Schedule A: Guidelines for the allocation of income
Schedule B: Notes
1) Title
2) Assembly Requirements
3) Maintenance
4) Voluntary Labour
5) Minor Maintenance
Schedule C: Application Form
Schedule D: Certificate of Expenditure
a) Aim and Purpose of the Fund
b) Guiding Principles
c) Advisory Committee on the Educational Fund
d) Procedures for Dealing with Applications
e) Procedures for Recommendations and Approvals
f) General Matters
Schedule E: Application Form
Schedule F: Certificate of Accountability
1) Proceeds from Sale of Properties
2) Camp Sites
3) Applications for Permission to Purchase, Sell, Build, Dismantle, Remove, Mortgage, Borrow, Lease, Subdivide, etc.
4) Incorporation of Deacons’ Courts
5) Forms of Deeds and Specimen Minutes
6) Allocations of Income from the Manse Reserve Fund
7) Allocation of Income from the College Reserve Fund
8) Committees and other Procedures
1) Parishes and Camp Committees make application through Presbyteries for an allocation of income from the Ecclesiastical Fund (formerly called a ‘Grant’) to help meet certain expenditure on land and buildings, as listed in the Procedures. These applications shall be in the hands of Presbytery Clerks by 15 November each year. The applications are checked and forwarded with a recommendation from the Presbytery to the Clerk of Synod by 15 December. Late applications may be received in cases of extreme urgency.
2) Applications are made on a form available from Clerks of Presbyteries and Synod. They list the expenditure made or proposed according to Schedule A below. Allowable expenditure is subject to the legal limitations set by the governing Act, the Otago Foundation Trust Board Act 1992. Most of these limitations are listed in Schedule B below.
3) The Synod allocates the income of the Ecclesiastical Fund equitably through recommendations to the Synod Annual Meeting in March/April. They are available for payment within the following month.
4) Payment of allocations is made on receipt of a Certificate of Expenditure, together with the necessary documentation, submitted by the applicant to the Clerk of Synod by the end of any month. The Certificates and proofs of expenditure are checked by the Clerk of Synod and forwarded to the Factor of the Otago Foundation Trust. Payment is normally made by the Otago Foundation Trust Board on the 20th day of the following month.
5) Allocations are available as long as the work has been started within two years from the date of the approval by the Synod. The total amount of the allocation may be covered by more than one Certificate when a large expenditure is spread over a period. If two years expire after the date of the Synod’s approval or a period of two years elapses since any disbursement is made out of the allocation, then the Otago Foundation Trust Board may (after ascertaining whether work has been commenced and whether progress is being made in respect of that work to its satisfaction) advise cancellation of the allocation. In the event of cancellation, an application can be made for a further allocation.
The funds may be allocated for the following purposes:
‘For the purchase, extension, building, replacement, alteration, removal or dismantling of any manse, church, church hall, camp building or any other building used from religious purposes; land purchase or replacement.’
‘As a general rule, Synod allocations towards any project will not exceed fifty percent (50%) of the nett cost.’
Exceptions:
1) Where land is purchased for new development or extension, Synod may allocate up to 100% of the cost of such land. However this allocation will be taken into account if and when a building is erected on that land, so that the 50% maximum allocation is not exceeded.
2) Where, in the opinion of the Presbytery, a project is an essential part of the long term planning of the church/parish/Presbytery and where the present parish is not in a position to undertake the financial burden of such a project, Synod may exceed the 50% maximum.
3) Where the preservation of a duly classified A or B Historic Building under the register of Classified Buildings of the New Zealand Historic Places Trust is deemed by the Presbytery to be in the best interests of the church and community, Synod may exceed the 50% maximum.
NOTES:
A) For the purpose of this schedule, the term ‘nett’ will mean the cost of the land and buildings less legal fees and chattels (as the Synod may, from time to time, determine) and less the money received from the sale of existing building/s.
B) From the 1992 Synod, Debt Reduction allocations are no longer ‘applicable’.
C) ‘Chattels’ referred to in ‘A’ above means; refrigerators, freezers, clothes washers, clothes driers, dishwashing machines, microwave ovens, portable gas and electric heaters, boundary and internal fences, mail boxes, pews, chairs, forms, organs, pianos, keyboards, audio equipment and visual equipment.
D) Permanent heating units and fitted floor coverings may be eligible for an allocation of income up to 25% of the cost subject to the availability of funds and with proof of having been purchased after the 16th April 1994.
E) Fees for professional services paid to architects, lawyers and surveyors including the cost incurred in Resource Management Act and planning tribunal hearings will be considered as part of a claim (for an allocation of income) when the project for which the claim is sought proceeds to its completion and for which a claim is accepted for the project itself. The maximum amount for a claim (as outlined in the previous paragraph) will be based on being up to 25% of the fee paid.
Every site or building for which application is made must be vested in either the Otago Foundation Trust or in an incorporated Deacons’ Court. (Deacons’ Courts are strongly urged to transfer titles to the Trust Board who will pay the legal fees involved in such transfer. Parishes with active Deacons’ Courts, and parishes with non-functioning Deacons’ Courts are asked to contact the Clerk of Synod or the Factor of the Otago Foundation Trust Board for further information.)
