2012 Annual Report. In 2012,

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1 2012 Annual Report In 2012, we committed to constructing a sustainable water system for 42,000 people suffering from an unyielding cycle of drought and famine in Ewuaso Kedong, Kenya. Our efforts to bring Christ s love to these remote villages, and also to many other needy communities around the world, succeeded, carried forward by

2 ...your hands, your feet, HIS CALL

3 A Message from our president obeying the call Before Christ ascended into heaven, he gave one final command to his disciples: Go into all the world. Then, we are told in Mark 16, The disciples went out The book of Acts reveals what happened next. This group of fl awed human beings received the Holy Spirit and came together as one unified body of Christ. Transformed by the Lord s call to action, the apostles used their hands, feet and mouths to transform the world. They preached the Gospel, healed the sick, reached out to the poor, welcomed the outcast and defended the widow and the orphan. Christ called. The apostles responded. Lives changed. Two thousand years later, the pattern remains the same. Christ s call is as relevant in our time as it was in the time of the apostles, and his call is behind every service we provide at Cross Catholic Outreach. In 2012, I was privileged to continue working with committed Catholic leaders around the world in answering the call to evangelize and serve the poor. I ve been blessed by their faithfulness and by the compassion of supporters like you who have given so generously to this crucial work of the global Church. This report on our 2012 programs and financial activities is a testament to God s goodness and to your faith in action. These successes are the result of believers coming together to be Christ s hands and feet to the world. Through your gifts to Cross Catholic Outreach, lives have been touched and God has been glorified. Thank you and may God bless you for helping to give us another successful year of service to the poor! In Christ, James J. Cavnar He said to them, Go into all the world and preach the gospel to all creation. Mark 16:15 1

4 Called to be Christ s hands and feet Inside: A Message from Our President Cross Catholic Outreach at a Glance How We Serve Feeding page 4 Malnourished families, reduced to skin and bones, rely on our food Microenterprise page 10 programs to end their hunger pangs By promoting the value of work and and develop healthy bodies and minds. facilitating success, we re moving the Water page 5 poor from dependency to freedom. The provision of clean water quenches Disaster Relief page 11 severe thirst, reduces child mortality When natural disasters deepen the and improves a community s overall misery of the poor, our ministry health. Education page 8 Orphans page 6 Catholic schools equip desperately Our ministry partners are bringing needy children with the skills to the Heavenly Father s love to orphaned, break the cycle of poverty and Financials abandoned and vulnerable children. achieve a bright future. You Have Made a Difference 14 Medicine page 7 Housing page 9 Shipments of basic medications are A simple, solid new home brings Pope Francis, Advocate for the Poor saving lives in countries where the safety, stability and dignity to families A Message from Our Board. 16 poor suffer injury and illness without accustomed to sleeping on dirt floors access to the most basic health care. in rickety shanties. Cross Catholic 2013 Board of Directors partners rely on our readiness to provide emergency aid. We will be judged by God on charity, on how we have loved our brothers and sisters, especially the weakest and most needy of them. Pope Francis 2

5 Cross Catholic at a Glance 28 the number of countries that received our aid 175 the number of projects we supported with the help of generous Catholics 5.2% the percentage of expenses used for overhead costs $5,965,691 the total value of grants-in-aid given to the poor $180,490,179 the total value of goods shipped to the poor $186,455,870 total aid provided to the poor Cross Catholic Outreach is a Florida-based Catholic relief and development ministry serving the needs of the poor worldwide. Total Aid Provided in 2012 by Country Afghanistan Af A fgh han anista ista is an $3 $ $33,750 33, B Be lil zee $98,404 $98 $9 98, 8, Belize Bo B o olililivi ivi via $9 97, 7, Bolivia $97,099 China $47,296 Dominican Republic. $71,589,188 Ecuador $73,078 El Salvador $4,494,889 Ethiopia $172,310 Ghana $2,707,500 Grenada $103,512 Guatemala $18,713,373 Guyana $166,345 Haiti $41,307,402 Honduras $21,600 Jamaica $73,098 Japan $34,000 Kenya $1,474,033 Malawi $12,050 Mexico $28,500 Mozambique $293,962 Nicaragua $43,290,651 Peru $331,008 Philippines $410,197 Saint Martin/Saint Maarten.. $30,000 Uganda $97,100 United States $258,430 Vietnam $338,657 Zambia $158,438 TOTAL $186,455,870 3

