The General Conference Association of the Seventh-day Adventists was organized as the legal arm of our denomination, and as such it has served an important part in our work. With the organization of Union Conferences in this country, and the division of General Conference responsibilities among these new organizations, it came to be very evident that the affairs of the General Conference Association must be adjusted.GCB January 1, 1902, page 591.17

Accordingly, the matter was brought before the brethren present at the General Conference council in October, 1901, and steps were then taken looking toward the proper distribution of the assets and liabilities of the General Conference Association. During the progress of the council, a committee was appointed to consider this question, and their report made the following suggestion:—GCB January 1, 1902, page 591.18

“That a committee of equity be appointed to apportion the liabilities of the General Conference Association to the Union Conferences according to the institutions within their borders, and their ability to pay. Said committee to consist of the following brethren: S. H. Lane, L. H. Evans, J. H. Kellogg, J. Sutherland, Irving Keck, W. W. Prescott, and the presidents of the Union Conferences.”GCB January 1, 1902, page 591.19

This recommendation was adopted by the council, and the committee named in the report gave careful study to the problem before them. On the afternoon of Friday, Nov. 1, 1901, this committee of equity rendered their report to the council. This was considered by the brethren in attendance, and after making slight amendments, the report was adopted by unanimous vote, as expressing the will of the council. We present herewith such portions of the amended report as are most essential to a correct understanding of the subject.GCB January 1, 1902, page 591.20

“Your subcommittee, appointed to equitably assign the assets and liabilities of the General Conference Association to the respective District Conferences, would respectfully submit the following:—GCB January 1, 1902, page 591.21

“That the Executive Committee of each Union Conference be requested to create a legal corporation in their respective territory for the transaction of legal business.GCB January 1, 1902, page 591.22

“That as soon as any district is incorporated, and is ready for the transaction of business with its corps of officers, the General Conference Association is requested to turn over to the said corporation whatever institutions and church property it is now holding in said district.GCB January 1, 1902, page 591.23

“That the General Conference Association shall arrange with the holders of its notes payable so that at the completion of the respective corporations in said districts, the notes now outstanding by the corporations to the amount of the liabilities be assigned to said districts.GCB January 1, 1902, page 592.1

“That in any case the holder of the General Conference Association notes refuses to accept the District Corporation’s note, said District shall give its note to the General Conference Association for the amount at the same rate of interest that said General Conference Association is paying to the holder of said note.GCB January 1, 1902, page 592.2

“That this arrangement shall be effected as speedily as possible.”GCB January 1, 1902, page 592.3

The assets and liabilities assigned were specified in another portion of the report as follows:—GCB January 1, 1902, page 592.4

Assigned Assets.	Assigned Liabilities.
$116,515.27	To G. C. A.	$116,515 27
Union College	To Districts 4 & 5	85.000 00
Walla Walla College	To District 6	31,000 00
Keene Academy	To District 5	10,000 00
Huntsville and Graysville Schools	To District 2	10,000 00
	To District 1	5,000 00
	To District 3	34,000 00
		$291,515 27

STATE OF THE ASSETS OF THE GENERAL CONFERENCE ASSOCIATION.

Bills Receivable	$,50,000 00
General Conference	11,924 33
International Tract Society, Ltd	153 69
Echo Publishing Co	2,227 90
Australasian Tract Society	1,661 69
New Zealand Tract Society	3,908 06
Pacific Press Publishing Co	91 53
Australasian Union Conference	38 83
Battle Creek Tent Co	5,886 35
General Conference Publishing Co	10,571 10
General Conference Building	1,017 11
Christiania Publishing House	8,609 80
Denmark School	3,217 0
Michigan Conference	168 44
Battle Creek Church	207 28
Petty Accounts	1,200 00
	$100,883 16

Some explanations were offered concerning the foregoing assignments, inasmuch as in some cases the sums might seem disproportionate to the constituency and strength of the conferences involved. Elder Knox, on behalf of the committee, called attention to the fact that the Southern Union Conference, for example, held valuable resources, such as the Huntsville school, so that its assignment of liabilities was virtually covered by the assets transferred. On the other hand, attention was called to the fact that the Eastern Union Conference, to which no assets were assigned, had but a small membership, and was indebted to the amount of $46,000 on South Lancaster Academy. The Lake Union Conference also held a debt of about $80,000 on Battle Creek College, while Ohio had an additional debt of nearly $15,000 on Mt. Vernon Academy.GCB January 1, 1902, page 592.5

These facts were carefully considered by the brethren present, and, while the adjustment of these liabilities had been regarded as a matter difficult of consummation, the session proved to be one of the most triumphant of the entire council. Brethren Flaiz and Nelson, representing the Northwestern Union Conference, to which was assigned the largest amount of liabilities, spoke hopefully concerning the prospect of meeting the obligation and the brethren were much encouraged by their attitude of faith. Likewise, representatives of the other union conferences were unanimous in the opinion that their brethren in the fields which they represented would not hesitate to assume the obligations involved in the liabilities assigned them.GCB January 1, 1902, page 592.6

It is gratifying to be able to report further concerning this subject that the union conferences in their sessions, held since the General Conference Council, have courageously undertaken the obligations involved in the assignment as presented herewith, in almost every instance. Thus the General Conference Association will soon be relieved of a large share of its financial obligations, and these liabilities will be assumed by those union conference organizations within whose borders the assets are located, whether in the form of school buildings, church properties, or otherwise. Our readers will remember that the transfer of these liabilities, together with the investment of the General Conference in the assets conveyed, has not yet been consummated, owing to the fact that legal corporations have not yet been perfected in all the union conferences. Nevertheless, as already indicated, the conferences have put themselves on record in favor of this distribution, and in due time it will be arranged to the satisfaction of all.GCB January 1, 1902, page 592.7

PRESENT ORGANIZATION OF THE GENERAL CONFERENCE COMMITTEE

GENERAL CONFERENCE TITHE RECEIPTS