If it weren’t a religious institution, the Archdiocese of Los Angeles might be in a heap of legal trouble for taking $115 million from a cemetery maintenance account to pay clergy sex abuse settlements.

But according to the Los Angeles Times, which broke the story, it’s probably legal for the Catholic Church to take money contributed by families for perpetual care—a 15% fee on burial bills at church cemeteries—and use it to defer expenses from the ongoing scandal. The money represented 88% of the perpetual care fund when the church tapped it in 2007 after signing over $660 million to victims of priest molestation.

Knowledge of the church action was limited. The archdiocese briefly mentioned the taking in an online financial statement that initially understated the amount by $39.9 million. It subsequently updated that figure, but didn’t mention its action in a series of meetings with parish groups in 2008 about finances.

The church is currently considering a $200 million fundraising campaign to cover past expenditures and anticipated future costs. Thousands of documents were released three weeks ago that revealed, for the first time, the names of priests and high-ranking church officials implicated in hundreds of molestations and their cover-up.

A recent financial report indicates that the archdiocese has about $551 million in liabilities and, after subtracting its assets, carries about $80 million in debt. An estimated half of its legal obligations from settlements have been picked up by insurance companies.

The archdiocese said the money won’t be missed because day-to-day maintenance at the church’s cathedral mausoleum and 11 cemeteries is paid for out of other funds. A church spokesperson told the Times the perpetual care money won’t be tapped until 2200, after the cemeteries are all filled up.

Presumably by then, a few generations of the faithful will have contributed their 15% toward replenishing the account. The church has collected the funds since 1896.

–Ken Broder

To Learn More:

Cardinal Mahony Used Cemetery Money to Pay Sex Abuse Settlement (by Harriet Ryan, Los Angeles Times)

Catholic Church Considers Launching Fund-Raising Campaign Even as Scandal Swirls (by Ken Broder, AllGov California)

Eternal Faith. Everlasting Life (Catholic Cemeteries of the Archdiocese of Los Angeles)