6 Called to satisfy their hunger FEEDING From the holes and hovels of the poor, eyes dull with chronic hunger light up at the parish priest s approach. Maybe now, their eyes seem to say, we will have something to eat. The gnawing pain in my belly will stop. My aching body will grow strong. My weariness will end. My family will not starve. With bread in hand and the word of life on his lips, the priest enters their world and hope is restored. Through the faithful support from Cross Catholic Outreach s benefactors, church leaders have been empowered to share Christ s love with the hungry. They have freed thousands of parents from the burden of a pressing hunger crisis a crisis that claims the lives of almost 16,000 children each day so they can focus on sending their children to school and repairing their broken lives. In 2012, Cross Catholic Outreach shipped food aid to 20 ministries worldwide, in addition to providing grants for partners to purchase food locally. This nutritional aid went toward programs for poor and at-risk children such as Father John Halligan s Working Boys Center in Quito, Ecuador as well as programs geared toward the indigent elderly. The food has been crucial to our partners work, whether the focus is on rescuing starving children from the brink of death, maintaining a school lunch program, or just helping families meet their daily nutritional needs. 4 Age generous er man will himself be blessed, for he shares his food with ht the poor. or. Proverbs 22:9

7 Called to quench their thirst WATER And if anyone gives even a cup of cold water to one of these little ones, Jesus said in Matthew 10:42, he will certainly not lose his reward. If God praises those who quench the momentary thirst of his children, how much must he honor the faithfulness of those who have made great sacrifices to rescue poor communities from life-threatening, chronic thirst! What a difference the installation of wells, filters and village-wide distribution systems has meant for those among the 780 million people worldwide who lack access to clean water: the families who once suffered from severe dehydration, the farmers who once struggled to keep their crops and livestock alive, and the children who once spent hours each day fetching parasite-infested water from distant holes, streams and rivers. In 2012, Cross Catholic Outreach sponsored nine water projects in eight countries, including the launching of a new effort to help Father John Fortune construct an extensive water system in Ewuaso Kedong, Kenya. Our Nicaraguan ministry partner Amigos for Christ celebrated the completion of an ambitious effort, begun the previous year, to install clean water systems in 14 impoverished communities. The poor Nicaraguan families rejoiced as cold, clean water gushed through the pipes for the first time, delivering an ample supply directly to their homes. Through this project, thirst has been quenched, relationships have been forged, hope has been rewarded and the Water of Life has been glorified. And if anyone gives even a cup of cold water to one of these little ones he will certainly not lose his reward. Matthew 10:42 5

8 Called to love the orphan ORPHAN CARE On a street corner, a child dressed in rags and covered in dust begs for bread. She is an orphan worse, an AIDS orphan, infected with HIV and stigmatized by her neighbors. Her younger siblings rely on her alone to feed, clothe and protect them but who can she rely on? Like many of the world s 16 million HIV/AIDS orphans (most of whom live in sub-saharan Africa), she has only known the scowls of strangers who blame her for her illness and fear to come too close. But then the Church discovers her need, embraces her and shows her the mercy of the Father to the fatherless. Once lost, she is found. Once fearful, she knows joy. Once alone, she now has a family in Christ! In 2012, Cross Catholic Outreach helped bring hope to orphans and vulnerable children through the compassionate work of ministries like Father Marc Boisvert s Pwoje Espwa in southern Haiti. Thanks to the help of our compassionate donors, Fr. Marc provided a safe, loving home along with food, education and medical care to hundreds of boys and girls who might otherwise have had to beg on the streets for survival. The children live in small, family-like units in individual homes, under the supervision of a housemother, and are brought up with Catholic moral values and given the tools to achieve a bright future. 6 Defend end the cause of the weak and fatherless; maintain the rights of the poor and oppressed. Psalm 82:3

