>> > Sermon at the Consecration of V. Gene Robinson as Bishop Coadjutor of the
> Diocese of New Hampshire, November 2, 2003
>
> by The Rt. Rev. Douglas E. Theuner
>
> [Episcopal News Service] Therefore are they before the throne of God, and
> serve him day and night within his temple; and he who sits upon the throne
> will shelter them with his presence. They shall hunger no more, neither
> thirst any more; the sun shall not strike them, nor any scorching heat.
> (Revelation 17:15-16)
>
> Gene, to begin with I have a word of advice for you. Sue and I were
married
> by the same priest who later presented me for ordination. On the night
> before each of those momentous events in my life he gave me the very same
> piece of advice: "Don't go through with this unless you believe that you
> can't live the rest of your life fully without doing it. Consider that
> little piece of advice a small bit of apostolic succession.
>
> We have gathered here to ordain and consecrate a Bishop of the Church of
God
> who will be examined in this solemn assembly. In that examination, Gene,
you
> will be asked to acknowledge that you are persuaded that "God has called
you
> to the office of bishop. The emphasis is on GOD, not on you. God has acted
> and you are called to respond. God has called you through the convention
of
> the Diocese of New Hampshire and that call has been confirmed by the House
> of Bishops and the House of Deputies of the Episcopal Church and they are
> the members of the Body of Christ, and those alone, together with the Word
> of God, to which you swore conformity at the beginning of this liturgy,
and
> to whom you are canonically accountable. It is the same process by which
> every other bishop in our church has been elected and consecrated and it
is
> no more or less valid for you than it is for any of us. "Accordingly",
the
> Preface to the Ordination Rites tells us, "the manner of ordaining in this
> Church is to be such as has been, and is, most generally recognized by
> Christian people as suitable for the conferring of the sacred orders of
> bishop, priest, and deacon.." Today we honor not you, but God and God's
> call through God's church, as our church understands it. Your call is
only
> to conform to this by agreeing to accept this call and fulfill this trust
in
> obedience to Christ. Now it is part of our tradition that in all such
> matters one has the option to accept or reject a call offered by God
through
> the Church. So the final confirmation of your call is yours, Gene, and
> you've got about a half hour left to make that final decision. Personally,
I
> hope I don't say anything in this sermon to lead you to change your mind.
> But I might because the burden you are about to assume is a heavy one as I
> hope to explain.
>
> I have known you thus far in your life and ministry to be faithful in
> prayer, and in the study of Holy Scripture", and I will continue to pray
> "that you [and all of us] may have the mind of Christ." You will need to
> continue to study Holy Scripture in order to boldly proclaim the Gospel of
> Christ, enlightening the minds and stirring up the conscience of your
> people.
>
> And what is that Gospel of Christ which a bishop is to boldly proclaim and
> interpret"? In preparation for this sermon I re-read the four gospels, the
> books which together tell us "the Good News" of Jesus Christ. Now I trust
> there's nothing unusual about me or any other preacher studying the
gospels
> in preparation for a sermon but on this occasion I read them through
> specifically with a view toward discovering anew what they tell us of Him
> Whom we call Lord and Master and His relationship to His brothers and
> sisters as He sought, as our new bishop will be charged to seek, to "show
> compassion to the poor and strangers, and defend those who have no
helper."
> And that, I rediscovered, was the entire focus of His ministry. I'm not
> talking about isolated bible passages individually considered. I'm talking
> about the sum of our Lord's ministry; the "whole", "full" Gospel. I'm not
> talking about quoting; I'm talking about comprehending. I'm not talking
> about seeing what appears to be the obvious, as distressing as that may be
> to any of us; I'm talking about understanding the whole life and the total
> ministry of our Lord and Savior Jesus Christ.
>
> Our Lord's attention was entirely directed to the outcast and the
> marginalized; the poor, the halt, the lame, the blind, lepers, women,
people
> possessed with demons, prostitutes, tax collectors, Roman soldiers,
> Samaritans, Syro-Phoenecians , thieves..... His wrath was reserved for the
> members of the religious establishment of his own faith community;
Pharisees
> and Saduccees, scribes, elders and chief priests, money changers in the
> temple....and his own chosen disciples. And now we seek to incorporate a
> new member into the religious establishment of our time; to make him a
> bishop, a modern day chief priest. O to be sure, the Pharisees and
> Sadducees, scribes, elders and chief priests were generally "fine" people;
> believing themselves dedicated to God and the service of God's cult. They
> fasted, they tithed, they were, by their own proclamation, "not as other
men
> are". And yet, we are told by our Lord, they went down from the temple
> condemned; condemned because they thought so much of themselves, condemned
> because they bind heavy burdens, hard to bear, and lay them on men's
> shoulders. They were chastised by our Lord because they thought people
were
> made for their religious establishment; not their religious establishment
> for people. They were condemned because they loved to go about in long
> robes, and loved salutations in the marketplaces and the best seats of
honor
