Better Business Bureau Report for
Lutheran Church--Missouri Synod

Better Business Bureau Report issued January 2011
Better Business Bureau Report expires January 2013


Does not meet one or more standards
This charity does not meet one or more of the 20 standards for Charity Accountability. Find out more...


Find out more about this charity:

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Charity Contact Information

Name: Lutheran Church--Missouri Synod
Address: 1333 South Kirkwood Road
  St Louis, MO 63122
Phone: 314-965-9000
Web Address: www.lcms.org
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Better Business Bureau Comments

Year, State Incorporated: 1894, Missouri
Affiliates: None
Stated Purpose: In grateful response to God's grace and empowered by the Holy Spirit through Word and Sacraments, the mission of the Lutheran Church--Missouri Synod is to vigorously make known the love of Christ by word and deed within our churches, communities and the world.

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Evaluation Conclusions

              

Lutheran Church--Missouri Synod (LCMS) does not meet the following 4 Standards for Charity Accountability.

Standard 6: Board Policy on Effectiveness - Have a board policy of assessing, no less than every two years, the organization's performance and effectiveness and of determining future actions required to achieve its mission.

LCMS does not meet this Standard because it does not have a board policy on assessing organizational performance and effectiveness. 

Standard 7: Board Approval of Written Report on Effectiveness - Submit to the organization's governing body, for its approval, a written report that outlines the results of the aforementioned performance and effectiveness assessment and recommendations for future actions.

LCMS does not meet this Standard because it does not produce a written effectiveness assessment report.  

Standard 16: Annual Report - Have an annual report available to all, on request, that includes: (a) the organization's mission statement, (b) a summary of the past year's program service accomplishments, (c) a roster of the officers and members of the board of directors, (d) financial information that includes (i) total income in the past fiscal year, (ii) expenses in the same program, fund raising and administrative categories as in the financial statements, and (iii) ending net assets.

LCMS does not meet this standard because:

  • The organization states it does not have an annual report covering activities conducted in the past year.

Standard 18: Privacy for Written Appeals & Internet Privacy - Address privacy concerns of donors by (a) providing in written appeals, at least annually, a means (e.g., such as a check off box) for both new and continuing donors to inform the charity if they do not want their name and address shared outside the organization, (b) providing a clear, prominent and easily accessible privacy policy on any of its websites that tells visitors (i) what information, if any, is being collected about them by the charity and how this information will be used, (ii) how to contact the charity to review personal information collected and request corrections, (iii) how to inform the charity (e.g., a check off box) that the visitor does not wish his/her personal information to be shared outside the organization, and (iv) what security measures the charity has in place to protect personal information.

LCMS does not meet this Standard because:

  • Its website, www.lcms.org, does not provide access to a privacy policy.
Lutheran Church--Missouri Synod (LCMS) meets the remaining 16 Standards for Charity Accountability.
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Programs

              