9 Called to heal the sick MEDICAL CARE In parts of the world where modern conveniences such as cars, running water and electricity are a luxury, many families struggle to get access, not just to the latest medical advances, but to basic health services. The poorest, who are earning less than $1.25 a day, cannot even afford transportation to the nearest clinic or hospital, let alone the expense of annual exams, antibiotics and maternity care. If they become chronically ill or seriously injured, their only option is to wait it out and pray pray that God will send an angel of mercy to restore them to life. God has heard their desperate prayers, and he is working through his Church to bring life-saving medical services and resources to those who need them most. In 2012, Cross Catholic Outreach helped equip angels of mercy in the form of compassionate doctors, nurses and caregivers dedicated to serving the least among us. With support from our generous benefactors, the Franciscan Missionary Sisters of Assisi s Kabulonga Cheshire Home provided free surgeries and rehabilitative care for disabled Zambian children. In Cochabamba, Bolivia, the Franciscans San Lucas Rural Health Project worked to reduce infant mortality, typhoid fever and other health concerns among indigenous mountain communities and homeless urban street dwellers. Heal the sick who are there and tell them, The kingdom of God is near you. Luke 10:9 7

10 Called to give them a future EDUCATION Just as poverty is passed down from one generation to the next, so is the knowledge of how to break that poverty. Education shapes a child s hopes, dreams, career path and spiritual walk. In Deuteronomy 6:6-7 God commands the Israelites to teach their children: These commandments that I give you today are to be on your hearts. Impress them on your children. Talk about them when you sit at home and when you walk along the road, when you lie down and when you get up. Today, the global Church is fulfilling that call by welcoming the children of the poor into quality Catholic schools. Cross Catholic Outreach paved a path to a brighter future for thousands of children in 2012 by opening the doors of education to those who might otherwise not go to school at all. For example, we partnered with Jesuit Father José Maria Garin to educate nearly 800 children at Santa Maria de Huachipa Catholic School in a poor town on the outskirts of Lima, Peru. We also helped older youth and young adults prepare for the workforce by supporting projects such as the Montfort Fathers Wisdom Training Center, a vocational school for physically handicapped students in Uganda, where more than 30 percent of the population is illiterate. 8 Start children off on the way they should go, and even when they are old they will not turn from it. Proverbs 22:6

11 Called to shelter the destitute HOUSING Is not this the kind of fasting I have chosen, God said in Isaiah 58:6-7, to provide the poor wanderer with shelter. Globally, about 1.7 billion people are homeless or live in substandard housing. By building houses for the needy, Cross Catholic has given them a tangible, lasting testament to the love of Christ and the compassion of his Church. The simple, sturdy homes we provide are received with deep gratitude by families accustomed to sleeping on dirt floors in makeshift shanties patched together from whatever scraps they can find. The new homes protect them from the rain and elements, give them a sense of security, and have a stabilizing effect that increases the likelihood the parents will find steady work and the children will attend school. Our housing efforts in 2012 involved 22 projects throughout Africa, Latin America, the Caribbean and East Asia. At a cost of just a few thousand dollars per house, Father Glenn Meaux and the Kobonal Haiti Mission blessed destitute families with safe, new concrete homes each built on a half-acre of farmable land. In the Philippines, the Gawad Kalinga project transformed dark, filthy, decrepit slum neighborhoods into thriving communities with clean, beautiful homes, while also inviting families to get involved in job training, microfinance and religious fellowship activities. Is not this the kind of fasting I have chosen to provide the poor wanderer with shelter. Isaiah 58:6-7 9

