PETERSBURG -- The St. Joseph School auditorium -- filled with students, teachers and parents -- erupted with applause, shouts and tears when the principal broke the news that the school will remain open.

At a meeting yesterday at the Catholic Diocese of Richmond offices in Henrico County, diocesan and St. Joseph parish leaders decided to keep the 149-student school open because it had come close to meeting the $1 million fundraising goal set by the diocese.

"Your compassion and your support has moved me," the school's principal, Ruth Bonner, told the gathering at the school.

The St. Joseph parish had at some point recommended to Bishop Francis X. DiLorenzo closing the school because it no longer could support it. The school has been experiencing dwindling enrollment and rising maintenance and salary costs.

The bishop gave the school less than three weeks to raise $1 million to cover a half-million-dollar debt and to support future expenses and improvements to the building. He also asked for academic improvements and enhancements to the marketing and development programs.

The reason for the diocese's short deadline was the need to extend contracts to teachers for the next school year.

About $900,000 had been collected as of yesterday, and donation pledges still were coming in, said Ella Dickinson, who was part of a parent group heading the fundraising. The fundraising will continue, she said.

G.M. Clements Inc. of Petersburg gave the biggest donation by pledging to paint the 1916 building, estimated at a cost of $157,000.

SW Funk Industrial Contractors of Chester gave the biggest cash donation -- $50,000.

Dominion Virginia Power's president, Thomas F. Farrell II, and Petersburg businessman Bill Patton each gave $20,000. There was another donation of $15,000 and two or three of $10,000 each.

"The rest was $5,000 or less," Dickinson said. "That's what makes it more amazing. We told people that every one counts, and it truly did."

The checks had been placed in a safe because had the decision been made to close the school, the money would have been returned. But now the parish finance council will take over handling of the funds, Bonner said.

"I wouldn't want to be the one who will have to fill out all those deposit slips," she joked.

Bonner thanked the students, teachers and parents who sold lemonade, donated their own money, collected money in their neighborhoods, or prayed for the school.

"This would not have been possible without you," she told the gathering.

Mitch Hartson, chairman of the St. Joseph parish pastoral council, said he was amazed at the diversity of people giving money: Catholic, non-Catholic, alumni and people who have not even been to Petersburg. Donations have come from all over the country, including Hawaii.

"In a time when so many schools are closing," he said, "I think it sends a tremendous message for support of Catholic education."

Assistant principal Margaret Mary Scally said she questioned whether the school would remain open but left the matter in God's hands.

"There's enough prayer and enough support that it certainly had to be divine, it can't be just human," she said. "St. Joseph beat the odds."

The St. Joseph School Board, administration and parish finance council presented plans to improve academics as well as marketing and development programs at yesterday's meeting with diocesan officials.

Annette Z. Parsons, chief school administrator of the Office of Catholic Schools, said the diocese would assist the school in strengthening the programs.

Those improvements, however, are more likely to come in the fall, Bonner said. "Our biggest challenge right now is to move forward. We need to focus on registration and recruitment."

Anne Hale, who has a daughter in second grade at St. Joseph, couldn't contain her happiness that the school will remain open.

"I'm ecstatic, so happy and so blessed," she said, her eyes tearing. "I believe we have seen a miracle here."
Contact Juan Antonio Lizama at (804) 649-6513 or jlizama@timesdispatch.com.