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EXECUTIVE SUMMARY

Executive Summary of

Proposed Agreement Regarding the

Separation of Christ Church, Overland Park, from the

Episcopal Diocese of Kansas and

the Protestant Episcopal Church in the United States of America

Background

Christ Episcopal Church in Overland Park, Kansas, was originally organized as a parish church as a constituent part of the Episcopal Diocese of Kansas (“Diocese”) and of the Protestant Episcopal Church in the United States of America, otherwise known as the Episcopal Church (the “Episcopal Church”).

In its articles of incorporation, Christ Episcopal Church acceded to the General Canons of the Episcopal Church (the “General Canons”), and the Constitution and Canons of the Diocese (the “Constitution” or “Canons”).

Over time, significant differences have arisen between Christ Episcopal Church, the Episcopal Church and the Diocese regarding church polity, theology and the authority of the Episcopal Church and the Diocese.

After many conversations over the past six months, which have been marked by the love of Christ and in which the parties have been consistently respectful of one another, and after much prayer and anguish over these differences by all involved, Christ Episcopal Church and the Diocese sadly recognize that because of these significant differences they can no longer remain together in communion and association within the Episcopal Church.  However, the parties desire only success for each other as they continue to respond to their Christian callings but taking separate paths.

It is the desire of the parties and a central purpose of this accord that Christ Episcopal Church be relieved of the authority of the General Canons of the Episcopal Church, the Constitution and Canons of the Diocese and the authority of the Episcopal Bishop of Kansas.

The Accord

• Mutual Respect.  The parties agree their differences are honest and heartfelt. Neither party admits the correctness of the other party’s position and neither party admits the validity of any monetary or other claims asserted by the other party.

• Mutual Release of Claims.  The Diocese will release Christ Episcopal Church and Christ Church (defined below) from any claims the Diocese may have: (1) for unpaid Apportionment under the Canons; (2) in any and all property (real, personal or otherwise) owned or possessed by Christ Episcopal Church, wherever located, including, without limitation, the real estate, improvements, fixtures and personal property located at 91st and Nall; and (3) in the Christ Church Endowment Trust.  Similarly, Christ Episcopal Church will release the Diocese from any claims Christ Episcopal Church may have against the Diocese.

• Mutual Indemnity.  The Diocese will compensate Christ Episcopal Church and Christ Church (defined below) for any losses either suffers if the Episcopal Church asserts any claims to the property of Christ Episcopal Church, including any claims under the General Canons which state that Christ Episcopal Church holds its property in trust for the Episcopal Church and the Diocese.  Christ Episcopal Church will compensate the Diocese for any loss it suffers resulting from liabilities of Christ Episcopal Church that the Diocese inherits due to the dissolution of Christ Episcopal Church and distribution of its remaining assets, consisting of the Promissory Note described below, to the Diocese.

• Creation of New Church Entity.  Christ Episcopal Church will transfer all of its assets, free of any claim from the Diocese, and liabilities to a new entity to be known as Christ Church in return for the Purchase Price described below.  Christ Episcopal Church will dissolve pursuant to the Canons and state law and transfer its remaining assets, consisting of the Promissory Note described below, to the Diocese.

• Purchase Price.

• Assumption of All Liabilities.  Christ Church will assume all of the liabilities of Christ Episcopal Church (with the exception of any liability for unpaid apportionment) including the debt due to Metcalf Bank dated March 24, 2003, in the original principal amount of $1,810,063.57.

• Promissory Note.  Christ Church will execute a Promissory Note that will provide for the following payments:

*At any time after 12/31/12, Christ Church can elect to prepay the remaining payments discounted to their then present value using an 8% discount rate.

• Security.  The Promissory Note will be secured by a second mortgage that will be subordinate to the first mortgage held by Metcalf Bank.

• Disassociation with Diocese and Episcopal Church.  After the separation date, Christ Church will claim no association with the Diocese or the Episcopal Church, will not use the phrase “Episcopal” in its name or in any other way, and will not use the Episcopal shield or seal of the Diocese, or any variation of them, in any way.  For a period of 25 years after the separation date, the Diocese will not allow any parish or mission of the Diocese located in Johnson County, Kansas, to use the name “Christ Church” or “Christ Episcopal Church.”

• Clergy.  Consistent with the desire to relieve the clergy of Christ Episcopal Church of the authority of the General Canons, the Constitution and Canons of the Diocese, and the authority of the Bishop of the Diocese, the Bishop and the Standing Committee of the Diocese will take action to terminate the authority of the clergy associated with Christ Episcopal Church to function as priests and deacons in the Episcopal Church.

• Separation Date.  It is expected that the Council of Trustees of the Diocese will approve this Accord the week of February 28.  The parishioners of Christ Episcopal Church will consider the Accord over the next four weeks and vote on it at a meeting of the parish on April 3, 2005.  If it is approved by the parish, the separation would likely become effective within several weeks after that.

• Pastoral Care.   The Bishop will make provisions for the ongoing pastoral care of those parishioners of Christ Episcopal Church who desire to continue to be members of the Diocese and the Episcopal Church.

Conclusion

It is the prayer of Christ Episcopal Church and the Diocese that all others will know we are Christians by the love and respect we have shown to one another despite our fundamental difference in achieving a respectful and loving resolution of our differences without resorting to the use of civil courts or fostering enmity toward one another, and in reaching a resolution we can hold up to the community as a resolution that seeks to do no harm to one another and that blesses each other as we follow Christ.