12 Called to empower the powerless MICROENTERPRISE In 1 Thessalonians 4:11-12, St. Paul exhorted believers to work with your hands so they would not be dependent on anybody. Our microenterprise projects give the poor a chance, not only to have their immediate needs met, but to achieve financial independence. In a world where 1.2 billion people survive on less than $1.25 a day, families living amid joblessness, material scarcity and societal instability often feel they have no option but to beg for their daily bread. Our goal is to bring dignity to these families by promoting the value of work and helping to jumpstart small income-generating activities that will benefit them for years to come. Among our 2012 microenterprise efforts, Cross Catholic Outreach partnered with the Center for Community Transformation (CCT) in the Philippines to help low-income families experience economic freedom. We provided poor but ambitious individuals with the microloans, business skills and encouragement they needed to start and maintain their own small businesses, such as a convenience store or piggery. Accountability groups helped participants to be good stewards of their loans, while also encouraging them to put their ultimate hope in God. The combination of financial support, spiritual engagement and stringent accountability has made CCT s program a model for success. 10 Whatever you do, work at it with all your heart, as working for the Lord, not for human masters. Colossians 3:23

13 Called to hear their cries DISASTER RELIEF Natural disasters strike swiftly and are often unpredictable. The immediate aftermath of a hurricane or drought can be crippling especially in impoverished countries. As the victims struggle to recover from the devastation of homes lost, businesses destroyed, harvests squandered and populations displaced, the world turns to the Church for help. In those times of need, we stand ready to equip our ministry partners with emergency aid. Our professional shipping team rushes much-needed supplies to our partners, so they can quickly deliver those supplies into the hands of the suffering. Lives are saved. Communities restored. The name of God is glorified. In 2012, Cross Catholic Outreach gave half a million dollars toward the worldwide disaster relief efforts of the Pontifical Council Cor Unum. We also contributed to the Hurricane Sandy relief effort here in the U.S., sending food, blankets and funds to help the Archdioceses of New York and Newark, New Jersey, aid families in storm-ravaged areas. If a man shuts his ears to the cry of the poor, he too will cry out and not be answered. Proverbs 21:13 11

14 Committed to good stewardship Aid Provided by Category 2012 total grants-in-aid and goods distributed Cross Catholic Outreach, Inc. In 2012 Cross Catholic Outreach provided $186,455,870 in aid to the poor. Of this, $5,965,691 was grants-in-aid; $180,490,179 was goods distributed. Disaster Relief: $926,724 Food, medical supplies, blankets, etc. Balance Sheet As of December 31, 2012 Cross Catholic Outreach, Inc. Assets Cash and Cash Equivalents $6,222,897 Due from Affiliate $3,422,598 Other Assets $186,044 Property and Equipment, Net $255,727 Total Assets $10,087,266 Liabilities Accounts Payable and Accrued Expenses $1,007,354 Note Payable $32,384 Total Liabilities $1,039,738 Net Assets Unrestricted $8,314,187 Temporarily Restricted $733,341 Permanently Restricted Total Net Assets $9,047,528 Total Liabilities and Net Assets $10,087,266 Feeding Programs: $3,951,386 Food, cooking equipment, cooks salaries Housing: $996,916 Building/repair of houses and shelters Medical Care: $171,365,290 Medicines, medical equipment and supplies, clinic and hospital support Education: $981,738 Support for schools, scholarships and vocational programs Aid to Orphans: $6,625,834 Food, education, shelter, clothing, medical needs, etc. Water Projects: $1,199,179 Wells, cisterns, water distribution systems, latrines Microenterprise: $129,000 Carpentry, mechanics, sewing, agriculture, animal husbandry and other self-help projects General Aid: $279,803 School furniture, mattresses, appliances, construction material, furnishings, etc. The Lord answered, Who then is the faithful and wise manager, whom the 12 at the proper time? It will be good for that servant whom

