The Waters Senior Housing of Edina

Land Use Proceeds Discernment Process

As a congregation, we have embarked on a time of prayer and discernment regarding the $1.85 million proceeds from the sale of Colonial Church property for The Waters of Edina Senior Housing Project.

As Congregationalists, we believe the Holy Spirit guides us together as a community to know the will of God for our church. For this process, we covet each other’s prayers and ideas. Based on congregational input and prayerful discernment, the Church Council will present a recommendation on how to use the land use proceeds in time for the Church Annual Meeting on April 29, 2012.

Survey

Your ideas on how we can use the proceeds from the upcoming land sale for The Waters of Edina have been reviewed by the Church Council and a five question survey has been developed that will help the Council get your opinions on the categories of need that have emerged.
The Use of Land Sale Proceeds Update on the website gives you information about these needs . (See Below)
Beginning January 22nd, the congregation will be asked to complete an online survey that is due by February 8th.

If you are currently receiving the Colonial eNews, you will receive an email invitation to take the survey.
If you receive the eNews in paper form, a paper survey will be mailed to you.

If you do not receive the eNews, you may fill out a form in the reception area to request that either a paper survey be mailed to you or an online survey invitation be emailed to you. You may also call the church office to request a survey.

The Church Council will then consider the survey data to continue the discernment process and will make a recommendation on April 11th. The recommendation will be voted on at the Annual Meeting on April 29th.

Use of Land Sale Proceeds Update

This past fall, the Church Council requested congregational input on how best to use the proceeds from our pending land sale. After receiving a diverse array of excellent ideas, the Council recognized that within the diversity of suggestions, four major categories emerged. These categories, with information about each, are listed below. As we move forward in our discernment process, we want the congregation to be fully apprised of the needs each of these categories represent. We invite your earnest prayer and will seek your future input as we discern the Lord’s will for our church.

Give to Outreach
For Colonial Church, outreach has taken the classic shape of ministry to the poor locally (Families Moving Forward, Calvary Baptist Church, Young Life Urban among others) and globally (International Christian Ministries- Kenya; Mercy Ministries- Zambia; Impact Lives- Haiti, among others) as well as the creative shape of serving in Quiquijana, Peru for the past fifteen years. In Peru, in partnership with World Vision, we have worked among eighteen remote villages to love and teach and strengthen lives for the sake of the gospel. The Peru Project concludes this summer, as do a number of other three-year partnership commitments. Despite the successful completion of these projects, and the ongoing effectiveness of others, the sense remains that we must do more. At our most recent congregational meeting, members expressed the desire that our outreach efforts expand to represent a more significant percentage of our annual giving.

Recognizing that God has brought us to an important new chapter in our life together, your pastoral staff is prayerfully discerning the Lord’s will for our next season of outreach. Our conviction is that this next season must be a strong step of faith, for the sake of those in need and for the sake of challenging and uniting us around the core commitments of our faith; namely, serving the world to the glory of God. Any land use funds designated to outreach by the Council and congregation, along with our continued faithful giving, will fuel these efforts.

Repair and Maintain Our Building and Grounds:
Each year Colonial Church budgets approximately $50,000 for maintenance of the church building and grounds. However, the cost of building maintenance exceeds what annual giving allows. Recent review of unmet maintenance needs has shown that there are numerous items to be addressed. They have been prioritized according to three categories:

Click here to download the presentation

1. SAFETY
These items either need repair or replacement to meet required codes or regulations or they pose significant safety risks. Examples: replace north parking lot, lighting, and adjacent sidewalks; raise landings for emergency exits; replace or repair kitchen dishwasher. Preliminary cost estimate: $400,000.

2. PREVENT FURTHER DAMAGE
These items, if not repaired or replaced, will cause further deterioration of the facility and incur greater costs later. Examples: prevent moisture intrusion by rebuilding and grading landscaping adjacent to building to improve drainage, by removing and replacing siding and fascia and adding moisture barrier, and by adding fans, sump pumps, and access doors to crawl space; replace rotted doors, window frames and sills to tighten seals. Preliminary cost estimate: $1 million.

3. OTHER
These other items need maintenance or repair to function properly. Examples: flat roof maintenance and fire sprinkler system repairs; painting hallways and rooms, new stove for kitchen, replacing blinds in gathering rooms. Preliminary cost estimate: $500,000.

Once these items are addressed, the church will need to increase its regular maintenance budget to $150,000 per year.

Reduce Our Debt
As of 10/31/2011, Colonial Church has an outstanding mortgage debt of $ 437,000. This debt combines the balance of our original mortgage, monies borrowed to install the air conditioning for the building, and monies borrowed to fill a significant annual shortfall that occurred several years ago. The church currently spends approximately $41,000 per year in principal and interest payments to service this debt.

Invest in the Foundation
From inception in 1971 to present, the Colonial Foundation has served as the Colonial Church investment vehicle. It allocates annual earnings from investment of all bequests/legacy gifts to fund items and initiatives not provided for within the annual church budget. The average annualized returns available for allocation equals about 4.2% of the fund principal. No principal from bequests/legacy gifts is expended. The Colonial Foundation fund principal is currently $1.7+ million dollars, which generated 2010 returns of approximately $78,000. The purpose and philosophy of the Colonial Foundation (for the benefit of its sole beneficiary, the Colonial Church of Edina) is “to advance, promote and administer religious activities and projects of every kind and nature” (Article II, Colonial Foundation Articles of Incorporation). Compass Capital has provided professional money management services to the Colonial Foundation funds for over ten years. Income from the Foundation could be used for future building maintenance, outreach or other purposes. Since the land sale proceeds do not constitute a legacy gift, the Colonial Church could stipulate that use of principal from the land sale is permissible.

Discernment and Project Timeline

October 31, 2011 – Deadline for submission of ideas

January 22-February 12, 2012 – Congregational Survey. This survey will gather input on ideas submitted by the congregation and will be used to guide the Council’s recommendation.

Spring 2012- Project Financing Approvals Secured

April 11-15, 2012 – Presentation of Council Proposal via E-news and in person.

April 29, 2012 – Annual Meeting

June 2012 – Closing and Ground Breaking

Spring 2013 – Marketing begins in earnest. Colonial Church members interested in moving in sign pre-lease before general public by date of interest.

June 2013 – Construction Completion

For further information on The Waters of Edina Senior Housing, please click here.

All questions may be directed to any member of the Church Council at council@colonialchurch.org

Kim Groomes, Moderator
Daniel Harrell, Senior Minister
Mark Patrick, Vice-Moderator
Lynn Voelbel
Jason Phillips
Jerry McClees
Kit Schmoeker
Debby Fairley
Mark Hunter
Paul Cavernor
Barry Naugle
Patty Murphy