Constitution and Bylaws Lakewood Christian Church 1

Constitution and Bylaws Lakewood Christian Church 1 CONSTITUTION AND BYLAWS OF LAKEWOOD CHRISTIAN CHURCH We, the members of Lakewood Christian Church of Waco, Texas, in order to promote peace and harmony, to insure that all things are done decently and in order, to guarantee all members an opportunity to participate in the governing of this church, to advance the cause of Christ through this body, and to insure these blessings for ourselves and our posterity, do ordain and establish this constitution. ARTICLE I Church This church, incorporated as a non-profit organization under the existing statutes of the State of Texas, is a participating and cooperating member of the religious communion known as the Christian Church (Disciples of Christ), and considers itself a part of the Church Universal. ARTICLE II Government This is a democratically governed church. The administration of the daily church affairs shall be vested in the Official Church Board, (hereafter called "The Board") and to such persons as The Board may delegate authority. The election of The Board members, the number of The Board members, the offices, and the term of offices shall be as provided in the Bylaws. The Constitution and Bylaws may be revised, amended or repealed by the church membership as provided in Article V. Each member of the church shall have one vote and the right to exercise that vote on all matters, which shall come before the church membership in a congregational meeting. All congregational meetings shall be conducted in general accordance with the principles of Roberts Rules of Order, Revised (current edition). ARTICLE III Membership The membership of this church shall consist of those individuals who are now members, those who unite with this church by confession of faith and baptism and those who transfer membership upon reaffirmation of their confession of faith. ARTICLE IV Funds The Board is authorized to establish and maintain such separate Fund Accounts as are deemed appropriate to meet the financial requirements of Lakewood Christian Church. ARTICLE V Amendments This Constitution and Bylaws may be amended at any business meeting of the membership of this church by a two-thirds vote of those present and voting. Before such vote shall be taken, written notice of the business meeting, giving time, place and the subject matter of the proposed amendments shall be publicized to the membership at least seven days prior to the meeting. The weekly Church Newsletter, or a separate written notice, shall be the authorized method of giving notice for this purpose to the membership. ARTICLE VI Interpretation Neither this Constitution nor the following Bylaws are expected to provide for explicit direction in all situations which may arise, but it is agreed that the Constitution and the Bylaws are to be interpreted in the light of the teachings of Christ, The letter killeth, but the spirit giveth life. Bylaws of Lakewood Christian Church ARTICLE I Church Year The church year shall begin on January 1. Additionally, the fiscal year, for budget purposes, shall also begin annually on January 1. An annual congregational business meeting for the purpose of electing officers, elders, and deacons shall be held no later than October 31. An annual congregational business meeting for the purpose of approving the budget shall be held no later than December 15. Additional congregational business meetings shall be held as needed.

Constitution and Bylaws Lakewood Christian Church 2 ARTICLE II Congregational Business Meetings All congregational business meetings shall be scheduled by the Chairperson of the Board. A written notice of such meeting, giving the time, place and purpose of the meeting, shall be announced with at least seven days prior notice to the church membership. Publication of notice in either the church newsletter or the church bulletin shall be sufficient. The only matters that shall be considered at any scheduled congregational business meetings shall be such resolutions and proposals as are presented by The Board or are presented in a written form to the Chairperson of The Board and signed by 10 % or more of the participating membership of the Church. Any such resolutions or proposals properly presented to the congregation shall be acted upon without amendment or alteration in the exact form as disclosed to the congregation in advance of the congregational business meeting. Neither absentee nor proxy voting will be permitted. ARTICLE III Officers of the Board A. Election and Term of Office The congregation shall elect the following officers for the terms designated. 1. Chairperson of The Board for one year. 2. Vice Chairperson of The Board for one year. 3. Treasurer of the Church for one year. 4. Four Trustees of the Church who shall serve for four years. One Trustee shall be elected each year so that there are four overlapping terms. B. Qualifications Officers must have been active members of the Lakewood Christian Church of Waco, Texas for at least one year at the time of their election. C. Responsibilities/Duties 1. The Chairperson shall: a. Schedule and preside at all meetings of the congregation and The Board and perform such other duties as are normally associated with the office of chairperson. The chairperson shall be an ex-officio non-voting member of all departments and committees. b. In consultation with the Ministers, submit to The Board for approval a Secretary to record all proceedings of meetings of The Board, the Minister's Cabinet and the congregation. c. In consultation with the Ministers submit to The Board for approval a Chairperson of each Standing Department as defined in Article X of these Bylaws. 2. The Vice Chairperson shall: a. In the absence of the Chairperson, preside at all meetings of the congregation and The Board. b. Serve as the Chairperson of the Personnel Committee. c. Serve on special projects or committees as requested by the Chairperson and approved by The Board. 3. The Treasurer shall be responsible for: a. The receipt of all income of the congregation including special gifts and memorials, for counting, tabulating, proper recording and depositing same into proper bank accounts. b. The paying of all accounts of the congregation as authorized by the budget or special action of The Board when such items are not in the budget. c. The maintenance of accurate records of all income and expenditures. d. The preparation and presentation of regular written reports to The Board. e. The preparation and presentation of an annual report to The Board of both income and expenditures for action by The Board and congregation. f. Serving as an ex-officio member of the Stewardship and Finance Department. g. Serving without remuneration; shall not incur personal liability unless fraud is evident; bonding is not required.

