WEBVTT 1 00:00:05.623 --> 00:00:07.023 Welcome to Mission Works. 2 00:00:07.023 --> 00:00:08.023 Thanks to donors. 3 00:00:08.023 --> 00:00:09.123 I'm Dale Meyer. 4 00:00:09.123 --> 00:00:10.923 I'm a donor to Concordia 5 00:00:10.923 --> 00:00:14.823 Seminary you are too and we thank you for that. 6 00:00:14.823 --> 00:00:19.623 Where does Concordia Seminary receive the 24 million dollars 7 00:00:19.623 --> 00:00:21.823 we need to operate this Mission 8 00:00:21.823 --> 00:00:22.723 each year? 9 00:00:22.723 --> 00:00:25.623 Joining us again, is Mr. 10 00:00:25.623 --> 00:00:30.023 Chad Cattoor, Chief Financial Officer of our Seminary. Chad thank you for 11 00:00:30.023 --> 00:00:30.423 coming back. 12 00:00:30.423 --> 00:00:32.923 You were such a hit in the last episode. 13 00:00:32.923 --> 00:00:35.123 The fan mail. 14 00:00:35.123 --> 00:00:38.823 Wow, so they want you back by popular demand. 15 00:00:38.823 --> 00:00:43.523 Now I'm wondering, are you just a smooth actor 16 00:00:44.623 --> 00:00:48.223 or might you actually be a CPA? I'm a CPA. 17 00:00:48.223 --> 00:00:48.623 Yes. 18 00:00:48.623 --> 00:00:50.523 Okay and so you're qualified. 19 00:00:50.523 --> 00:00:52.023 How long have you been at the Seminary? 20 00:00:52.023 --> 00:00:55.823 Been at the Seminary 15 years, 15 years. 21 00:00:55.823 --> 00:01:00.323 You came during my time and you have, outlasted me. But one of the 22 00:01:00.323 --> 00:01:03.523 reasons why Concordia Seminary is in great financial shape 23 00:01:03.523 --> 00:01:08.123 and, and we'll be talking about that is because of the the stewardship 24 00:01:08.123 --> 00:01:11.723 that Chad and others in the accounting department head have rendered. 25 00:01:11.723 --> 00:01:15.323 There didn't used to be a CPA here 26 00:01:15.323 --> 00:01:20.923 now we have several of them. So I'm glad glad you're here. So continuing to answer the fan mail. 27 00:01:20.923 --> 00:01:28.123 Last week, you brought a pie an income pie and the big piece of 28 00:01:28.123 --> 00:01:30.223 that was gift income. 29 00:01:30.223 --> 00:01:33.723 I'd like to go through that pile and understand better. 30 00:01:33.723 --> 00:01:36.523 What makes up gift income? 31 00:01:36.523 --> 00:01:38.423 That that's not just one 32 00:01:38.423 --> 00:01:38.723 check 33 00:01:38.723 --> 00:01:39.323 the comes in. 34 00:01:39.323 --> 00:01:43.723 What are the various vehicles, avenues by which gift income comes to 35 00:01:43.723 --> 00:01:43.923 us? 36 00:01:44.623 --> 00:01:45.223 So the gift income number 37 00:01:45.223 --> 00:01:50.423 that is basically the operating fund and includes the operating fund. 38 00:01:50.423 --> 00:01:54.423 It includes gifts from estates and bequest. It includes gifts 39 00:01:54.423 --> 00:01:57.223 restricted for mainly student aid that are flowing into the 40 00:01:57.223 --> 00:02:02.223 institution to offset, the student accounts. Program support. 41 00:02:02.223 --> 00:02:02.823 You know, 42 00:02:02.823 --> 00:02:07.423 we get gifts for the library, Food Bank, things like that, that's, 43 00:02:07.423 --> 00:02:08.223 that's a big 44 00:02:08.223 --> 00:02:13.823 that's the majority of the gift income percentage. That flows into 45 00:02:13.823 --> 00:02:17.623 the institution, and our Advancement Team they do an amazing job of raising those 46 00:02:17.623 --> 00:02:20.623 dollars. They really do and hats off to them. 47 00:02:20.623 --> 00:02:25.623 And I want to say that that our advancement team and our gift officers 48 00:02:25.623 --> 00:02:30.723 are doing a Ministry of our Lord and the Seminary. It's not that 49 00:02:30.723 --> 00:02:34.023 they're just going to people and saying would you give. It's a real 50 00:02:34.023 --> 00:02:38.023 Ministry that they do it in in living rooms and kitchen tables and so 51 00:02:38.023 --> 00:02:38.223 on. 52 00:02:38.223 --> 00:02:39.023 Thank you, bring that up. 53 00:02:39.023 --> 00:02:44.523 It is. There are a number of vehicles that we use throughout the year 54 00:02:44.623 --> 00:02:49.123 to raise those dollars. Throughout the year, we do annual appeals. 