The Interim Board of Directors of Nazarene Publishing House presented its "Situational Analysis Report" to the General Board on Saturday, 21 February 2015. After receiving the report, the General Board met in executive session with the Interim NPH Board for questions and discussion.

The General Board took the following action in response to recommendations in the NPH report:

• The Executive Committee of the General Board appointed a sub-committee to review the governance documents of all subsidiary organizations owned by The Church of the Nazarene, Inc. and those with whom a formal partnership has been established. These organizations include both corporate entities organized in the United States and subsidiaries in other countries. The review is to determine if changes in polity (governance) or policies should be proposed in light of the issues raised in the NPH report. 

• The General Administration and Finance Committee of the General Board also met with two members of the Interim NPH Board, Dr. Bob Brower, chair, and Keith Pardue, secretary, for questions and discussion. In response to the NPH report, the General Board adopted the action of the committee, which authorized the chairman of the General Administration and Finance Committee, Joel Pearsall, to appoint a sub-committee to review the NPH report and discuss with the general treasurer and general secretary the financial policy issues raised in the report. The review is to include suggestions for possible changes in the financial policies established for the operation of the Global Ministry Center. 

General Board president, Charles A. Davis, Jr., stated: "The General Board deeply appreciates the diligent work and careful detail given by the Interim NPH Board in preparation of their report. The contents of this report suggest a need for close examination of the interrelationships between the church and its subsidiaries and a careful review of the policies established to govern the financial transactions of the church.

"The appointment of these two committees is the first step to ensure that policies are in place that will enhance our ability to properly make major decisions such as the NPH/Premier transaction and to address issues such as those raised in this report. 

"We are anticipating that each of these committees will submit an initial report by 1 December 2015. The goal is to have proposals ready for consideration by the 2016 General Board. We realize that some of the changes may involve revisions to the Manual, and we plan to have those resolutions finalized for consideration by General Assembly in 2017," Davis added.

As part of the NPH/Premier transaction review, questions were posed to each of the current general superintendents as to whether there were any financial dealings with Gerald W. Smith, Dianna Smith, or any of the business entities involved in the transaction such as Premier Studios, Inc. or Wolf Creek Development, LLC. 

President Davis reported to the General Board that it has been determined that no such conflicts exist. Functioning as the board of directors for The Church of the Nazarene, Inc., the General Board had a duty to address allegations made regarding actions of the Board of General Superintendents about the NPH/Premier transaction. 

"The answers given by the general superintendents to these conflict-of-interest questions directly refute the allegations as without merit," Davis emphasized.

David W. Graves, chair of the Board of General Superintendents, also expressed appreciation to the Interim NPH Board for its detailed and descriptive report. 

"Our Board will also be reviewing this report. We look forward to working with the General Board in taking the needed steps to address the issues raised," Graves said. 
--General Board Executive Committee