BUFFALO, N.Y. — One day after Niagara Catholic High School annunced it was closing, another school comes forward with a slightly different outcome.

St. Mary's in Lancaster reacted Thursday to news the school is losing funding from the Diocese of Buffalo. School leaders say revenue from increased fall enrollment, potential alumni support and strong fundraising will close the gap and make up the single-digit deficit. 

The Diocese says it's no longer able to support the schools because of declining enrollment in Catholic schools and a decline in parish collections. The head of Saint Mary's says the cut comes at a time when next year's budget is already set.

"The timing of it puts us in a little bit of a spot," said Kevin Kelleher, head of St. Mary's High School. "Over the years, the subsidy has gone down, year after year after year for many years, and now it gets  to the point where they're shutting us off."

Kelleher says there are no plans to close the school.