Draft

“TRUST DEED”

KNOX PRESBYTERIAN CHURCH

GEORGETOWN

January, 2015

Trustee Committee

Follick Lamb (chair)

TABLE OF CONTENTS

1) Preface:

2) Trustee Board & Responsibilities:

3) Church Assets:

- Bequests, Legacies & Other Sources of Monies

4) Church & Charity Law:

5) Church Insurance Coverage:

- Director Liability Insurance & Outside Group insurance Coverage

6) Notes & Signatures (Appendix C Constitution 1 E):

1) Preface:

- This Trust Deed is established under the authority of The Book of Forms section 149 (note #3)

of the Presbyterian Church of Canada with the approval of the congregation of Knox

Presbyterian Church Georgetown Ontario. (note #1)

- The primary purpose of this document is to present a set of guidelines for all church members

including Trustees (note #2), Session and the congregation to follow, to ensure that the

wishes of the congregation are legally and satisfactorily met.

- The main areas of focus will be on the physical Church, the Consolidated Investment Fund (CIF), insurance coverage and bequests/legacies.

- Our church has been placed on the “Town of Halton Hills Heritage Registry” and please see note #8 and attached letter from Halton Hills for details.

2) Trustee Board:

- There are currently six trustee board members which were elected by the congregation:

Al Cook, Bill Lawrence, Eric Mitchel, Betty Shepherd, Follick Lamb (chair) and Katrina Walton

(secretary).

- There is no set number (minimum 3) or specific term of office for Knox Trustees, however a

term and set number could be established by the congregation should they choose to do so

(see Appendix C 3 Election and Appointment of Trustees).

Trustee Responsibilities:

- To carry out any duties that may be assigned to them by the congregation.

- To carry out their duties in accordance with the laws of the Presbyterian Church in Canada as

found in the Book of Forms and various acts of the General Assembly.

- Will hold all property and real estate for the sole use and benefit of the congregation.

- Will have the power to decide on how bequests and legacies are held or used only when

empowered by the congregation to do so.

- Timely updates to Session, other committees and the congregation through quarterly reports

and at the Annual General Meeting (AGM).

3) Church Assets and Terms of Reference:

Consolidated Investment Fund:

- The use of proceeds from the sale of the Manse: (Enduring Property see note #6)

1) For Major Capital Building costs, in accordance with Para 162.1 Book of Forms, and with

the approval of Presbytery.

2) For other congregational ministerial programmes approved by the Presbytery.

3) The interest may be used to pay the minister’s housing allowance.

4) The interest may not be used for operations or maintenance.

Physical Church Building, Bequests, Legacies & other donor sources of monies or property:

- Any planning or proposals for major renovations, alterations or repairs (bells, stained glass,

organ or boiler for example) will be brought to the attention of the Trustees.

- All communication regarding bequests and legacies will be directed to the Trustees. The

Trustees in turn will meet with F&M to determine the best short term investment options.

- The least problematic and most desirable for the church, is for the donor to leave monies or

other assets to the church without conditions (note #5). In any case, the congregation will

have the final authority as to when these assets and or monies will be spent.

- Memorial Book to record benefactors see note # 10

4) Church and Charity Law:

- In recent years someone from Knox has attended Carters one day “Church & Charity Law

Seminar”, which is held in the GTA every year (Oct/Nov). A wide range of topics, such as

trustee/director duties and obligations, church third party and abuse insurance, filing of

various CRA forms and Church assets to name a few. It is well worth the time and effort and is

an excellent opportunity for our church to keep informed of the ever changing landscape and

what our legal obligations are. For trustee recommendation please see note #11. For

information on the Carters Group please see note # 7.

5) Church Insurance Coverage:

Director and Outside Groups

- Firstly; the reason for including insurance in this deed, is to inform all stakeholders of the

need to have not only adequate general insurance but also session and trustee insurance as

well as third party liability in the case of outside groups renting our facilities. To not have

adequate insurance could result in placing session and the trustees at risk of possible

litigation.

- For details of how third parties can acquire insurance when renting our facilities, please see

Marsh Canada insurance information in note # 9.

- For a summary of our General Insurance coverage, policy MCL 3011 please see attached

Marsh Canada documents. To review our full Insurance Plan, please visit the Church Office.

