The following is a remarkable letter sent to all the members of the BHE (Lutheran Church--Missouri Synod Board of Higher Education) by a group of remarkable ladies from St. John's Lutheran Church in Orange, California. It is signed by Mrs. Georgann McKee. She also has the participation of Mrs. Florence Misseldine and others in their endevor to stop the spread of PLI which is now directed by their former pastor, Rev. Norbert Oesch. They are trying to help others to avoid what they had to endure at St. John's. We first became aware of them in the Summer of 98, after they read Reclaiming the Gospel in the LCMS. Your comments would be appreciated at the Luther Quest Discussion Group. You can reach Mrs. Misseldine at Florencec@earthlink.net.

You will find the names and address of all the members of the BHE at the end of this letter. They request that you also send your written comments immediately. We hope that Mrs. McKee is nominated for a Synodical board at the next LCMS Convention.

---

March 20, 2000

Board Members
The Board for Higher Education
Lutheran Church - Missouri Synod
1333 S. Kirkwood Rd.
St. Louis, Missouri 63122-7295

Dear Board Member:

Please let me introduce myself. My name is Mrs. Georgann McKee a member of St. John's Lutheran Church in Orange, California. Reverend Norbert C. Oesch was our pastor from 1985 through 1998.

I have been advised the Pastoral Leadership Institute, under the executive leadership of Rev. Norbert C. Oesch, with its headquarters in Santa Ana, California will be meeting with the Board for Higher Education - LC-MS in Seward, Nebraska early in April. It is my understanding they will again be requesting RSO status for their "entrepreneurial enterprise," namely, The Pastoral Leadership Institute.

The term "entrepreneurial grant" is here used, as this is what Victor Bryant of the Lutheran Church Extension Fund has termed the funds, not a loan, given to PLI by LCEF. It is my understanding LCEF was not set up to fund "entrepreneurial enterprises," but was intended to help fund mission projects, help in the developing of new congregations, etc. We have been told time and time again, PLI is an "entrepreneurial enterprise."

Why aren't the pastors who started PLI and are seeking financial support from LCEF and other Lutheran agencies, told to go to secular lending institutions? These "top LCMS pastors and Christian Leaders" as they have identified themselves on their web site and in their brochures, are not willing to risk their own personal assets to start such a program. However, they have no qualms about risking those funds contributed and invested by many devoted lay people of the LCMS.

PLI should not be allowed to continue to function as an "agent" of The Lutheran Church - Missouri Synod. Their stationary and other materials developed by PLI imply they are an approved agency of the LC-MS. Unfortunately, many pastors and lay people of Synod, form the opinion that it is an approved Synodical Program within LC-MS. This is exactly what was intended! The major theme of Rev. Oesch's talk at the Pacific Southwest District's Convention in June of 1997 was - implement your program first and then get approval. If you are interested, a tape of his talk is available as well as a transcript.

My first attachment (1) is a copy of a letter dated Jan. 16, 1998, over the signature of Rev. Greg Smith, Chair. Pastoral Leadership Institute, advising St. John's the PLI was issuing a call to Rev. Norbert Oesch to be the Executive Leader of this new organization. This "call" was sent by a group of ad hoc pastors, who, under Synod's criteria of calling a pastor, etc., did not constitute and still does not constitute a calling body.

A memo from Rev. Oesch (2) "To: 'Faculty and Staff of St. John's Lutheran Church and School' dated February 6, 1998" stated: "This past Wednesday (these dates I have added, either February 4, 1998 or January 28, 1998) PLI received 100% endorsement, encouragement and blessing by President Barry, the Officers and the Administrators. The Chairman of the Council of Presidents also strongly blessed it."

In a meeting on Jan. 14, 2000 with Drs. Barry and Kuhn, several pastors from around the United States, a member of the Board of Regents of the Ft. Wayne Seminary and Congressman William Dannemeyer, Dr. Barry was asked if he indeed had endorsed PLI. Dr. Barry told us he had sent a letter to PLI stating that he had NOT endorsed PLI.

Quoting again from the memo dated Feb. 6, 1998, "On Thursday (2) the District Board of Directors of the Pacific Southwest District adopted it as a ministry of the District on a temporary basis until Recognized Service Organizational status can be obtained from the LCMS. Eight other Districts are also considering endorsing PLI as well. Thus technically my call is through our District but as one of nine districts sponsoring it."

