VIRGINIA: Diocese increases credit line to protect Church's property for mission
Episcopal News Service. January 9, 2008 [010908-03]
Mary Frances Schjonberg
When the Episcopal Diocese of Virginia gathers January 25-26 at the Hyatt Regency Hotel in Reston for its 213th annual council meeting, delegates will consider a budget that represents a six percent increase over last year and includes $80,000 in debt service on $1 million borrowed for legal expenses.
An article in the January issue of the Virginia Episcopalian newspaper says that figure represents "the cost of litigation to protect and preserve Episcopal Church real and personal property from being appropriated for non-Episcopal Church uses."
In 2007, the diocese's Executive Board authorized the treasurer to open a $1 million line of credit to cover anticipated legal expenses for the near-term, according to the newspaper. That line has since been increased to $2 million and about $1 million has been accessed, thus resulting in the $80,000 debt service cost.
The Executive Board has also pre-authorized diocesan officials to consider contracts for the sale of "non-strategic diocesan real property," according to the newspaper.
"The Diocese of Virginia is very fortunate in that it holds a number of assets in the form of unimproved land," Patrick Getlein, secretary of the diocese, said in the article. "The litigation we are involved in is unfortunate but when it comes to preserving our heritage and reuniting exiled Episcopalians with their proper places of worship, reallocating some of our non-strategic assets seems prudent and a demonstration of loyalty to and faith in our brothers and sisters in those churches who are shouldering a unique burden."
After a majority of members of 15 diocesan congregations voted to leave the diocese, the departing congregations filed civil actions (also known as 57-9 filings for the section of the Code of Virginia invoked by the leadership of the departed congregations) with the respective circuit courts in an effort to transfer ownership of the affected properties, citing an alleged "division" within the Episcopal Church. The diocese and the Episcopal Church are arguing in court that no division has occurred, only that some members of a minority of congregations have chosen to depart from the Episcopal Church, according to the diocese.
The judge in the case has not indicated when he will rule on the 57-9 matter, but on January 4 he heard a motion filed by the diocese and the Episcopal Church to proceed with the second phase of the trial seeking declaratory judgment regarding the property, according to an announcement on the diocese's website.
The diocese and The Episcopal Church are seeking a ruling that requires the congregations, which now claim affiliation with the Convocation of Anglicans in North America (CANA) to vacate Episcopal property. The judge ordered that a trial date be set for the cases, indicating that the earliest the court could hear the cases would be September or October. He directed the parties to file proposed dates by January 11.