# LCMS Convention Proceedings_St. Louis Missouri_1995_S166 # Machine transcription, uncorrected — CHI Digital Archive (demonstration) 166 che synodical Board of Directors was advised that in 1991 the LCEF Board resolved to utilize the conflict of in- terest policy adopted by the synodical Board of Directors (see:response to recommendation 1 and exhibit 1 attached). Unlike some other boards, LCEF Board members them- selves sign a statement acknowledging they understand and endorse this conflict of interest policy. The synodical Board initially created the LCEF corporate entity and notes that-LCEF is a board of the Synod:in the same manner as the synodical Board of Directors and over the years has been very cooperative in the development and implementa- tion of common policy and in enhancing the ministry of the Synod at all levels. The Board is pleased the Task Force concluded that “it appears to the task force that the finan- cial condition of LCEF is sound and that adequate finan- cial and investment controls exist.” The Board, however, encourages the LCEF to broadly share how it has kept costs down through the use of outside consultants and brokers. Task Force Recommendation 21 That a cost/benefit analysis be conducted to determine the benefit of further outsourcing of Worker Benefit Plans operations (WORKER BENEFIT PLANS, p. 13) “The Board appoints the Board.of Managers of the Worker Benefit Plans and is pleased “the Task Force favor- ' ably acknowledges the financial reporting and overall man- agement of the Worker Benefit Plans” and concluded “De- termined efforts are being made to address cost containment while maintaining a level of service which is generally superior to insurance plans outside the church.” The Board concurs with outsourcing Worker Benefit Plan operations where practical. In 1991 the Board of Managers, with the approval of the synodical Board of Directors, began outsourcing certain operations of the Concordia Health Plan. Effective Jan. 1, 1992, all prescription claims were outsourced to Caremark and all mental-health or sub- stance-abuse treatment was outsourced to Preferred Health Care. In March 1993 the Board approved outsourcing all other medical treatment to the Prudential Plus/PruCare Plus Networks for managed care in those areas where the Prudential network is available. This network, effective July 1, 1993, in St. Louis and Jan. 1, 1994, in other areas, covers about half of the active workers covered in the Con- cordia Health Plan. The Board of Managers is continuing to explore outsourcing options in those areas where Pru- dential does not operate. The Board believes there would not be an economic or service benefit from outsourcing the Concordia Retirement Plan, the Concordia Disability Plan, and the Pension Plan for Pastors and Teachers. ‘Task Force Recommendation 22 That the Board of Directors of Concordia Retirement Plan investigate the potential for reduced premiums in light of overfunding (WORKER BENEFIT PLANS, p. 13) The Board concurs with the reduction in premiums as of Jan. 1, 1994, in light of overfunding. Earlier this year, the Board of Managers, after several years of study, ad- vised the synodical Board of Directors of its intent to both lower premiums and increase benefits under the Concordia Retirement Plan. The executive director of the Worker Ben- LATE REPORTS AND OVERTURES efit Plans advised the Task Force of the intent to take this action. Board of Directors The Lutheran Church—Missouri Synod To Continue the Synodical Commission on Worship | WHEREAS, The 1992 Pittsburgh Convention of the Synod (Res. 2-02) resolved that the Commission on Worship be re- tained as a self-standing commission and urged the Board of Directors to provide funding for full-time staff; and WHEREAS, Pittsburgh 4-02A placed the Commission on Worship in the Congregational Services Conference, i ignor- ing the mandate of 2-02; and WHEREAS, Worship is not a program of the Synod, but the very core of the Christian faith since the Confessions of our church identify true worship as faith; and WHEREAS, The Commission on Worship is not a program. commission but is concerned with the life and teaching of our church (Bylaw 3.928); therefore be it Resolved, That the Commission on Worship be attached directly to the Office of the President of Synod in his capac- ity as supervisor of doctrine; and be it further Resolved, That the 1995 convention of the Synod man- date immediate full staffing for the Commission on Wor- ship. English District Board of Directors Mid-South District. L5-32 To Require Concordia Retirement Plan to Provide Annual Cost-of-Living Increases WHEREAS, The purpose and intention of the Concordia Retirement Plan (CRP) is to provide a retirement of secu- rity and dignity for the Synod’s workers at a level at least commensurate with their concluding full-service years; and WHEREAS, Prudent financial retirement planning advises provision to age 85 years; and WHEREAS, The life expectancy of the Plan’s participants is likely 20-25 years beyond retirement; and WHEREAS, Even a modest annual inflation rate over a 20-25 year span of retirement will gravely erode the pur- chasing power of the retiree; and WHEREAS, The Concordia Retirement Plan is profoundly funded with superior performing assets; therefore be it Resolved, That the English District memorializes the Synod at its next convention in 1995 to require the Concor- dia Retirement Plan to provide an annual cost-of-living in- crease that will at least equal the national rate of inflation. - N English District’ Board of Directors.