HomeNewsCalvary Chapel pastor loses tax-exempt status on $1.2 million Idaho parsonage

Calvary Chapel pastor loses tax-exempt status on $1.2 million Idaho parsonage

Date:

Related stories

‘faith250’ in the Pacific Northwest: Three organizations join forces to a time of community and conversation

Faith250 brought religious leaders together across the Pacific Northwest to promote interfaith dialogue, engagement and shared values during America's 250th.

FāVS Religion News Roundup: July 3

This week's Northwest faith news roundup covers a Supreme Court case, Freedom Con, WSU's tribal partnership, Turning Point USA and more.

Strange bedfellows: Deists and Baptists insist on church/state separation

A columnist explores how early Baptists, Thomas Jefferson and James Madison helped establish America's tradition of liberty and church-state separation.

Our Sponsors

Reading Time: 4 minutes

By Rebecca Hopkins | Roys Report

Calvary Chapel Pastor Ben Ortize this week lost the tax exemption on his $1.2 million house in the lakeside town of Coeur d’Alene, Idaho, following complaints from former church members.

Seated under a black-and-gold sign proclaiming “In God We Trust,” Kootenai County commissioners met June 30 to discern whether Ortize could legitimately claim his 5,700-square-foot home served a church 50 miles away.

Ortize had maintained his home was a parsonage for Grace Sandpoint, a church located in a town about an hour’s drive north of the luxury resort town called the “playground of the Pacific Northwest.” Kootenai County had waived roughly $4,780 in property taxes, thanks to a religious tax exemption.

But after Grace Sandpoint was seemingly closed last year, the building it rented changed hands to another congregation called Bridges Sandpoint, as Roys Report (RR) previously reported.

Ortize was controversially re-hired at Calvary Spokane, 33 miles to the west. But he maintains his previous church continues to meet online, thanks to Bible studies and services livestreamed from his Coeur d’Alene home. And, as a result, the home should continue to enjoy tax-exemption.

Former church members started speaking out about the questionable use of the parsonage to county officials and RR, which ran a two-part series on the matter in March.

Ortize’s home was the only agenda item in this week’s livestreamed meeting of the county commission.

Idaho Code 63: 602B is the statute that allows tax exemption for parsonages owned by religious entities.

Legal threats

Before Ortize testified, Aaron Kuchenski, a former dean at a Bible college operated by Grace, told commissioners that Ortize was operating a church under false pretenses in his Coeur d’Alene home.

“The organization should demonstrate and present connection between the residents and its own religious activities,” Kuchenski told commissioners. “The issue is whether Grace Sandpoint clearly established that this particular residence presently qualifies for a property tax exemption or is it taking advantage of gray areas in the legal system?”

The moment Ortize started testifying, he lashed back at his former protégé.

“He has taken an online attack against me and reported me to various people,” Ortize said. “He’s going to be visited with legal counsel soon for what he’s done, defamation. And so, it’s a pretty serious thing.”

“But what does that have to do with the — ” Commissioner Bruce Mattare asked.

“I just wanted to clear that up,” Ortize said. “His assessment of my conduct at the place is not accurate.”

Ortize then spent several moments building a case for why Grace never officially closed, but functions as an online entity in his home.

He told the commissioners that he publishes Bible studies, sets up religious tours to London and films sermons from the house that he posts on YouTube. He said this religious education is the same mission of the now-closed Blue Creek Bible College that Grace Sandpoint started years ago.

“The whole purpose of the Bible college … was to educate people,” Ortize said. “We are continuing that ministry that has never stopped whatsoever. The assets from the Bible college are still being used for that.

“It’s a very serious and an intensive job. It’s not like you throw these things together.”

Ortize still uses Grace Sandpoint’s Facebook page, which has a banner photo of the building of the now closed church, to advertise trips to London. He dropped the “Sandpoint” and just uses “Grace” as the title for his ministry website, which also has Grace Sandpoint in its web address.

A trip he organized in February advertises “high-end accommodations in the heart of London,” visits to the British Museum, the British Library, and options to visit Stonehenge and Windsor Castle. Another highlight is a visit to an English pub.

“It’s more than a vacation,” Ortize’s ad states. “It’s a journey through history, faith and culture. Every stop is a chapter in God’s unfolding story — from the pages of Scripture to the halls of history.”

‘Almost impossible to grant that’

But rather than supporting his claim for tax-exempt status, Ortize’s admission of his religious work in his house raised a second legal issue for the property. For a dwelling to be used for religious use, it needs a conditional use permit, Mattare told Ortize. 

“If you wanted to continue the church, you would have to designate that property for church functions, not just a parsonage to maintain the tax-exempt status,” Mattare said. “If you haven’t filled out that paperwork and made all those changes, it’s almost impossible for us to grant that.”

Ortize said he didn’t know about the permit but now plans to apply for it.

“I want to be above board,” he said.

The commissioners revoked the home’s tax-exempt status until Ortize follows proper steps and gets a permit to establish the building’s use for religious purposes.

“I don’t see how we can continue to give you the tax-exempt status until that process has been followed through,” Mattare told Ortize.

Ortize can then reapply for tax-exempt status in January, explained county commissioner Leslie Duncan.

Meanwhile, Ortize can legally live in the dwelling, Teri Johnston, administrative secretary for the commissioners, told RRRR messaged Ortize for comment, but he didn’t immediately respond.

Background of Grace Sandpoint

Ortize began pastoring Grace Sandpoint in 2009. As RR previously reported, he took the job because the elders from his previous role as a pastor at Calvary Spokane were planning to fire him. Ben’s father, Ken Ortize, senior pastor of Calvary Spokane, helped Ben find the new church.

That same year, another Calvary Chapel pastor investigated Ben for abusive leadership practices, concluding that Ben exploited people and retaliated with false accusations.

In 2013, Ortize raised money from Grace Sandpoint’s congregation to buy a property to open the Bible college in remote Blue Creek, Montana. Former students called this school “cultish,” RR previously reported. In 2018, Ortize faced spiritual abuse allegations at the school, and it closed.

Read the original Roys Report story here.


FāVS News uses professional journalists and thoughtful commentary to explore faith, values and ethics. Support journalism like this by making a tax-deductible donation. FāVS is a 501(c)(3) nonprofit. © FāVS News. All rights reserved. Reproduction permitted only to authorized media partners or with written permission.

0 0 votes
Article Rating
Subscribe
Notify of
guest
0 Comments
Oldest
Newest Most Voted