Raymond T. Purk (left) and Bishop William F. Medley speak to a gathering of priests, diocesan and parish staff, parishioners and others during a Dec. 11, 2025 regional meeting held at St. Pius X Parish in Owensboro on the topic of Christian Brothers Services’ financial shortfall impacting the Diocese of Owensboro. This meeting was the last of a series of meetings held at different locations to inform the people of the diocese of the situation. ELIZABETH WONG BARNSTEAD | WKC

• As the Diocese of Owensboro confronts the serious shortfall in funding for its lay employees’ pension fund, Bishop William F. Medley said, “Our number one priority is to assure that the commitment made to our retirees and present and future employees will be honored. This might include consideration of other pension models in the future, but for now we have to repair what is presently before us.”
• Christian Brothers Services notified their clients this year that the longstanding pension plan has continued to be underfunded since the 2008 economic crisis, resulting in a $800 million shortfall in Christian Brothers’ pension fund. Out of that $800 million, the Diocese of Owensboro’s pension plan is experiencing a $30 million shortfall. As a result, additional funding over and above the normal year-to-year contributions will need to be made.
• Bishop Medley and diocesan leadership are exploring other dioceses’ responses to restore funding over a 25-year period to continue honoring and maintaining diocesan commitment to its lay workers.
• “Our diocesan administration, with professional consultation, is devising several strategies to accomplish our goal of remedying this problem,” said the bishop. “The one common feature of these proposals is that any of them will require sacrifice.”
• Diocesan employees have participated in the pension plan since 1985, and diocesan priests – who are less impacted by these shortfalls – were brought into the plan in 2012. The plan covers over 1,500 diocesan participants (retirees, beneficiaries, terminated vested, disabled and actives). Nationwide, the Christian Brothers plan covers some 180 employers (other dioceses, religious orders, independent schools) and 40,000 participants.
• Bishop Medley and diocesan leadership, with guidance from the diocesan finance council and the priests’ council, held a series of synodal listening sessions across the diocese to discuss the underfunding situation and to gain input from school principals, priests, parishioners, parish staff, and parish finance councils.
• The bishop emphasized that a final decision has not been made and conversations will continue. It is hoped that a plan can be enacted within the first quarter of 2026 as parishes and schools are planning their budgets for the upcoming year.

Related:

Catholic dioceses and schools confront $800 million pension fund shortfall

Originally printed in the January 2026 issue of The Western Kentucky Catholic.