LCMS Convention Workbook St. Louis, Missouri — 1975, Page 22

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22 MISSIONS

Results of the board’s reorganization at its first meeting were A. Church Extension Loans
the following: chairman, Prof, Vance Hinrichs; vice-chairman, These are the loans available to Districts for newly estab-
Mr. Herbert Hast; secretary, Mr. Winfried Graebner. Advance lished or subsidized congregations having either no facilities
Site Subcommittee: chairman, Mr. Herbert Hast: Rev. Louis

available for worship, tem Orary facilities, or inadequate
Schuth; Mr, George Albers; secretary, Dr. Donovan Claussen. facilities. The synodical Church’ Eyes Fund supplies
Promotion Subcommittee: chairman, Rev. Ewald Mueller: ; :
secretary, Mr. Howard Crumb: Mr. Winfried Graebner.
A resolution adopted at the New Orleans convention again ad
Provides for the election Process for board membership.

2. Expansion of District Church Extension Funds eliminates
t

The traditional and historic reference of the Church Exten- he need for supplemental loan assistance from the
sion Fund has basically been related to the needs of the newly synodical fund.
established and subsidized congregation. This was a logical ; ;
association since the newly established and subsidized congre- The most need for loan @ssistance under Church Extension
gations relied on District and synodical Church Extension Funds loan terms are in the following categories:
for their loan assistance for sites and facilities. Even though 1. Supplemental loan assistance to our Canadian Districts.

2. Loans to Districts for sites.

should this detract from its basic thrust. The addition of self- 3. moans to the Board for Missions for foreign field invest-
supporting congregations to its list of eligible users underscores ment. —
the need and importance of a 8rowing synodical Church Exten 4. Loan assistance to our smaller Districts.
sion Fund. A signif . . oa, .
; . . gnincant policy change was made during this biennium.
The potential of loan fund totals is almost limitless. We are Church Extension loans no longer need to be repaid in‘10 years
certainly nowhere near reaching our potential. Less than 5

percent of the synodical membership is involved in a regular
and systematic program of Savings and investments in the work provided for annual repayments of a designated amount of
and program of the church. We are much closer in reaching our nai :

potential of the “contributed” dollar than we are in reaching
our potential in available “investment” dollars, Furthermore,
savings experienced by congregations through reduced financ-
ing costs will also free certain “contributed” dollars for other

Policy provides for quarterly repayments of equal amounts

including both Principal and Interest. Terms can Provide for
20-year repayment schedules, but always ona 5-year term basis.

One of the Stated goals of Church Extension is to ultimately B. Service-Charge Loans

This loan service Provides financing for specialized ministries
having a “low” or “no” income potential. Eligibility includes
the following ministries: inner-city, ethnic and minority groups,
campus ministries, and Strategic ministries,

Loans are to the District. Terms Provide for 20-year repay-
ment schedules at a 1% annual service charge, reviewed and
refinanced in 5-year intervals.

Loan requests exceed availability of funds. These loan funds

or inadequate facilities. ; :
_ an : are Increased through pecial offerings. The latest was the 125th
Mission and ministry focus attention on the Word and People. iversary Thanko

s
ao Pa : . : Ann ffering. This effort did not reach its estab-
Mission and ministry involve witness, Proclamation, outreach, : . . on ~
and service. Outreach implies growth. Church Extension aids lished goal. Church Extension did not receive its anticipated
growth and expansion,

The theme and focus of this convention is on evangelism and
growth. There is a concern among churchmen and church
members about a declining church membership. Our Synod
experienced its most phenomenal Srowth during an earlier
decade when we opened our largest number of mission and
preaching stations, A growing and serving Church Extension
Fund paralleled a challenging and substantial mission expansion
Program. Dare we imply fewer opportunities today? This in
essence is the challenge and need of Church Extension today. C. Department of Investment Loans

of all Congregations. This goal is obviously somewhere in the
distant future.

Church Extension is an arm of missions. Church Extension
Supports ministry by Providing space to permit the 8athering

service is available to all Districts, large or small, thereby
increasing its needs and demands. Districts have no loan funds
available to them in a similar manner from the resources of

This is the most recent of the loan services available to
congregations for financing Purposes. Loans are negotiated

I. The Church Extension Program directly with congregations. Eligibility requires a self-supporting
The biennial Church Extension Teport contains elements of Status of the congregation. Loans are made on a secured loan
contrasts, aspects of increased services, areas of unmet needs, basis. Terms Provide for 15-year loans with a 20-year amortiza-
unresolved opportunities, and unprecedented successes. This tion schedule, Providing for an 8% interest rate.
mixture of description and results obviously contains elements A feature of this loan 8 bee nateBOry aiding both the con-
of solution and elements yet requiring solutions. gregation and the fund has been the “Incentive Plan” program.
The following firsts or all-time highs were reported and Congregations are encouraged to provide designated amounts
recorded in this biennium: of their total loan in new supporting investments to the synodical

Church Extension Fund. Congregations aid the fund in provid-
ing a Percentage of the loan funds eventually needed.
Congregations receive the benefit of an interest cost adjust-
ment. The 25% level entitles the congregation to a 74% loan:
the 50% level Provides for a 7% loan; the 100% level provides

1. Total assets,

2. Total withdrawals.

3. An annual allocation and disbursement total.
4. Total in deferred loan requests.

A substantial amount of funds were available for advance for a 6%% loan.
site acquisitions. Funds were 8enerated from income of sales Mortgages become marketable investment Portfolios. We
of excess acreage and sites no longer deemed necessary for are grateful to the Board of Trustees of The Lutheran Church —
church use. Missouri Synod for a substantial amount of secured mortgages
Each aspect of Church Extension loan service and Church purchased. Up to 10% of the Trust and Pension Funds can be
Extension responsibility will be reported. invested in church mortgages.