1,564,301 922,426

Pledges Receivable, Net 1,091,256 1,617,353

Beneficial Interest in Charitable Remainder Trust, Net of Discount of

$108,248 in 2012, $137,366 in 2011 2,369,798 2,238,563

Total Assets 5,034,525 4,798,588

LIABILITIES AND NET ASSETS

Liabilities

Tuition Assistance Awards Due $ - $ 152,050

Awards to Designated Schools Due 10,000 5,000

Total Liabilities 10,000 157,050

Net Assets

Unrestricted 21,491 23,946

Temporarily Restricted 2,679,525 2,540,734

Permanently Restricted 2,323,509 2,076,858

Total Net Assets 5,024,525 4,641,538

Total Liabilities and Net Assets $ 5,034,525 $ 4,798,588

Statements of Activities McMAHON PARATER FOUNDATION FOR EDUCATION — YEARS ENDED JUNE 30, 2012 AND 2011 2012 2011

Temporarily Permanently

Unrestricted Restricted Restricted Total Total

REVENUES

Contributions, Net $ - $ 24,956 $ 283,340 $ 308,296 $ 604,709

Contributions from Bishop of Richmond 16,467 - - 16,467 164,732

In-Kind Contributions 181,362 - - 181,362 299,113

Change in Value of Charitable Remainder Trust - 131,235 - 131,235 67,902

Interest Income - 2,600 - 2,600 564

Total Revenues 197,829 158,791 283,340 639,960 1,137,020

NET ASSETS RELEASED FROM RESTRICTIONS

Change in Donor Restrictions 36,689 - (36,689) - -

Satisfaction of Purpose Restrictions 20,000 (20,000) - - -

Total Revenues and Reclassifications 254,518 138,791 246,651 639,960 1,137,020

EXPENSES Program Services

Tuition Assistance, Net 15,400 - - 15,400 152,050

Awards to Designated Schools 49,189 - - 49,189 70,000

Scholarships, Merit Based 10,000 - - 10,000 -

Total Program Services 74,589 - - 74,589 222,050

Supporting Services

Administrative and General 182,384 - - 182,384 121,091

Fundraising Expenses - - - - 183,300

Total Supporting Services 182,384 - - 182,384 304,391

Total Expenses 256,973 - - 256,973 526,441

CHANGE IN NET ASSETS (2,455) 138,791 246,651 382,987 610,579

Reclassification of Net Asset Classification - - - - -

Net Assets, Beginning of Year 23,946 2,540,734 2,076,858 4,641,538 4,030,959

Net Assets, End of Year $ 21,491 $ 2,679,525 $ 2,323,509 $ 5,024,525 $ 4,641,538

6 McMAHON PARATER FOUNDATION

Mrs. Virginia Ferguson’s Legacy for Catholic Education

Several years ago, when the McMahon Parater Foundation for Education was just getting started, Virginia Ferguson of Virginia Beach learned of its mission and offered to help. Mrs. Ferguson died November 30, 2012, but her transfor-mational gift of $2.5 million to the Foundation will enable students to attend Catholic schools for generations.

During her lifetime, Mrs. Ferguson directly provided tuition assistance to students at Bishop Sullivan Catholic High School in Virginia Beach. Robert Goodman, Jr., her attorney and long-time family friend, said, “Mrs. Ferguson believed in the importance of education. She paid privately for several students’ tuition.

“She was also delighted when the opportunity arose for her to see that the substantial bequest under her father’s will could be used for education. . . She jumped at the chance to

put those funds to work in a manner she felt strongly about. She received some well-written notes of appre-ciation from some of the students her donations assisted and those responses reinforced her pleasure in her gifts.”

Indeed, when Margaret Keightley, Executive Director of the Foundation, visited her in 2010, Mrs. Ferguson brought out the thank-you letters she had recently received from Bishop Sullivan High School.

“The vision of Bishop DiLorenzo has always been to ensure that every child in our Diocese who wants a Catholic education will get it, regardless of financial ability,” said Mrs. Keightley. “Because of those who have shared their gifts with the Foundation, like Mrs. Ferguson, we are closer to making this goal a reality.

Mrs. Ferguson’s legacy lives on in the mission of the McMahon Parater Foundation endowment and the students who are able to attend Catholic school because of the assis-tance they receive. Legacy giving is one of the most effective ways to grow an endowment and can take many forms such as a bequest through a will, a trust arrange-ment, life insurance, or real estate.

