Considering "demilled" is short for Demilitarize, which means "to rid of military characteristics or uses" I doubt they would so any "demilling"
The AFT does allow destruction of machine guns to be used for parts.
https://www.atf.gov/firearms/machinegun-destruction
The ATF also has instructions for destroying a firearm.
https://www.atf.gov/firearms/how-pro...stroy-firearms
Unless destroyed by law, a transfer is not legal with FFL transfer.
And a church doing this would be against the law I think because the purchaser is not the actual buyer.
Hopefully the police / sheriff / ATF are called.




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