Constitution and Bylaws Lakewood Christian Church 3 4. The Trustees shall: a. Act as legal agents of the Church in all secular matters. b. Perform such duties as required by the laws of the State of Texas. c. Conduct such business matters as directed by The Board subject to the approval of the congregation where required. The joinder of three Trustees on any legal instrument shall be sufficient to bind the Church. d. Serve without remuneration; shall not incur personal liability unless fraud is evident; bonding shall not be required. 5. The Secretary shall: a. Record all proceedings of meetings of The Board, the Minister's Cabinet and the congregation. b. Provide the proceedings of these meetings in the form of minutes to be reviewed and approved by their respective bodies. c. Maintain a record of attendance at all The Board and Cabinet meetings. d. Not make motions or vote at meetings unless serving in another capacity as a member of The Board. D. Reelection to Successive Terms 1. The Chairperson, Vice Chairperson and Treasurer may be elected to serve one successive one year term. 2. The Trustees may be elected to serve one successive four-year term. 3. The Secretary may serve successive one-year terms. ARTICLE IV Elders and Deacons A. Election and Terms of Office 1. The congregation shall elect twelve Elders who shall serve for two years. One-half of the Elders shall be elected each year. 2. The congregation shall elect eighteen Deacons who shall serve for two years. One-half of the Deacons shall be elected each year. Additional Church members may be selected by The Board to act as "serving deacons" who assist in worship, but are not members of The Board. 3. All active CYF and Chi Rho age level youth will serve as Youth Deacons to assist in worship but are not members of The Board. B. Qualification Elders and Deacons must have been active members of Lakewood Christian Church of Waco, Texas for at least six months at the time of their election. C. Responsibilities/Duties 1. Elders shall: a. Of the Elders elected by the congregation, one will be chosen by those elected Elders to serve as Senior Elder. The Senior Elder will be responsible for scheduling the Elders to serve at worship services, assist the Minister in the training program and supervise the church activities of the Elder corps. The Senior Elder will be a member of the cabinet. b. Be responsible for presiding at the Lord s table each Sunday and at special services. c. Provide communion to those unable to attend church services. d. Serve as committee Chairperson when appointed by the Chairperson of The Board and approved by The Board. e. Assist in specific spiritual and/or pastoral duties as requested by the pastor and Chairperson of The Board. 2. Deacons shall: a. Of the Deacons elected by the congregation, one will be chosen by those elected Deacons to serve as Senior Deacon. The Senior Deacon will be responsible for scheduling the Deacons to serve at worship services, assist the Minister in the training program, and supervise the church activities of the Deacon corps. The Senior Deacon will be a member of the cabinet. b. Be responsible for the serving of communion and receiving of the offering each Sunday and at special services. c. In cooperation with the Minister and the Elders, provide communion to those unable to attend church services. d. Serve on special projects and programs of the church and in the community as requested by the Minister or Chairperson of The Board.