I received in the mail on Saturday the 18th of March a reply to my letter addressed to Dr. Loren Kramer, President of the PSWD requesting information relative to PSWD issuing Rev. Oesch a call to be the Executive Director of PLI. Quoting from his letter of March 15, 2000, "It was MOVED, SECONDED AND CARRIED that the Pacific Southwest District extend a Divine Call to Dr. Norbert Oesch to be the Executive Director of the Pastor Leadership Institute. (Call to be Interim) (BOD February 5, 1998)."

"On behalf of the board of PLI that is seeking Recognized Service Organization (RSO) status in The Lutheran Church - Missouri Synod (LCMS), we did extend a call to Dr. Oesch to serve as the director of PLI. The boards of directors of several other districts passed their own similar resolutions in favor of our action."

I believe two important questions need to be asked:

1. Inasmuch as the Rev. Greg Smith, Chair. Pastoral Leadership Institute, (2) had already issued a "call" to Rev. Oesch on January 16, 1998, why was it necessary for PSWD to send a second call on Feb. 8, 1998?

2. Can a District, a creature of the Synod, "call" a pastor to an INDEPENDENT corporation that is NOT a congregation or even a Recognized Service Organization of the Synod?

The following comment is taken from Rev. Oesch's letter to St. John's, dated February 9, 1998. (3) (The underscores are mine) "Historically, three other pastors and I were asked by the Lutheran Church Extension Fund what they could do to make a difference in our church body. We stated unanimously, 'Help develop a training program in leadership for pastors.' They encouraged us to expand from four to eight. One year ago this coming March the eight of us met for the first time. The initial concept was taken to Concordia Seminary in May, and LCEF assured us of some funding. (My comment: $250,000.00 at that time and an additional $90,000.00 over a period of several years.) Shortly afterwards it was taken to the Executive Director of Synod's Board for Higher Education. (Again, my comment: He (2) was one of the original four.) In August, our third meeting, we were approached by a second funding source. In October a District President gave us counsel on how to get the approval of our Synodical leaders. I was at that time, to my great surprise, asked by the committee of eight to become the Executive Leader."

a. Why did they not prepare a questionnaire to be sent to all pastors in Synod to hear directly from them what was most needed in any area of so-called "advanced training?"

b. Why were no programs developed and instituted in our own seminaries, (with the gifts solicited from LC-MS organizations), which are already in place and under the direct supervision and direction of the LC-MS?

c. Rev. Oesch's resignation from St. John's was effective March 1, 1998, so he was very much aware of and involved in the formation of PLI several years prior to his resignation date. The "call" issued to him by PLI could actually be characterized as Rev. Oesch sending himself a call.

A check of the minutes of the last Synodical Convention will show the PLI Program was never brought before the Convention for discussion or its approval. PLI has stated in their materials that this program is (4) "God-Ordained." If this program is indeed "God-Ordained", why were they not willing to come before the delegates in 1998 and explain the program? Why weren't the delegates given the opportunity to confirm that PLI is indeed "God-Ordained?"

They (PLI) continue to implement this misrepresented and unapproved program and they will be successful, if the leaders of Synod, such as the BHE, give their approval for RSO status. There are many fine, charitable organizations that have been duped into supporting PLI and I sincerely hope the BHE will not be added to the list.

It is my understanding this will be the third time PLI has come before BHE for its approval. St. John's was led to believe there was no question PLI was on its way to becoming "a seminary without walls." In fact, I believe W. F. Meyer, Executive Director for the Board for Higher Education for Synod, stated as much so in his letter (5) addressed to Mrs. Florence Missildine, dated 15, July 1998. There is one thing I will have to say about PLI: They have the tenacity and are bullheaded enough to keep on, with the thought in mind of eventually wearing one down. Trust me. I know from personal experience how difficult it can be to have a pastor whose goal is CONTROL. I hope the BHE will not capitulate.

PLI says it has apologized for stating the seminaries have not provided adequate training in leadership, but how widespread has the apology been and in what printed media has PLI apologized and asked for forgiveness? We understand it did apologize to the Fort Wayne Board.

Only the Convention has the authority to approve Seminary Education in the LC-MS. If PLI is successful in this venture, one can rest assured the Pandora's Box has been opened to anyone who wants to redesign seminary education. What kind of credit is going to be given upon completion of the PLI Program after four years of study and about $24,000.00? A Doctor of Ministry Degree? How does teaching a pastor to become a CEO qualify them for a Doctor of Ministry? Isn't this a separation of practical and theological seminary education?