> in houses of worship and the places of honors at feasts...and for a
pretense
> made long prayers...... Who are we kidding? Look around us! Have we met
the
> enemy and found out that they are us?
>
> The gospels speak OF the people of JESUS' LIFE AND TIME but they speak TO
> US IN OUR TIME. And our time is a different time and, whether we who might
> wish to control people's thoughts and lives like it or not, every person
> interprets scripture in his or her own time in his or her own way. As our
> Presiding Bishop has recently reminded us "there is no neutral
> interpretation of scripture". In a recent column in the CHRISTIAN CENTURY
> Martin Marty quotes a mid-nineteenth century divine from South Carolina -
> not of our denomination but of one of similar enough history, culture and
> theology - who thundered from his pulpit as with the voice of God: "If
the
> scriptures do not justify slavery, I know not what they do justify. If we
> err in maintaining this relation, I know not when we are right - truth
then
> has parted her usual moorings and floated off into an ocean of
> uncertainty.".... Sound familiar? No doubt he was sincere in his beliefs
and
> many others held him to be but one would be hard pressed to find a cleric
of
> his or any other denomination who would share that fervent view
today....at
> least publically.
>
> Nevertheless, the inerrancy of certain biblical passages remains the issue
> for some; the excuse for others. Over the centuries the church has dealt
> with many changing interpretations of scripture on such matters as
slavery,
> divorce and remarriage; issues of war and peace and church polity among
> them. On the latter issue, for instance, there is a vignette from New
> Hampshire's own history in the seventeenth century in which in a
> confrontation between Anglicans and Puritans in Dover, a Church of England
> supporter accused by a Puritan leader of heresy, knocked off the Puritan's
> hat. Thereupon the two sides entered into battle, the Puritans led by a
man
> brandishing a halberd with a bible attached to it. Now, as important as
the
> matter was to Anglicans and Puritans alike, and as important as the bible
> was to both of them, the argument was not about the bible strapped to the
> weapon, nor were the passions stirred. The argument was about control;
about
> power; about who was in and who was out, about who was right and who was
> wrong....and that in matters of little import to the gospel's matters not
> even addressed by them. It will be no new thing to you, Gene, to
encourage
> and support all baptized people in their gifts and ministries, nourish
them
> from the riches of God's grace, pray for them without ceasing, and
celebrate
> with them the sacraments of our redemption".
>
> Our new bishop will be charged to guard the faith, unity and discipline of
> the Church." As one who has worked with him for seventeen years, I can
> testify to Gene's ability to guard the faith and discipline of the
Church.
> As to it's unity, that is in Gene's case, quite a different matter.
Because
> of who you are, Gene, you will stand as a symbol of the unity of the
church
> in a way in which none of the rest of us can. Just your very presence in
> the episcopate will bring into our fellowship the presence of an entire
> group of Christians hitherto unacknowledged in these councils of the
church.
> Because of your presence the episcopate will be more of a unity, more
> representative of the whole Body of Christ, than it ever has been before.
As
> the consecration of Barbara Harris brought over half of Christendom into
> visible unity within the episcopate, so will yours bring representation
of
> another group whose gifts have always been accepted while their identity
has
> been denied.
>
> Your passion for collegiality is well-known, Gene. But it will be up to
your
> brothers and sisters in Christ - to us - to allow you to "share with your
> fellow bishops in the government of the whole Church...sustain your fellow
> presbyters and take counsel with them...guide and strengthen the deacons
and
> all others who minister in the Church."
>
> I spoke earlier of power and control but, in truth, none of us can
control
> anything of importance and to think we can may well be the ultimate
> idolatry. Years ago Dr. Lamin Sanneh, distinguished Professor of Missions
> and World Christianity at Yale Divinity School, reminded the bishops of
> Province I that when we attempt to bring the margins into the center we
> necessarily push the center to the margins. If Canterbury or New York, for
> instance, wishes to help Nigeria or the West Indies move toward the
> center, then for everyone to continue to occupy the space available,
> Canterbury and New York must willing to move toward the margin. We who
have
> been in the center don't like moving to the margin, even to different
places
> on it, but we must do that if we're going to affirm the marginalized. That
> was the thrust of our Lord's ministry and it brought Him a cross. How can
it
> not do the same to anyone who does as He did ? We don't know the exact
time
> frame but it's just four verses in Matthew's gospel after Jesus tells
Peter
> that He will give him the keys of the kingdom of heaven and that whatever
> you bind on earth shall be bound in heaven" that He says to him "Get
behind
> me, Satan,! You are a hindrance to me; for you are not on the side of God,
> but of men." And that because Jesus had revealed that "he must go to
> Jerusalem and suffer many things from the elders and chief priests and
> scribes...." Welcome to life where Jesus lived it....on the margin!.
>
> There is an oft repeated story, perhaps apocryphal, about the prelates of
> the Holy Synod of Russia sitting around debating the liturgical color of
a