Constitution and Bylaws Lakewood Christian Church 4 e. Serve as committee Chairperson when appointed by the Chairperson of The Board and approved by The Board. ARTICLE V Election of Officers, Elders and Deacons A. Nominations On or before August 15 each year, the Chairperson of The Board, in consultation with the Ministers and the officers of the Church, shall appoint seven members reflecting a cross-section of the congregation, at least two of whom shall not be members of The Board, to serve as a nominating committee. The nominating committee shall nominate church members to serve as Church Officers, Elders and Deacons for the coming year. The nominating committee shall submit its report to The Board for approval at a regular or called meeting. This report, as approved by the Board, shall then be submitted to the Church Membership at least two weeks prior to the congregational meeting called to elect officers, elders and deacons. Additional nominations may be made in writing provided that such nominations are signed by 10% or more of the active membership of the Congregation and the nomination is submitted to the Chairperson more than one week before the congregational meeting scheduled to elect Church Officers, Elders and Deacons. If additional nominations are properly submitted they shall be announced to the congregation one week before the congregational meeting scheduled for the elections. B. Elections. A scheduled congregational meeting will be held to elect Church Officers, Elders and Deacons for the coming year no later than October 31 of each year. Those nominees receiving a majority vote of those members present and voting at the congregational meeting shall be elected. C. Vacancies. The Chairperson, in consultation with the Ministers and with The Board approval, will appoint a church member to fill any of the Church officer, Elder or Deacon positions which become vacant during the year, with the exception of the office of Chairperson. Such appointments shall be effective until the next annual election of officers. In the event that the office of Chairperson of The Board shall become vacant, the Vice Chairperson shall automatically become Chairperson. ARTICLE VI Elder Emeritus A. The church may confer the title of Elder Emeritus on those members who, over a period of time, have served in the positions of responsibility with the church offices. This designation of honor shall be reserved for those who have exhibited only the highest standards of service and dedication. The Board shall make the recommendations to the congregation for those members to be so honored using the same procedure as is used for the election of officers. The confirmation shall be made upon approval by the majority vote of the members present and voting. B. The designation of Elder Emeritus shall not relieve nor prohibit the member from service in any capacity in the event the need exists and the member agrees to so serve. ARTICLE VII The Board A. The Board shall consist of the Chairperson, the Vice Chairperson, the Church Treasurer, the Trustees, the Elders, the Deacons, the Christian Youth Fellowship Representative, the President of the Christian Woman s Fellowship, the President of the Christian Men s Fellowship, the Trinity-Brazos Area Representative, the Day Care Representative, the Singles United Representative and the Chairperson of each of the Standing Departments. The Ministers of the church, the Music Staff and the Director of Singles United shall be ex-officio members, without vote, of The Board. All Board members must be members of the church. B. Any member of the Church may attend meetings of The Board, but shall not make motions nor vote on motions that come before The Board. Church members may bring items of business to The Board by written submission of the item to the Chairperson of the appropriate Department/Committee or to The Board Officers. Motions presented to The Board which have not come from and with the recommendation of a Department or Committee will be tabled and referred to the appropriate Department or Committee for study and recommendation as old business at the next scheduled meeting of The Board. Motions which do not fall within the responsibility of any one Department or Committee shall be referred by The Board Chairperson to such Department or Committee as the Chairperson deems appropriate. The Board may, by its vote, declare a motion as an emergency and hear that motion without referral for study. C. The Board shall meet at least once in each two-month period. Upon notification of all The Board members, the Chairperson may call such special meetings as are deemed necessary or proper with seven days notice. Inclusion in the weekly church newsletter or bulletin will be considered sufficient notice to the members. D. Forty percent of The Board membership shall constitute a quorum for the conduct of business. The number of The Board members may differ from the number of positions as a member may hold more than one position. The actions of The Board shall be approved by a vote of the majority of those members present and voting except as otherwise specified in these Bylaws. If forty percent or more but less than a majority of the Board is present at any meeting of The Board then a two-third s majority of those present is required to take any action. Neither absentee nor proxy voting will be permitted. E. The Board has the authority to act in all matters concerning the Church except those matters specifically required to be