Session

- In order to comply with our Marsh Insurance Policy, Session will confirm that all church

members that require a background check to perform their churchly duties will do so.

Likewise for those members that require a leading with care designation. See note # 4.

6) Notes:

1) This Draft Trust Deed will be presented to the Congregation of Knox Church Georgetown on

Sunday February 1, 2015. It will then be placed in the church secretary’s office where it can be

reviewed by the congregation at their leisure. Comments are welcomed and if there are no

requested changes to the document, it will be considered to be approved by the congregation

as of March 1, 2015. The document will then be signed by the Trustees and Clerk of Session.

2) Appendix C 5. L

If the congregation empowers Congregational Trustees to make decisions on how investments

are to be held and/or used, clear directions are to be approved by the congregation and could

be included in the Trust Deed.

3) See Appendix C, Constitution 1 A

4) Any questions on background checks or Leading with Care should be directed to Craig

Hutchison Kirk of Session.

5) Typically, bequests consist of property and possessions whereas legacies consist of monies,

GIC’S, Stocks, Bonds and the like. Regardless, if there are conditions specified in the donor’s

wishes, no transactions should occur until the Church can guaranty that the donor’s wishes can

be met. If the donor’s wishes cannot be met, then it would be incumbent on the Trustee Board

to renegotiate a set of conditions with the donor’s executor of the estate that could be met. In

this case, it might be worthwhile for the Trustees to contact their lawyer.

6) Knox Church is obliged to meet a CRA (Canada Revenue Agency) DQ (Disbursement Quota) on

our CIF (Consolidated Income Fund). This means that 3.5% of the year end fund total must be

spent in the following year on Church projects or charitable like programmes. This DQ is

designed to encourage spending of Church assets on Church activities. The Church at the present

time and in the foreseeable future should have no difficulty in meeting this requirement.

7) Carters Professional Corporation is a law firm with expertise in the area of church, charity and

not-for-profit organizations with offices in Toronto, Ottawa, Mississauga and Orangeville.

8) The attached letter to the Church from “Town Of Halton Hills” indicates that we are not

required to obtain a heritage permit to alter our property as a result of being included in the

Town’s Heritage Registry. Please see the letter for further details.

9) The following information on Church insurance is enclosed:

- Brief summary of General Policy MCL 3011

- Presbyterian Church in Canada Insurance for Third Party users of Church Facilities

- List of Single Event and Repeating Usage premiums with various numbers of Attendees

- Claims Examples where third parties (outside groups) are renting church facilities

- List of Excluded Activities not covered by Third Party Insurance.

10) Some churches and most large charities keep a memorial book or some other form of donor

recognition to record benefactors. It is with this in mind that the Trustees strongly recommend that

Knox does likewise and develop some form of donor recognition. In our case it could be a memorial

book as a small permanent reminder to parishioners of the key role that bequests and legacies play

in church development.

11) It is recommended by the Trustees that two church members attend future Church and

Charity Law Seminars; one member from F&M and one member from the Board of Trustees. This

would accomplish much needed working level knowledge which will be required as we continue to

address our physical church projects and church programmes.

TRUST DEED

Name of Congregation: Knox Presbyterian Church Georgetown Date

Trustee Chair: Follick Lamb ___________________ ____________________

Trustee: Al Cook ___________________ ____________________

Trustee: Bill Lawrence ___________________ ____________________

Trustee: Eric Mitchell ___________________ ____________________

Trustee Secretary: Katrina Walton ___________________ ____________________

Trustee: Betty Shepherd ___________________ ____________________

Clerk of Session: Craig Hutchison ___________________ ____________________

//tiDeclaration # PCCOO137

lnsurer(s) lnterest Premium

Section ll & lll: Property lnsuranceEcclesiastical lnsurance Office, PL

1O0oy'" $2,848.00

Section !V: Machinery Breakdown lnsuranceEcclesiastical lnsurance Office, PLC

'too% $145.00

Section V: Crime lnsuranceEcclesiastical lnsurance Office, PLC

100% $7s.00

Seetiom Vl: Commereial General LiabilityEcclesiastical lnsurance Office, PLC

IOAYI $289.00

Section Vll: Abuse eoverageEcclesiastical lnsurance Office, PLC

1OOY" INCLUDED

Sectien Vll!: Umbrella LiabilityEcclesiastical lnsurance Office, PLC

lOOo/o $0.00

Seetion lX: Direetors & Offieers Liability lnsuraneeEcclesiastical lnsurance Ofiice, PLC

lAAo/" $179.00

TOTAL PREMIUM $3,536.00

(|ru WITNESS WHERE OF) The lnsurer shown above has caused the Master Policy to be signed by theirduly authorized officer but this declaration shall not be valid unless signed on behalf of the insurer by:

Date: November 7,2014

(-J i

Signed on Behalf of Ecclesiasticallnsurance Office, PLe

lmportant:All rights and liabilities of the parties are governed by atl terrns and conditions, limitations and exclusionsin Master Policy No. MCL 3011

ln the event of loss or damage or any change in the risk, immediate notice must be given to each insureror to Marsh Canada Limited, Canada - 70 University Avenue, Suite 800, Toronto, Ontario. Postal CodeMsJ 2M4. Telephone # 416 349-4700.

THIS POTICY CONTAINS A CLAUSE THAT MAY LIMIT THE AMOUNT PAYABLEclt No.:156402con.nt.no.:PCC00137fromDecember15,2o14toDecember15,2015printedonNovember7,2OI4clt.nm.:KnoxpresbyterianChurch

By:

318

ffi r\4eFQ5H Consumer Practice

PRESBYTERIAN CHIJRCH IN CANADAil',JSLiRAf{Cf FOR TltiRU irARTY LiSf RS OF e HLiRCH FAe l[-l-i ii:5ruOW /-lVitlLABl.t (il{l"lt![ lif Wy/'\rv.l,lARSt-i CAICUG-pR[:SBYTtRlAl',!Cl-iLJitilil

T'hird Party Uscr: nf e hLlrch Facilities rnust 6:*y fcr insurance cniin* using Vis*,fvtastereard, or lnterac *nline only.

A hall, or meeting room, is one of the primary sources of riskwithin your church, especially when rented by outside users(third parties).

The churcht insurance is not intended to provide coveragefor third party user groups renting/using the church fortheir own activities or functions. lt is recommended that anythird party renting the hall for a private function, or meeting,provide the church with a Certificate of lnsurance evidencingliability coverage and naming the church as an additionalinsured. lf the function involves alcohol, coverage mustinclude host liquor liability.

Marsh Canada is able to broker liability insurance for thirdparties using church facilities who may not otherwise haveaccess to insurance to cover their event. This coverage isavailable at very economical rates. Premiums start as lowas $ 1 00 for a $2,000,000 limit for groups with less than250 attendees.

EVEiITTYPE ALCOI{O5. NO. OF PAEMIUM FEE TOTAL

Single Event No 1-250 $64 $36 $100

Single Event 251-500 $ 128 s47 $ 17s

Single Event 1-250 $s0 $2s0

Single Event 251-500

User Group,/Repeating Usage

$36 $100

i.l i .*ii ili i: l{Air4 Pl" i1Example 1 - Mary rents the hall to run fitness classes.One of the participants is injured during a class. Mary hasno insurance policy to cover her programs. The user and thechurch are sued for compensation for the injury.

Example 2 - Mary rents the church to host her friend's bridalshower. During the shower, some cake falls on the floor andno one picks it up. Someone slips and falls and is hurt.Mary has no insurance policy to cover this event. The personhurt sues the church for compensation of their injuries.

. The church insurance policy will defend the church anddeny the claim. Fitness programs/shower events are notchurch run programs. The injuries were not the result ofimproper maintenance.

. The shower event was a result of Mary's negligence(by not cleaning-up the cake).

o Mary has no insurance and will have to defend herself.

. As the church policy is the only enforceable policy, the judgemay order the church policy to pay the claim.

To Iimit the exposure to the church and protect the personalassets of the users, we strongly recommend you considerthe Marsh Third Party User Group Program for all eventsorganized by third parties.

i-r:/ril[ft!i-i,i-t i.t.:,]i..rr.i:Liii:, 5*;.'_lT!*i!$...T,./{lfiL}:,.ri}i

'.'M Fi J, f,i, *,; q".. l -_rryF f lj"lFl t{ } i-!