> saints' day while the October Revolution raged around them. The story is
> generally put forward as an example of extreme foolhardiness when, in
truth,
> it may be a story of great wisdom. The assembled bishops might have been
> able to exercise some measure of control over liturgical usage but, by the
> time of the revolution, they were totally powerless to control the
passions
> and aspirations of St. Petersburg's marginalized and dispossessed to whom
> they had so long paid so little attention. Think of that someday, Gene,
> when you've been through an endless series of esoteric and seemingly
> pointless committee meetings. And remember that if it's control you're
> interested in, that's where you'll most likely find it. Otherwise you're
> left to example, inspiration, witness, prayer, love; things which rest
> uneasy with control.
>
> In this time when the culture of violence seems to be all-pervasive, the
> disagreement over your election and consecration has been labeled by one
of
> your detractors as "the defining BATTLE in the WAR for Anglicanism's
soul."
> - Well, guess what? IT ISN'T! - I am quite sure that since the Holy
> Spirit came upon our apostolic forebears in an upper room in Jerusalem, no
> "defining" moment in the Christian life has ever taken place in a
> by-invitation-only gathering of ecclesiastical nabobs. Not in Concord, not
> in Minneapolis, not in Dallas, not in London, not in Rome, not even in
> Durham. New Hampshire! Let me share with you what I think are some
> "defining" moments in the Christian life.
>
> When an abused woman attends a bible study in a local church and feels
> enough love and support there to realize that she is a child of God filled
> with worth and value and that God and God's people will give her the
> strength and help to stand up for herself and assert her own personhood,
> that's a "defining" moment in the Christian life.
>
> When a young man unsure of his sexual orientation reads The Episcopal
Church
> Welcomes You" on a sign outside a church and enters that church and finds
> out through the love and full acceptance of its members that the church
> really means what the sign says, that's a "defining" moment in the
Christian
> life.
>
> When a slum landlord kneels next to one of his tenants at the altar rail
> and realizes through the witness of word and sacrament offered in his
local
> parish that he is a sinner and repents of the evil he is doing to his
> fellows and determines to treat them fairly and to "respect the dignity of
> every human being", that's a "defining" moment in the Christian life.
>
> Now those are, of course, hypothetical, theoretical situations, though not
> unlike many in which I and many of you have found ourselves. Let me give
you
> some real, live "defining" moments in the Christian life....When a young
man
> hanging in agony from a cross in Palestine turns to a criminal dying next
to
> him with no time or opportunity for amendment of life and says: "Truly I
say
> to you. Today you shall be with me in Paradise", that's a "defining"
moment
> in the Christian life. .....As it is when, within moments of that
utterance,
> he looks down at His tormentors and says: "Father, forgive then; for they
> know not what they do."
>
> And, despite all the pomp and panoply, the press and publicity, that's
what
> we're about here. We're not about raising up weapons of destruction bound
up
> with bibles to sanctify them. We're about raising up one of our own - by
the
> grace of God - to lead us through this world of violence and anger and
into
> God's coming Reign of acceptance and forgiveness where we shall stand with
> those who have brought us and those whom we have brought before the
Throne.
>
> For the Lamb in the midst of the throne will be their shepherd, and he
will
> guide them to springs of living water; and GOD WILL WIPE AWAY EVERY TEAR
> FROM THEIR EYES."
>
> .....every tear, every fear, every sneer, every leer, every grimace of
pain,
> every look of disbelief, every frown of anger or hatred; of disappointment
> and desperation which seeks to heal it's own brokenness by breaking
> others...AMEN!
>
> C H A R G E
>
> I give to two charges, Gene, one of my own understanding and one directly
> from our Lord through His Holy Gospel.
>
> MY charge to you is to seek what I consider to be the most elusive of all
> Christian virtues...humility. You have been given much in the way of
> intelligence, energy, focus, personableness and experience which mitigates
> against humility. Do not give in. Do not let your great gifts set you
apart
> from your brothers and sisters who may not be so gifted. You are no more
or
> less than a child of God, like everyone else.
>
> JESUS' charge to you and to all of us which I offer to you is for me the
> greatest conundrum in the gospel. After 41 years in ordained ministry I
> still do not understand our Lord's word's here but I dare to offer them to
> you because they have been given to us by Jesus Himself in the Gospel of
> Matthew: (10:14-17a, 19&20)
>
> And if anyone will not receive you or listen to your words, shake off the
> dust from your feet as you leave that house or town. Truly, I say to you,
it
> shall be more tolerable on the day of judgement for the land of Sodom and
> Gomorrah than for that town.....Behold, I send you out as sheep in the
midst
> of wolves; so be wise as serpents and innocent as doves. Beware of men;
for
> they will deliver you up to councils....When they deliver you up, do not
be
> anxious how you are to speak or what you are to say; for what you are to
> say will be given to you in that hour; for it is not you who speak,
ut" -
> by the grace of God - "the Spirit of your Father speaking through you."
>
> AMEN!
>
> -- The Rt. Rev. Douglas E. Theuner is bishop of New Hampshire.
>
>
>
>