Constitution and Bylaws Lakewood Christian Church 5 submitted to the congregation, such as the approval of an annual budget and decisions regarding the employment status of a Minister. The Board can make financial decisions and adjustments to the annual budget approved by the congregation only if the dollar amount is less than 10% of the annual budget. The Board has the authority to approve expenditures relating to the buildings, grounds or properties of the Church that exceed the 10% limit only if required by an emergency and necessary to protect the property of the Church. All such financial decisions will be brought promptly to the attention of the congregation. Inclusion in the weekly church newsletter or bulletin will be considered sufficient notice to the congregation. ARTICLE VIII Ministers The congregation of the Church shall call such ministers as are required to support the mission and work of the church. These shall include, but not be limited to, a Senior Minister and Associate Minister(s). A. Senior Minister 1. Qualifications: The Senior Minister shall be duly ordained and in good standing in the Christian Church (Disciples of Christ). 2. Responsibilities: a. The Senior Minister shall be the chief administrator and religious leader of the Church, and in cooperation with the Chairperson of The Board, encourage orderly procedures in the life and work of the congregation in compliance with the Church's Constitution and Bylaws and the policies and procedures of the congregation and The Board. b. The Senior Minister shall give special attention to the selection and training of the Church's leaders. c. The Senior Minister shall be an ex officio member, without vote of all boards, departments, committees, task groups, and constituency groups of the congregation. B. Associate Ministers 1. Qualifications: Associate Ministers shall be duly ordained or otherwise educationally qualified for the position to be held and in good standing in the Christian Church (Disciples of Christ). 2. Responsibilities: a. Under the leadership of the Senior Minister perform those duties as required in accordance with The Board approved position description. b. Associate Ministers shall be ex officio members without vote of The Board and departments, committees, task groups, and constituency groups of the congregation that pertain to their position description. C. Selection: The Ministers of the Church shall be called by the congregation as follows: 1. When the necessity arises to call ministers, The Board Chairperson, the Vice Chairperson, the Church Treasurer, the Senior Elder, and the Senior Deacon, in consultation with the ministers not being replaced, shall solicit suggestions from the congregation for search committee membership and shall then meet to nominate members to a search committee. They shall also nominate a Chairperson for the Search Committee. This committee shall consist of nine members of the church, including the Chairperson. The Search Committee shall include a cross-section of the congregation at large and include at least three members who are not also members of The Board. 2. With the agreement from these individuals that they will serve, the nominees will be presented to The Board for approval. The Board, at a regular or called meeting, may approve the nominations by at least a two-thirds vote of those Board members present and voting. 3. The Search Committee may utilize the services of the congregation's Area and Regional ministers for information and counsel concerning prospective candidates but is not limited to those sources. 4. The Search Committee shall invite one or more prospective ministers to visit the Church and make an appropriate presentation to the congregation as part of this search process. 5. The Search Committee shall recommend to The Board a prospective minister for the position to be filled. 6. The Board, at a regular or called meeting, may approve the recommendation of the Search Committee by at least a two-thirds vote of those present and voting. Upon approval, The Board shall recommend to the congregation the employment and the terms of employment for the prospective minister. 7. The congregation, at a regular or called meeting, may approve the recommendation of The Board by a three-fourths written vote of the church members present and voting. 8. Upon approval by the congregation, the Chairperson of The Board shall extend a call to the prospective minister on behalf of the congregation. D. Terms of Employment. 1. In consultation with the Stewardship and Finance Department and the Search Committee, a written agreement of employment setting forth the salary to be paid to the minister and other conditions of the call, shall be provided by the Chairperson of The Board to the minister with a copy filed in the church office.

