ARTICLE XI – TAX-EXEMPT PROVISIONS AND PROPERTY

A. TAX-EXEMPT PROVISIONS

1. Designated Contributions

From time to time, this church in the exercise of its religious, educational, and charitable

purposes, may establish various funds to accomplish specific goals. Contributors may

suggest uses for their contributions, but all suggestions shall be deemed advisory rather

than mandatory in nature. Funds established by a vote of the church will be used for

designated purposes. All other contributions made to specific funds or otherwise

designated shall remain subject to the exclusive control and discretion of the pastor and

board of deacons. No fiduciary obligation shall be created by any designated contribution

made to the church other than to use the contribution for the general furtherance of any of

the purposes stated in ARTICLE I. C.

2. Private Inurement

No part of the net earnings of the church shall inure to the benefit of or be distributable to

its members, trustees, officers, or other private persons, except that the church shall be

authorized and empowered to pay reasonable compensation for the services rendered and to

make payments and distributions in furtherance of the purposes set forth in Article I. C.

hereof.

3. Political Involvement

No substantial part of the activities of the church shall be in the carrying on of propaganda

or otherwise attempting to influence legislation. The church shall not participate in, or

intervene in (including the publishing or distribution of statements), any political campaign

on behalf of any candidate for public office.

4. Dissolution

Upon dissolution of the church, the trustees shall, after paying or making provision for

payment of all liabilities of the church, dispose of all assets of the church to such

organization or organizations organized and operated exclusively for religious purposes as

shall at the time qualify as an exempt organization or organizations under Section 501 (c)

(3) of the Internal Revenue Code of 1986 (or the corresponding provision of any future

United States Internal Revenue Law) as the trustees shall determine. Assets may be

distributed only to organizations which agree with the church’s Confession and Practices of

Faith and Covenant.

5. Racial Nondiscrimination

This church shall have a racial nondiscrimination policy and therefore shall not

discriminate against members, applicants, students, and others on the basis of race, color, or

national or ethnic origin.

6. Limitation of Activities

Notwithstanding any other provision of this Constitution and Bylaws, the church shall not,

except to an insubstantial degree, engage in any activities or exercise any powers that are

not in furtherance of the purposes stated in Article I. C., hereof.

B. Property.

1. Definition and Scope

The church property shall be understood to include all land, buildings, portable furniture

and equipment, bonds, bequests, money on deposit in the bank, or church money in

possession of church representatives, though it is not deposited in the bank or invested, etc.

It shall likewise include all physical assets acquired by the church at a later date.

2. The Power

The power to acquire, control, retain, sell, lease, or mortgage property shall rest solely in

the hands of this church. Extensive improvements, transfer, lease, or sale of church

property shall be in violation of this Constitution and Bylaws except when authorized by a

two-thirds vote of the members present and voting at a meeting of the church called for

such action. The said action shall be after due publicity in the form of Sunday

announcements for two consecutive Sundays and, if wisdom directs, by the mailing of

letters to members whose addresses are known.

3. Members’ Rights to Property.

Members of this church have no contract, property, or civil legal rights in the property or

other ministry affairs of the church.