THE WALL STREET JOURNAL
TUESDAY. AUGUST 12, 2003

By Harvey Cox

Once again, the Episcopal Church has diffused a major crisis in-theres only one way to put it - a very Episcopalian way.

By confirming Bishop Gene Robinson, a gay man, the Episcopal Church has done the other denominations a great favor. It has boldly stood up to a difficult issue, and the signs are good that it will avoid a major schism - and not for the first time.

The Episcopalian record is encouraging. When Baptists and Methodists and Presbyterians split into northern and southern contingents over slavery in the 19th century, the Episcopalian church did not. When some Episcopalians quoted Let women keep silent in your churches, and threatened secession to oppose the ordination of women priests, a handful of parishes left, but the church stayed together. When the Rev. Barbara Hams was consecrated as the first woman bishop, more rumblings about schism were heard, but nothing serious came of it, and now the petite Bishop Hams sips tea with her fellow Anglican prelates at Lambeth Palace. When other churches might have fragmented into bitter subsects, Episcopalians agreed to disagree, and they have preserved the decentralized unity of the 70 million-member, worldwide Anglican Communion.

Episcopalians handle deep disagreement better than most.

How do they do it? As they never tire of reminding the rest of us. theirs is a bridge church. It combines the Reformations reliance on the Bible with a strong Catholic emphasis on tradition. It also recognizes reason and experience as sources of authority. Historically, looking to all of these elements together has enabled Anglicans to maintain a strong but supple authority, and to handle conflicting interpretations without excommunicating anyone.

When one of these pillars is asserted without being balanced by the others, however, there is always trouble. The opponents of Bishop Robinsons confirmation who quoted Bible verses during the discussion Minneapolis must have known they had a weak case. The same word, usually translated as abomination, which in the Hebrew Scriptures is frequently applied to certain homosexual acts, is also used to condemn eating any pork product or even touching the skin of a pig. Those who enjoy crisp bacon with their fried eggs or a game of touch football on the beach should take notice. The trouble with flinging out texts is that everyone is selective about what to quote and what not to quote. Not only did St. Paul tell women to be silent in the churches, he also told slaves to obey their masters. Opponents of emancipation and of womens ordination often cited these verses, but this only illustrates clearly that we need to rely not just on the biblical text itself but also, as we do in constitutional law, on the history of its interpretation.

