The Pilgrim Holiness Church was first of all a movement, secondly, an organization. It started as a revival movement with holiness as its watchword and song. As an organization, its beginning can be traced to the formation of the "International Holiness Union and Prayer League." This took place in September of 1897 at Cincinnati, OH, in the home of Martin Wells Knapp, a Methodist, who was joined by Seth C. Reese, a Quaker.

At this meeting of a small group of ministers, a constitution was adopted which covered a four page, tract size pamphlet. Officers were also elected and provisions were made for state, county, and local unions.

As time went on the need to establish churches for those converts who had no other religious affiliation became clear. Thus, in 1906, the name was changed to "International Apostolic Holiness Union and Churches," a hint of what was unconsciously  happening. George B. Kulp was elected General Superintendent that same year and he served until 1915. 

In 1906, the U.S. Bureau of the Census recorded that the "Union had 74 churches and 2,744 members".  The ninth General Assembly, held in 1913, decided it was time to become a denomination. They voted to do away with the "Union" and to rename it to the "International Apostolic Holiness Church". All who had been members only of the union were invited to join the new holiness denomination. 

From 1919 to 1925, five holiness church groups, two missionary societies, and one church on Barbados, all united to form a strong holiness denomination. All of these groups had arisen out of holiness revivals and were realizing the need for stronger organization. 
Among those groups who united were: 
  • The Holiness Christian Church in 1919
  • The Pentecostal Rescue Mission in 1922
  • The Pilgrim Church of Pasadena, California also in 1922
  • In 1924, the Pentecostal Brethren in Christ joined the Ohio Conference
  • In 1925, the People's Mission Church joined the Colorado Conference

In a special general assembly in Cincinnati on October 8-10, 1922, the name of the denomination was changed to the Pilgrim Holiness Church.  From 1919 to 1946, the church grew from 8,000 members to 27,418 members with only 3,200 coming through mergers. The rest came through evangelism.  

There were two groups developed in the 60's who still bear the name PILGRIM Holiness. The first developed in New York State in 1963. The New York Conference came into conflict with the General Board for setting qualifications for membership which were seen as exceeding the discipline.

In an appearance before the General Board of Administration, the Superintendent, Rev. Andrew Whitney, indicated that he could not serve under the current Pilgrim Holiness manual. A number of the New York churches then voted to pull away from the General Church and form the "Pilgrim Holiness Church of New York".  In 1966, the pastors of two small churches in Illinois felt the pressure, and believed it was God's time for them to withdraw from the strong organization which seemed to smother their love for Godliness and holy living.

In December of that year, Rev. Eugene Gray informed his Bloomington, Ill., church that he was resigning and leaving the denomination, and that they were free to do whatever they felt they should. The Church felt this should be a church decision, and set the date for the membership vote. During the last week  of December, the church voted to withdraw from the denomination.

During this same year in Decatur, Illinois, Pastor James Southerland was also making decisions. The Board had voted unanimously not to go with the merger, and in January of 1967, the church body voted against it also. A Statement of Purpose was drawn up and presented to the Church for its consideration. This Statement was addressed to the Council of the Illinois District and was speaking to three aspects of the issue. They felt, first of all, that spiritually they would not benefit due to the trend of worldliness and wavering from the standards and convictions of the Founding Fathers. 

Secondly, they asked the Council to consider letting the Illinois District as a whole be excluded from the merger. If this was not possible, the Decatur church was willing to stand alone. 

Thirdly, they asked for a clear title to their property. If these requests were not granted the Church was still standing against the merger and would withdraw from the General Church.  After meeting with the Council and a lawsuit, the Decatur Church was able to purchase their property from the General Church, but the Bloomington Church chose not to do so, and purchased the property where they are now worshipping.

These two churches at Decatur, Illinois, and Bloomington, Illinois, considered becoming a part of the New York group, but felt that due to geographical separation, it would be better to form a self-supporting group, and work in cooperation with the New York body. In December of 1966 a committee was formed by the council of the New York Pilgrim Holiness Church, Inc. Rev. Eugene Gray was appointed as Chairman. Rev. James Southerland was appointed Secretary; Rev. John Yount, as Advisor. They petitioned the N. Y. PHC to organize an autonomous conference in the midwest.  

Thus, the first five churches to join were:
  • Bloomington, ILL (Pastor: Rev. Eugene Gray)
  • Decatur, ILL (Pastor: Rev. James Southerland)
  • Evansville, IN (Pastor: Rev. John Yount)
  • Petersburg, IN (Pastor: Rev. James Sneed)
  • Franklin, IN (Pastor: Rev. Don Walden)
A new organization known as the Midwest Conference of the Pilgrim Holiness Church of New York, was then begun.  June 16-25, 1967, the 1st annual Camp Meeting was held indoors at the Decatur Pilgrim Holiness Church located at 2615 Prairie Ave. Rev. Victor Glenn (Director of Faith Missions, Bedford, IN) & Rev. James McLaren (Evangelist- Binghamton, N.Y.) were the evangelists. Mrs. Shirley Gray and Paul Gray provided special singing. Rev. Eugene Gray served as Chairman and Rev. James Southerland as Host Pastor.

The purpose for this camp meeting was to unify the Churches and to bring them together for fellowship. By the time the 1st conference was held in August of 1967, five other churches had joined the group.  

The 1st Conference Session was held at the Illiana Camp Ground in Terre Haute, IN, on August 26, 1967. The Holy Spirit placed His seal of approval upon the conference from the opening prayer. Shouts arose from the congregation and numerous testimonies were given as the glory of the Lord descended upon His people. The following men were elected to serve as our 1st Conference Council:   
  • Rev. Eugene Gray (President)  
  • Rev. James Sneed (Vice President)
  • Rev. J. A. Southerland (Secretary)
  • Rev. C. Marion Brown (Treasurer)
  • Rev. John Yount (Advisory Council Member)
  • Rev. Ed Shemalia (Advisory Council Member) 
  By 1971, the Conference had become an autonomous body. The next year they reorganized as the Pilgrim Holiness Church, Incorporated, dropping the  phrase "Of the Midwest" from their charter. They also drafted their discipline, instead of using that of the New York Pilgrims.