To Protect People’s Offerings Given to Concordia University Schools

WHEREAS, Since the founding of the Addison Teachers Seminary (now, Concordia University Chicago) in 1864, the people of The Lutheran Church—Missouri Synod (LCMS) have generously supported the Synod’s collegiate and university institutions of higher education with their donations and bequests; and

WHEREAS, As a result of the closure of Concordia University, Portland, endowment funds that were donated to that school by LCMS congregations and their members are currently at risk; they are subject to potential claims of creditors and to potential claims by the Oregon Department of Justice (according to media reports); in each case, such claims could result in the funds being diverted from their intended purpose—support for Lutheran higher education—and diverted to pay creditors, settle lawsuits and pay legal fees, and/or be seized by the state; and

WHEREAS, The Board of Regents of Concordia University Texas has declared independence from the governance of Synod, leaving the status of endowment funds at that institution unsettled with respect to the training of church workers for the Synod; and

WHEREAS, It would be tragic for millions of dollars in endowment funds given by God’s people to be lost or wasted if other Concordia University System (CUS) schools encounter financial difficulties; and

WHEREAS, The Synod has formed The Lutheran Church— Missouri Synod Foundation to act as an independent fiduciary and trust company, and the primary provider of charitable expertise for the LCMS; the LCMS Foundation has decades of charitable expertise, helping to ensure that families are provided for and beloved ministries are supported; the LCMS Foundation serves our Lord and our Church by providing trained professionals to assist individuals and ministry congregations in practicing biblical, Christ-centered stewardship; and

WHEREAS, The LCMS Foundation currently holds and manages numerous endowments for the benefit of the CUS schools; the income is distributed to the intended beneficiary institutions,but the principal is invested and safeguarded by the LCMS Foundation in trust, both protected from claims of creditors of the institutions and preserved for use in accordance with the direction of the original donors; and

WHEREAS, Transferring all CUS endowment funds to the LCMS Foundation would result in optimal stewardship by:

• ensuring that such funds remain available to the CUSschools as intended by the donors, protecting donor intentions with no change in the distribution of funds so long as the CUS schools remain in operation and part of the Synod;

• reducing the overhead costs of managing funds, and spreading risk across a broader investment base, meaning a higher return on investment for the schools; and

• safeguarding such funds from creditors and/or state seizure if a school were to become insolvent and/or leave affiliation with the Synod;

therefore be it

Resolved, That the Synod in convention to direct all CUSschools to transfer their endowment funds, whether held directly or indirectly, to the LCMS Foundation in trust, to be held consistent with the donor-intended purposes and distributed to such CUS schools consistent with current practices so long asthe CUS schools operate as agencies of the Synod, and otherwise to be used for LCMS higher education, by Dec. 31, 2023.