Clergy Support Team Policies and Procedures
Health insurance
The Missouri Conference Health Insurance Plan is administered by the General Board of Pensions and Health Benefits and is known as HealthFlex. The Board of Pensions is requested to provide updated information to the District Superintendents concerning clergy dependents who are not covered by the Conference Health Insurance program or an equivalent insurance. The District Superintendent shall then counsel with those clergy and seek ways to provide for insurance coverage in order to avoid extreme hardships on the clergyperson (and family) and embarrassment to the local church and/or Annual Conference. The premium for participants’ health insurance shall be billed monthly to the charge to which the participant is appointed or to the employing agency. Premium payment shall be due at our bank no later than the last day of each month. Premium payments shall be received for the sole benefit of the participant for whom the premium was submitted. Although the charge or employing agency is expected to pay their part of the premium, the participant is ultimately responsible for payment of the entire premium. In the event the premium payment is more than fifteen (15) days delinquent, the Coordinator of Clergy Relations and Benefits shall notify the participant and the appropriate District Superintendent. The Coordinator of Clergy Relations and Benefits shall serve as enrollment clerk for the plan. Participants are responsible for notifying the Coordinator of Clergy Relations and Benefits within 30 days of any change of conference status or appointment, change of marital status, change of address, changes in the names of participants, or persons to be added or deleted with respect to dependent status or dependent care coverage. Dependents may be added or deleted during the designated open enrollment period usually the month of November for enrollment that is effective Jan. 1 of the following year. In addition, a family status change may allow for addition or deletion of dependents to the plan, provided that an enrollment change form is received by the conference office within thirty (30) days of a qualifying event, as determined by the HealthFlex program. Final determination of eligibility for all persons is subject to approval by the insurance carrier. Continuation of benefits is available according to the terms of the plan. Clergy members of the conference staff to be covered by the Conference Health Insurance program are: Director of Connectional Ministries, Director of Leadership and Congregational Development, Director of Urban and Intercultural Ministries, and Director of Administrative Services
2007 Health insurance rates
Participants in the Conference’s medical and dental health insurance plan are affected by the nationwide trend of rising health care costs, our aging demographics, as well as the amount of claims our group has incurred. 2006 health insurance rates will be:
Individual clergy or lay employee $6,660 ($555 per month)
One dependent (child or spouse) $5,964 ($497 per month)
Family (multiple dependents) $9,420 ($785 per month)
Annual premium for an individual with one dependent will be:
Individual $ 6,660
One dependent $ 5,964
Total $12,624
Annual premium for an individual with family coverage will be:
Individual $ 6,660
Family $ 9,420
Total $16,080
The above annual rates represent the following increases for 2007:
Individual rates $ 120 1.8%
One Dependent $ 120 2.0%
Family $ 180 1.9%
Individual + One Dependent $ 240 1.9%
Individual + Family $ 300 1.9%
In 2007, United HealthCare will continue to be our health insurance carrier. Our prescription drug card will be with MEDCO. Dental insurance will remain with CIGNA. Mental health coverage will remain with United Behavioral Health. With these rates the deductible will remain at $1,000 per person ($2,000 for a family) and an out-of-pocket limit of $4,000 per individual ($8,000 for a family). Dental and prescription coverages remain the same.
Retiree health insurance
For clergy and dependents for whom the annual conference is providing 100% of the health insurance premium, there is a suggested voluntary monthly contribution per person:
2005 - $ 50.00
2006 - $ 75.00
2007 - $100.00
Clergy retiring under ¶359.2a (20 year Rule): For clergypersons retiring with 20 or more years of service, participation in the Conference health Insurance plan may be continued provided premiums are paid 100% by the participant. When the clergyperson and/or spouse reaches age 65, they will have access to the Medicare supplement plan at the participant’s expense provided the clergyperson and/or dependent has been enrolled in the health insurance program for five consecutive years prior to reaching age 65.
Clergy retiring under ¶359.2b (35 year Rule): For clergy retiring with 35 years or more of service or having reached 62 years of age, clergyperson eligible to continue in the health insurance program will be responsible for paying the following percentage of the health insurance premium for self and dependents:
Retiring before July 1, 2005 – 50% of premium
Retiring after June 30, 2005 – 60% of premium
Retiring after June 30, 2006 – 70% of premium
Retiring after June 30, 2007 – 80% of premium
Retiring after June 30, 2008 – 90% of premium
Retiring after June 30, 2009 –100% of premium
As of July 1, 2009, clergyperson retiring under this paragraph of The 2000 Book of Discipline shall have access to the conference health insurance for self and eligible dependents at the clergyperson’s expense.
Clergy retiring under ¶359.2c (40 year Rule): For clergy retiring with 40 years of service or having reached 65 years of age, the Clergy Support Team will pay 100% of the eligible retiring clergyperson’s health insurance premium with the clergyperson responsible for paying the following percentage of the health insurance premium for eligible dependents:
Retiring after June 30, 2005 – 20% of premium
Retiring after June 30, 2006 – 40% of premium
Retiring after June 30, 2007 – 60% of premium
Retiring after June 30, 2008 – 80% of premium
Retiring after June 30, 2009 –100% of premium
As of July 1, 2009, clergyperson retiring under this paragraph of The 2000 Book of Discipline shall have access to the conference health insurance for self and eligible dependents at the clergyperson’s expense.
