December 20, 2007

Probate court must OK change to Villa Augustina's trust

By JOHN WHITSON
New Union Leader Staff
 
GOFFSTOWN -
No amount of money will keep Villa Augustina School out of court.

The Religious Order of Jesus and Mary operates the 90-year-old Catholic school under a charitable trust.

Transferring assets and allowing another entity to run the school must be handled through probate court, and that procedure can only be initiated by the Attorney General's Office or the religious order itself.

"Under New Hampshire law, when you seek to change in a substantive way the charitable mission of an entity, you have to go to probate court," said Michael DeLucia, director of charitable trusts with the Attorney General's Office.

A group of parents rallying to save the 260-student school has emerged since getting word last week that the order will close the Villa in June because it's losing money.

The school's principal told a group of about 200 parents Tuesday night an anonymous donor is giving $100,000 toward capital improvements and another $200,000 in matching gifts.

While that announcement was hailed as a "godsend" by Gary Bouchard, a leader in the parents' efforts, he acknowledges there are plenty of legal hurdles to clear before celebrating.

"It's unavoidable, simply because there are basic legal questions that have to be resolved by the court," said Bouchard.

Todd Fahey, a Concord lawyer hired by a group of Villa parents, said the process is complicated and, once initiated, will likely take several months to resolve.

"Hopefully, it can be collaborative," said Fahey, referring to the interests of parents and the religious order.

"We're trying to come to an equitable agreement with the RJMs to move forward," agreed Bouchard, whose youngest child graduated from the Villa last year.

Susan Tracy, spokesman for the order, said yesterday the nuns have been meeting regularly since last week to devise a plan to protect their rights while relinquishing control of the pre-kindergarten through grade eight school.

"Right now, the RJM efforts are really focused on trying to find some way to work with the Villa Augustina community to put together some proposal to allow the transfer to the community to continue the operation of the school," said Tracy.

She said the order has, however, taken no legal action toward dissolution of the charitable trust, and no decision has been made regarding the property.

Concord attorney David Garfunkle is representing the religious order, but he did not immediately return a call for comment.

Before the charitable trust can be dissolved, DeLucia said the order will need to show why its mission is no longer practical or that it's not in the public interest.

"You go back to look at what was the original purpose of the trust," he said. "It was two-fold: to educate young people and provide a place for retirement and repose of the sisters."

The state statute outlining the process reads, in part: "... the probate court may direct the application of the property to some charitable purpose which is useful to the community, and which ... fulfills as nearly as possible the general charitable intent."

The Villa sits on 38 acres, with the land and building assessed at $1.8 million, according to Steve Griffin of the Goffstown Planning Department.

Griffin said the order also owns 10 acres across the street worth $341,400 and 15 acres nearby, home to town baseball fields, assessed at $370,900.

Sister Janet Stolba, leader of the order, told school officials last week she would try to present them with a plan by tomorrow, and Tracy said that remains the goal.

The order and parent groups may agree on how to proceed, said DeLucia, but a judge will have the final say.

"It's the court that really has the responsibility to make the determination," he said.

.

Union Leader correspondent Stephen Beale contributed to this report.

RELATED ARTICLE

   • Villa needs major capital campaign



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