Allocations may be made only for projects for which all Assembly requirements (Regulations 48, 50, 118(e), and 172(d)) have been met. Synod interpretations of these include insistence on a study and a fourth bedroom in a manse except in special circumstances, which must be approved by the Synod; full insurance cover on all properties; separate accounting of all Trust Funds; consultation with the other Negotiating Churches; the approval by Presbytery of final plans and specifications for all major new works; approval of plans by Synod; and full consultation with the Church Architecture Reference Group.
An allocation from the Ecclesiastical Fund is not considered a part of the 50% of the cash required under Regulation 118(e). Grants or gifts from other sources may be so included when they have actually been received, or guaranteed.
Maintenance means repairs to a building, including painting, wallpapering, plumbing, electrical repairs, sewerage repairs, but does not include paths, driveways, fences, heating units, carpets, furnishings, washing machines, refrigerators.
Expenditure includes the value of voluntary labour, for work done on buildings/projects for which an allocation can be made, recorded daily by a responsible person. In 1992 an hourly rate of $5.00 is applicable.
Minor items of maintenance (for example, costing under $500) need not be made the subject of individual applications, but may be accumulated for up to, say, five years and made the subject of a single application.
A standard form of application is available from the Clerk of Synod or the Clerk of the local Presbytery.
A standard form of the certificate of expenditure will be issued to all recipients of an allocation of income immediately after the annual meeting of Synod.
a) Aim and Purpose of the Funk - A Mission Statement
The aim of the Fund is to encourage, promote and assist secular and/or religious education in Otago and Southland so that the community and/or the Church shall benefit. When considering applications, preference will be given to tertiary educational institutions, and schools recognised by the Church and/or the State, but not excluding other applicants.
b) Guiding Principles
1) As a general rule, funds are available towards:
A) Personal services and not for the payment of interest, debt reduction or items of a similar nature;
B) The cost of land and buildings used by tertiary educational institutions which provide residential accommodation for students to live under Christian influence and discipline.
2) As a general rule, allocations of income shall be made by way of subsidies so that institutions receiving such allocations will be stimulated to raise finances and develop their schemes.
3) Continuing responsible bodies approved by the Church and/or the State which are concerned with the advancement of education and/or the promotion of education through the national system of education may make an application to the Fund for an allocation of income.
4) The bulk of the fund shall be allocated to three or four large enterprises with a limited amount reserved for small allocations to those enterprises meriting support.
5) No deputation in support of any particular application will be received or heard by the Advisory Committee except when appearing on the written request of the Advisory Committee on the Educational Fund through the Convener or the Clerk of Synod.
c) Advisory Committee on the Education Fund
A committee of the Synod, known as the Advisory Committee on the Educational Fund, shall be appointed by each annual meeting of Synod to make a recommendation on each application that is received and to deal with other matters which come within its powers.
The members of the committee shall be: three members appointed by the Synod, one member from each of the Presbyteries in the Synod area, one member from each of the Otago School Trustees Association, Southland School Trustees Association, Otago University, Dunedin College of Education and one person representing jointly the Otago Polytechnic and Southland Polytechnic.
d) Procedures for Dealing with Applications
1) All successful applications for allocations of income from the Educational Fund shall conform with the provisions of the Otago Foundation Trust Board Act 1992 and any ensuing legislation and must be made in writing on the appropriate form.
2) For an application to be considered in any year, it must be received by the Clerk of Synod, P O Box 1131, Dunedin by a date fixed from time to time by the Advisory Committee on the Educational Fund. Unless stated to the contrary, that date shall be 30 September in each year.
3) Each completed application shall be accompanied by information and documents which are needed to explain and support the application. These shall include annual financial accounts for the past two years and, where applicable, a certificate of accountability.
4) Unless the Synod determine by resolution from time to time, each application shall be made annually. (see also Procedure on Recommendations and Approvals: (4))
e) Procedures for Recommendations and Approvals
1) The Advisory Committee shall consider all the applications that are received. It is competent for the Committee to seek further information. It shall report directly to the Synod in a report by the Convener and will include its recommendation on each application. It shall forward a copy of its report and recommendations to the Finance and General Committee of the Synod for its information.
2) A copy of the report and the recommendations shall be sent by the Clerk of Synod to each member of Synod prior to the annual meeting.
3) At its annual meeting, the Synod shall consider the report and, either in whole or in part, adopt it or refer it, either in whole or in part, back to the Advisory Committee on the Educational Fund for further consideration. If an application or applications are referred back to the Advisory Committee, it shall have the authority to reconsider the original application/s, recommendation/s and report to a Commission of Synod or to the next annual meeting of Synod or as the Synod may direct, for decision.
4) The Advisory Committee on the Educational Fund may recommend that, in any particular case, an annual allocation of income be made for any period up to but not exceeding five years. If the Synod makes that allocation of income it must be confirmed in each succeeding year by the annual meeting of Synod. If it is not confirmed, it shall lapse.