Individuals who include a bequest for the McMahon Parater Foundation in their estate plans are enrolled in the Diocese of Richmond’s “1820 Circle”, which honors its members through an annual recognition event with Bishop DiLorenzo, special invitations to Diocesan events, private tours of the Pastoral Center, select parishes, schools and ministry sites, and a biannual newsletter on current develop-ments in estate planning.

The Purcells: It’s All About ValuesHarold W. (Hal) and Anita Purcell of Midlothian have very specific reasons for contributing to the McMahon Parater Foundation — to support the values, principles and morals which they hold dear.

Hal says, “I’m a big believer, and I believe our forefathers were also, that Judeo-Christian values and principles are critical to a civilized society and a society that exhibits attributes that ensure

the freedoms we enjoy.”Hal has had a distin-

guished career in origination and management capacities in commercial mortgage and real estate investment banking. He has also been a Board member of the University of Virginia Student Aid Foun-dation and of the Northeast

Regional Advisory Board of Fannie Mae. Among her many com-munity activities, Anita is a Sustaining Council Member of the Council of Historic Richmond Foundation.

The Purcells are committed to a vision of success for Catholic schools. When asked about their decision to become major supporters of the McMahon Parater Foundation, Hal replied, “It is my hope that the endowment gift established by Anita and me will help at least one child attend the Catholic school system and learn the value system I have described and that they will exhibit Christian morals throughout their life as a result of their Catholic education.”

George Stenke — Service and Support“The Greatest Generation” — that Depression-era age group that helped shape the character of our country — could not be better represented than by George Stenke of Virginia Beach. George grew up on a potato farm in Michigan, one of 12 children. Joining the Navy at age 16, he began as a machinist’s mate and retired a Commander. Upon retirement from active duty in 1969, George began a second career as an entrepreneur, establishing Pickett Road Enterprises and Harmony Road Properties.

A true philanthropist, George and his late wife Jose-phine provided generous support to the poor and disadvantaged of Hampton Roads. They were the first recipients of The Bishop of Richmond Diocese Humanitar-ian Award, which honors service to the community and efforts to improve the lives of the less fortunate.

For over 50 years, whether St. Pius X in Norfolk needed a new roof, a gym, a parish hall, or new air conditioning, the Stenkes stepped up. George is also a longtime board member of Catholic Charities of Eastern Virginia, and a founding member of the Catholic Charities Foundation.

It should be no surprise, then, that George has become the first member of McMahon Parater’s Bishop Frances X. DiLorenzo Society, giving over $500,000 to benefit families who want a Catholic education for their children.

2012 ANNAUL REPORT 7

The following gifts and pledges have been made since the commencement

of the McMahon Parater campaign in late 2008 through December 2012.

McMahon Parater Society ($1,000,000+)

Edward Keville Glennan Scholarship Fund

Bishop Francis X. DiLorenzo Society ($500,000–$999,999)

Mr. & Mrs. George Stenke

Bishop Walter F. Sullivan Society ($250,000–$499,999)

BB&TMr. and Mrs. Richard F. Barry, III

Bon Secours Richmond Health System

Bishop John Joyce Russell Society ($100,000–$249,999)

Mr. & Mrs. John F. BiagasMr. & Mrs. Mark Biagas

Mr. & Mrs. Randy J. BiagasMr. and Mrs. Eugene F. BradyThe Church Hill Irish Festival

Mr. and Mrs. Barry J. FitzpatrickMr. and Mrs. John M. GregoryDr. and Mrs. Robert L. Keeley

Mr. and Mrs. Robert McNicholsMr. and Mrs. Harold W. PurcellMr. and Mrs. James H. SparksMost Rev. Walter F. Sullivan

General and Mrs. Anthony C. Zinni

Bishop Peter Leo Ireton Society ($50,000–$99,999)

Mr. and Mrs. David D. Burns, Jr.Mr. and Mrs. James Kaplan

Drs. Robert and Cristina MartinezMr. and Mrs. Charles V. McPhillips

Mr. and Mrs. Frederick Napolitano Sr.Mr. and Mrs. Richard Ray

Mr. and Mrs. Michael SahadyMr. and Mrs. W. Lewis Witt

Bishop Andrew James Brennan Society ($25,000–$49,999)

AnonymousMr. and Mrs. John F. Barrett

Mr. and Mrs. Thomas J. Bliley, Jr.Dr. Deborah DiCroce Ph.D.