Today, The Lutheran Church--Missouri Synod has 6,150 congregations served by more than 9,000 professional church workers. The word "Synod" in The Lutheran Church--Missouri Synod comes from the Greek words that mean "walking together." It has rich meaning in the church body because the congregations voluntarily choose to belong to the Synod. Diverse in their service, these congregations hold to a shared confession of Jesus Christ as taught in Holy Scripture and the Lutheran Confessions. Some are located in rural areas, others in inner cities. Some are large; others are very small. Most use English, but some offer worship services in Vietnamese, Spanish, Laotian and other languages. LCMS World Mission trains, sends, and supports called career missionaries and appointed volunteer missionaries throughout the United States and in various countries throughout the world where there are mission stations, partner churches or mission relationships. Ministry to African-Americans has been a solid part of the Synod for more than 100 years. In addition, its Library for the Blind produces sermons and devotional literature, and of the approximately 90 deaf congregations maintained by all religious denominations, more than 50 are members of the LCMS. Well known for its emphasis on Biblical doctrine and faithfulness to the historic Lutheran Confessions, the Synod also seeks new ways of proclaiming the Gospel. Concordia Publishing House, whose Arch Book Series for children has sold more than 55 million copies, is the nation's fourth-largest Protestant publisher. Unlike many other churches, the LCMS has never been involved in a major merger. Internationally, the Synod conducts missions or maintains relations with churches in more than 50 different countries. It is a member of the International Lutheran Council, but it does not belong to the Lutheran World Federation, to the National Council of Churches or to the World Council of Churches. The LCMS is in Altar and Pulpit Fellowship with more than twenty five Partner Churches. The Synod has always had a great emphasis on education. In fact, its earliest congregations built schools before they built churches! It has 10 colleges, two seminaries, 91 high schools and the nation's largest Protestant elementary school system. The LCMS has congregations in all sections of the United States, but the heaviest concentration of its membership continues to lie in the Midwest. The Synod also shares God's love with others through LCMS World Relief and Human Care by meeting human needs (physical, emotional, and spiritual) of those who are suffering. It has built and helped to maintain a large network of Lutheran hospitals, nursing homes, human care and adoption agencies to serve the sick, the elderly, the victims of abuse, those struggling with addictions, and many others coping with difficult situations and transitions in life. LCMS District and Congregational Services serves with districts in assisting its congregations to develop and foster vibrant ministries to bring the saving, life-giving Gospel of Jesus Christ to the world through its five ministries: Children, Family, Outreach, School, Stewardship and Youth.

For the fiscal year ended June 30, 2009, LCMS's program expenses were:

  
LCMS Holdings Ltd 26,122,000
Missions 25,047,000
Human Care 10,346,000
University Education 5,492,000
KFUO radio stations 3,053,000
Ecclesiastical services and commissions 2,797,000
Pastoral Education 2,599,000
District & Congregational Services 1,642,000
Communications 1,591,000
Black Ministry 491,000
Supplemental retirement ot veterans of the cross 423,000
Total Program Expenses: $79,603,000
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Governance

              

Chief Executive : Ron Schultz, Chief Administrative Officer
Compensation*:
$193,766

Highest Paid Executive: Rev. Gerald B. Kieschnick,President
Compensation*: $225,567

Chair of the Board: Robert T Kuhn
Chair's Profession / Business Affiliation: Ordained Minister

Co-Chair of the Board : Michael Kumm

Chair's Profession / Business Affiliation: Ordained Minister

Board Size: 15

Paid Staff Size: 698

*Compensation includes annual salary and, if applicable, benefit plans, expense accounts, and other allowances.
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Fund Raising

              

Method(s) Used:

direct mail, telephone, invitations to fund raising events, print advertisements, radio, internet, planned giving arrangements, cause-related marketing
Fund raising costs were 11% of related contributions. (Related contributions, which totaled $65,746,000, are donations received as a result of fund raising activities.)
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Tax Status

              

This organization is tax-exempt under section 501(c)(3) of the Internal Revenue Code. It is eligible to receive contributions deductible as charitable donations for federal income tax purposes.
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Financial

              

The following information is based on LCMS's audited financial statements - consolidated for the fiscal year ended June 30, 2009.

Source of Funds  
Gifts and grants 39,460,000
LCMS Holdings Ltd 31,458,000
District pledge 17,795,000
Bequests 6,306,000
Sales/Services: Other programs and services 6,227,000
Volunteer Services 2,185,000
Sales/Services: KFUO 1,536,000
Split Interest agreements 1,131,000
Investment Trust Income 846,000
Net realized & unrealized loss 845,000
Gain on Sale of Fixed Assets 249,000
Total Income $108,038,000


chart



Uses of Funds as a % of Total Expenses

Programs: 80%  Fund Raising: 8%  Administrative: 12% 

Total income   $108,038,000
  Program expenses $79,603,000
  Fund raising expenses 7,435,000
  Administrative expenses 11,451,000
 
Total expenses   $98,489,000
Income in Excess of Expenses   9,549,000
Beginning net assets   103,396,000
Ending net assets   112,945,000
Total liabilities   77,153,000
Total assets   $190,098,000


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