Clergy retiring with less than 35 years of service:
As of January 1, 2007, clergy retiring with less than 35 years of service with at least 5 years participation immediately proceeding retirement in the conference health insurance program will have access to the conference health insurance program at the clergyperson’s own expense. Eligible dependents with at least 5 years participation in the conference health insurance program will have access to the conference health insurance program at their own expense.
Resolutions relating to rental/housing allowances for retired or disabled clergypersons
The Missouri Annual Conference (the “Conference”) adopts the following resolutions relating to rental/housing allowances for active, retired or disabled clergypersons of the Conference:
WHEREAS, the religious denomination known as The United Methodist Church (the “Church”), of which this Conference is a part, has in the past functioned and continues to function through ministers of the gospel (within the meaning of Internal Revenue Code section 107) who were or are duly ordained, commissioned, or licensed ministers of the Church (“Clergypersons”);
WHEREAS, the practice of the Church and of this Conference was and is to provide active Clergypersons with a parsonage or a rental/housing allowance as part of their gross compensation;
WHEREAS, pensions or other amounts paid to active, retired and disabled Clergypersons are considered to be deferred compensation and are paid to active, retired and disabled Clergypersons in consideration of previous active service; and
WHEREAS, the Internal Revenue Service has recognized the Conference (or its predecessors) as the appropriate organization to designate a rental/housing allowance for Clergypersons who are or were members of this Conference;
NOW, THEREFORE, BE IT RESOLVED: THAT an amount equal to 100% of the pension or disability payments received from plans authorized under The Book of Discipline of The United Methodist Church (the “Discipline”), which includes all such payments from the General Board of Pension and Health Benefits (“GBOPHB”), during the year 2007 by each active, retired or disabled Clergyperson who is or was a member of the Conference, or its predecessors, be and hereby is designated as a rental/housing allowance for each such Clergyperson; and
THAT the pension or disability payments to which this rental/housing allowance applies will be any pension or disability payments from plans, annuities, or funds authorized under the Discipline, including such payments from the GBOPHB and
from a commercial annuity company that provides an annuity arising from benefits accrued under a GBOPHB plan, annuity, or fund authorized under the Discipline, that result from any service a Clergyperson rendered to this Conference or that an active, retired or disabled Clergyperson of this Conference rendered to any local church, annual conference of the Church, general agency of the Church, other institution of the Church, former denomination that is now a part of the Church, or any other employer that employed the Clergyperson to perform services related to the ministry of the Church, or its predecessors, and that elected to make contributions to, or accrue a benefit under, such a plan, annuity, or fund for such active, retired or disabled Clergyperson’s pension or disability as part of his or her gross compensation.
NOTE: The rental/housing allowance that may be excluded from a Clergyperson’s gross income in any year for federal income tax purposes is limited under Internal Revenue Code section 107(2) and regulations thereunder to the least of: (1) the amount of the rental/housing allowance designated by the Clergyperson’s employer or other appropriate body of the Church (such as this Conference in the foregoing resolutions) for such year; (2) the amount actually expended by the Clergyperson to rent or provide a home in such year; or (3) the fair rental value of the home, including furnishings and appurtenances (such as a garage), plus the cost of utilities in such year.
Moving expense reimbursement for retirees
Upon retirement (under 2004 Book of Disciple ¶359.2.a or ¶359.2.b or ¶359.2.c) or being granted disability leave, a minister may receive moving expense reimbursement up to $1,000 of actual expenses. In the event of the death of a minister not yet retired, the foregoing provisions may apply to the surviving spouse of the deceased minister. In all cases, the following provisions will apply: (a) the minister or the surviving spouse must be eligible to receive a pension from the Conference; (b) there must be no other provision for his/her moving expenses; and (c) no minister, or dependent of a deceased minister, may
receive funds for moving expenses more than one time.
Death benefit payments
Death benefit payments by the former Missouri West Conference Clergy Support Team shall be made upon the death of a retired clergyperson in the amount of $5,000, and upon the death of a spouse or surviving spouse in the amount of $2,000. The benefit will be available only to those West clergypersons retired by December 31, 2002.
Equitable compensation
Minimum salary
The Conference Minimum Salary shall be based on the Conference Average Compensation (CAC) as computed and published by the General Board of Pensions. The minimum base salary will be computed by multiply the CAC by 70%. Full-time ELDERS minimum base salary will be the minimum salary plus $1,250. Full-time PROBATIONARY and ASSOCIATE MEMBERS will be the minimum salary plus $800. Full-time LOCAL PASTORS will be the minimum salary. Less-than-full-time appointments for all membership categories will be the minimum salary calculated at ¾ time, ½ time, or ¼ time.
Equitable compensation grants
Application for Equitable Compensation Grants will come from the District Superintendent upon request by a charge using the Minimum Salary Supplement Request Form. Basic standards for eligibility for Equitable Compensations grants are: A Charge should anticipate minimum salary supplement for no longer than a five-year period. A Charge must pay Apportionments in full. A Charge must provide for the clergyperson’s housing, utilities, health insurance, pension (MPP) and a travel/professional/continuing education budget.
Special grants
Requests for Special Grants for salary supplement support may be submitted through the District Superintendent on the Minimum Salary Supplement Request Form. Special Grants may be approved for emergencies which the District Superintendent deems appropriate.