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Mennonite Brethren Mission and Service International divestiture


At the 1999 convention of Mennonite Brethren Churches of North America in Wichita, Kan., delegates approved a recommendation that would see the “General Conference divest itself of the ministries it currently holds subject to the acceptance of a transfer plan by the Canadian and US Conferences . . .” Information on the divestiture of the Board of Faith and Life was carried in the December 3 MB Herald. Following is the memorandum of understanding regarding MBMS International. Decisions on both Boards will be made at the respective national conventions this summer; the Canadian MB Conference convention will be held July 6-8 in Hepburn, Sask.

MEMORANDUM OF UNDERSTANDING REGARDING MENNONITE BRETHREN MISSION AND SERVICE INTERNATIONAL

Preamble

This Memorandum is entered into between The United States Conference of the Mennonite Brethren Churches (“the US Conference”) and the Canadian Conference of Mennonite Brethren Churches (“the Canadian Conference”) in order to set forth their agreement regarding the ongoing operation of Mennonite Brethren global mission.

In 1900, the Mennonite Brethren Churches of the United States and Canada joined together to form The American Mennonite Brethren Mission Union, the predecessor to the General Conference of the Mennonite Brethren Churches. As stated in the Charter, the purposes for which the original corporation was formed were:

“A. To bring and to preach through missionaries, the gospel to all nations without the gospel of Christ in home and foreign lands.

B. To release the nations from idolatry and sins, to bring them to the obedience of faith in Christ and to the fellowship of the Son of God through the gospel of Jesus Christ.

C. To employ, send and support the necessary missionaries, assistancies (sic) and deaconesses according to the rules in the by-laws.

D. To accumulate a fund by collections and accepting donations.

E. To own real estate, to open mission stations, to enact, furnish and maintain the necessary buildings.”

Over the past 100 years, global mission has continued to be a central focus of the Mennonite Brethren churches of North America. As the General Conference of the Mennonite Brethren Churches divests itself of its ministries, it is appropriate that the Mennonite Brethren vision for global mission be carried on by the churches with which it began. Accordingly, the United States Conference of the Mennonite Brethren Churches and the Canadian Conference of Mennonite Brethren Churches covenant together as partners in the continuation and furtherance of global mission through the structure outlined herein.

By entering into this agreement, the US and Canadian Conferences express their mutual desire that the global mission mandate which has played such an integral role in their history, continue to be given significant priority, and that Mennonite Brethren Mission and Service International be viewed by the partnering national conferences and their member churches as the primary channel for carrying out the mandate of global mission.

In addition, it is the hope and desire of the US and Canadian Conferences that, in the future, additional Mennonite Brethren conferences may be added as full partners in the global mission activities of Mennonite Brethren Mission and Service International.

Legal Status

Global mission will be operated by a newly formed non-profit religious corporation known as Mennonite Brethren Mission and Service International (hereinafter referred to “MBMSI” or “the MBMSI corporation”). Organization as a corporation will allow MBMSI to carry out its mission mandate more efficiently. Because American law provides greater flexibility with regard to foreign ownership of domestic corporations, the new corporation will be incorporated in California. A copy of the proposed Articles of Incorporation are attached hereto and are expressly approved by the partnering national conferences. For the time being, MBMSI will operate in Canada under the legal umbrella of the Canadian Conference, as has been the case with the General Conference. If, at some point in the future, it becomes desirable for MBMSI to establish its own legal identity in Canada, this action can be taken by the MBMSI Board of Directors, with the approval of the partnering national conferences. The MBMSI corporation will be responsible for all of its own liabilities. To the extent either national conference is exposed to liability by virtue of the structure created herein, the national conferences pledge to deal equitably with each other to insure that any such liabilities are not borne by one conference alone. There are several countries in which a legal entity has been created in accordance with the respective country’s corporate law in order to properly hold assets related to the mission operations being conducted by MBMSI in that country. The Board of Directors of MBMSI will determine whether any changes need to be made in order to bring these assets within the control of MBMSI.

Ownership and Governance

The MBMSI corporation will be owned jointly by the United States Conference of the Mennonite Brethren Churches and the Canadian Conference of Mennonite Brethren Churches. The Bylaws of MBMSI will provide that additional conferences may become joint owners in the future. The MBMSI corporation will be governed in accordance with the Bylaws attached hereto which are expressly approved by the partnering national conferences.

Accountability

MBMSI will be accountable to the partnering national conferences in the following ways:

The Bylaws of MBMSI will provide that the partnering national conferences shall elect a majority of the members of the MBMSI Board of Directors. The MBMSI Board of Directors will provide full reports to the partnering national conferences at their conventions. The Bylaws will provide that the Articles of Incorporation and Bylaws of the MBMSI corporation can only be amended by action of the partnering national conferences. MBMSI will review its constituency relations function in order to assure adequate communication and relationship with the partnering national conferences, the district and provincial conferences, as well as the individual churches which make up those conferences.

Operations

With its own corporate identity, MBMSI will conduct its own operations in the United States, including receipting of contributions, payroll, employment matters, etc. In Canada, the operations of MBMSI will continue to be conducted under the legal auspices of the Canadian Conference with the actual labour performed by MBMSI personnel. Salary structures and other personnel and operations policies will be set by MBMSI. MBMSI’s Management Centre will remain in Fresno for the foreseeable future. Other aspects of MBMSI’s current management structure (i.e. regional program directors, regional constituency offices in Canada and the US and YMI offices in Waterloo) will also be maintained for the time being, subject to review by the Board of Directors of MBMSI.

Financial Management

The Board of Directors of MBMSI will be responsible for the financial management of the MBMSI, including establishing MBMSI’s annual budget. The current policy of no deficit spending will continue and will only be altered with the approval of the partnering national conferences.

Asset Ownership

MBMSI will own all of its physical assets in the United States. Any such assets being held by another entity for the benefit of MBMSI will be transferred to the MBMSI corporation. Physical assets utilized by MBMSI in Canada will continue to be held by the Canadian Conference for the benefit of the MBMSI corporation. In the United States, operating and/or reserve funds currently held by MBMSI or other entities on behalf of MBMSI will be transferred to the MBMSI corporation. In Canada, such funds will continue to be held as they are presently, for the benefit of the MBMSI corporation. All missions endowments and other planned gifts currently owned by the Canadian and US Conferences, or related entities, for the benefit of MBMSI, will remain with them for the same purpose, with earnings transferred quarterly to the MBMSI corporation.

Funding

The funding of MBMSI’s programs will continue as currently practiced, with open access for MBMSI to all participating conference churches and their members in order to solicit financial support. Additional funding may come from grants, estates, interest earnings, etc. Any change in the “norm” or “levy” suggested to local churches for funding MBMSI’s operations must be approved by the national conferences and the national conferences will assist MBMSI in communicating the suggested funding level to the local churches.

Program Policies

The national conferences endorse the current program policies and procedures contained in the “MBMSI Global Mission Guidelines 1995-2005”, including the following considerations:

That MBMSI is committed to assisting and encouraging local Mennonite Brethren churches in carrying out their global mission mandate. That MBMSI is committed to facilitate the sending of missionary personnel from its local partner churches. That MBMSI funding will continue to come primarily from the churches of the partnering conferences. That any modifications to the “Global Mission Guidelines” prior to 2005 and/or significant new directions following that, will be processed by the Board of Directors of MBMSI with the partnering conferences prior to implementation.

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Last modified May 26, 2000.

© 2000 Mennonite Brethren Herald.
Published by the Canadian Conference of MB Churches.
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