Constitution and Bylaws Lakewood Christian Church 6 2. The term of ministry shall be for an indefinite period and may be terminated by the congregation upon sixty days notice, unless an earlier date is agreed upon by both parties. 3. A resolution for terminating the employment of a minister may be brought before the congregation either by action of the Board approving such a resolution or by such a resolution being signed by at least ten percent of the participating membership of the Congregation and presented to the Chairperson of the Board. In either case the Chairperson shall promptly schedule a congregational meeting for the consideration of such resolution, which shall be determined by a majority written vote. 4. Voluntary resignation of a minister shall be submitted to the Chairperson in writing, who shall promptly inform the congregation. A minimum of sixty days is requested. ARTICLE IX Ministers Cabinet A. The Senior Minister s Cabinet is an advisory body and shall counsel with the Minister to outline plans and coordinate the programs of the Church through its departments, committees and fellowship groups. It shall be composed of the Ministers, the Chairperson and Vice Chairperson of The Board, the Church Treasurer, the President of the Christian Men's Fellowship, the President of the Christian Women's Fellowship, the Christian Youth Fellowship Representative, the Chairperson of each of the Standing Departments, the Senior Elder, the Senior Deacon and those additional persons that the Minister may invite. B. The Ministers Cabinet shall meet at least every two months. The Senior Minister shall present the agenda and shall conduct the meeting. ARTICLE X Standing Departments A. General 1. The statements of responsibilities contained herein are necessarily broad in concept and direction. More specific and definitive guidelines that describe the scope of each Department s authority as determined by the Board will be set forth in a loose-leaf format maintained in the church office. Each Department Chairperson will be provided with a copy upon assumption of the position. These policies may be further amplified, revised or deleted by The Board as each year passes and circumstances change. No Department shall have any authority except as specifically approved by The Board. 2. In consultation with the Ministers, and with the approval of the Board, the Chairperson of the Board shall appoint a Chairperson of each Department to serve a one year term. The Chairperson of each Department may serve successive one year terms only at the request of the Chairperson of The Board and with the approval of The Board. A Department Chairperson will normally not serve more than two consecutive years as Chairperson. Any active member of the church may serve as a Department Chairperson or member of a Department. The Chairperson shall select from the Church, members to serve in the Department and each Department shall consist of as many members as are deemed necessary and desirable to carry out the assigned duties and responsibilities. Unless otherwise specified in these Bylaws, they shall serve for one year. They may serve successive one year terms only at the request of the new or reappointed Chairperson of the Department 3. The Department Chairperson in consultation with the Ministers and with the approval of The Board may establish committees within the Department to carry out specific departmental work. The tasks assigned to these committees will be defined and specific responsibilities will be set forth in the policy manual as approved by The Board for that Department. Any such Departmental committees established shall report to that Department Chairperson and the Department Chairperson, in accordance with Article VII, shall bring to The Board any actions that require approval by The Board. 4. The Department Chairperson shall be a member of The Board and shall report at the regular meetings of The Board and The Minister s Cabinet. Each year the membership of the church shall be provided an opportunity to select the Department in which they choose to serve. 5. Organizational Department meetings shall be held in the first month after the new church year begins. Departments shall meet as often as required to carry out their respective responsibilities; however, Departments shall meet at least once each three months. 6. Each Department is responsible for the development of its proposed annual budget and submitting it to the Stewardship and Finance Department for inclusion in the proposed Church Budget to be submitted to the Board. B. Education Department. The education department shall be responsible for: 1. Supervising an education program that will cause all members of the church to grow in the knowledge of Christ and in Christ-like character. 2. Selecting a church school leadership team and, in cooperation with the Ministers, secure, train, and place teachers in all church school classes. 3. Reviewing building space allocations to ascertain that all classrooms and facilities are being used to the best advantage of the total educational program of the church. 4. Planning for and securing teachers and programs for the Vacation Church School program.

