A. Purpose, Titling and Definitions

1. Purpose
This policy is applicable to Capital Assets being disposed of by Congregations, Associations and Mission Centers.

2. Titling of Property
Land and improved property used by Congregations, Associations and Mission Centers are titled in the name of the Presiding Bishop as Trustee-in-Trust or, in not-for-profit corporations organized by the Presiding Bishopric, such properties are held in trust for the use and benefit of Congregations, Associations and Mission Centers.

3. Definitions

a) "Capital Asset" means all real estate and improvements used for religious and investment purposes.

Capital Assets do not include pews, furniture, organs, appliances or other equipment not permanently attached to the building. Stained glass windows are considered to be Capital Assets.

b) "Net Proceeds" from the sale of Capital Assets are those proceeds that remain after payment of closing costs and all other obligations directly related to that property.

B. Approval Procedures

Net Proceeds from the sale of Capital Assets can be used for program and/or capital projects which support the vision, mission and goals of the World Church, Mission Center and the Congregation.

1. Congregations and Mission Centers that are continuing to operate

a) Congregations: When a congregation disposes of a Capital Asset the congregational officers, in consultation with the mission center officers, will submit a resolution for the use of the Net Proceeds to a congregational conference.

b) Mission Centers: When a mission center disposes of a Capital Asset, the mission center officers, in consultation with the Apostle and mission center council, will submit a resolution for the use of the Net Proceeds to a mission center conference.

2. Congregations, Associations and Mission Centers that are closing

a) Congregations: Before a congregation closes and disposes of a Capital Asset, the congregation may make a recommendation to mission center officers for the use of Net Proceeds from the sale. The mission center officers, in consultation with the Apostle and mission center council, submit a resolution for the use of the Net Proceeds to a mission center conference.

b) Associations: Before an association closes and disposes of any Capital Asset, the association may make a recommendation to mission center officers for the use of Net Proceeds from the sale. The mission center officers, in consultation with the Apostle and mission center council, will submit a resolution for the use of the Net Proceeds to a mission center conference.

c) Mission Centers: Before a mission center closes and disposes of a Capital Asset, the mission center conference may recommend to the Apostle and the Presiding Bishopric how the Net Proceeds should be used. Approval is by the Presiding Bishopric in consultation with the Apostle.

3. Congregations or Mission Centers that are merging

a) Congregations: When two or more congregations merge and dispose of a Capital Asset, the congregational officers of the newly merged congregation, in consultation with the mission center officers, will submit a resolution for the use of Net Proceeds to a conference of the newly merged congregation.

b) Mission Centers: When two or more mission centers merge and dispose of a Capital Asset, the mission center officers of the newly merged mission center, in consultation with the Apostle and mission center council, will submit a resolution for the use of the Net Proceeds to a conference of the newly merged mission center.

4. Capital Assets owned jointly by two or more Mission Centers

a) When two or more mission centers desire to dispose of a jointly owned Capital Asset, the mission center officers, in consultation with the Apostle and mission center councils will submit a resolution for the use of Net Proceeds to their respective mission center conferences. Distribution of the Net Proceeds must be approved by each mission center conference. If the mission centers can not agree on the distribution of Net Proceeds, approval is by the Presiding Bishopric in consultation with the Apostle.

Any questions about interpretation of this policy should be directed to the Legal office or Presiding Bishopric.

Presiding Bishopric
Approved 10/2003
Revised 2/2006