What is most disturbing and is published on their web site, (PLI-Leader.org) enrollees will have the opportunity to: (6) "Participate in a seminar of three or more days, sponsored by a cross-denominational group such as Robert Schuller's Ministries (Crystal Cathedral in Garden Grove, Calif.), Institute for Church Growth, Beason Institute, Willow Creek Ministries, Saddelback - Purpose Driven Church Seminars, Joy Ministries, etc." If the Executive Leader of PLI maintains it does not promote unionism, what then is this?

Here we have a group of "top" Lutheran pastors who are advocating cross-denominational training, mind you, cross-denominational training! Which leads me to this point. In the Pastoral Leadership Institute's "1998 Return of Organizations Exempt From Tax," (7) "Item #22 Other Expenses: Estimated for both the current year and the proposed budgets for the two years following." It shows PLI has for the year 2000, estimated the amount needed in cross-denominational training to be $46,865. Our seminaries should be doing this training, if this type of training is deemed necessary! Another item, "International Event" - $92,865.00. Why is it necessary a pastor be sent overseas, along with his wife, to become a pastor of a LC-MS mega church?

Sept. 20, 1999, (8) PLI issued a three-page evaluation report from the COP conducted by Les Stroh of "Cornerstone." A question apparently had been raised as to why the Districts were helping to underwrite the cost of candidates to the tune of $l500.00 each. On page one of this report, the answer given to that question is as follows: "Regarding the district cost of $l500.00 per candidate, I believe it is the best investment we could make with our district monies. The cost per capita is minimal while the cost that districts need to pay for serving small congregations which are dysfunctional, both in terms of cash out lay and of district time, is as much as ten times what we spend on PLI pastors."

What an insult to those pastors who must wear many hats, who may not be "successful" as determined by PLI standards, but, their foremost concern is, their members' souls salvation. Are they also not top LC-MS pastors and Christian leaders? Why does one have to go through Leadership Training as defined by the PLI to be successful? What audacity and self-aggrandizement is shown here! If these are the kind of pastors we want mentoring and training our younger pastors, then we as a Synod are in big trouble! Not only the Synod, but, those congregations who may be unfortunate enough to allow their pastor to go through the PLI Program or to even call a "graduate" from PLI to become a pastor of a mega church or in fact, any size church. This attitude reminds one of the parable Christ told about "The Pharisee and The Tax Collector."

After speaking with administrators at the Ft. Wayne Seminary, I was told Professors are paid one-third of what the Executive Leader of PLI is paid. Perhaps the BHE can answer or clarify this disparity.

Your attention is called to the DISSOLUTION CLAUSE (9) found in the Articles of Incorporation for PLI and it reads as follows: "Upon dissolution of the corporation, the Board of Directors shall, after paying or making provisions for the payment of all of the liabilities of the corporation, dispose of the assets of the corporation exclusively for the purpose of the corporation in such manner, or to such organization or organizations organized and operated exclusively for charitable, educational, religious or scientific purposes as shall at the time qualify as an exempt organization or organizations under Section 501 (3) of the Internal Revenue Code of 1954 (or the corresponding provision of any future United States Internal Revenue Law), as the Board of Directors shall determine.

Any such assets not so disposed of shall be disposed of by the Circuit Court for the county in which the principal office of the corporation is then located, exclusively for such purposes or to such organization or organizations, as said Court shall determine, which are organized and operated exclusively for such purposes."

Nowhere in this "Dissolution Clause" is The Lutheran Church - Missouri Synod mentioned. The solicitation of funds have been primarily from Lutheran organizations i.e., AAL - $100,000 - +: LCEF - $250,000 + $90,000: Wheatridge Ministries - $90,000: COP - $l5,000 +; Lutheran Brotherhood - $75,000; LCMS Foundation - Amount Not Available; Laymen in Synod - donations ranging from $50.00 to $l50,000.

In their application for tax exemption PLI tells the IRS: (10) "At all times the organization will be independent of any other organization, but it will be seeking Recognized Service Organization status from the LCMS. RSO status means that the LCMS endorses the aims and goals of the organization." It would seem then, that PLI's avowed intent to be "independent of any other organization" not only should stand as irrefutable evidence against any LCEF gift, but it also is a most powerful argument NOT to get RSO status. In addition, as far as we have been able to ascertain, the LCEF has NEVER made any gift to the seminaries.

How many of these PLI organizers started a mission or built a mega congregation? St. John's was established in 1882 and the definition as used by PLI would indeed show St. John's was "mega" long before 1985. I believe if one were to check congregational records of PLI clergy members, the congregations PLI organizers serve through the "divine call" process were already in place. How in the world did these congregations manage to grow and to maintain their mission enthusiasm and survive before these men ever arrived on the scene?

