When are you required to receive District Advisory Board/Board of Church Properties Committee approval?
When you propose to
- Buy land or a building
- Sell land or a building
- Lease land or a building
- Build a building
- Undergo a major/structural remodel
- Seek a mortgage or refinance one (unless the refinancing does not increase the debt of the church and does not further encumber the real estate of the church- see below)
- Restrictions. The local church may not purchase or lease real estate, nor sell, mortgage, refinance with accrual of additional debt, exchange, or in any other way encumber real property, or otherwise dispose of real estate unless approved by a two-thirds vote of the members present at an annual meeting, or at a special meeting properly called. If a church is refinancing an existing debt, and the refinancing arrangement does not increase the debt of the church and does not further encumber the real estate of the church, approval for the refinancing may be granted by a two-thirds vote of the board, without the need to take a congregational vote on the matter. The church board may approve by two-thirds vote of its members present and voting, the disposition of properties donated for the specific purpose of providing funds for the local church. All items above require the written approval of the district superintendent and the District Church Properties Board. (113.3-113.4, 113.7-113.8, 237.3-237.4)
- Consult with the District Superintendent. You will need his approval to proceed
- Contact the District Office for appropriate processes and forms
- Work with the Chairman of the Church Properties Committee of the DAB; the district office will serve as the liaison
A two-thirds vote of the membership of the church in a duly called annual or special meeting of the membership (except some refinances- see Manual 104)
- Property. The local church may not purchase or lease real estate, nor sell, mortgage, refinance, exchange, or in any other way encumber real property or otherwise dispose of real estate unless approved by a two-thirds vote of the members present at an annual meeting, or at a special meeting duly called.
- Contact the district office who will put you in contact with the Church Properties Committee Chairman and…
- Provide you with a packet of forms for the pastor and other team members to complete
- Submit the forms to the Church Properties Committee Chairman via the district office
- There are separate forms for seeking approval for building, selling, buying, and securing a mortgage
- Wait for approval (up to 45 days) before incurring indebtedness, purchasing real estate, selling real estate, erecting buildings or entering into a structural remodeling program.
- Provide quarterly financial and status reports to the DAB throughout the construction process (a new provision in Manual 103)
- The proceeds from the mortgaging or sale of church properties, or the proceeds from insurance claims on real property, can only be used for purchasing or improving real estate or reducing other real estate indebtedness
- Manual 103, 104, 1, 104.2, 237.3, and 237.4