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REAL ESTATE (2014) www.toronto.anglican.ca/ parish-administration/real- estate/

Parish Leadership 2014: Real Estate

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Page 1: Parish Leadership 2014: Real Estate

REAL ESTATE (2014)

www.toronto.anglican.ca/parish-administration/real-estate/

Page 2: Parish Leadership 2014: Real Estate

Statutory Framework

Religious Organizations’ Lands Act (Ontario) R.S.O. (1990) c. R.23

Anglican Church of Canada Act (Ontario) S.O. (1979) c.46

“The Church Temporalities Act”, given Royal Assent on December 3, 1841, and as later enacted pursuant to “An Act respecting Churchwardens in the Diocese of Toronto”.

Page 3: Parish Leadership 2014: Real Estate

Anglican Church of Canada Act (Ontario) S.O.(1979) c. 46

1.-(2) The parson or other incumbent of the church for the time being and the churchwardens thereof shall, for the purposes of The Religious Organizations’ Lands Act, 1979 be deemed to be trustees within the meaning thereof.

2.-(1) Land shall not be sold or leased, mortgaged or otherwise encumbered under the powers conferred by The Religious Organizations’ Lands Act, 1979 except with the consent of the vestry of the church or congregation interested therein and of the bishop of the diocese and the executive committee of the synod of the diocese, and the consent of the vestry given in accordance with the rules and canons of the church shall be deemed to be the consent of the congregation.

Page 4: Parish Leadership 2014: Real Estate

Canon 6

The following all require Diocesan Council permission:

Purchases & Sales Building or Structural Alterations (requiring a

Building Permit) Mortgages &/or encumbrances Loans/financial obligations (not expected to be

liquidated within one (1) year) Licenses Leases (both Residential and Commercial)

Page 5: Parish Leadership 2014: Real Estate

Procedure Pursuant to Canon 6

Area Bishop support Vestry approval (please see next slide for motion

templates) Project Review Committee meeting (“PRC”)

Executive Board (Canon 3) & Trusts Committee (Canon 5) recommendation to Diocesan Council (Canon 2)

Diocesan Council two-phase approval (‘in principle’ & ‘final approval’)

Renovations & Capital Improvements: www.toronto.anglican.ca/parish-administration/real-estate/church-property/renovationscapital-improvements-2/

For significant capital improvement projects requiring building permits.

Page 6: Parish Leadership 2014: Real Estate

Vestry Motions - Templates

i. “That Vestry authorizes the Churchwardens to proceed with the {insert the project name or descriptor}, in accordance with Canon 6, at a total estimated cost not to exceed ${insert the total estimated cost including an appropriate contingency} to be funded through a combination of {outline all of the sources of funding, including specific amounts, that equal the total estimated cost}.”

ii. “That Vestry authorizes the Churchwardens to take out a {insert the type of facility – ie. loan, line of credit etc.} with {insert the name of the institutional lender ie. CIBC, TD, BMO etc.}, in the principal amount of $___________for a term of _________at an interest rate of ______%.”

Page 7: Parish Leadership 2014: Real Estate

Facility Rentals: License/Lease

www.toronto.anglican.ca/parish-administration/real-estate/facility-rentals/

Do not modify the clauses or execute (ie. sign); Fill-in “”

Obtain Certificate of Insurance from Licensee or Lessee (risk assessment - $2m or $5m?); Tenant’s package ≥ $2m. ‘All Sport’ coverage is available for purchase (Marsh Cda

Ltd.) Submit: unsigned License/Lease, plus Certificate of

Insurance for Trusts Committee & Diocesan Council approval Renewals must be re-approved; diarize expiry date.

Implications re: Director’s & Officer’s insurance

Page 8: Parish Leadership 2014: Real Estate

Purchase & Sale www.toronto.anglican.ca/parish-administration/real-

estate/church-property/purchase-and-sale/ Obtain current survey & confirm title (ie. Parish or

Diocese) 3 Vendor clauses (ie.“As is, where is…”) Always retain appropriate ‘arms-length’ professionals Funds always payable to the Incorporated Synod of

the Diocese of Toronto If rectory, funds must be deposited to a Rectory Fund

in the CTF. Dividend on capital paid quarterly to parish for housing allowance.

If ‘surplus’ property 50% to MAF & 50% to parish as per the Capital Redeployment Policy.

Page 9: Parish Leadership 2014: Real Estate

Maintenance/Inspections/Greening

www.toronto.anglican.ca/parish-administration/real-estate/church-property/building-inspections/

Rectory inspection every 5 yrs by professional, home inspector; annually by Churchwardens or upon vacancy

Church inspection every 10 yrs by professional, commercial building inspector (see 2008-2017 schedule by

Deanery) Parish Property Maintenance Checklist Greening: solar thermal, photo voltaic, wind systems

legal, structural, tax, insurance, repair etc. status (www.toronto.anglican.ca/parish-administration/real-estate/church-property/greening-initiatives/)

Accessibility for Ontarians with Disabilities Act (Ontario) S.O. (2005) c.11.

Page 10: Parish Leadership 2014: Real Estate

Cemeteries & Columbaria www.toronto.anglican.ca/parish-administration/real-

estate/church-property/cemeteries/ Same procedures under Canon 6 (see also Canon

15.6) Funeral, Burial and Cremation Services Act, 2002,

S.O. 2002, c.33 Care & Maintenance Trust Fund - CTF Cemeteries Regulation Unit

416‑326‑8393/1‑800‑889‑9768 www.sse.gov.on.ca/mcs/en/Pages/cemetery_resources.aspx

Columbaria Policy & Parish Leaders’Manual

Page 11: Parish Leadership 2014: Real Estate

Resources www.toronto.anglican.ca Parish Leaders’ Manual (“PLM”) Ecclesiastical LegalConnex Service (1-866-263-

0256) Canon 6 Landlord & Tenant Board (www.LTB.gov.on.ca) Marsh Canada Ltd. Canada Revenue Agency (CRA) The Legal Guide for Canadian Churches – Blaikie

& Ginn - Novalis 2006 (www.novalis.ca) When Not to Build – Bowman & Hall - Baker 2003