Constitution and Bylaws Lakewood Christian Church 7 5. Supervising youth group activities that are in addition to church school classes. C. Evangelism Department. The evangelism department shall be responsible for: 1. Locating, cultivating and winning new members to Christ and His church. 2. Greeting members and visitors at the worship service and linking them to a small group within the church. 3. Assisting the minister in planning special evangelism programs. D. Membership Department. The membership department shall be responsible for: 1. Assimilating new members into the life and work of the Church. 2. Contacting the sick, the shut-ins and inactive members in an effort to assist them in identifying with the congregation and the program of the Church. 3. Hosting the Inquirer's Class and New Member Dinner twice each year. 4. Planning and scheduling the fellowship period each Sunday morning. 5. Planning and implementing the Pictorial Directory as needed. E. Outreach Department. The outreach department shall be responsible for: 1. Promoting a sound program of world and local outreach including both the causes and programs of the Christian Church (Disciples of Christ) and local outreach causes. F. Property Department. The property department shall be responsible for: 1. Maintaining a perpetual written inventory of all the real and personal property of the Church, including all the furniture, fixtures, and equipment, and it shall make a physical inventory of all such property for location, correction, additions and deletions once a year. 2. Keeping all real property, personal property, grounds and equipment in proper condition and repair. 3. Analyzing all Church insurance and planning and implementing an adequate insurance program, subject to the approval of The Board. 4. Supervise the work of and in consultation with the Personnel Relations Committee recommend the employment or release of the custodian and grounds maintenance personnel, subject to the approval of The Board. G. Social Department. The social department shall be responsible for: 1. Promoting and supervising the social programs of the church, including fellowship meals. 2. Providing expertise to and assisting with meals and social functions that other Departments or groups in the Church may sponsor. H. Stewardship and Finance Department. The stewardship and finance department shall be responsible for: 1. Supervising a stewardship program in conjunction with the Ministers, to develop an understanding and practice of the full meaning of stewardship of time, service and money within the congregation. 2. Preparing a proposed annual budget for the fiscal year in coordination with the other Departments to be submitted for the approval of The Board. 3. Assisting in securing and collecting pledges. 4. Working with the Treasurer of the Church to provide assistance with financial decisions. 5. Serving in an advisory capacity to staff and other salaried personnel. I. Worship Department. The worship department shall be responsible for: 1. Preparing and restoring the offering receptacles and communion emblems and table. 2. Arranging and maintaining all flowers, furnishings and properties of the altar and baptistry. 3. Assisting the Minister at baptismal services. 4. The music of the church in coordination with the Ministers and Music Staff. This includes a continuing study of special music needs, a review of the worship service and all needs relevant to the music ministry of the Church. 5. In coordination with the Ministers, secure ushers, acolytes, nursery workers and other persons (outside Preachers, organists, Music directors) necessary to facilitate the services of worship.

Constitution and Bylaws Lakewood Christian Church 8 ARTICLE XI Special Committees A. Pastoral Support Committee. Upon the request of the Senior Minister, the Chairperson of The Board and the Senior Minister shall jointly select the members of this Committee, subject to the approval of The Board. No member of this Committee shall serve more than two consecutive years. The Pastoral Support Committee shall be responsible for: 1. Enhancing support and communication between ministers and the congregation. 2. Allowing ministers an opportunity to express their thoughts and concerns on church and personnel matters. 3. Working constructively with members/ministers to clarify expectations and isolate areas of disappointment that may affect working relationships. B. Personnel Committee. The Personnel Committee shall consist of six members. The Vice Chairperson of The Board shall serve as the Chairperson of the Personnel Committee. Members shall include the Senior Elder, the Senior Deacon and the Chairperson of the Stewardship Department. The Chairperson of The Board shall appoint two additional members to staggered two year terms who are not on The Board. The Personnel Committee will act as the representative of The Board, acting with the Ministers to conduct the daily personnel activities of the Church. Nothing contained herein is intended to unduly restrict the activities of the Senior Minister as the Chief Administrator, or to provide The Board control over the daily church personnel activities. The Personnel Committee shall be responsible for: 1. Formulating personnel policies relative to the day-to-day operation of the church staff, including but not limited to vacation, sick leaves, holidays, retirement policies, and sabbatical or study programs for The Board approval. 2. Coordinate with the Departments that oversee personnel as their responsibility, (for example-property for custodians/ground maintenance and worship for music staff), and the Senior Minister in interviewing, hiring and releasing non-minister personnel. 3. Develop, as required, training programs, performance evaluations and job descriptions. C. Ad Hoc Committees. 1. The Chairperson of The Board may appoint ad hoc committees to study issues and make recommendations to The Board at any time. Ad hoc committees shall have additional duties and responsibilities only as specified in writing and approved by The Board. The ad hoc committee Chairperson will act as an advisor to The Board but will not thereby be considered a voting member of The Board. 2. If any question arises concerning the duties or responsibilities of any ad hoc committee, the Chairperson of The Board, in consultation with the Ministers, shall make the determination as to those duties or responsibilities. 