If the "25 top pastors and Christian leaders," (11) as their brochures and web site indicates they are, along with the Executive Leader and Officers of PLI are so unhappy with the many opportunities available to them in the LC-MS, then they should, as honorable and conscientious pastors, resign from their congregations and also as pastors from the LC-MS. They are then free to pursue their own goals and most importantly, outside the umbrella of the LC-MS.

My final attachment is a copy of a well-written (12) letter (which was published in Christian News) by the Rev. F. A. Hertwig of Lincoln, Missouri, a pastor in the LC-MS, expressing his concerns about the Pastoral Leadership Institute. I believe the letter is self-explanatory

You as members of the Board for Higher Education as well as the Boards of Regents of both seminaries, the President, Officers and Board of Directors of Synod have an important spiritual and moral responsibility to all clergy and all lay members of Synod.

I feel it is imperative articles appear in The Lutheran Witness, Reporter, Affirm, AAL, LCEF, LC-MS Foundation, Wheatridge Ministries, Lutheran Brotherhood, Ft. Wayne and St. Louis seminaries publications, etc., so the lay person in Synod might become well informed and given accurate and truthful information regarding PLI. The organizers of PLI should be required to apologize to all clergy and the members of Synod, in writing, for their questionable tactics relative to PLI.

My question to you is this: How can the Board for Higher Education even consider endorsing the Pastoral Leadership Institute or any other organization of a similar nature without it first having Synodical approval?

If you have any questions relative to the above or the enclosures, please feel free to call. My telephone number and fax number are the same and on 24 hours a day. 714-532-3870.

In His Service,

Mrs. Georgann McKee
12791 Wheeler Place
Santa Ana, Calif. 92705

Cc: Non Voting Members - BHE
Advisory - BHE
Drs. Barry, King, Weinrich, Pittelko, Schultz, Hartwig

Enc. 12

---

NAMES AND ADDRESSES OF BHE MEMBERS

Rev. Richard Allsing - 1376 Felspar St - San Diego, Calif. 92109
Mr. John Behrendt - 1911 Invemesa Lakes Crossing - Ft Wayne, Ind. 46804
Rev. Steven Briel - 17425 - 83rd Ave No. Maple Grove, Mo. 55311
Dr. Elmer Gooding - 8627 So. Dorsey Lane - Tempe, Ariz. 85284
Mr. Paul Hegland - 2001 Alford Park Dr. - Kanosha, Wisc. 53140
Dr. James Holste - 3025 Hummingbird Circle - Bryan, Tex. 77807
Mr. William Ludwig - 594 Fourth Ave WN - Kallspell, Mont. 59901
Rev. Dr. Paul Maier - 8383 W. Main St., - Kalamazoo, Mich. 49009
Rev. Raymond Mueller - 403 N. Hickory W - No. Webster, Ind. 46555
Dr. Gerhard Mundigner - 161 Autumn Woods Dr. - Madison, Miss. 39110
Rev. Eugene Oesch - RR 2, Box 154A - Pittsburg, Tex. 75686
Mr. Donald Prevallet - 1702 Wedgewood Dr - Blytheville, Ar. 72315
Dr. Ralph Reinke - 1120 Taterwood Dr - Austin, Tex. 78750
Mr. Berne Schepman - 140 Mesa Verde Way - San Carlos, Calif. 94070
Dr. Lowell Schoer - 2991 Newport Rd NE - Iowa City, Iowa 52240
Dr. Beverly Yahnke - 3415 Tall Oaks Dr. - Brockfield, Wisc. 53045

NON VOTING MEMBERS - BHE

Rev. Dr. Alan Borcharding - 1333 S. Kirwood Rd. - St. Louis, Mo. 63122
Rev. Dr. Richard Kapfer - 2981 - 15th Ave NE - Ft. Dodge, Iowa 50501
Rev. Dr. William Meyer - 1333 S. Kirwood Rd. - St. Louis, Mo. 63122
Mr. Paul Middeke - 1333 S. Kirwood Rd. - St. Louis, Mo. 63122

ADVISORY - BHE

Rev. Dr. Robert Holst - 275 Syndicate St. N. - St. Paul, Minn. 55104
Rev. Dr. John Johnson - 801 De Mun Ave - St. Louis, Mo. 63105
Rev. Dr. Dean Wenthe - 6600 No. Clinton St - Ft. Wayne, Ind. 46825
Rev. Dr. David Zersen - 3400 N. I-H 35 - Austin, Tex. 78750

March 29, 2000