WASILLA -- Members of Gov. Sarah Palin's church gathered in high spirits at a middle school Sunday, two days after their building was badly damaged by a fire authorities are investigating as arson.

Palin, the former Republican vice presidential candidate, did not attend services Sunday because she was in Juneau preparing for today's unveiling of her proposed state budget for next year, said her spokesman, Bill McAllister.

But Palin's husband, Todd, and their children did attend the Sunday service, said state Rep. Wes Keller, a Wasilla Republican and an elder at Wasilla Bible Church.

The congregation realizes the church is more than the building, said John Doak, associate pastor.

"The definition of the church is the body of Christ, made up of God's people," Doak said after the hourlong service that drew about 1,200 people to Wasilla Middle School. "The church is still there. We are the church."

Damage to the 2½-year-old building is estimated at $1 million.

The Friday night blaze was near the main entrance, which is at the rear of the building situated off the Parks Highway on the west end of Wasilla. A small group, including two children, was inside at the time but all escaped unharmed, firefighters said.

Central Mat-Su Fire Department Chief James Steele said Saturday the blaze was suspicious and is being investigated as a possible case of arson.

A task force involving the state fire marshal's office, the local fire and police departments and the federal Bureau of Alcohol, Tobacco, Firearms and Explosives are investigating. Steele and the fire marshal could not be reached Sunday for comment.

Patsy Inks said the news initially shocked and frustrated her. But by Sunday, she was feeling blessed, she said at the school, where worshippers lingered over a potluck dinner for a church family leaving Alaska.

"This tragedy has brought us all together," Inks said, her eyes tearing up.

Gov. Palin stopped by Saturday to see the fire-damaged church. Her spokesman issued a statement saying Palin told an assistant pastor she was sorry if the fire was connected to the "undeserved negative attention" the church received after she became the vice presidential candidate on Aug. 29.

Worshippers acknowledged the possible Palin connection with the fire, but more in a "gee, maybe" sort of way, said Rob Tracy, who shuttled people to the school for services. But people are speculating about other motives.

"It's just as likely to be some troubled person who has a beef with God," Tracy said.

"Or some local punks," Doak said.

After Palin was named John McCain's running mate, the evangelical church was the subject of intense scrutiny. Early in her campaign, Palin's church was criticized for promoting in a Sunday bulletin a Focus on the Family "Love Won Out Conference" in Anchorage.

The conference promised to "help men and women dissatisfied with living homosexually understand that same-sex attractions can be overcome."

Keller said Sunday's service at the middle school "was standing room only."

Like other church members, he said he's at a loss as to what might have motivated someone to set the fire.

"It could be anything from somebody angry for reasons that have nothing to do with the church, or like what Gov. Palin suggested -- the political aspect," he said.

Lots of church members were stunned the church would even burn, Keller said. "It's all metal and Sheetrock," he said.

The good news is that most of the church, including the multipurpose gym that serves as a sanctuary, was not damaged, Keller said.

And the building is insured, he said.

While a damaged area of mostly offices remains a crime scene, church members are hoping to have the rest of the building cleaned up and declared safe so activity can resume in the church early next year, Keller said.

Volunteers probably prevented even more costly damage by showing up soon after the fire to board up broken windows and restore heat, he said.

A cleanup with the help of contractor Servicemaster already was under way over the weekend.