EVEh{T/TFII RD PARTY USE

tr/t?

CHURCH AETIVITY H0r'l-CH [JReH ACTIVITY

Wedding Ceremony Yes No

After Wedding Reception (tea and coffee) Yes No

Wedding "Reception" (dinner and dance) No Yes"

Bridal Shower No Yes*

Funeral Ceremony Yes

* lt is recommended that the Third party provide the church with a Certificate of lnsurance evidencing liability coverage, and

naming the church as an Additional lnsured.

l:.'::,,i- : i j1 ij t i:'.ii.':, ?i

Marsh, a global leader in insurance broking and risk management, teams with its clients to define, design, and deliver

innovative industry-specific solutions that help them protect their future and thrive. It has approximately 26,000 colleagues

who collaborate to provide advice and transactional capabilities to clients in over 100 countries. Marsh Canada Limited

has 1,100 employees and offices in 13 cities across Canada. Marsh is a wholly owned subsidiary of Marsh & Mclennan

Companies (NySE: MMC), a global team of professional services companies offering clients advice and solutions in the areas

of risk, strategy, and human capital. With 53,000 employees worldwide and annual revenue exceeding $1 1 billion, Marsh

& Mclennan Companies is also the parent company of Guy Carpenter, a global leader in providing risk and reinsurance

intermediary services; Mercer, a global leader in human resource consulting and related services; and Oliver Wyman, a global

leader in management consulting. Follow Marsh on Twitter @Marsh-lnc.

i.J i.i i":, t : il i'.j I icontact Marsh canada's Religious lnstitutions service Team at 'l 866 236 6 i 28.

M: i: i ] {.i.i1,ji iilii:, 1'i

P|ease apply online at www.mars. h.c;a/-eUGircshylenatglureh.

This program is underwritten by All Sport Marketing Limited acting on behalf of certain Lloyd's Underwriters.

This document is not intended to be taken as advice regarding any individual situation and should not be relied upon as such. The information contained

herein is based on sources we believe reliable, but we make no representation or warranty as to its accuracy. Marsh shall have no obligation to update

thispublicationandshallhavenoliabilitytoyouoranyotherpartyarisingoutofthispublicationoranymattercontainedherein. Marshmakesno

representation or warranty concerning the application of policy wordings or the financial condition or solvency of insurers or re-insurers. Marsh makes no

assuraii.es regarding the availability, cost, or terms of insurance coverage-

Marsh is one of the Marsh & McLennan Companies, together with Guy Carpenter, Merceri and Oliver Wyman.

Copyright €) 2012-201 3 Marsh Canada Limited and its licensors. All rights reserved. www.marsh.ca

CC001 g-PC (C1 1 0507T8): ?o13 / 05 /22

No

Pwe+-en- r/S

follick lamb

From: "Cook, Brenda" <Brenda.Cook@marsh.com>To: <flamb@sympatico.ca>Sent: October-15-14 3:34 PMAttach: PCC - TP User group June 2013.pdfSubject Knox Presbyterian Church PCC00137Hello Follick,

Third party'scan access our facility by ctrl and clicking or pasting link below.Please note Third Party's will need your PCC00137 numbdr to piocess policy online.

w :#_w&4 e5 ryee&u_e*r Bgl&y{98Kry_qHueff iPolicy term run May 4, 2014 to May 4, 2015

S Event LimitNo. ofAttendees

AlcoholServed

Premium AdministrationFee

ProvincialTax 8% ifapplicable

Total

1-250 No $64.00 $36.00 $8.00 $108.00251-500 No $128.00 $47.00 $14.00 $189.001-250 Yes $200.00 $s0.00 $20.00 $270.0025'l-500 Yes $300.00 $75.00 $30.00 $405.00Over 500 Refer Refer

not

,vaut LimitUser Group Premium Administration Fee Provincial Tax 8o/o if

applicableTotal

Annual/Term FlatRate

$64.00 $36.00 $8.00 $108.00

Abuse Goverage not inr ;luded

Exclude Activities* please note some of these activities may not be applicable to your premises

Alpine$kiing BoxingClimbingContact HockeyContact MartialArtsCyclingFjreworks (unless under the direction of a Fireworks Specialist)GymnasticsHorse RelatedKickboxingLacrosseMinor Hockey (18 & under)RugbySkateboardingiSkateboard parksSnowboardingTackle Football

t'.,4 *1t:: *.2.t \*r;i * *..

rc/fiD014

s/t

TOWN OF

HATTON HILLSWrh ing Tb ge t her Worh i,ng for You !

