The Rio Texas Conference Board of Pensions oversees pension, health, disability, and wellness programs that support clergy and lay employees across our conference. In partnership with Wespath Benefits and Investments, the Board works to provide benefits that are sustainable, compassionate, and responsive to the needs of those who serve in ministry.
This work requires careful stewardship, sound judgment, and close attention to the realities facing our churches and those who serve them. I am deeply appreciative of the members of this Board, whose wisdom, integrity, and commitment continue to strengthen this shared responsibility.
Reports Submitted for Conference Action
The Board of Pensions submits the following reports for conference action:
- Report I - Adoption of the 2027 Past Service Rate
- Report II - Adoption of the 2026–2027 Housing Allowance Resolution
- Report III - Approval of Restored Staggering of Board Classes
Following the 2024 election cycle, the Board's class structure no longer reflected the staggered terms required by the bylaws. Report III therefore recommends approval of class assignments to restore that structure and support continuity in leadership.
The Board respectfully asks the Annual Conference to approve these three reports.
Compass Pension Plan
Following action by the 2024 General Conference, the Compass Pension Plan took effect on January 1, 2026. This plan reshapes the way retirement benefits are provided for clergy in full-time ministry. Compass reflects a model of shared responsibility in which both the Church and clergy participate more directly in retirement preparation.
Church contributions for full-time clergy at 100% appointment include:
- $1,800 annual flat contribution, or $150 per month
- 3% base contribution of Plan Compensation, including base salary and housing
- Up to 4% matching contribution of Plan Compensation
Full-time clergy participation includes:
- A minimum 4% personal contribution from Plan Compensation in order to receive the full 4% church match
- A student loan provision that allows qualifying loan payments to count toward the personal match, up to 4%
- Online personal elections for 2027 and enrollment in the student loan provision, expected in the fourth quarter of 2026
Across the Rio Texas Conference, participation has been strong. All full-time clergy are actively contributing, with 98% contributing at least 4%, and the average contribution rate currently stands at 6%. These numbers reflect a serious commitment to long-term financial well-being. Clergy serving under part-time appointment continue to receive a 9% church contribution through UMPIP, the United Methodist Personal Investment Plan.
The Board remains committed to ongoing education and support so that clergy can understand these plans and use them with confidence.
HealthFlex
HealthFlex includes medical, vision, dental, and optional participant-directed healthcare accounts. It remains an important expression of our connectional commitment to care for clergy and their families.
In 2024 and 2025, the Rio Texas participant group experienced a stable average claims loss ratio of 86%, below the 100% claims funding target based on premiums paid. This reflects strong utilization and sound cost management among our participants. By contrast, all HealthFlex plan sponsors and conferences combined experienced a 115% loss ratio, reflecting significantly higher claims and plan utilization.
As the Board looks toward 2027, premium rates continue to be shaped by projected claims, inflation, prescription drug costs, mental health needs, and the frequency of high-cost conditions. HealthFlex plan sponsor rate increases range from 7% to 23%, with Rio Texas at an average increase of 8.6% across medical plans. This reflects the relative strength of our participant group.
HealthFlex has also simplified its offerings, moving from six plans to four. This provides clearer options and strengthens long-term sustainability. In response, the Board approved a 2027 HealthFlex Premium Credit of $1,182 per month, an 8% increase over the prior year. This reflects the Board's effort to balance responsible stewardship with meaningful support for those providing health coverage to clergy.
Gratitude and Commitment
I appreciate the trust the Rio Texas Annual Conference continues to place in this Board and in the work entrusted to it. I also give thanks for the faithful service of the Board of Pensions, which reflects deep care for those who serve in ministry.
As healthcare and retirement needs continue to change, we remain committed to stewarding resources wisely, supporting clergy and lay employees faithfully, and helping ensure that the benefits we provide reflect the care and responsibility owed to those who serve the Church.
Respectfully submitted,
Rev. Raquel Feagins Chairperson, Rio Texas Conference Board of Pensions