3. The term of any ad hoc committee shall be for the length designated by the Chairperson of The Board but in no case shall it extend past the end of the current Board Term (end of the Church year). Ad hoc committees may be reappointed by the Chairperson of The Board when a new Board Term begins. ARTICLE XII Special Funds A. Lakewood Christian Church has established the Memorial, Scholarship, Building, Endowment and Capital reserve funds as a service to those persons who love Christ s Church and have means to provide financial support for its special needs and for its future. B. The primary purpose of these funds is to expand the witness and mission of Lakewood Christian Church in the name of Jesus Christ. These funds are not intended to diminish the opportunity for responsible stewardship or to replace regular annual giving for budgeted items. C. Each fund has specific areas of application and use as described herein. Gifts may be directed toward short term or immediate benefit or held in perpetuity with only the interest available to be spent. The donor should designate which fund is to receive the gift. Non-designated gifts will be distributed to a fund or funds by The Board. D. Gifts, although not limited to, may be stocks, bonds, mutual funds, life insurance policies, homes, buildings, land and other property or cash. Gifts may also be deferred gifts such as life insurance proceeds, trusts, or annuities. Although any specific desires and designations of the donor will be carefully considered, Lakewood Christian Church reserves unto itself the right to accept or reject any gift and any designations or restrictions on those gifts. Any such gifts will be retained or disposed of by action of The Board. The Chairperson shall appoint, with The Board approval a committee from the congregation at large to make recommendations to The Board for retention of disposal of such gifts. E. Gifts to any fund may be made in memory of one or more persons. The names of all donors and the names of persons memorialized shall be duly noted in church records. All requests for anonymity will be honored. F. Description of Funds:

Constitution and Bylaws Lakewood Christian Church 9 Memorial Fund 1. The purpose of the Memorial fund is to receive gifts commemorating the memory of a loved one, such gifts being dedicated to the improvement, enhancement, or use of Lakewood Christian Church. 2. Non-designated gifts will be employed for such improvements or use as may be directed by The Board. The instructions of persons who choose to designate the use of their gifts will be faithfully considered, however any final use of the gift will be at the discretion of and for the overall benefit of Lakewood Christian Church as determined by The Board. 3. Memorial funds shall be administered by the Church Treasurer. The funds shall be maintained in a separate account. Contribution and disbursement records will be maintained. 4. A written financial report shall be made at each regular meeting of The Board reflecting the amount, but not the donor, of new gifts to the fund, any interest received and distribution of funds. The distribution of funds will only be made upon approval of The Board. Scholarship Fund 1. The Scholarship Fund is a Permanent Fund (only the interest from the fund will be used to provide scholarships). The purpose of the fund is to receive gifts and property which has been designated by the donor to be added to and become a part of the principal in the Scholarship Fund. The fund shall be maintained in a separate account. 2. The income earned by the principal in the Scholarship Fund shall be disbursed for scholarships only. The principal shall remain in the fund and not be used for any other purposes than earning income for scholarships. Applicants for scholarships shall be limited to individuals or members of families currently active in Lakewood Christian Church. The Scholarship Committee shall select recipients for scholarship awards. 3. The Scholarship Fund shall be administrated by a Scholarship Committee consisting of three (3) custodians appointed by The Board. The term for each custodian shall be three (3) years and custodians may be appointed to successive terms. The Board will appoint one custodian each year so that the custodians will be rotating with each serving a different three year period. The Custodian serving in their third year shall be the Chairperson. 4. The Scholarship Committee in consultation with the Church Treasurer shall be responsible for the management and investment of the Scholarship Fund. An annual report of the Scholarship Fund shall be submitted to The Board. The report shall include the amount, type and location of investments of the principal of the funds and information on disbursements including when and to whom awards were made during the fiscal year. 5. The Scholarship Committee shall serve without remuneration and shall not incur personal liability unless fraud is evident; bonding is not required. Building Fund 1. The Building Fund is to receive gifts and property which have been designated by the donor to become a part of the Building Fund. Non-designated gifts may be designated by The Board to the Building Fund as well as budgeted funds approved by The Board and Congregation. 2. The principal and interest earned by the Building Fund shall be used only for the physical expansion of existing facilities or the construction of new facilities and for no other purpose. The Board shall approve and recommend for Congregational approval any projects to be funded by the Building Fund. 3. Gifts donated to the Building Fund shall be administered by the Church Treasurer. The funds shall be maintained in a separate account. Contribution and disbursement records will be maintained. 4. A written report shall be made at the regularly scheduled meetings of The Board reflecting the current balance of the fund. An annual report shall be made to The Board showing the amount, but not the donor of new gifts to the fund, any interest received and distribution of funds. Endowment Fund 1. Endowment Fund is a Permanent Fund (only the interest for the fund will be used in support of the general fund of the Church). The purpose of the fund is to receive gifts and property from those persons who wish to make a bequest to the Church and who have the means to support the Future of Lakewood Christian Church. The minimum donation to the fund shall be $500.00 in cash or property value. 2. The income earned by the principal or property or security in the Endowment Fund shall be disbursed into the general fund annually. The principal shall remain in the fund and not be used for any other purpose than earning income for the general fund. It is stipulated that twenty (20) percent of the income earned by the Endowment Fund shall be applied to the outreach programs of the Church. This is in addition to the budgeted amounts in the current outreach budget. The outreach committee shall determine which outreach items shall receive the additional funds. 3. The Endowment Fund shall be administered by the Church Treasurer. The principle shall only be invested in fully secured interest bearing accounts. The fund shall be maintained in a separate account. 4. Written financial reports shall be at each regularly scheduled meet of The Board, reflecting the current balance of the Endowment Fund. An annual report shall be made showing location and type of investments, amount, but not the donor, of new gifts, interest received and balance of the fund at the end of the fiscal year.