September 23,2013

Knox Presbyterian Church

116 Main Street South

Georgetown ON L7G 3E6

E?^.I \(r. Listing of Your Property cn the Tcrnyn of !-{a!ton Hills Heritage Register"

Regarding Property: 116 Main Street South, Georgetown

Dear Property Owner:

The purpose of this letter is to inform you that your property has been added to the Townof Halton Hills Heritage Register, through Phase 2 of a process to create a comprehensivelist of Town properties with heritage value. This process included a Public InformationSession held on March 24,2011, to which all property owners whose property wasproposed to be added to the Register were invited. This invitation also included a copy ofthe info sheet for your property.

Your property has been identified as having cultural and/or built heritage value, throughheritage inventories prepared by our municipal heritage committee Heritage Halton Hills,and confirmed by evaluation conducted by the Heritage Resource Centre of the Universityof Waterloo, and was added to the Heritage Register with the approval of Town Council.

The Heritage Register as specified in the Ontario Heritage Acf is intended to assistmunicipalities in identifying their heritage resources, and is not the same as designationunder the Ontario Heritage Act, in which a permit would be required for alterations to theheritage features of the property. Listing on the Heritage Register is an important heritageconservation tool, which allows the municipality to delay issuance of a demolition permitfor 60 days while conservation options are considered, including proceeding todesignation or removing the property from the Register to allow for the issuance of ademolition permit.

What does this mean for you? You are not required to obtain a heritage permit to alteryour property, and no legal restrictions are registered on the title of your property as aresult of being included in the Town's Heritage Register. lf you ever apply for a

I Halton Hills Drive, Halton Hills ( n), Ontario L7G 5Gz

Tel : 905 -8 7 3 -260 1 Fax: 905 -87 7 -3 524 www.haltonhills.ca

7/8

Frequentlv Asked Questions:Why was my property included in the Heritage Register?

Properties listed on the Heritage Register have been identified as having cultural and/or builtheritage value. This determination was made through heritage inventories prepared by ourmunicipal heritage committee Heritage Halton Hills, and confirmed by evaluation conductedby the Heritage Resource Centre of the University of Waterloo. Properties were evaluatedbased on the following criteria: design or physical value, historical or associative value, andcontextual value.

What does it mean if my property is listed in the Heritage Register?

lf you ever apply for a demolition permit for your property, the Town has up to 60 days toconsider the request. ln the 60 day time period the Town will further review the culturaland/or built heritage value of lrour property and may proceed with further designating yourproperty under the Ontario Heritage Act or may remove your property from the Register toallow for the issuance of a demolition permit.

Can I modify or alter my property if my property is listed on the Heritage Register?

Yes. Being listed on the Heritage Register does not prohibit alterations or additions beingmade to a property or buildings. Alterations and additions are permitted subject to any otherapplicable regulations or requirements (e.9. Building Permits, zoning requirements,Conservation Authority reg ulations, etc. ).

Are restrictions registered on the title of my property if it is listed on the HeritageRegister?

There are no restrictions or notices registered on the title of properties that are listed Town'sHeritage Register.

Does the Town notify property owners before adding their properties to the HeritageRegister?

The Ontario Heritage Act does not require that any notice be given to property owners whena Register is established. The Town of Halton Hills notifies the public that their property isbeing consiriei'ed ioi'inclusion and holds a Public lnformation Centne/Open House fo:"residents. The Town provides further notice to property owners once their property is addedto the Register.

lf my property is listed on the Heritage Register does it mean that the Town is going todesignate the property under the Ontario Heritage Act in the future?

There is no process established by the Town to proceed to designation for any of the listedproperties on the Heritage Register. The established practice of the Town, in the absence ofa demolition request, is to only designate properties at the consent of the property owner.

How do I get a heritage plaque for my property?

The Heritage Halton Hills Committee has a plaque program in which property owners canrequest a plaque for a fee. The fee covers the cost of the plaque and the research the