New York, New York - The archdiocese of New York has announced the creation of a $300 million fund to compensate victims of sexual abuse who filed complaints against the Catholic Church.

The church has struggled for decades to root out abusers within its ranks, with frequent accusations of cover-ups extending to its highest levels.

To gather the sum, Cardinal Timothy Dolan, Archbishop of New York, said Monday in a letter addressed to the faithful and published online that a "series of very difficult financial decisions" were made including layoffs within the archdiocese and a 10% reduction of its operating budget.

"As we have repeatedly acknowledged, the sexual abuse of minors long ago has brought shame upon our Church. I once again ask forgiveness for the failing of those who betrayed the trust placed in them by failing to provide for the safety of our young people," Dolan said.

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Dolan plans to sell major real estate assets, including the former headquarters of the archdiocese on First Avenue in Manhattan, according to The New York Times.

The archdiocese also agreed to engage retired Judge Daniel Buckley as a "neutral mediator" between itself and victims to reach a settlement, Dolan said.

The Times and other news outlets said this case involves around 1,300 people who say they were abused as minors by the church's priests and lay staff members.

Buckley has handled similar negotiations between the Archdiocese of Los Angeles and more than 1,000 people there, the letter added.

The New York announcement came the same day a federal judge approved a settlement for the New Orleans Archdiocese to pay hundreds of victims of abuse.