5) The Synod, at its annual meeting, shall decide the action to be taken on the report and each of the recommendations in it. This shall be done by resolution which shall request the Otago Foundation Trust Board to pay each allocation of income.
6) No interested party shall participate in the debate at the annual meeting of Synod on his/her particular application and the recommendation made on it. No special pleading or new material will be introduced.
7) A copy of each resolution, duly signed by the Clerk of Synod, shall be forwarded to the Factor of the Otago Foundation Trust Board by the Clerk.
8) Each recipient shall be forwarded a Certificate of Accountability which shall be executed by an appropriate person and returned by the recipient stating that the funds have been expended for the purposes for which the application was made.
f) General Matters
In the event of the moneys in the Educational Fund available in any one year not being distributed in that year, the balance shall not be capitalised but shall be carried forward and be available for distribution in subsequent years, unless determined otherwise by the Synod.
A standard form of application is available from the Clerk of Synod.
A standard form of the Certificate of Accountability will be posted to all recipients.
1) Proceeds of Sale of Properties
When a glebe or unused site is sold, the proceeds belong to the Ecclesiastical Fund. In the case of unused land, which was originally purchased by, or donated to the parish without any financial assistance from the Synod, the sale proceeds belong to the Parish.
When a building is sold, the proceeds belong to the Parish for capital purposes. Proceeds of property sales may be used by the Parish with the agreement of the Synod for a replacement building. If the total proceeds of the sale is less than the cost of the replacement property, application may be made for an allocation of income based on the appropriate percentage of the shortfall.
When there is no replacement building, distribution of the proceeds of the sale between the Parish and the Ecclesiastical Fund is made by the Synod in the light of the source of the funds for providing the original building, and continuing capital needs of the Parish.
2) Camp Sites
Camp sites eligible for allocations must be set up in Otago or Southland for religious purposes, managed by a committee accountable to the Presbytery of the bounds, and have title deeds vested in the Otago Foundation Trust Board.
3) Application for Permission to Purchase, Sell, Build, Dismantle, Remove, Mortgage, Borrow, Lease, Sub-Divide, Etc
When a church court or camp committee wishes to purchase, sell, build, dismantle, remove, mortgage, lease, subdivide or borrow on the security of any property, other than the sale or purchase of items of less than $5000 in value, the course of action must be agreed to by the Congregation affected, the Board of Managers or Deacons’ Court or Parish Council, the Presbytery and the Synod. A surplus manse is not usually held for lease for longer than 10 years. (see also Section III.1 Proceeds of Sale of Properties, above)
4) Incorporation of Deacons' Courts
If a Board of Managers or Deacons’ Court, with the approval of the Congregation, desires to be incorporated under the Otago Foundation Trust Board Act 1962, approval must be obtained from the Trust Board through Presbytery and Synod. This is a different process from incorporation under the Incorporated Societies Act, 1908. (see also Schedule B1 Title above)
5) Forms of Deeds and Specimen Minutes
Standard forms of Deeds for Manses and for Churches and Specimen Minutes for Church Courts have formerly been printed under the Regulations. These are available from the Clerk of Synod.
6) Allocation of Income from the Manse Reserve Fund
This fund is for the building and maintenance of manses, churches and church halls and other buildings used for religious purposes. In practice, this is allocated with the Ecclesiastical Fund, and used for appropriate allocations under that heading.
7) Allocation of Income from the College Reserve Fund
Income from the College Reserve Fund is used for the buildings of the Knox Theological Hall, Knox College or Salmond Hall. Shares of the income of the other two funds, i.e. Ecclesiastical and Educational Funds, may also be used for this purpose.
8) Committees of the Synod
Under Regulation 332 of the Book of Order, ‘The Synod appoints a Business Committee, a Finance and General Committee, a Missions Committee, and such other committees as the Synod may see fit to set up in accordance with its constitution’.
At present the Synod has a Committee on the Ecclesiastical Fund which acts for the Finance and General Committee regarding details of disbursements from that fund; an Advisory Committee on the Educational Fund which includes representatives of certain non-church educational bodies; a Regional Nominating Committee; a Synod Youth Committee, a Committee on the Mission and Evangelism fund; a Missions Committee; a Business Committee and a Committee for the Enhancement of Synod.
The Committee on the Ecclesiastical Fund reports to Synod through the Finance and General Committee.
The Advisory Committee on the Educational Fund reports directly to Synod, having forwarded a copy of its report to the finance and General Committee as a courtesy.
The Committee on the Mission and Evangelism Fund reports to Synod through the Finance and General Committee.
The Dunedin members of the Finance and General Committee are appointed annually to act as a Commission in property matters requiring prompt action. The Synod appoints a subcommittee of the Finance and General Committee for closer liaison with the Otago Foundation Trust Board. This is called the Liaison Committee.
The Theological Hall Committee and the Council of Knox College and Salmond Hall are committees of the General Assembly which traditionally report to the Synod.
These procedures may be amended by the Synod without notice, and may be overridden by the Synod at any time by simple resolution. The Procedures and the Amendments must always be interpreted within the limits of the Regulations and of the Governing Act, the Otago Foundation Trust Board Act, 1992.