The Church of the Holy Cross, Abbotsford, became a mission of the Diocese of New Westminster in April of 2001. Previously it had been sponsored by St. Matthew's, Abbotsford, the parish into whose boundaries it fell. The Rev. James Wagner, formerly associate at St. Matthew's, became its priest-in-charge.

Diocesan Council recommended to the administrators of the Anglican Initiatives Fund, a separate body, that the fund provide financial support to the mission. In May of 2001, the administrators approved an application for funding this church plant. The total amount approved was for about 300,000 over five years. It was hoped that the mission would grow and became more sufficient. The fund's contribution began at approximately $90,000 in the first year, and was scheduled to be about $40,000 in year five.

On September 21, 2003, the mission congregation met and decided to accept an offer of Alternative Episcopal Oversight “with full jurisdiction” made by Bishop Terry Buckle of the Yukon. The diocese had for several months contended that Bishop Buckle's offer was irregular and illegal under the canons (church laws) of the Anglican Church of Canada.

A meeting of the Anglican Initiatives Fund administrators on October 2 heard legal advice that the mission congregation had in effect taken the mission out of the diocese. Under the fund's terms of reference, the mission was no longer eligible to receive funds. Accordingly, the administrators voted to end all financial support to the mission. At that point, after about 2 1/2 years of operation, the diocesan contributions had amounted to approximately $180,000.

On October 9, Diocesan Council voted to recommend to Bishop Michael Ingham that he close mission immediately. However, the bishop said he wanted first to communicate with the parish.

In the meantime, after disciplinary proceedings against Bishop Buckle had been started by Archbishop David Crawley, the chief bishop for British Columbia and the Yukon, and at the urging by the Canadian House of Anglican Bishops, Bishop Buckle withdrew his offer of episcopal oversight to Holy Cross and several other parishes.

On November 12, the Bishop Ingham sent a letter to the priest and wardens of Holy Cross mission stating that the withdrawal had opened up the possibility of “a new conversation.” Bishop Ingham stated that if the mission congregation was willing to reconsider its September motion, he would be willing to ask the administrators of the Anglican Initiatives Fund to reconsider their decision. The bishop said that this would enable both the diocese and the mission church to return to their former status, and wait to see what a Task Force of Canadian Bishops recommended in the spring of 2004 for the care of with “dissenting minorities” within the Anglican Church of Canada.

On December 5 the wardens of the mission replied and indicated that the September resolution continued in effect, and was basically about “matters of faith.” The wardens said that “funding and property matters should not be used as enticement or threats.” At the diocesan council meeting of December 9, 2003, the bishop said that he now consented to their recommendation that he close the mission.

The closure of the mission church generated a great deal of media coverage after the priest-in-charge gave a series of media interviews. Among other things, he stated that the congregation had been “shocked and surprised” that the decision had been taken before Christmas.