Process for Property Sale (2011)
== Note: this process is subject to revision as the 2012 Book of Discipline is published.==
References:
The Book of Discipline of The United Methodist Church – 2008 [2008 Discipline]
Upper New York Conference Session 2011, pages 70-76 [UNYAC 2011]
NOTES:
Provisions of The Upper New York Conference govern all parts of this process that are not mandated by the 2008 Discipline.
All congregational leadership should review their own copy of the 2008 Discipline to understand the full text of relevant paragraphs, and the process described in this memorandum, in context.
The full policies on clergy housing as adopted by UNYAC 2011 are incorporated into this document my reference.
2008 Discipline applicable mandates:
2540 Incorporated Local Church Property-Sale, Transfer, Lease, or Mortgage (Unincorporated Churches use 2539)
2541 Disposition and Mortgage of Church Building or Parsonage
2542 Restriction on Proceeds of Mortgage or Sale
The process begins with a conversation with the District Superintendent to determine the future action of the church. If this conversation results in an affirmative decision by both District Superintendent and church, the following procedure will fulfill requirements of the 2008 Discipline and UNYAC 2011:
1. 2540.1- A Special Church or Charge Conference should be called with the stated purpose to be consideration of the sale of the parsonage. State the physical address in the announcement. Keep a record of the timely notification by bulletin announcement and pulpit announcement. Note that only those matters stated in the call to the Special Conference can be included in its business.
2. 2540.2- A majority vote of those present and voting is required to pass the resolution authorizing the sale. The physical address should be stated in the resolution. The Board of Trustees should be directed to accomplish this sale (copy the provision by inserting the Board fo Trustees for the “corporation's board of directors” and duplicating 2540.4). The proceeds of the sale are restricted (see 7 and 8 below), so this should be defined in the resolution.
3. 2540.3- The written consent requirement of pastor and district superintendent should be fulfilled exactly.
4. 2540.5- A Board of Trustees so empowered and directed can take the appropriate actions and make any related resolutions without recourse to a subsequent Church or Charge Conference.
5. 2540.6- Note that two officers of the Board of Trustees are to act as signatories for the church in these legal matters.
6. 2541- The Board of Trustees is bound to manage, control, disburse, and expend all net proceeds of the sale in conformity with the direction of the Church or Charge Conference.
7. 2542.1- Principal proceeds of the sale are not to be used for current expense except in the provisions of 2542.3.
8. UNYAC 2011 specifically provides for the use of the proceeds as follows: HOUSING ALLOWANCES, 3.c.) A charge may use the annual income and capital gain from the sale of a parsonage over the rate of inflation to help support the housing allowance.
Memorandum Subject to Review by District Superintendent
Niagara Frontier District Board of Church Building and Location
August 2011 – Parsonage Property Sale Process