1992 Book of Discipline: ¶ 2541

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2541. Incorporated Local Church Property--Sale, Transfer, Lease, or Mortgage--Any real property owned by, or in which an incorporated local Church has any interest, may be sold, transferred, leased for a term of one year or more (which shall include leases for less than one year if such a lease is consecutive with the same lessee) to a non-United Methodist Church or ministry, or mortgaged subject to the following procedure and conditions:

1. Notice of the proposed action and the date and time of the regular or special meeting of the members of the corporate body--i.e., members of the charge conference at which it is to be considered, shall be given at least ten days prior thereto (except as local laws may otherwise provide) from the pulpit of the Church or in its weekly bulletin.

2. A resolution authorizing the proposed action shall be passed by a majority vote of the members of the corporate body present and voting at any regular or special meeting thereof called to consider such action and by a majority vote of the members of said Church present and voting at a special meeting called to consider such action; provided that for the sale of property which was conveyed to the Church to be sold and its proceeds used for a specific purpose a vote of the members of said Church shall not be required.

3. The written consent of the pastor of the local Church and the district superintendent to the proposed action shall be necessary and shall be affixed to or included in the instrument of sale, conveyance, transfer, lease, or mortgage. Prior to consenting to any proposed action required under this paragraph involving any United Methodist Church property the pastor, district superintendent, and the district board of Church location and building shall ensure that: (a) a full investigation shall be made, and an appropriate plan of action shall be developed for the future missional needs of the community; (b) the transfer or encumbrance shall conform to the Discipline; (c) the congregation, if no longer to continue as an organized United Methodist Church, does not sell but may transfer title of its facilities to another United Methodist Church or agency and (d) the congregation, in case of relocation, first offers its property to a United Methodist congregation or agency at a price not to exceed fair market value. The district strategies or other missional strategies should include the ministries of both United Methodist congregations and the community where the existing facility is located. Certification by the district superintendent shall be conclusive evidence that the transfer or encumbrance conforms to the Discipline. The requirements of investigation and the development of a plan of action shall not affect the merchantability of the title to the real estate or the legal effect of the instruments of sale or transfer.

4. The resolution authorizing such proposed action shall direct and authorize the corporation's board of directors to take all necessary steps to carry out the action and to cause to be executed, as hereinafter provided, any necessary contract, deed, bill of sale, mortgage, or other written instrument.

5. The board of directors at any regular or special meeting shall take such action and adopt such resolutions as may be necessary or required by the local laws.

6. Any required contract, deed, bill of sale, mortgage, or other written instrument necessary to carry out the action so authorized shall be executed in the name of the corporation by any two of its officers, and any written instrument so executed shall be binding and effective as the action of the corporation.

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1992 Book of Discipline: ¶ 2541
1996 United Methodist General Conference