"Our concern for the finances also extends to the endowments and unrestricted net assets. Money from these accounts (principal and interest) is being used for a portion of the 4 “C”s. As these funds are being used for these purposes, the lingering question is “How much and at what rate, will we be drawing down the money which is presently available for other worthy mission and ministry projects, like our commitment to the poor and marginalized”.

On litigation issues the two leaders said the Standing Committee should have the authority to obtain separate [legal] counsel where there is a clear disagreement on a legal and/or canonical course of action. "A separate independent counsel will allow us to fully explore our options when a significant difference of opinion arises between the Bishop and Standing Committee and/or among the members themselves. It is painful for us to see our financial resources being used for litigation. We fully understand the reasons for this, but pray that those matters before the courts will be resolved in the near future."

Attacking the use of Endowment Funds and Unrestricted Assets, Matis and Smoot said it was time to have a diocesan-wide discussion about the disposition of these two funds. "There are folks who believe that endowment funds are to be spent, not saved. Others hold that only endowment interest should be spent. A diocesan-wide discussion might clarify the issue. It would be a “testing of the Spirit.” What is needed is "a timely and satisfactory conclusion" of these issues.

The two took a swipe at the Finance and Property Committee saying it would best serve the diocese by having persons elected to those positions from Standing Committee members. "The Nominating Committee would seek out persons for their expertise and place their names before Diocesan Convention. We recommend a limit of two three-year terms. Diocesan Council could fill vacancies until the next Convention."

With more than 160 parishes in the diocese and only one diocesan bishop, the outgoing leaders criticized the diocese's staffing needs and other Church House issues, arguing, among other things that the practice of celebrating a weekly Eucharist should return to Church House, "setting the tone for the work and ministry of the Church House Staff, as well as any visitors in the offices."

They also took a major swipe at the revisionist bishop and the direction he was taking the church saying that he should hire persons "who truly reflect the diversity of the diocese" and not just hand-picked liberals and revisionists. They specifically said that a deacon/priest be called to oversee the ordination process; obtain a person to investigate and gather in-depth information on requests for assistance from congregations, and then act as liaison to the Standing Committee for grants/loans and that a Canon to the Ordinary or a Suffragan Bishop be elected.

Bennison is in serious legal trouble on two other fronts. Legal bills for the Diocese from lawsuits by Fr. Moyer have begun to pile up. Bennison tried to get the insurance company for the Diocese to pay the fees. The insurance company has sued both Bennison and the Diocese, asking the Montgomery County Court to declare that the company has no obligation to pay legal fees or to indemnify the Diocese or Bennison if the jury awards damages to Father Moyer.

An independent auditor's report also released this week and obtained by Virtuosity, severely criticized the financial running of the diocese saying that financial statements "departed from U.S. generally accepted accounting principles."

They specifically criticized the Diocese's financial statements, its failure to depreciate properties' the way postretirement health care benefits as claims are incurred; the costs of the diocese's programs and supporting services and more.

Said one orthodox priest on reading the report, "It is so terrible one cannot tell whether it is gross mismanagement or fraud."

Bennison is on the hot seat. The only question is why the Diocesan Standing Committee just doesn't fire him? They have the power. Virtuosity has learned that they won't because a majority of those on the Standing Committee are priests with aided parishes and they won't bite the hand that feeds them.

END