Mr. Christian A. HoeserRev. James F. Kauffmann

Mr. and Mrs. Thomas J. LauxMrs. Annette Z. Parsons

Mr. and Mrs. Charles C. RicciDr. and Mrs. John W. Seeds

Ms. Susan ShackelfordSt. Patrick’s Eductional Fund

Mr. and Mrs. Thomas M. Strassburg

Honor Roll of Donors — Building Our Foundation“On behalf of Bishop DiLorenzo, the McMahon Parater Foundation Board of Directors and the Bishop’s Leadership Gift Committees, I would like to express our sincere gratitude for those who have partnered with us in growing our

Catholic schools in Virginia through the Investing in Our Children campaign. The donors listed below are the cornerstone of our effort as we continue to make significant progress towards our overall campaign goal of $15,000,000.”

Margaret I. Keightley, Executive Director of Advancement

Dr. and Mrs. Eugene P. TraniMs. Anne Marie Whittemore

Mrs. Geline B. WilliamsMr. and Mrs. Richard Woestman

Bishop Dennis Joseph O’Connell Society ($10,000–$24,999)

AnonymousMr. and Mrs. Thomas Q. BenedettiMr. and Mrs. J. Alfred Broaddus, Jr.

Mr. Paul Campsen and Dr. Carrie WhiteGrace Cullen Cantonwine Memorial

Scholarship FundDr. Robert Castellucci

Community Counseling ServicesMsgr. R. R. Cosby

Mr. James S. CreminsMr. Lloyd and Dr. Siobhan Dunnavant

Mr. and Mrs. William EdwardsDr. Edward R. George

Dr. and Mrs. Timothy HardyMr. and Mrs. Henry U. Harris IIIDr. and Mrs. John A. Jane, Sr.

Dr. Robert and Dr. Cynthia KellyMr. and Mrs. Richard N. Knapp

Mr. and Mrs. Vincent J. Mastracco, Jr.Mr. and Mrs. Joseph C. OsborneMr. and Mrs. David D. Plageman

SunTrust FoundationMr. John Wilcox

Bishop Augustine Van de Vyver Society ($5,000–$9,999)

Ms. Kathleen BarrettMr. and Mrs. Michael A. Bellanca

Mr. and Mrs. Peter J. BernardMr. and Mrs. Christopher Conway

Ms. Miriam CottonMr. and Mrs. Bruce C. HolbrookMr. and Mrs. Richard C. Mapp III

Dr. and Mrs. Brian PeppiattMr. and Mrs. Stephen G. ReardonRev. Mr. and Mrs. Ronald A. Reger

Mr. and Mrs. Craig R. SmithMr. and Mrs. Julious P. Smith, Jr.

Bishop John Joseph Keane Society ($1,000–$4,999)

AnonymousMr. and Mrs. Henry A. BerlingMr. and Mrs. Henry H. Berling

Rev. J. M. BiberMr. and Mrs. Joseph Burns

Mr. and Mrs. R. Harvey Chappell, Jr.Mr. and Mrs. Charles Crone

Most Rev. Francis X. DiLorenzoMr. Anthony DiTolve

The Honorable and Mrs. Robert G. DoumarMr. William F. Etherington

Dr. and Mrs. David Gundlach

Mr. and Mrs. Byron N. HarrodCDR and Mrs. Mark Hess, (Ret)

Mrs. Kimberly Loehr JonesMr. and Mrs. Peter J. Kenny

Mr. and Mrs. John W. McAvoyMid-Atlantic Catholic Schools Consortium

Mr. and Mrs. Lee D. MurphyDr. and Mrs. Steven M. PowellThe Ryan Club Charitable TrustMr. and Mrs. William A. Sigler

St. Edward-Epihany SchoolWells Fargo Foundation

Mr. and Mrs. Edward S. Whitlock, IIIDr. and Mrs. Armistead D. Williams, Jr.

Bishop James Gibbons Society ($500–$999)

Mr. and Mrs. William F. Flanders, Jr.Mr. and Mrs. Roy Gignac

Rev. Mr. and Mrs. Robert H. GriffinMr. and Mrs. Robert G. MacionisMr. and Mrs. Matthew D. White

Bishop John McGill Society ($1–$499)

Bishop Sullivan Catholic High SchoolBon Secours Hampton Roads

Bon Secours RichmondMr. and Mrs. David Bovenizer

Mr. and Mrs. David G. CampbellMs. Diane E. CantonwineMs. Emily G. Cantonwine

Mr. Patrick CarlinCol. and Mrs. Stephen J. D’Urso, (Ret)Mr. Wilfred and Dr. Francine Gagne

