Calendar Item 1212

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0.The Petition is amended as follows:
¶ 2512. 1. Conference Trustees-Each annual conference may be incorporated in its own name if permitted by local law.  It shall have a board of trustees, which shall be incorporated unless  if the conference itself is not incorporated in its own name . In either case, the board shall consist of twelve persons, and it is recommended that one-third be clergy, one third laywomen, and one-third laymen, in accordance with the provisions of ¶ 609.5. Said persons must be of legal age as determined by law, and lay members shall be members in good standing of local churches within the bounds of the conference. Such persons shall be the directors of the corporation. They shall be elected by the conference for staggered terms of four years, except for the first board, one-fourth of whom shall be elected for a term of one year, one-fourth for a term of two years, one-fourth for a term of three years, and one-fourth for a term of four years, and shall serve until their successors have been elected; provided, however, that existing incorporated trustees of any annual conference may continue unaffected while the charter or articles of incorporation are amended to bring them into conformity with this paragraph.
2. The board of trustees shall meet at least annually and organize by electing a president, vice president, secretary, and treasurer, whose duties shall be those usually pertaining to such offices. They shall be amenable to the annual conference. Vacancies occurring between sessions of an annual conference shall be filled as follows: Upon nomination by the conference committee on nominations, the district superintendents shall, by majority vote, elect a trustee to serve until the next annual meeting of the trustees   conference. Vacancies shall be filled by the annual conference for the unexpired term.
3. The board of trustees shall have the following authority with respect to the properties of the annual conference and its agencies:
    a) The said corporation shall receive, collect, and hold in trust for the benefit of the annual conference any and all donations, bequests, and devises of any kind or character, real or personal, that may be given, devised, bequeathed, or conveyed to the said board or to the annual conference as such for any benevolent, charitable, or religious purpose, and shall administer the same and the income therefrom in accordance with the directions of the donor, trustor, or testator and in the interest of the church, society, institution, or agency contemplated by such donor, trustor, or testator, under the direction of the annual conference. When the use to be made of any such donation, bequest, or devise is not otherwise designated, the same shall be used as directed by the annual conference.
b) When so directed by the annual conference, the said corporation may receive and hold in trust for and on behalf of the annual conference, its districts, or any of its agencies any real or personal property previously acquired by the conference, its districts, or its agencies to be used in carrying out their mission, ministry, and program.   When such property is in the form of investable funds, the board of trustees may consider placing the funds for investment and administration with the United Methodist conference or area foundation serving that conference or, in the absence of such a foundation, with the United Methodist Church Foundation.  A conscious effort shall be made to invest in a manner consistent with the Social Principles and the creation of an investment policy.  With respect to such properties, the board shall take no action that would alter or interfere with their missional or programmatic use or function unless such action is specifically directed by the annual conference. The provisions of this subsection shall not apply to educational or health and welfare institutions whose properties are held in their own name or in the name of their own duly elected boards of trustees or directors; nor shall they apply to the property of local churches except as such local church property may have been declared discontinued or abandoned under the provisions of ¶ 2548.
c) Except as restricted in § 3b, the board shall have the power to invest, reinvest, buy, sell, transfer, and convey any and all funds and properties that it may hold in trust, subject always to the terms of the legacy, devise, or donation.
d) Unless The  the annual conference provides otherwise, any contract, deed, bill of sale, mortgage, or other necessary written instrument needed to implement may include in any resolution authorizing proposed action regarding annual conference property a direction that any contract, deed, bill of sale, mortgage, or other necessary written instrument  may be executed by and on behalf of the annual conference board of trustees by any two of its officers, who thereupon shall be duly authorized to carry out the direction of the annual conference; and any written instrument so executed shall be binding and effective as the action of the annual conference.
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7. Establishment of Annual Conference Policy with Regard to Government Efforts to Designate Church-Owned Property as Landmarks-The board, after consultation with the conference commission on archives and history, or alternate structure, shall develop a policy for an annual conference response, on behalf of any local church, church-related agency, or district or annual conference board of trustees located within the bounds of the annual conference, to any governmental effort to designate a property held in trust for the benefit of The United Methodist Church (¶ 2503  2501) by any such board of trustees as a cultural, historical, or architectural landmark.  

Add new sub-paragraph at the end of ¶2528 (Section VI. Local Church Property)  
5. To recommend that consideration be given to placing such investable property with a United Methodist foundation serving such charge conference, to benefit the local church, charge conference or their successors, or in the absence of such a foundation, with the United Methodist Church Foundation.

Amend ¶2532.5 (Section VI. Local Church Property)  
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5. Subject to the direction of the charge conference as hereinbefore provided, the board of trustees shall receive and administer all bequests made to the local church; shall receive and administer all trusts; and shall invest all trust funds of the local church in conformity with laws of the country, state, or like political unit in which the local church is located. Nevertheless, upon notice to the board of trustees, the charge conference may delegate the power, duty, and authority to receive, administer, and invest bequests, trusts, and trust funds to the permanent endowment committee or to a local church foundation and shall do so in the case of bequests, trusts, or trust funds for which the donor has designated the committee or the local church foundation to receive, administer, or invest the same.
  
The board of trustees is encouraged to invest in institutions, companies, corporations, or funds that make a positive contribution toward the realization of the goals outlined in the Social Principles of our Church. The board of trustees is to act as a socially responsible investor and to report annually to the charge conference regarding its carrying out of this responsibility. Consideration shall be given to the placement of funds with the conference or area United Methodist foundation for administration and investment. When such property is in the form of investable funds, the board of trustees shall consider placement for investment and administration with the United Methodist foundation serving that conference or, in the absence of such a foundation, with the United Methodist Church Foundation.  A conscious effort shall be made to invest in a manner consistent with the Social Principles and the creation of an investment policy.

Amend ¶2533.1 (Section VI. Local Church Property)
Permanent Endowment Fund Committee-A charge conference may establish a local church permanent endowment fund committee. The purposes for establishing such a committee include the responsibilities to:
1. Provide the services described in ¶ 2532.5 as designated by the donor or at the direction of the charge conference upon notice to the board of trustees. Consideration shall be given to the placement of funds with the conference or area United Methodist foundation, or local church foundation, for administration and investment.  When such property is in the form of investable funds, the permanent endowment fund committee may consider placement for investment and administration with the United Methodist foundation serving that conference or, in the absence of such a foundation, with the United Methodist Church Foundation.  A conscious effort shall be made to invest in a manner consistent with the Social Principles and the creation of an investment policy.
When the charge conference has designated the committee to provide the services described in ¶ 2532.5, the committee shall have the same investment and reporting duties as are imposed on the board of trustees in that paragraph.