15 Statement of Activities Year ended December 31, 2012 Cross Catholic Outreach, Inc. Revenue Noncash Contributions $180,490,179 Cash Contributions $23,289,746 Other Revenue $58,602 Total Revenue $203,838,527 Expenses Program Services Goods Distributed $180,490,179 Grants-in-Aid $5,965,691 Missions Education $3,155,002 Shipping/Fulfillment $1,638,975 Project Development $956,330 Total Program Service Expenses $192,206, Audited Financial Statement Program Services 94.8% Administrative Expenses 2.8% Fundraising Expenses 2.4% Expenses continued Administrative Expenses Salaries and Benefits $3,054,551 Grant to Affiliate $600,000 Data Processing $531,017 Occupancy $519,945 Other Expenses $273,393 Merchant Processing and Bank Fees $207,051 Postage $187,839 Contractors and Consultants $180,944 Professional Services $138,214 Travel $49,497 Advertising and Solicitation $5,523 Printing $933 Total Administrative Expenses $5,748,907 Fundraising Expenses Printing $1,706,601 Salaries and Benefits $1,169,778 Postage $975,419 Advertising and Solicitation $404,001 Other Expenses $188,393 Travel $161,367 Contractors and Consultants $118,389 Data Processing $82,126 Airtime $16,575 Occupancy $15,967 Professional Services $11,446 Total Fundraising Expenses $4,850,062 Total Expenses $202,805,146 Revenue Less Expenses $1,033,381 Net Assets End Of Year $9,047,528 master puts in charge of his servants to give them their food allowance the master finds doing so when he returns. Luke 12:

16 You have made a difference! Behind the Numbers Our annual reports focus on numbers the numbers of dollars, numbers of shipments and numbers of outreaches involved, and also the ratio of program services spending to administrative and fundraising expenses. The numbers are collected, counted, audited by professionals and reviewed as we set budgets to guide our ministry in the year ahead. Behind these numbers are stories of dynamic Catholic ministries saving lives, and of donors answering the call to serve. The numbers represent your compassion for the poor, and they represent the impact your generosity has had on the work of the global Church. Your contributions to Cross Catholic Outreach are crucial to our success, and for that we are deeply grateful. Thank you for answering the call, and thank you for continuing to stand with us as we move forward in Christ s name. Boots on the Ground We are deeply grateful, not only for those who supported Cross Catholic Outreach financially in 2012, but also for those who volunteered their time to make our work a success. Whether they served on a fundraising event committee, helped pack food shipments, or volunteered at our Florida office stamping and stuffing envelopes, folding brochures and assembling fundraising materials, their contributions were important to our goal of cost-effectively serving the poor. Their hands and feet have been the hands and feet of Jesus, delivering God s grace to the least, the last and the lost. For donors who desire a firsthand encounter with our overseas projects, we also offer exciting opportunities to join us in our travels abroad and actually meet with the ministries, communities and families who have benefited from their gifts. These travels immerse donors in the rewarding work of international relief and development. Vision trips give donors a chance to observe projects they are considering funding, while Mission trips provide individuals and parish groups with the unforgettable experience of directly serving and ministering to the least of these. 14

17 Pope Francis, Advocate for the Poor Beginning in October 2012, we joined with Catholics around the globe in observance of Pope Benedict XVI s Year of Faith a call to deeper belief and renewed zeal for evangelization. This year, the newly inaugurated Pope Francis has reaffirmed that same faith by focusing the world s attention on its practical consequence a life of humble service to others. At his first general audience during Holy Week, Pope Francis reminded us that we are indeed the hands and feet of Christ. Jesus has no home because his home is the people, us ourselves. His mission is to open the doors to God for all, to be the presence of God s love. The Holy Father elaborated: What does this mean for us? It means that this path is also mine, also yours, also our path. Living Holy Week, following Jesus not only with moved hearts, means learning to come out of ourselves in order to meet others, in order to go toward the edges of our existence, to take the first steps towards our brothers and sisters, especially those who are farthest from us, those who are forgotten, those who need understanding, consolation and assistance. This harmony of faith and action especially toward the least among us has always been, and continues to be, the defining vision of Cross Catholic Outreach. The facts and figures you see in this report are a refl ection of that vision. More than just numbers, they represent the compassion of our donors, whose faithful gifts and fervent prayers have exemplified the Holy Father s call to love the poor. Our success stories are testimonies to Christ s spirit at work within the human heart, changing us, calling us, and consecrating our hands and feet for service. Pope Francis humble lifestyle and dedication to the least of these stand as a model of true Catholic service. Yet we should remember that this same brand of servant-leadership is exhibited every day by priests, sisters and lay missionaries quietly doing the Lord s work among the poorest of the poor. We are grateful for their faithful witness, and we are committed to supporting their work so that the needy may be comforted and God may be glorified. Jesus has no home because his home is the people, us ourselves. His mission is to open the doors to God for all, to be the presence of God s love. ~ Pope Francis And now these three remain: faith, hope and love. But the greatest of these is love. 1 Corinthians 13:13 15

