On Friday afternoon, the Council on Finance & Administration, the Insurance Committee, the Board of Pension, the Commission on Equitable Compensation, the Joint Committee on Clergy Medical Leave, and the Board of Trustees presented reports. All were approved as presented in an almost unanimous vote.
The reports for the Joint Committee on Clergy Medical Leave and the Board of Trustees were approved as written in the Conference Workbook.
Council on Finance & Administration
Rev. Sheila Ahler, Chairperson of the Council on Finance and Administration, presented the first financial report.
Rev. Ahler thanked Douglas Ward for 23 years of faithful service as Director of Management Information Systems, as Ward began a new ministry on June 1 for the General Council on Finance and Administration, and for the many ways he poured himself into the ministry of our Annual Conference and connection. The conference welcomed Alex Towne, our new Director of Technology and Systems Development.
With supplemental funding from reserve earnings, Rev. Ahler announced the Conference was able to fully fund our General Church apportionments for 2025.
Rev. Ahler also shared that the North Carolina Conference received a clean, unmodified opinion from our external auditors, which ensures that the Treasurer’s Office reports are complete and accurate.
Rev. Ahler stated, “These are not just numbers on the page. All of these represent a ministry.”
The conference approved the proposed 2028 budget, which is a 4.31 percent decrease, or almost $529,000, from the 2027 budget. Approximately $438,000 of the decrease is due to lower General Church apportionments. Rev. Ahler celebrated the work of the Board of the Trustees, as the Methodist Building Operations will be covered by investment earnings from the Building Capital Fund, thereby removing the line from the budget.
During the question-and-discussion period, Ray Jones, a lay member, asked how we could reduce operational expenses. Dr. Christine Dodson clarified that the operating expenses for the Conference Office have been reduced since the pre-pandemic period and that earnings from investments would cover the costs.
Rev. Ben Wolf asked whether there was any discussion about changing the moving-cost amounts for clergy. Rev. Ahler shared that the committee evaluates costs each year to help cover a majority of them.
Rev. Ahler said the “Council of Finance and Administration is committed to continuing to work together with local churches to help sustain the financial strength of all areas in our conference.”
The conference also approved a 1.96% increase in district superintendent salaries, bringing compensation in line with the policy adopted by the annual conference.
The report was approved as presented.
Insurance
Rev. Dennis Goodwin, Insurance Committee Chair, presented the Insurance report.
The Conference approved a recommendation to remain with the Wespath HealthFlex insurance plan for active participants and eligible retirees. Beginning in 2027, four plans will be offered, including one PPO, one HRA, and two HSA plans.
The Insurance Committee voted to use reserve earnings to offset premium costs and reduce the amount charged to churches by 5% compared to 2026. The offset provided by the reserves is around 7% of what the rates should be, reducing the cost to 5% after absorbing the current-year cost increase.
Life, dental, vision, and wellness benefits were also recommended to remain the same.
Rev. Justin Wells asked when information about the new benefit plans would be available for participants. Dr. Christine Dodson shared that resources about insurance plans are available at the Insurance Committee’s table in the display area and on the Insurance page on the Treasurer’s Office website.
The report was approved as presented.
Board of Pension
Rev. Donna Banks, chairperson of the Board of Pension, began the report by celebrating the 2026 retirees.
Rev. Banks and the conference celebrated the Pre-82 Funding Plan being fully funded.
Under the Pre-1982 Pension Plan, the service-year rate for 2027 was approved to increase by 5% to $944 per service year, reflecting current reserve levels and the higher cost of living.
The Board reduced the Compass billing rate and voted to use reserve earnings to supplement local church contributions to lower the effective rate billed to local churches to 9%. This represents a 10% reduction in pension costs for churches, compared with 2026 rates.
Funding for retiree health insurance HRAs will increase by 5% to $4,796 for a 100% level. The maximum amount funded for a retiree with 40 years of credit would be 90% of that, or $4,316 per person.
Rev. Banks closed the report, stating, “the Board of Pension remains committed to caring for those who have devoted their lives to ministry and to responsibly managing these resources for generations to come.”
The body also passed the resolution for the housing allowance exclusion for retirees and those on medical leave, which is needed for income tax purposes.
The report was approved as presented.
Equitable Compensation
Rev. Becca Detterman presented the report for the Commission on Equitable Compensation.
The Commission shared that 10 charges received grants for mission and compensation assistance totaling $114,942 in 2025, and 12 charges were awarded grants totaling $92,743 in 2026.
Rev. Detterman stated, “These numbers remind us that equitable compensation is more than a policy. It is one way we live out our connectional commitment to care for another and ensure that ministry continues in communities throughout our Conference.”
Rev. Justin Wells asked how the committee evaluates the minimum salary in light of the current cost of living and insurance costs. Rev. Detterman replied that the committee conducts ongoing assessments and tries to update the cost as they are able.
The Conference approved the report as presented, which included increasing the minimum salaries for full-time elders and local pastors by 2% ($1,056) to $53,856, and maintaining the salary for student pastors at 65% of the full-time salary, which equals $35,006 for 2027.
Article written by Amanda Packer
Photos by Suzanne Cobb and Chris Daniel