# LCMS Convention Proceedings_St. Louis Missouri_1956_S644
# Machine transcription, uncorrected — CHI Digital Archive (demonstration)

644 FINANCIAL MATTERS

of gifts and memorial-wreath bequests. It is neither a part of the
Pension Reserve Fund nor of the Pension Annuities Fund. The
Pension Reserve Fund consists of the personal andthe employers’
Pension ‘Fund contributions made before retirement or death of
the individual member. The Pension Annuities Fund consists of
the individual Pension Fund member’s total accumulation, which
at his retirement or death has been transferred from the Pension
Reserve Fund and from which annuities are paid to retired workers
‘or their widows. Thus it will be seen that the Pension Contingent
Fund is neither a part of the Pension Reserve Fund nor of the
Pension Annuities Fund.

30. Now, a Contingent Fund is a fund which may be drawn
on when something unforeseen occurs. Thus in 1954 the Board of
Support and Pensions transferred from the Pension Contingent
Fund to the Pension Annuities Fund $75,000 because an evaluation
of this fund made by our actuary, G. A. Huggins, revealed that
this fund was not in a sufficient amount by $70,000 to continue
paying the annuities which we presently are committed to pay
until the expected death of the respective annuitants.

31. Our Board has also drawn on the Pension Contingent Fund
to pay personal and employers’ Pension Fund contributions in
a number of individual cases because here, too, we came upon
emergencies for which funds were not otherwise available. Thus
the Board of Support and Pensions exercised its discretion for
‘the purpose of making supplemental benefits available to such
individual Pension Fund members as were in need.

Purpose of Pension Contingent Fund

32. Inasmuch as we desire the approval of Synod of the use
to which we have thus put the Pension Contingent Fund, we offer
the following resolution:

Wuereas, In keeping with the 1941 Fort Wayne resolution,
the Contingent Fund may, in our opinion, be classified as “Available
Funds,” since no other funds were made available; and

Wuenreas, The moneys in the Contingent Fund are supplied by
released employers’ payments (Section 10.45 f and g, and 10.49 a
and b) and for this reason could well be used to make up personal
and employers’ payments for the needy; and

Wuereas, The foremost Church Pension Fund counselor in
America, Dr. G. A. Huggins, advises: “As a general rule, I do not
think it is a good practice to ‘make up arrears of employer and
member contributions out of the general funds, because, if it
becomes a general practice and known as a general practice, it may
weaken the whole collection system”; and

Len

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