What about tradition? The opponents of Bishop Robinson also cited the tradition of the church to oppose him. But tradition means handing over; it refers not just what has happened in the past, but also to what is going on now. Christians believe that God continues to be active in the church and leads his people into new truth. At the Minneapolis meeting Bishop Robinson said God did not stop revealing his will when the scriptural canon was closed. This is an insight drawn from the Catholic side of the Episcopal heritage. It was brilliantly articulated in the 19th century by John Henry Newman, an Anglican who became a Roman Catholic, in his celebrated work An Essay on the Development of Christian Doctrine. Newman believed that the truths imbedded in biblical doctrines only gradually come to light over the centuries as the church faced new challenges. The farewell message of an earlier Pastor Robinson, as he sent the Pilgrim fathers (who were of course Anglicans), off for the new world were, Remember, God has yet new light and truth to break forth from his holy word. it is a sound insight. Episcopalians, like most Christians, are Trinitarians. They believe the Divine Spirit, which guides the church today, is just as divine as the Father and the Son. Consequently, the living tradition of the church, when taken in tandem with the Bible and with past tradition, must also be recognized as a valid expression of authority.

Reason also has a role to play, although never on its own. It must always be guided and corrected by Scripture and tradition. It is clear to any reasonable person today, for example, that when the biblical prohibitions against non-reproductive sex were first enunciated, the population problem was the reverse of what it is today. Most children died in infancy, plagues and natural disasters struck frequently, and there was always the possibility that the tribe itself could perish. Every drop of semen had to be directed toward replenishing the race. This is hardly our issue today.

As for experience, another pillar of authority, all we have to do is look around us. In the last decades many gay and lesbian people, including the Christians among them, no longer feel they have to pretend or dissimulate. They are now part of our lives. They fix our TVs, sit in the halls of Congress, teach in our schools and colleges and write the books we read. The vast majority of them shun the gay demimonde. They are too busy doing cancer research and practicing their cellos. In most of these fields they can rise to whatever level their ability and dedication permit. Most of us would prefer to be in the hands of a skilled gay brain surgeon or airline pilot rather than be left to the mercy of a straight one who is just learning the ropes. Luckily we are spared that choice today. Should the church remain the only exception to what we experience and appreciate every day in the other areas of or lives?

For years now many local churches of different denominations have identified themselves as open and welcoming congregations. What they all report is that after an initial flurry, soon gay and lesbian members simply attend communion, sing in the choir, present their adopted children for baptism, sign up for spiritual retreats, staff the food pantry and attend Bible study and prayer groups. They do not like to be singled out as different, nor do they want to belong to a gay church. They want to be treated with dignity and respect, as we all do, while they try to meet their own spiritual needs and follow the teachings of Jesus (who never uttered a syllable about homosexuality) to care for the wounded, feed the hungry and show compassion to the brokenhearted.

Several other denominations have been stalling for years on the status of gay Christians in the church. Should they be welcomed at all, or barred at the door? Should they be content with second-class citizenship and excluded from leadership? Should we go back to pretending they are not there at all when everyone knows they are? We as Christians need to get past this enervating debate so that we can move on to other pressing issues that require the churches attention, such as the growing gap between the rich and the poor - about which Jesus did have something very clear to say.

I am not an Episcopalian, but I commend that church for the deliberate way it proceeded to come to a decision about the nagging questions that have paralyzed so many other churches. The rest of us have been set a good example.

Mr. Cox, Hollis Professor of Divinity at Harvard, is the author of Common Prayers: Faith. Family and a Christians Journey Through the Jewish Year (Mariner, 2002).