Mr. and Mrs. James J. Hagerty, Jr.Mr. and Mrs. Raymond E. Honeycutt

Mr. James MarksMr. John Marks

Mr. Keith McKinellMr. and Mrs. Jesse Meadows

Mr. and Mrs. Kevin W. NattrassOlde Yorke Chapel

Mr. and Mrs. Blaise PlagemanMr. and Mrs. Dennis Price

Mr. and Mrs. John PuccinelliSaint Kateri Tekakwitha Catholic Church

St. Benedict Church-KidscareSt. Benedict SchoolSt. Bridget School

St. John Neumann SchoolStar of the Sea School

Mr. and Mrs. Rob J. Strotman

Great care was taken to ensure the accuracy of this listing. If there are any errors or

omissions contained in this report, please contact Margaret Keightley at (804) 622-5121

or mkeightley@richmonddiocese.org.

8 McMAHON PARATER FOUNDATION

Annette Z. ParsonsChief Education Administrator, Catholic Diocese of Richmond

and President, McMahon Parater Foundation

At a time when many Catholic schools across the country have had to close, Diocese of Richmond schools have made a remarkable turnaround. This year we are happy to announce that under Bishop DiLorenzo’s leadership and your extraordinary support, we have turned the corner and after over a

decade of declining enrollments, student enrollment is up! More children are being served, our schools are doing well, and

we’re gaining recognition for having one of the strongest academic and community service-oriented programs in the country.

We were the first Catholic diocese in the nation to be designated as a Catholic school system by the accrediting agency, SACS-CASI. Today we hold the recognition of having 12 National Blue Ribbon Schools in our program and many more who are changing the landscape of education.

Key to this transformation is a 10-year plan commissioned by Bishop DiLorenzo in 2007 to provide strategies and tactics to help make Catholic education available, accessible and more affordable in the coming years.

Most elements of the plan have been completed in just five years, including the creation of the McMahon Parater Foun-dation, and Parish Sharing Initiatives, which have together provided nearly $5 million in scholarships since their inception. We were greatly honored this year to receive a gift for $100,000 from Bishop Sullivan for McMahon Parater scholarships.

2012 was also the year the parental choice legislation was enacted. As a result of the Education Improvement Scholarships Tax Credits program, students new to Catholic schools will have opportunities to receive significant scholarships, while those who help fund those scholarships will enjoy a 65 percent tax credit as well as the federal deduction.

For more information about making a gift to the McMahon Parater Foundation, please contact:

Margaret I. KeightleyExecutive Director of Advancement

McMahon Parater Foundation

7800 Carousel LaneRichmond, VA 23294-4201

(804) 622-5121mkeightley@richmonddiocese.org

www.mcmahonparater.org

Virginia Education Improvement Scholarships Tax Credits

Individuals and businesses making contributions to the McMahon Parater Foundation under Virginia’s new Education Improvement Scholarships Tax Credits program will receive a Virginia tax credit equal to 65% of the donation, in addition to the federal deduction for charitable gifts. These contributions provide scholarships for low-income new students to attend Diocese of Richmond Catholic schools. The minimum donation amount is $500; the maximum donation for individuals is $125,000, but there is no maximum limit for any business, including sole proprietorships. Donations may be monetary or marketable securities. Please consult your tax advisor to determine your specific tax savings. For more information, please contact the Foundation.

Other new initiatives include:• A planning process is underway to complete a demographic

analysis of where our Catholic schools are located and where they should be located in the future.

• A comprehensive facilities analysis of the 24 diocesan Cath-olic schools is being conducted including an audit of each school, looking at physical plant needs, safety and cost saving efficiencies. The study will be completed in 2013.

• The Office of Catholic Education has undergone a successful self-study and has received a new five year grant of accredita-tion by AdvancEd/SACS this year, with commendations.

• The diocese has two new positions to assist schools to grow and thrive. Joyce Schreiber, Director of Development, has joined the team to assist schools with fund-raising and advancement. Karen DeMarino, Marketing Coordinator, will help schools enhance their marketing plans.

As always, we are grateful to our Catholic school parents, teachers, administrators, pastors, Bishop, and all those who have given their time, talent and treasure this past year to help our schools thrive. We are also grateful to our active working Diocesan School Board, chaired by Deacon Bob Griffin, our McMahon Parater Foundation Board, chaired by Chuck McPhillips, and our partners within the Pastoral Center and in the school communities.

Most of all we are grateful for the privilege of educating the faithful leaders of tomorrow’s Church!

Education Transformation