All recurring facility rentals by outside-user groups need to be reviewed by the Risk and Governance Committee and approved by Synod Council. An outside-user group might be defined as any group or individual that conducts activities on church property that wouldn’t be included in the parish’s annual report to vestry about its ministry and mission.
Use only the diocesan License Agreement and standardized provincial form of Lease Agreement. Don’t change these documents in any way.
See the Canon 6 Summary Chart for detailed approval processes and insurance requirements.
Agreements must be received by the Property Resources department by 12 p.m. at least two weeks before the next scheduled monthly meeting of the Risk and Governance Committee.
License agreements
Parishes need to use the License Agreement for all recurring rentals of church space (like Scouts, book clubs, Alcoholics Anonymous meetings, etc.). Make sure you complete all sections of this agreement.
See the Canon 6 Summary Chart for detailed requirements.
Low-risk licensees
This includes Alcoholics Anonymous, Narcotics Anonymous, book clubs, parking space rentals and other similar licensees.
The simplified Canon 6 procedure applies:
- Complete all due diligence items on the Red Checklist.
- Email a fully completed and signed checklist to canon6@toronto.anglican.ca.
- Once you’ve submitted your checklist, sign the License Agreement and allow occupancy. Checklists are reported quarterly to the Risk and Governance Committee and Synod Council.
Renewals also need to follow this process.
High-risk licensees
This includes minors, vulnerable adults, other faith communities, registered psychotherapy, dog obedience classes and other similar licensees.
The full Canon 6 process applies for all new and renewal agreements. For mandatory insurance requirements, see the Summary Chart.
New high-risk agreements
Send a request to your bishop’s office for a letter of support. Include an unsigned copy of the License Agreement, along with a copy of the licensee’s Certificate of Insurance. Send all documents to the Property Resources department.
Renewal of high-risk agreements
Send an unsigned copy of the License Agreement, along with a copy of the licensee’s Certificate of Insurance, to the Property Resources department.
Psychotherapy license agreements
One-time events
We recommend you use the diocesan License Agreement for one-time events even though it’s not required. You should also draft your own written document that outlines the mutual rights and responsibilities of each party.
All one-time events must provide proof of insurance to the churchwardens before the event, consistent with diocesan requirements. You also need to tell Aon (416-868-5705) about the event. If it includes the serving of alcoholic beverages, you’ll need to adhere to the guidelines set out in the Parish Leaders’ Manual.
Lease agreements
Landlords of most private residential rental units – from individual landlords to property management companies – must use the Ontario government’s standard lease template (introduced in 2018) for all new leases.
In our Diocese, the Risk and Governance Committee requires that all leases – new or renewals – use the new standard provincial lease.
See the Canon 6 Summary Chart for detailed requirements.
Residential tenancies
The simplified Canon 6 procedure applies:
- Complete all due diligence items on the Yellow Checklist.
- Email a fully completed and signed checklist to canon6@toronto.anglican.ca.
- Once you’ve submitted your checklist, you can sign the Lease Agreement and allow occupancy. Checklists are reported quarterly to the Risk and Governance Committee and Synod Council.
Renewals also follow this process.
Insurance
Refer to section 11 of the provincial lease on Tenant’s Insurance. The tenant must have their own insurance at all times.
Section 15 of the provincial lease on Additional Terms specifies the mandatory insurance coverage required. Include the Additional Terms as an attachment to the Lease Agreement.
Landlord & tenant rights
For details on landlord and tenant rights and responsibilities under the Residential Tenancies Act, see the Ministry of Municipal Affairs and Housing’s website.
If it becomes necessary to terminate a residential tenancy agreement, consult the appropriate section of the Residential Tenancies Act, 2006, S.O. 2006, c.17. You should also check with the Landlord and Tenant Board.
Commercial tenancies
The full Canon 6 process applies for all new and renewal Commercial Lease Agreements. All other forms of agreements must be approved by Synod Council under Canon 6.
Parking spaces & lots
Parishes sometimes choose to license excess capacity of church parking spaces to outside users, (individuals, third-party operators and organizations) for uses like employee parking.
Only passenger vehicles are allowed. Commercial vehicles like buses, trucks, vans and limousines are prohibited because they represent a different risk-profile and are at greater risk of causing property damage or personal injury.
When you’re deciding whether to rent parking spaces, think about what challenges it might pose to your own access and use (e.g. maintenance, snow clearing, staff parking, parking for funerals or other parish events, some of which might happen on short notice).
License agreements
You’ll need to use the appropriate form of parking License Agreement:
Steps to follow
The simplified Canon 6 procedure applies:
- Complete all due diligence items on the Red Checklist (Parking).
- Email a fully completed & signed checklist to canon6@toronto.anglican.ca.
- Once you’ve submitted your checklist, you can sign the License Agreement and allow use of the parking lot. Checklists are reported quarterly to the Risk and Governance Committee and Synod Council.
Renewals also follow this process.
Insurance
Organizations need to provide proof of current insurance, depending on the number of spaces they’re renting.
Fewer than 20 spaces:
- Individual end-user: proof of individual insurance isn’t required
- Organization: the licensee must provide proof of Commercial General Liability (CGL) insurance of not less than $5 million per occurrence, naming both the incumbent and churchwardens and the Incorporated Synod of the Diocese of Toronto as additional insureds
20 or more spaces:
Parking rentals of 20 or more spaces represent an increased risk exposure. In addition to the above requirements, you need to notify your insurance broker, Aon Reed Stenhouse Inc., to get advice on risk mitigation.
Related business
As a charitable organization, you need to make sure these rentals are considered related businesses. Namely:
- the parking spaces are excess capacity, not needed full-time by the parish, OR
- the space is no longer needed by the parish but can’t be readily disposed of because of its location
The Canada Revenue Agency provides the following document: Policy Statement CPS-019 “What is a Related Business?”. Questions about this subject are best directed to the CRA, the parish accountant or the parish solicitor.
See also
Insurance: find out what kind of insurance your outside-user groups need.
Learn more
For more information, contact Daiane Monteiro, Property Resources assistant, at 416-363-6021 (1-800-668-8932).