NEWSLETTER
St. Andrews Episcopal Church
P.O. Box 360
Readfield, Maine 04355

Betty Peterson Senior Warden
Ken Frye Junior Warden

Editor, William G. Sayres
wsayres@maine.edu
Rev. Jean Austin,
Priest-In-Charge
Newsletter April 12, 2003



Distribution:
Joan and Carl Zerr

web site: http: / /mypeoplepc.com/members/rfolsom/saintandrewschurch/
* ** **** ** ** ***** * ******** * ** ************* *

Jean Austin New Priest

St.Andrews is pleased to announce that the Rev. Jean E. has accepted the position of Priest in Charge, April. Jean will have responsibility for Sunday services, pastoral care, and provide guidance for the Bishops Committee. Prior to coming to St. Andrews, Jean was interim pastor at St. Phillips Church in Wiscasset for about 18 months. She has also held positions at St. Pauls Episcopal Church in White River Junction, Vermont, St. Peters Church in Beverly, Massachusetts, Church of St. Andrew in Marblehead, Massachusetts, and Emanuel Church in West Roxbury, Massachu setts. Jean received the Master of Divinity degree from the Episcopal Divinity School in Cambridge, Massachusetts in 1998 and was ordained to the Priesthood in December 1998. She obtained her undergraduate degree from the College of Wooster, Wooster, Ohio in 1968. Jean has two grown children and resides in Lewiston.

News from the Food Bank

In mid-March the Department of Human Services requested us to canvass our people to be sure those qualified had health insurance, Namely Maine Care. This insurance is free to couples who earn less than $1000 a month or $750 for single persons. Families with children have a sliding scale. Because our food bank covers five towns, I cannot hope to reach all who are eligible. If you know of a needy family who may qualify, please ask them to call me (293-2317). I have the applications as well as all the qualifications needed for acceptance.
Our usual needs, this one for gloves, was met with your usual compassion and kindness. We were able to provide gloves for 18 adults and 14 children of all ages, and no one who needed gloves was turned away.

We had several families this winter who ran out of heating oil. The town, state, and federal funds were depleted, but by tapping emergency monies we were able to help. These people were to tally without heat during the worst part of the exception ally severe winter. Again, let me state that none of these things are possible without the teamwork and support of our congregation. Thank you for your help.
Henri Silz

Holy Week Services

Maundy Thursday
Eucharist 5:30 PM, followed by fish chowder supper and stripping of the altar.

Good Friday - Liturgy at 5:30 PM

Easter Sunday - Eucharist at 9:30 AM

Womens Guild
The guild met on March 25 and enjoyed a wonderful meal prepared by Heidi. Nine mem bers were present.
We reviewed the following dates of future events:
May 3 Public Italian Dinner. Elaine is in charge. She needs lots of help plus food donations.
May 13 Next meeting, the men and other guests are invited, the speaker will be Dean Jones on the Appalachian Trail. We will have light refreshments only for this meeting. May 24 Bake Sale at Mr. Market in conjunction with the Mens Club raffle.
August 9 Summer Fair New Business:
Sherry moved, Heidi sec onded to send $100 to the Bishops Appeal for Millinocket. Passed unanimously.
Heidi suggested a speaker for a future meeting from the Kerr House (Liz Beal).
Our speaker for tonights meeting was Sherry Rogers.
Gail Butler [Note: Many parishioners know Sherry Rogers excellent biography, Sarah Josepha Hale: A New England Pioneer

[I recommend it highly.-Ed.]
- -- ~ -
Mens Club

At the April 8 meeting, our guests were Stan Moody and members of the mens group at the Noth Manchester Meeting House, where Stan serves as pastor. This visit was the re sult of our last meeting when Stan, a new member of the state legislature, was our speaker.
The speaker tonight, Jackie Wardell of Coastal Enterprises, described her recent visit to Cuba on an educational trip arranged by the University of Southern Maine. Participants represented a broad range of interests including art, small business, education, and community development. Ms. Wardells particular interest is lowincome housing, but in this and other areas she found it difficult to draw conclusions because of the group s limited exposure to conditions in the country.
At the business meeting the principal topic was ar rangements for the raffle of the Old Town kayak, with the proceeds designated for St. Andrew s outreach programs. The drawing of sold tickets will take place (I believe) on Memorial Day.

Music Committee

Were delighted to announce that our new member, Mary Ellen Tracy, has taken over responsibility for the music committee. Mary Ellen is an accomplished musician who has enhanced our services with her masterful viola playing, often accompanied by Ruth Ann on the organ.