55 00:02:49.123 --> 00:02:52.323 So you know, a lot of our donors are very familiar with the Easter 56 00:02:52.323 --> 00:02:55.923 appeal or the Call Day appeal, Thanksgiving appeals. 57 00:02:55.923 --> 00:02:58.523 My mother used to want me to write letters to her. 58 00:02:58.523 --> 00:03:02.523 And when I got the job at Seminary, she got a letter every every so 59 00:03:02.523 --> 00:03:04.423 often for me asking her for money. 60 00:03:04.423 --> 00:03:14.623 So that's just one way people can give to the institution. There are pledges, you know, where where people sign a pledge for a 61 00:03:14.623 --> 00:03:17.923 certain amount of money to be given to the institution over a period 62 00:03:17.923 --> 00:03:22.123 of time. That is heavily used for the adopt a student program, where a 63 00:03:22.123 --> 00:03:26.223 donor will pledge a certain amount in the course of an academic year to 64 00:03:26.223 --> 00:03:27.523 be provided to the student. 65 00:03:27.523 --> 00:03:33.523 Another example is through, estates and wills you know a legacy gift 66 00:03:33.523 --> 00:03:34.323 plan gifts. 67 00:03:34.323 --> 00:03:37.223 You also have donors that'll give the institution 68 00:03:37.223 --> 00:03:41.823 donated Securities, so they'll give stock certificate. Do 69 00:03:41.823 --> 00:03:42.823 faculty and staff 70 00:03:42.823 --> 00:03:44.123 give to the Seminary? 71 00:03:44.523 --> 00:03:49.723 Absolutely payroll deduction, that's another way that folks give to 72 00:03:49.723 --> 00:03:51.123 the give to the institution. 73 00:03:51.123 --> 00:03:55.023 So we have a number of faculty and staff that through payroll it's 74 00:03:55.023 --> 00:04:00.423 deducted from their pay, and that goes directly to to basically fund 75 00:04:00.423 --> 00:04:02.023 the seminaries operation. 76 00:04:02.023 --> 00:04:06.123 I haven't seen it lately, but the last campaign we had just about a 77 00:04:06.123 --> 00:04:08.523 hundred percent support from faculty and staff. 78 00:04:08.523 --> 00:04:13.023 So we're donors along along with you. Let's move the next piece of the 79 00:04:13.023 --> 00:04:17.023 pie investment and trust return that's the endowment talk about 80 00:04:17.023 --> 00:04:17.323 that. 81 00:04:17.323 --> 00:04:22.623 So that is the Genesis of the Generations Campaign was to grow the 82 00:04:22.623 --> 00:04:22.923 endowment. 83 00:04:22.923 --> 00:04:25.923 And basically those are 84 00:04:25.923 --> 00:04:28.523 that's made up of endowments that the Seminary owns. 85 00:04:28.523 --> 00:04:33.423 It's also made up of the trust return piece is made up of a endowments 86 00:04:33.423 --> 00:04:34.923 that are held by a third-party. 87 00:04:34.923 --> 00:04:39.323 So example, the LCMS Foundation, they actually hold an endowment where 88 00:04:39.323 --> 00:04:43.923 the Seminary is the income beneficiary in perpetuity of that income 89 00:04:43.923 --> 00:04:44.523 from that endowment. 90 00:04:44.523 --> 00:04:49.123 So that means that that there are endowments that belong to the 91 00:04:49.123 --> 00:04:49.523 Seminary. 92 00:04:49.523 --> 00:04:50.623 Correct. 93 00:04:50.623 --> 00:04:54.023 And then the Lutheran Church-Missouri Synod Foundation 94 00:04:54.023 --> 00:04:59.723 also has endowments that belong to the owner or to the foundation and 95 00:04:59.723 --> 00:05:01.323 the proceeds of that come to the Seminary. Yes. The donor has basically told the foundation that they want the Seminary to be an income beneficiary. 