A community group hopes it can take ownership of a threatened church by the end of the year.
Billingham's parish applied to close the town's 1,000-year-old St Cuthbert's Church last year due to rising costs and falling attendance.
Friends of St Cuthbert's Church was formed to save it and is now in negotiations with the parish and the Diocese of Durham to officially take ownership.
But a member of the group, Charles Wellington, said the funding problems the Grade I-listed church is facing will not be simply "magicked away" if the move is given the go-ahead.
Following negotiations, which are expected to conclude in June, there will be a public consultation for the local community to have its say on the change.
"It's hoped the transfer will go through by the end of the year," Mr Wellington said.
"It's pretty close, we're in pretty detailed negotiations to try and make this scheme run because if it doesn't the church will simply close and that will be very sad for Billingham."
Declining congregations
If the plans progress, the parish would relinquish responsibility for the ancient church and close it, before immediately transferring it to the friends group, acting in its capacity as a charitable community body.
Under the new plans, regular worship, weddings, funerals and baptisms would continue but the restored St Cuthbert's would be opened more widely to the community.
Mr Wellington said the issues faced by the church affect "all churches of every denomination throughout the country".
"Congregations are declining or getting older and all churches depend on their congregations to fund not only the church, but the clergy who work there."
Transferring ownership to the community group will not solve the church's financial problems but will allow funds to be sourced elsewhere.
"We, the Friends, will have exactly the same challenge," Mr Wellington said.
"We just hope we're in a position to cast our net wider and also offer a much wider range of events and fundraising possibilities."