Constitution and Bylaws Lakewood Christian Church 10 General Reserve Investment Fund 1. The General Reserve Investment Fund consists of the Property Maintenance Fund, The Capital Improvement Fund, the General Reserve Fund and the Parking Lot Fund. The purpose of the General Reserve Investment Fund is to make funds available to meet unforeseen maintenance and property repairs when they occur. Additionally it provides funds for the purchase of replacement and new capital improvement items as they are required for the normal operation of the Church. 2. The General Reserve Investment Fund is to receive gifts and property which has been designated by the donor to become a part of this fund. Non-designated gifts may be designated by The Board to the General Reserve Investment Fund as well as budgeted funds approved by The Board and Congregation. 3. The General Reserve Investment Fund shall be administered by the Church Treasurer. The funds shall be maintained in a separate account. Use of these funds shall be only upon the recommendation of any Standing Department to The Board and with The Board approval within the authority granted to The Board under Article VII of these Bylaws. Any expenditures made from these funds shall have final approval of The Board before the funds are disbursed. 4. Written financial reports shall be made at each regularly scheduled meeting of The Board reflecting the current balance of the General Reserve Investment Fund and its three sub funds. An annual report shall be made showing the location and type of investments, amount of interest received and the balance of the fund at the end of the fiscal year. G. Exceptions to Funds Distribution policies: In the event the congregation should experience a time of severe strain and stress such as drastic economic downturn, damaging demographic trends, relocation of the congregation, or other unpredictable crises it, the congregation may choose to amend the distribution policies set forth herein for a limited time to create a bridge to a more secure financial condition in the foreseeable future. This may be accomplished under the following conditions: 1. Actions must be recommended by The Board after careful study of the alternatives. 2. A written proposal for the amended distribution must be given to the congregation in advance of its decision. 3. The action must be approved by seventy-five (75) percent of the Church Members present and voting at two successive called Congregational meetings. Failure to receive approval in the manner here provided will result in the funds remaining intact. If one of the two required successive meetings is at a regularly scheduled Sunday worship service the second meeting will be the next Sunday at the regularly scheduled services as defined herein. H. Termination of Funds: In the event Lakewood Christian Church should decide to terminate its ministry by a vote of at least 75% of the congregation present and voting at two successive scheduled meetings, the assets of the funds shall be disbursed as follows after the debts of the church are retired: 1. The remaining assets in the Memorial Fund, the Building Fund and the General Reserve Investment Fund, if any, shall be transferred to the Christian Church, Disciples of Christ, Indianapolis, IN, Church Development Fund to be used to help establish new churches. 2. The principle amount in the Scholarship Fund shall be donated to Texas Christian University Ft. Worth, TX to be used as a permanent fund with the income from the interest to be used for scholarships for students. 3. The principal amount in the Endowment Fund shall be transferred to the Christian Church Foundation, Christian Church, Disciples of Christ, Indianapolis, IN, with instructions concerning the distribution of future income as directed by its Board and/or Trustees. Revised: July 31, 2005