96 00:05:01.323 --> 00:05:10.323 So this is not hypothetical. Some years ago, Dale and Diane Meyer 97 00:05:10.323 --> 00:05:14.823 established an endowment and you can start an endowment at $25.000, 98 00:05:14.823 --> 00:05:15.223 okay. 99 00:05:15.223 --> 00:05:19.123 And it has grown over the years that now belongs to Concordia 100 00:05:19.123 --> 00:05:19.723 Seminary. 101 00:05:19.723 --> 00:05:24.423 And until the Lord, Jesus comes back the proceeds from that Endowment 102 00:05:24.423 --> 00:05:27.823 from Dale and Diane supplemented by others is going to help the 103 00:05:27.823 --> 00:05:28.123 mission. 104 00:05:28.123 --> 00:05:30.423 Exactly. That's great. 105 00:05:30.423 --> 00:05:33.123 What's net tuition and fees 106 00:05:33.123 --> 00:05:39.423 is there any any detail that you want to share with us on that? That's basically 107 00:05:39.423 --> 00:05:42.823 the 14% on the pie chart, that's the net tuition and fees that we 108 00:05:42.823 --> 00:05:44.323 are anticipating to receive 109 00:05:44.523 --> 00:05:49.523 from students, after all other scholarship dollars have been applied 110 00:05:49.523 --> 00:05:51.923 to the student account. And I will, and I will say that the majority of 111 00:05:51.923 --> 00:05:56.323 that 14% is basically being funded by districts and congregations. 112 00:05:56.323 --> 00:05:57.523 That's great. 113 00:05:57.523 --> 00:06:02.123 So anytime of congregation includes us in their yearly budget even for 114 00:06:02.123 --> 00:06:03.523 a relatively small amount 115 00:06:03.523 --> 00:06:08.023 $500, a thousand dollars, that's significant. Very significant. And 116 00:06:08.023 --> 00:06:10.423 our tie to the congregations 117 00:06:10.423 --> 00:06:15.323 is so vitally important, not only because we have alumni serving 118 00:06:15.323 --> 00:06:19.223 the congregations but because, you know, we are resource not 119 00:06:19.223 --> 00:06:24.523 only to pastors but theological information for congregations. Yeah, the districts and congregations they 120 00:06:24.523 --> 00:06:28.323 play, they pay a play a huge part in the financial aid model that 121 00:06:28.323 --> 00:06:31.923 we've put together for for offsetting student cost. 122 00:06:31.923 --> 00:06:36.923 So, what I'm taking out of this episode is that each of these pieces 123 00:06:36.923 --> 00:06:42.823 of pie has various ways by which we donors support this mission of our 124 00:06:42.823 --> 00:06:43.423 Lord. 125 00:06:43.423 --> 00:06:44.523 And there are various 126 00:06:44.523 --> 00:06:48.123 ways by which we can contribute to the mission whether it's giving 127 00:06:48.123 --> 00:06:48.523 cash 128 00:06:48.523 --> 00:06:53.023 now, planning an estate gift an endowment and so on correct. 129 00:06:53.023 --> 00:06:56.723 It's just is multifaceted support for the mission. 130 00:06:56.723 --> 00:06:57.623 That is correct. 131 00:06:57.623 --> 00:07:02.223 I'm going, I'm going to hate myself for this. 132 00:07:03.223 --> 00:07:05.023 You know, how good you are on camera? 133 00:07:05.023 --> 00:07:08.923 Could we turn this into a miniseries, and have you back 134 00:07:08.923 --> 00:07:12.123 because I still got some more questions about this pie chart. 135 00:07:12.123 --> 00:07:13.823 Chad, would you come back, 136 00:07:13.823 --> 00:07:18.423 please? Oh sure Dale I'll be happy to. Okay thanks. And next time 137 00:07:18.423 --> 00:07:21.023 we're going to look at the pie chart some more and get some real 138 00:07:21.023 --> 00:07:25.123 specifics about how this mission is moving forward. 139 00:07:25.123 --> 00:07:27.223 And what's it going to be like in the future? 140 00:07:27.223 --> 00:07:31.523 I mean, I'll tease you now, people say Concordia Seminary has money, 141 00:07:31.523 --> 00:07:34.723 so why give? Thanks for joining us today. 142 00:07:34.723 --> 00:07:35.823 See you next time. 143 00:07:35.823 --> 00:07:36.923 Mission Works 144 00:07:36.923 --> 00:07:38.023 Thanks to Donors.