It must be fully understood that Southern California Network, Assemblies of God (hereinafter referred to as SoCal Network) is, in cooperation with the Parent Affiliated Church, ______(hereinafter referred to as P.A.C.) handing control to the Parent Church, ______, (hereinafter referred to as the Parent Church) and as such all parties must give due consideration to the history, ministry and membership of the P.A.C. as it exists today. Further, it is understood that the P.A.C. will be a campus under the legal and organizational umbrella of the Parent Church.
The Basic Presumption
While all parties understand that this is a beginning document, and that situations are subject to change beyond our control, it is the basic presumption of the P.A.C., the parent church, and SoCal Network that the ultimate goal of this relationship is that the P.A.C. will remain a P.A.C. in Perpetuity.
Legal and Financial
The parent church will be added to all deeds and titles of real property owned by the P.A.C. along with The Southern California District of the Assemblies of God, Inc.;
The P.A.C. will operate under the bylaws of the parent church beginning on ______;
The responsibility for the initial review of the financials of the P.A.C. shall rest with the P.A.C., parent church and SoCal Network;
The P.A.C.’s corporation will be kept current with the State of California. The president of the corporation will be the lead pastor of the parent church;
The board of the corporation shall be the official board of the parent church;
As a current Network Affiliated Church, the P.A.C. asks the SoCal Network Superintendent to appoint the lead pastor of the parent church as pastor and parent church board as the board of the N.A. church;
The parent church will assume the following from the P.A.C.:
oMissions commitments
oMortgages
oDebts
oOther liabilities –including utilities and services;
The parent church will employ and assume the financial responsibility of the campus pastor effective ______(if applicable);
Financial accounting by the P.A.C. will terminate on ______with responsibility for accounting to be assumed by the parent church as of ______;
Financial responsibility for the P.A.C. will be in the hands of the parent church’s accounting department;
The P.A.C. will not maintain separate bank accounts;
As an N.A. church, the P.A.C. currently has insurance through the SoCal Network N.A. Church Master Policy. Insurance coverage (Liability and Property) will be transferred to insurance provided by the parent church effective ______; In addition, SCDC needs to be listed as an additional insured for the P.A.C. as SCDC is still listed on the deed of the property.
The SoCal Network will affect the transfer of ownership of the Affiliate's assets to the parent church. However if for any reason, including the determination by SoCal Network to void this agreement, assets are liquidated and the property is disposed of in the next five years; the distribution of said assets will be as follows:
oFirst year; 20% of assets transfer to the parent, 80% to the SoCal AG District
oSecond year; 40% of assets transfer to the parent, 60% to the SoCal AG District
oThird year; 60% of assets transfer to the parent, 40% to the SoCal AG District
oFourth year; 80% of assets transfer to the parent, 20% to the SoCal AG District
oyear five and following; 100% of assets transfer to the parent;
Governance
The campus pastor will be selected by the parent church lead pastor
The membership of the P.A.C. will be merged with that of the parent church
Future membership will be approved by the parent church board using established procedures
This Memorandum of Understanding shall become effective (date) ______upon the authorized officials’ signatures of the P.A.C. and parent church and the approval of the SoCal AG Network AG
Date: ______For the P.A.C.
Date: ______(Lead Pastor, Parent Church)
Attach to this MOU:
____ Minutes of Parent Church Official Board accepting responsibility for this P.A.C. relationship
____ Proof of insurance for the P.A.C. under the Parent Church policies
____ If applicable, minutes of the P.A.C. membership meeting where P.A.C. status was accepted
____ Parent Affiliated Church Charter (from Springfield)
____ Parent assessment with appropriate documentation
this document is not in effect until parent church has been notified in writing that it has been approved by socal network ag