Resolution 2 – Pension Rules

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BOA Action: Motion to refer to benefits committee of the BOA for consideration

GCRCC Status: forwarded for April 2011 BOA action

Introduced by: Paul Bullock, North Michigan Conference

Written by: Ron White

Related to Paragraph(s) #: 4380

Whereas:

1. A change of compensation status results in increased premiums to local churches through the Annual Conferences thus creating a liability for both.
2. Pastors can change their compensation status through on-line reporting without the knowledge of either their local church or their Conference.
3. That changes of status can be made retroactive to previous years without limitation thus creating significant debts to be assumed by the local church and the Annual Conferences
4. Under this practice there is little accountability to the local church or the Conference in this reporting.

Therefore, be it resolved:

That we add Paragraph 4380. J. to read:
Changes of Status are to be submitted through the Annual Conferences within 90 days of their effective dates. Every Change of Status must be approved by the local church Board of Administration and co-signed by the pastor, local church treasurer, and the Conference Superintendent. Retroactive changes will be limited to the previous year.

Does the resolution have a direct relationship to the vision and mission of the Free Methodist Church?

Yes.

How will the proposed change help us accomplish our vision and mission?

Change of Status reports incur a liability for the local church and ultimately the Annual Conference. When such reports are not handled properly and lack even the knowlege of the local church the result is frustration, conflict and distraction from the mission of the church. Dissatisfaction with the Conference and denomination lead to lack of trust in our institutions and therefore diminished motivation to support our mission.

The Resolutions Committee rates this resolution as:

(A) Support – recommend adoption

Comments:

Our current system allowing for on-line submission of Change of Status forms has had the effect of easily by-passing necessary accountablity and approval mechanisms. No insurance company would allow a beneficiary to be able to increase their benefit without the knowledge or approval of the policy holder who will be billed and held responsible for the premiums.

Related posts:

  1. Resolution 19 – Pension Agent

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