Bible Study

At 8:30 AM every Sunday a group meets in the Sunday School room to discuss the lectionary Bible readings for the day. We look at the set ting of the readings and their relationship to other portions of scripture, because the con text of the passages can be important in understanding meaning and significance.
No homework is necessary. Just pick up the readings sheet for the day in the church vestibule. All are welcome.





RETIREMENT PLAN ASSETS:
A LOW-RISK, TAX-SMART GIFT

Robert G. Fuller, Jr.



If you'd like to make a charitable gift to St. Andrew's after your death, consider donating some or all of the proceeds of your Individual Retirement Account ("IRA") or other qualified retirement plan such as a 401(k) or Keogh plan.

Retirement Plans -- Post-Death Tax Consequences

You may have designated your spouse or family member as the recipient of the funds in your retirement plan. Doing so may have unintended tax consequences. If your estate -- and that of your beneficiary -- is large enough, the Internal Revenue Service can tax these funds at least twice after your death.

If your spouse is the beneficiary of your retirement plan, he or she will likely receive these benefits free of federal death tax, thanks to the so-called "marital deduction." However, at your spouse's death, any unspent benefits will, if the spouse's estate is large enough to be subject to the federal death tax, be included in his or her gross taxable estate. And, in any event, your spouse will have to pay state and federal income taxes on these benefits in the year in which received.

If your child is the beneficiary of your retirement plan assets (a common scenario in the case of persons whose spouses have predeceased them), the child will also have to pay state and federal income taxes in the year in which received. However, if your estate is large enough to trigger the federal death tax, that child can benefit from a slight tax break. By itemizing his or her deductions on the federal income tax return, he or she can deduct the federal income tax paid on the assets.

Tax-Saving Tactics

Charitable contributions of retirement plan proceeds escape both federal and state death taxes and income taxes. Generally, if you consider that your estate is large enough to provide adequately for your spouse and family, you best strategy may be to give the individuals your non-retirement plan assets and to leave those asset to a qualified charitable organization like St. Andrew's.

Example: Eunice is a widow who has a good job, a good financial adviser, and her late husband left her a substantial inheritance. She has a net taxable estate of $1.4 million, consisting of $700,000 in a rollover IRA and $700,000 in other assets. She decides to leave half her estate to Roscoe, her only child, who is a successful neurosurgeon with substantial assets of his own, and the balance to a charity. If she died this year and leaves each asset equally divided between Roscoe and the charity, her estate would pay no federal death tax. That's because the unified credit will exempt the first $700,000 from death tax and her estate will receive a deduction for the charitable bequest.

However, as the TV pitchman says, "But wait! There's more!" Roscoe will pay income tax on the half of his mother's IRA which he receives. Assuming he's in the 35% tax bracket, his tax bill will amount to $150,500.

Before acting on her decision, Eunice consults her attorney. He advises her instead to name the charity as the beneficiary of her IRA and leave the remaining $700,000 to Roscoe. Thus, Roscoe avoids the income tax bill entirely.

How to name St. Andrew's as the beneficiary of your retirement plan proceeds. To leave your retirement plan proceeds directly to St. Andrew's simply contact you plan's custodian, obtain a beneficiary designation form, and fill out the form to name St. Andrew's as the primary beneficiary. (To find out the correct way to designate St. Andrew's, call Louise Kazilonis, the chief financial officer of the Diocese, at 1-800-244-6062.)

If your estate is the beneficiary of your retirement plan, you should include specific language in your will directing your personal representative to make charitable gifts using assets most likely to incur taxes if left to
non-charitable beneficiaries and, at the same time, include a clause in your will leaving a sum equivalent to the amount in your retirement plan at your death to St. Andrew's. An experienced estate planning lawyer can provide the required language.

If you are married, and your spouse approves your plan to name St. Andrew's as the beneficiary of your retirement plan assets, he or she must indicate such approval in writing and deliver the original writing to the custodian of the plan. It is also wise to execute this document in duplicate and give the other to the custodian of your will. On the other hand, If you want your spouse to be the primary beneficiary, consider naming St. Andrew's as the contingent beneficiary in case your spouse fails to survive you.

(Nothing in this column should be construed as legal advice. Such advice should be obtained only from a qualified estate planning professional.)