1. DEFINITION OF A BUILDING PROGRAM
A “Building Program” (Project) may consist of a sale, purchase, building
a new facility, remodeling or adding on to the present facility. The
information provided in this manual is specific to purchasing, building
a new facility, remodeling or adding on to a present facility, or major
maintenance/replacement to the present facility. If a Congregation,
Campground or Mission Center intends to sell property please contact
Legal Services for “Building Program Guidelines & Procedures for Sale of
Property.”
2. PRESIDING BISHOPRIC’S HOUSES OF WORSHIP FUND
Congregational and Mission Center building programs are assisted by the
ministry and policies provided by the Presiding Bishopric through the
Houses of Worship Revolving Fund (HWRF) program and Legal Services.
These policies are designed to bring the resources, assistance, and
experience of the World Church to the congregations. All building
projects, purchases or sales require prior approval of the Presiding
Bishopric. Approval by the Presiding Bishopric reinforces its role as
trustee of the church and provides support of the goals of pastoral and
witnessing ministries which are at the heart of our mission.
3. CONGREGATION’S DECISION TO BUILD
Decisions about facilities must center on the ministries offered by the
congregation, which in turn are determined by the Congregation in
response to their particular understanding of the vision and mission of
the Church. Property decisions should be made only after considering and
balancing the Congregation’s vision, mission, program, and facilities.
It is vitally important that the congregation determine and commit to
their role in the larger community before finalizing decisions about
facilities.
4. BUILDING PROGRAMS
Every project undertaken by an existing Congregation, Mission Center,
emerging congregation or campground which involves the purchase, sale,
acquisition, construction, or major renovation of real property is
considered to be a building program.
5. PRELIMINARY PLANNING
Once the congregation makes a decision that a building program would
enhance its ministry, they are ready to begin a planned approach to site
selection, design concepts, building functions and construction. Legal
Services assists at every step of the building process. The following
information provides guidance and policies to be carefully followed in
all property matters involving buying, selling, new construction, and
renovation.
6. LAND USE
The first step in any building project, whether remodel, add-on, or new
build, is to contact City, County and/or State authorities regarding
restrictions, codes and zoning that would pertain to the project. All
City, County and/or State approvals must be in place prior to beginning
a project.
7. ELEMENTS OF A BUILDING PROGRAM
Each Building Program consists of the following elements:
7.1 The Building Project
7.1.1. Description of the congregation's plan for ministry
7.1.2 Discussion of building needs
7.1.3 Description and extent of the project
7.1.4 Development of preliminary building plans (including site
plan)
7.2. The Financing Plan
7.2.1 Calculation of estimated cost of the project
7.2.2 Calculation of estimated financial resources
7.2.3 Completion of loan application (if needed)
7.2.4 Production of evidence of ability to repay loan (Capital
Campaign)
7.2.5 Analysis of the estimated Impact on Operating Budget
7.3. Legislative and Administrative Approvals
7.3.1 Secure Legislative approval from the Congregation
7.3.2 Secure Administrative approvals
a) Pastor and Congregational Financial Officer
(congregations and emerging congregations)
b) Mission Center President and Financial Officer of
affiliated Mission Centers.
c) Apostle in charge
d) Presiding Bishopric
8. INITIATING A BUILDING PROGRAM
A building program is initiated by sending a “Letter of Intent” to
Mission Center administrative officers and to the field apostle with a
copy to Legal Services. This action should be taken as soon as it is
probable that a building program is likely to be pursued. Early
notification benefits everyone by allowing Legal Services, Fiscal
Services and Risk Management opportunity to offer assistance and
guidance to each building program.
The “Letter of Intent” should include the following information and
attachments:
a) Purpose and need for the building
b) Approximate square footage of the proposed project
c) Estimated cost
d) Funds currently available
e) Approximate loan amount needed, if any
f) Copy of congregational business meeting minutes approving the
project.
g) Copy of preliminary building plans
If a Houses of Worship Revolving Fund Loan is needed to assist in
completion of the building project the information in 8 a) thru g) above
can be provided in the Loan Application itself.
