Collection › LCMS Convention Workbook (St. Louis, Missouri) › 2026 · 69th Convention, Phoenix › Page 162
LCMS Convention Workbook St. Louis, Missouri — 2026, Page 162

Scan: The Lutheran Church—Missouri Synod
Transcription machine transcription, uncorrected

OFFICER, BOARD, AND COMMISSION REPORTS

162

Scope of Board of Directors Authority to Approve
Usage of Lutheran Church Extension Fund Assets
under Bylaw 3.6.4.4.1 (23-3003)
Minutes of March 30, 2023
By an email of January 30, 2023, the president and chief executive
officer of the Lutheran Church Extension Fund—Missouri Synod
(LCEF) requested, on behalf of the LCEF Board of Directors, an
opinion on the following question:
Background: Over the past year, LCEF has engaged in conversation with another confessional Lutheran church body (not in altar and pulpit fellowship with the Synod) regarding the ability of
LCEF to provide loans to its congregations, schools, and affiliated
ministries (organizations akin to the recognized service organizations of the Synod).
Bylaw 3.6.4.4.1, addressing the use of LCEF assets, reads, “The
assets of the Lutheran Church Extension Fund—Missouri Synod
shall be used exclusively to provide financing and services for
the acquisition of sites, for the construction of facilities, for the
purchase of buildings and equipment, for operating expenses, for
professional church worker education, for the residential housing
needs of professional church workers, for promoting strategic ministry planning and assisting in capital campaigns; and for other purposes approved by its governing board consistent with the ministry
and mission of the Synod under policies approved by the Board of
Directors of the Synod.” [emphasis added]
Because lending to ministries of the other church body would require the use of LCEF assets beyond the LCMS, clarity on the intended scope of Bylaw 3.6.4.4.1 and the authority of the Synod
Board of Directors in that regard is being requested.
Question:

May the Synod Board of Directors, in exercising
its authority under Bylaw 3.6.4.4.1, determine that
a certain use of assets by LCEF is consistent with
the ministry and mission of the Synod? (The instant
“certain use” refers to the lending of LCEF assets
“beyond the LCMS,” within another confessional
Lutheran church body that is not in altar and pulpit
fellowship with the Synod.)

Opinion: The commission finds that the question, although apparently simple in form, requires a three-part analysis.
The first question that must be answered is, Who interprets the Constitution and Bylaws of Synod? The answer is simple and found at
Bylaw 3.9.2: “The Commission on Constitutional Matters exists to
interpret the Constitution, Bylaws, and resolutions of the Synod.
…”
The second question is, What is “the ministry and mission of the
Synod” as it relates to the scope of “other activities” to which assets of LCEF may permissibly be applied (Bylaw 3.6.4.4.1)? Most
broadly speaking, this is asking, What is the purpose of the Synod?
The purpose of Synod is found in the first Bylaw, under section 1.1,
“Purpose of the Synod.” Bylaw 1.1.1: “Committed to a common
confession and mission, congregations of The Lutheran Church—
Missouri Synod join with one another in the Synod to support one
another and to work together carrying out their commonly adopted
objectives. The Synod is organized to work in support of and on
behalf of [such] congregations to assist them in carrying out their
ministries. …” Bylaw 1.1.1 (a): “The Synod functions in support
of its member congregations. …” Bylaw 1.1.1 (b): “The Synod on
behalf of its member congregations administers those ministries
2026 Convention Workbook

that can be accomplished more effectively in association with other member congregations through the Synod. In this way member
congregations utilize the Synod to assist them in carrying out their
functions of worship, witness, teaching and nurture, service, and
support.” Bylaw 1.1.1 makes clear that Synod exists for and on
behalf of member congregations.
That concept is naturally and properly reiterated in Bylaw 3.6.4:
“The Lutheran Church Extension Fund—Missouri Synod … [was
established] to further the objectives and duties of the church extension fund within the Synod. It is formed to provide financial
resources and related services for ministry, witness, and outreach
of The Lutheran Church—Missouri Synod” (emphasis added). It
is within that framework (i.e., church extension within the Synod,
providing financial and related services for ministry, witness, and
outreach of the Synod) that the LCEF assets, as stated in Bylaw
3.6.4.4.1, “shall be used exclusively to provide financing and services for the acquisition of sites, for the construction of facilities,
for the purchase of buildings and equipment, for operating expenses, for professional church worker education, for the residential
housing needs of professional church workers, for promoting strategic ministry planning and assisting in capital campaigns; and for
other purposes approved by its governing board consistent with the
ministry and mission of the Synod under policies approved by the
Board of Directors of the Synod.” Finally, Bylaw 3.6.4.4.2 makes
clear that the assets of LCEF (as to distribution of operating results)
are for the exclusive use of LCMS “member districts, congregations, and corporate Synod, as determined by its governing board.”
Thus, the third necessary part of this analysis—the relation, under
the Bylaws, between the mission and ministry of the Synod and
the scope of possible legitimately authorized operations of LCEF,
especially as it regards the instant question—is concluded.
Because the church body in question is not “within the Synod” (Bylaw 3.6.4; CCM Op. 00-2189) or serving the “ministry, witness,
and outreach of [the Synod]” (Bylaw 3.6.4.4.2; CCM Op. 13-2696;
emphasis added), the commission, consistent with the cited opinions, finds that Synod’s Bylaws prohibit LCEF funds being loaned
to the church body or its congregations or other ministries. Only
within said bounds, namely, within the Synod and serving the ministry, witness, and outreach of the Synod, is the Board of Directors
able by policy to permit the “other purposes” of LCEF assets described in Bylaw 3.6.4.4.1.

Lutheran Church Extension Fund Canada
Corporation (23-3005)
Minutes of March 30, 2023
This opinion is potentially relevant to discussions of corporate form
requirements. However, due to its length and nature as a line-byline review, it is not incorporated here. See minutes.

University Board of Regents Unilateral Separation
(23-3006)
Minutes of March 30, 2023
The Board of Directors of the Synod has submitted a series of 10
questions related to actions taken November 8, 2022, by the Board
of Regents of Concordia University Texas (CTX), requesting an
opinion from the Commission on Constitutional Matters (CCM).
In conjunction with Bylaw 3.9.2.2 (b) the commission invited input
from the President of the Synod, the Synod Board of Directors,
the Concordia University System (CUS) Board of Directors, the