CHARTER OF THE
SOCIAL JUSTICE ENDOWMENT FUND FOR
LEXINGTON UNITED METHODIST CHURCH

ARTICLE ONE

THE PURPOSE:
The Social Justice Endowment Fund of the Lexington United Methodist Church, Lexington MA, is established for the purpose of providing members and friends the opportunity to make charitable gifts to Lexington United Methodist Church that will become resources for future social justice programs.

ARTICLE TWO

ADMINISTRATION:
A. The  Social Justice  Endowment  Fund will be administered by the Social Justice Endowment  Committee.

(Pursuant to the provisions of The Book of Discipline as adopted  in 2000 by the  General  Conference of  The United Methodist Church.)
 
B. The records  of the  Social Justice  Endowment Fund will be audited annually in accordance with the procedures prescribed in The Book of Discipline and periodic reports as well as an annual written report made to the Administrative Board.
C. The Social  Justice  Endowment Committee will  be accountable to the Charge Conference for the proper application of the resources of the Social Justice Endowment Fund.
D. The  Social  Justice  Endowment  Committee shall act as the legal representative of the Charge Conference and all decisions or actions shall be in accordance with the Statement of Purpose.

ARTICLE THREE

INVESTMENT OF ENDOWMENT FUNDS:
A. The Social Justice Endowment Fund investment objectives are:
  1. Conservation of resources for the effective maintenance of purchasing power;
  2. Regular income at a reasonable rate;
  3. Growth of income and principal over and above that necessary to offset rises in the cost of living (inflation);
  4. Investment  of assets  in institution, companies, corporations, or funds which make a positive contribution toward the realization of the goals outlined in the Social Principles of the United Methodist Church.
B. The assets of the  Social  Justice  Endowment  Fund will be invested in one or more  funds administered  by the United Methodist Foundation of New England (The Foundation) or its successors representing  the Annual  Conference or area  to  which this church belongs, subject to article Four.  When additions are made to the Peace With Justice Endowment Fund, the Endowment Committee shall determine how the additions will be allocated among the  funds administered by the  Foundation, and the Committee may change the allocation from time to time.
C. The Endowment Committee will  keep  appropriate permanent records of the identity of donors of  bequest, if available, and special gifts and of any persons for whom a gift is made.

ARTICLE FOUR

CHANGE IN INVESTMENT POLICY:
Any transfer of the Fund assets for investment with an agency other than the United Methodist Foundation of New England must be approved by a majority vote of the Charge Conference, at which a quorum is present on recommendation of the Endowment Committee and the Administrative Council of the Lexington United Methodist Church.  If any assets are transferred for investment with another agency, the Endowment Committee shall, in consultation with the Charge Conference, establish policies to ensure that investments will make a positive contribution toward the realization of the goals outlined in the Social Principles of The United Methodist Church.

ARTICLE FIVE

GIFTS TO THE FUND:
A. Having in mind that overly-detailed restrictions on purposes may be impractical to administer, prospective donors will  be encouraged to add their gifts to the unrestricted Endowment Fund permitting use of the total resources for social justice programs.
B. Accounts  for more restricted purposed  may be established by the Endowment Committee with  the consent of the Charge Conference.  Funds accepted into these accounts will be used for the purposes specified by the donor but will be subject to limitations as follows:
  1. That the Endowment Committee,  after consulting with the Charge Conference and getting proper approval, be allowed to redirect the proceeds to similar or related programs should the designated program become overly endowed or discontinued.
  2. That the  restrictions be  limited to a  time period not to exceed 10 years at which time the governing body of the Church could redirect the funds according to the current priorities of the Church.
The Charge Conference may by a two-thirds vote invade the corpus of the Endowment fund in response to an urgent or critical need.  The funds used for such an extraordinary need are to be considered loans (not expenditures) which will be repaid with at interest rate equal to the Federal prime interest rate in effect at the time of the loan.

ARTICLE SIX

LIABILITIES OF MEMBERS OF THE COMMITTEE:
No member of the Endowment Committee or the Administrative Council shall be liable for any investment made in any fund administered by the Foundation.

ARTICLE SEVEN

MERGER, CONSOLIDATION OR DISSOLUTION OF LEXINGTON UNITED METHODIST CHURCH:
If at any time Lexington United Methodist Church is lawfully merged or consolidated with any other church, all the provisions hereof  in respect to the fund shall be deemed to have been made in behalf of the merged or consolidated church which shall be obligated to administer the same in all respects and in accordance with the terms thereto.  If Lexington United Methodist Church should ever be dissolved without any lawful successor thereof, the Fund, including both principal and interest to date, shall be deemed the responsibility of the United Methodist Foundation of New England with the continued distribution of income while maintaining the preservation of endowment principal and authorizing a successor United Methodist Church or institution to assume the  powers afforded to Lexington United Methodist Church.  Any funds not invested with the Foundation must be converted to the foundation before such merger, consolation or dissolution occurs.

ARTICLE EIGHT

AMENDMENTS:
The provision of Articles One  will constitute a contract between Lexington United Methodist Church and the respective donors.  Any amendment of Article One shall apply only to gifts made after the effective date of the amendment.

Subject to the foregoing, this Charter may be amended by a two-thirds vote of the members present and voting at a Charge Conference duly called for such purpose at which a quorum is present.

All proposed amendments must conform with The Book of Discipline current at the time adopted.
 

THE UNDERSIGNED CERTIFY THAT THIS CHARTER WAS APPROVED BY A VOTE OF:

 39  FOR            2  AGAINST        0  ABSTAINED

AT A DULY CALLED MEETING OF THE CHARGE CONFERENCE OF LEXINGTON UNITED METHODIST CHURCH HELD AT THE CHURCH ON OCTOBER 21, 2001, NOTICE OF THE PROPOSED ACTION HAVING BEEN GIVEN IN THE CALL OF THE MEETING.

Louise M.  Kreutziger, Recording Secretary

Rev.  Susan Morrison, Pastor