# LCMS Convention Workbook_St. Louis Missouri_2004_S86 # Machine transcription, uncorrected — CHI Digital Archive (demonstration) 86 SYNODICAL REPORTS At each of these meetings, the committee had the opportunity to meet privately with the auditors without the presence of man- agement to discuss issues of mutual concern. The activities of the Internal Audit Department during the tri- ennium are summarized below: 1. Districts of the Synod. Upon request of District boards, the department conducted the annual financial statement audits of 16 Districts during each of the fiscal years 2001-02, 2002-03, and 2003-04. In each of these fiscal years, the department also re- viewed the financial audit reports of the remaining 19 Districts, which were audited by independent auditors, to ensure they had re- ceived unqualified (i.e., clean) opinions on their financial state- ments. Annually, the department prepared sample District-audited fi- nancial statements to help ensure a standardized reporting format in conformity with current generally accepted accounting principles for not-for-profit organizations. To promote uniformity in District financial reporting, both internal auditors and a majority of the Dis- trict independent auditors utilized this sample report. To enable District and church extension fund boards and man- agement to evaluate the feasibility of joining the Lutheran Church Extension Fund, a pre-entry review of church extension operations was performed in one District during the last three fiscal years. During 2002-03 and 2003-04, the department assisted Concor- dia Technologies and District representatives in upgrading the ac- counting software utilized by a majority of synodical Districts. This upgrade allowed these Districts to prepare easy-to-read financial reports (including congregational giving reports) in a more timely manner. 2. Seminaries, Colleges, and Universities. In prior years, the department and independent auditors developed a joint-audit ap- proach whereby the annual financial statement and federal fund au- dits are performed at each of the 12 educational institutions using a combination of internal and external auditors. During this trien- nium, this audit approach was once again used at each institution on an annual basis. In addition, where required, audits of state- funded student financial assistance programs and foundations of various educational institutions were also performed jointly by In- ternal Audit and the independent auditors. This joint-audit approach significantly reduced external audit fees, standardized reporting re- quirements, and maximized audit efficiencies. Annually, the department gathered and provided selected data to the Board for Higher Education/Concordia University System (BHE/CUS) to assist the BHE/CUS in calculating certain financial responsibility ratios for its 12 educational institutions. 3. The Synod, Its Departments, and Other Entities. During each of the triennium years, the Internal Audit Department assisted the independent auditors in conducting their financial statement au- dits of The Lutheran Church—Missouri Synod, the Lutheran Church Extension Fund, the Lutheran Church—Missouri Synod Foundation (LCMS Foundation), Worker Benefit Plans, and Con- cordia University System. Annually, the department performed the financial statement audit of Concordia Historical Institute. On an annual basis, the department performed and reported on operational reviews of two or three Concordia Health Plan man- aged-care providers selected by the Worker Benefit Plans (WBP), as well as claims that were processed internally by WBP personnel. In 2002-03 and 2003-04, the department also performed employer audits on behalf of the WBP at the 12 seminaries/colleges/univer- sities of the Synod and at 16 synodical District offices. Annually, the department performed and reported on a review of the LCMS Foundation’s Gift Annuity Program. At the request of various departments and agencies of the Synod, special financial and operational reviews/audits were also 2004 Convention Workbook performed of selected functions, programs, and activities during the triennium. Joann P. Spotanski, Executive Director R5-01 Board for Higher Education Concordia University System The Colleges, Universities and Seminaries of The Lutheran Church-Missouri Synod Ee Life Changing EF Christ-centered \43 Valve-oriented sense treo oY Concordia University, St Pout, Munnesola * Concordia University ‘ge Actor, Mectugan * * oncortha College Beoncvile, New York Concordia Universi Concordia Universit River Forest, IMinoxs. Seward, Neoreska Concordia Theotogicat Seminary , Indiana * FR vayne, Concordia Seminary Messour: We concoraa University ecahforma We concorsia College Seema, Wanara \ Concordia University at Austin Ausin, Texas, .-» All Across the Country... An Educational Mission of The Lutheran Church—Missouri Synod “A church in Mission is and must be a Teaching church” http://www.lcms.org/pages/default.asp?NavID=886 Preface The Lutheran Church—Missouri Synod Board for Higher Edu- cation Statement of Mission and Purpose (as established by the 1986 synodical convention): The colleges, universities, and seminaries of The Lutheran Church—Missouri Synod exist to supply the higher education services needed to accomplish the mission of the church. Strongly committed to the Lutheran concept of vocation, synodical colleges and universities are liberal arts institutions that provide a Christ-centered spiritual and value-oriented environment for men and women who will be Christians at work in the church and in secular oc- cupations. The objectives of the Synod include the recruitment and education of professional church workers. Therefore, central to the system of syn- odical education is the preparation of those who are called to serve through preaching, teaching, and related vocations. Professional prepa- ration for the pastoral ministry is the special assignment of the Synod’s seminaries. Facts about Higher Education in the LCMS ¢ Over 17,500 students ¢ Over 2,800 church-work students * Over 1,400 full- and part-time faculty ¢ Over 130 majors and programs Degrees Awarded ¢ Associate Degree * Bachelor Degree « Post-Baccalaureate Certificates ° Master Degree * Doctoral Degree