18 Thank You for your support! A Message from Our Board 2012 was a year of record highs for Cross Catholic Outreach. We raised more funds, distributed more grants and shipped a higher value of goods-in-kind than ever before in our 11 year history. We also strengthened our relationship with the Pontifical Council Cor Unum and sharpened our focus on integral ministry and the new evangelization. These achievements mean that the hungry have been fed, the destitute have received hope and our ministry partners have been empowered to truly meet the physical and spiritual needs of their communities. On behalf of the Cross Catholic Outreach Board of Directors, I d like to thank you for helping make 2012 a successful year. Your support has brought the love of Christ to the poor, and it is your support that will sustain Cross Catholic s legacy of compassion even as we experience a transition in leadership. As you may know, I am retiring from my position as Chairman of the Board. I am honored to hand the mantle of leadership over to one of our very capable and trustworthy Directors, Archbishop Thomas J. Rodi of Mobile, Alabama. Archbishop Rodi s commitment to Christ and to the poor gives me confidence that Cross Catholic Outreach will continue to be a shining beacon of hope to a suffering world. As we move forward with a new Chairman and, also, a new Holy Father, may we cling to Christ s grace and renew our commitment to his call. In Christ, Most Rev. Sam Jacobs Chairman, Cross Catholic Outreach Board of Directors Cross Catholic Outreach 2013 Board of Directors His Eminence Cardinal Edwin F. O Brien Patron Grand Master, Knights of the Holy Sepulchre Most Rev. Sam Jacobs Outgoing Chairman Bishop of Houma-Thibodaux Most Rev. Thomas J. Rodi Incoming Chairman Archbishop of Mobile Mr. James J. Cavnar Director President of Cross Catholic Outreach Most Rev. Robert J. Carlson Director Archbishop of St. Louis Most Rev. Richard J. Garcia Director Bishop of Monterey Most Rev. Bernard A. Hebda Director Bishop of Gaylord Most Rev. Dennis M. Schnurr Director Archbishop of Cincinnati Most Rev. Edward J. Slattery Director Bishop of Tulsa Most Rev. Kevin W. Vann Director Bishop of Orange 16

19 Thank you for partnering with us in 2012 to be Christ s hands and feet to the poorest of the poor. With your help, we have served our Catholic brothers and sisters worldwide and demonstrated faith in action to those who might otherwise never step inside a church. Just think: your faithcentered life of compassion and the lives of the priests, sisters and lay missionaries in the field may be the only Bible some people ever read. As we continue to follow his footsteps in obedience to the call, may you remember the poor in your prayers, and may the light of your faith shine brightly. Jesus said in Matthew 5:15-16, You are the light of the world Let your light shine before men, that they may see your good deeds and praise your Father in heaven. If you really want to see the transformation of the poor, go into the worst slums, to the most desolate communities, to the most hopeless and abandoned. There you will find God, who hears the cry of the poor, coming to their aid in the person of these faithful servants. James Cavnar, President of Cross Catholic Outreach 17

20 Our Mission We are a Catholic ministry that serves the poorest of the poor internationally by channeling aid through dioceses, parishes, and Catholic missionaries, cost-effectively helping the poor break the cycle of poverty while advancing Catholic evangelization. How We Serve Rather than create new institutions to distribute aid, we support existing ministries and churches already serving the poor. In addition to being the most cost-effective way of helping the poor, empowering these ministries allows us to support the Church s spiritual mission and its important position of leadership in poor communities. Stewardship We consider every gift we receive as a precious resource from God. We direct every donation to its intended project, provide honest and accurate reports to our donors, and keep overhead costs to an industry low. We handle funds with utmost integrity and hold our ministry partners in the field to the same high standards by asking them to document costs and the impact of their outreach. These detailed accountability measures have earned us ongoing accreditation by the following organizations: 2700 N. Military Trail, Suite 240 PO Box Boca Raton, Florida Cross Catholic Outreach