Pastors and Congregational Financial Officers are responsible for
ensuring the completeness of the Letter of Intent, and forwarding all
necessary legislative and administrative approvals to Legal Services.
When all approvals have been received Legal Services will secure final
approval of the Presiding Bishopric.
Mission Center officers are expected to be thoroughly informed and
deeply involved with each project so as to provide leadership throughout
the planning and building process.
9. USE OF ARCHITECT FOR PLANNING, DESIGN AND CONSTRUCTION FOR NEW
BUILDS OR ADDITIONS
The planning phase of a project is vital to its success. Building
projects can benefit greatly by hiring an architect who is knowledgeable
regarding local codes and zoning requirements and is experienced in the
specific project type that is contemplated. Legal Services is available
to assist in interviewing and selecting an architect.
10. PLAN AND CONTRACT APPROVALS- NEW BUILDS AND ADDITIONS
Submit a complete set of plans, including a site plan, preliminary floor
plan, elevations and a fully completed loan application to the Mission
Center, with a copy to Legal Services for review. Contracts cannot be
signed, nor construction deadlines set, until review of the foregoing is
completed and Presiding Bishopric has given tentative approval to the
architectural plan, the financing, and if applicable, the Houses of
Worship Revolving Fund loan being requested.
Presiding Bishopric approval shall include evaluation of building and
financing plans as appropriate for the scope of each project. Even after
approval for a building project has been given by the Presiding
Bishopric, it is still necessary for construction contracts, insurance
and bonding documents and final versions of the building and financing
plans to be reviewed and approved by World Church officers.
As the planning process begins, it will be especially important that all
code and zoning requirements are cleared by local governing bodies.
11. BIDS/PROPOSALS AND CONTRACTS
It is important to remember that bids/proposals are not contracts.
Legal Services suggests that at least three (3) bids be received on any
project. The Congregation has the authority to accept whichever bid they
choose, however, bids/proposals are NOT to be signed without prior
review and approval by Legal Services. Once the Congregation has
selected a Contractor’s bid, the bid is to be forwarded to Legal
Services, along with the following:
1) Copy of Congregational Business meeting minutes approving the
project and cost.
2 Completed form titled “Contract Information.” (Form is available
on Legal’s website.)
3) Certificate of Insurance provided by Contractor
4) IRS Form W-9.
Once the above documents have been received in Legal Services the
information will be incorporated into a contract to be signed by the
Congregation and Contractor.
12. GENERAL CONTRACTOR
Building projects require a general contractor, who must meet
certain insurance and bonding requirements. It is likely that a project
will be submitted for approval before many of the particulars,
including the negotiation of the contract with the builder is complete.
Any approval given under these circumstances is always subject to the
insurance and bonding requirements. All legal documents
must be prepared or reviewed by Legal Services prior to signing them.
Upon satisfaction of these items and final approval of the project by
local governmental agencies and the Presiding Bishopric, the sale,
purchase, or construction may proceed.
13. VOLUNTEERS
Enlisting local volunteer assistance is permissible when practical as a
cost saving measure. This may include professionals, skilled craftsmen,
and laborers. However, it is important in all such instances that
volunteer workers shall be properly coordinated into the project and
that appropriate insurance coverage be provided to avoid undue risk to
the congregation and the World Church.
14. PURCHASES
14.1. Unimproved Land
Factors to be considered when contemplating the purchase of vacant
land for a building site should be carefully weighed:
14.1.1. Long-term needs of the congregation
14.1.2. Parcel size - is the property large enough for a church
building, parking, etc.
14.1.3. Potential to influence or control adjacent land
14.1.4. Zoning requirements
14.2 Improved Property
Factors to be considered when contemplating the purchase of improved
property:
14.2.1. Suitability of the building such as location, size,
parking.
14.2.2. Plan for modifications that may be needed to adapt it to
meet the needs of a specific congregation.
14.2.3. Zoning requirements
Consultation with Mission Center officers and the Field Apostle
is required in all instances.
|
