# LCMS Convention Workbook_St. Louis Missouri_1983_S191
# Machine transcription, uncorrected — CHI Digital Archive (demonstration)

STRUCTURE AND CONSTITUTION 191

the Board of Directors.) For the purposes of this
section 2.87,

a. “Synod” includes every agency engaged in
furthering the objectives of the Synod;

b. “agency engaged in furthering the objectives of
the Synod” is any instrumentality other than a
congregation, whether or not separately incorporated,
which the Synod or one of its agencies has caused to
be formed to further the Synod’s objectives, and
includes without limitation each board, commission,
seminary, college, and District, and Concordia Pub-
lishing House, Concordia Historical Institute, and
The Lutheran Church—Missouri Synod Foundation;
and

c. “property of the Synod” includes all property,
real or personal, tangible or intangible, and wherever
situated (whether in the United States or elsewhere),
and regardless of whether title to such property is
held in the name of the Synod or its nominee or one of
its agencies, provided, however, such shall not in-
clude any assets of the Lutheran Church Extension
Fund—Missouri Synod, and provided further that
property held by an agency in a fiduciary capacity
(including, for purposes of example, the pension
funds held by the Board of Trustees, the retirement
and welfare funds administered by the Board of
Managers, and certain funds held by The Lutheran
Church—Missouri Synod Foundation) shall not be
considered or treated as the property of the Synod.

2.187

d. Capital-Fund Borrowing Authority

1. The Board of Directors shall be empowered to
authorize the synodical Treasurer to borrow capital
funds after the board has determined the amounts
and the conditions under which these capital funds
shall be borrowed, for capital-fund outlay, for site
acquisition, and for construction projects which are
authorized by synodical conventions.

2 The Board of Directors and the responsible
officers of the Synod are empowered to do all things
necessary to effect such capital-fund borrowings if
and when required, including the pledging of real and
other property belonging to the Synod in order to
secure loans to obtain the necessary funds.

3. The borrowed capital funds shall not be used
for any operating expenditures and shall be subject to
provision for amortization.

2.187 Financial Duties

a. Accounting Procedures

1. The Board of Directors shall establish and
prescribe uniform accounting procedures and sys-
tems, financial reporting, and budgeting classifica-
tions in and for all boards, commissions, agencies,
and institutions of the Synod. Such procedures and
systems shall apply to all operations, including
Church Extension, Worker Benefit Plans, and all
specific funds. The Board of Directors shall, through
the Accounting Department, receive from all agen-
cies, institutions, boards, and commissions periodic
financial statements, consolidated balance sheets,
and operating statements.

2. Districts shall to the extent possible publish
their quarterly and annual reports in the Synod’s
standard reporting format and transmit to the Syn-
od’s Accounting Department such reports for use in
preparing consolidated financial statements. Dis-
tricts shall be encouraged to use the Synod’s
procedures as described in paragraph 1 above.

“Synod” includes every agency engaged in fur-
thering the objectives of the Synod. “Property of the
Synod” includes all property, real or personal, tangi-
ble or intangible, and wherever situated (whether in
the United States or elsewhere), and regardless of
whether title to such property is held in the name of
the Synod or its nominee or one of its agencies,
provided, however, that property held by an agency
in a fiduciary capacity (including, for purposes of
example, the pension, retirement, and welfare funds
administered by the Board of Managers, and certain
funds held by the Lutheran Church—Missouri Synod
Foundation) shall not be considered or treated as the
property of the Synod;

d. establish fiscal management policies and re-
view or provide for the review of the operating policies
and procedures of the Treasurer, who is the trust
officer of the Synod, and ofall boards and agencies of
the Synod serving in a trustee capacity, and their
performance thereunder,

e. establish in consultation with the affected
agencies the policies for all borrowing of funds, other
than from the Lutheran Church Extension Fund—
Missouri Synod, by the Synod and its Districts,
colleges, seminaries, and other agencies and on the
basis of such policies authorize all such borrowing for
capital purposes and any pledging of assets;

f. provide through the Treasurer cash manage-
ment services for the Synod and its Districts, colleges,
seminaries, and other agencies, paying interest to
such units for temporary investments and charging
interest for temporary loans, and establish the neces-
sary policies for such services,

g. provide appropriate fidelity bonding for all
boards, commissions, Districts, seminaries, and other
agencies of the Synod;

h. provide for the establishment of uniform ac-
counting procedures and systems, financial report-
ing and budgeting classifications for all boards,
commissions, Districts, colleges, seminaries, and
other agencies of the Synod, and through the Trea-
surer receive from all such units periodic financial
and operating statements. The Treasurer shall com-
bine all such statements for reporting purposes tothe

extent required by general accounting principles: