Agenda and minutes

To receive any declaration of interest from any Member or Officer in respect of any item of business.

No declarations of interest received.

To submit, for confirmation, the minutes of the meeting held on 24 January, 2013.

The minutes of the meeting held on 24 January, 2013 were confirmed, subject to the name of Mr. Alun Mummery being added to list of attendance.

(a)     To welcome Mr. Philip Heath, Weightmans LLP to the meeting.

(b)     To submit a report by Weightmans Solicitors on behalf of Trust    Officers.

·       The Secretary of the Trust stated that the Charitable Trust has previously discussed the possible conflict of interest between the role of the Officers of the County Council and the Charitable Trust together with the role of the Elected Members as Members of the County Council and Trustees of the Trust.  He stated that it is anticipated that large projects might materialised on the Island in the next few years with the financial gain for local communities on a large scale. It is felt that robust arrangement needs to be in place to be adequately ready to act appropriately and to use the money in a purposely manner.

The Charitable Trust has decided to seek professional advice on the future administration of the Trust together with advice in respect of the sale of the land at Rhosgoch.  Open competitive tender entailed for both matters and  Weightmans LLP were awarded both contracts.

The Secretary stated that Mr. Heath from Weightmans LLP will be addressing the meeting today on the administration of the Trust and a report in respect of the  Rhosgoch land will be submitted to the Trust in due course.

The Chair welcomed Mr. Heath from Weightmans LLP to the meeting.

·         Submitted – a report by Weightmans Solicitors on behalf of the Trust’s Officers.

Mr Heath stated that the day to day activities of the Charitable Trust are administered by the Isle of Anglesey County Council, however questions have been asked regarding the relationship between the Council and the Trust and the administration of the Trust.

With Charity law becoming increasingly more complex and compliance with Charity Commission guidance being an essential requirement, it is appropriate to consider separation of the administration of the Charitable Trust from the Council in order to ensure effective support to the Trust in the future.  Since 1990 the Charitable Trust has on certain occasions been able to obtain advice and support from the Charity Commission in respect of matters to be considered by the Charitable Trust which were outside the expertise of the Council.  However, the Charity Commission has recently reviewed its regulatory approach and it will increasingly be the case that it will be unable to provide support and respond to queries such as those raised by the Charitable Trust in the same way.  It is important to consider the Charity Commission’s guidance on charities administered by local authorities, they have published a number of documents providing guidance to local authorities who are responsible for charities and whose members act as charity trustees.  The main issue with which the Charity Commission is concerned is that of conflicts both of interest and loyalty.  The difficulty in respect of the Charitable Trust is that with Council Officers currently providing advice and support to it, separating that advice and support from their role within the Council can give rise to allegations of conflicts. 

The importance of the Charitable Trust to the Island and the size of the Trust mean that it has a significant profile.  Accordingly,  ...  view the full minutes text for item 3.

To submit report by the Secretary of the Charitable Trust in relation to the above.

Submitted – report by the Secretary in respect of the Trust presenting plaques to voluntary bodies in receipt of financial support for projects to recognise the contribution of the Trust. 

It was reported that the Trust’s contribution usually is for financial sums not exceeding £6k at a time, and within the specified guidelines issues by the Trust members and the available finance within the specified fund allocated for such purposes.  Frequently, the cost of the projects will be substantially greater than the monies received from the Trust and other agencies will also have contributed to the scheme.  These other agencies often insist that their contribution is visibly recognised (e.g. by displaying a plaque on the wall of the community room or building or on a piece of furniture).  There is nothing to recognise the contribution of the Isle of Anglesey Charitable Trust, although it may have been the main contributor and in the view of Officers not enough is being done to promote the Trust and gain publicity for its financial contribution to the various activities in receipt of its grant. 

It was suggested that the Trust could present a simple plaque to note the financial contribution to the project where this can be made visible, and that arrangements should be made for either the Chair or the local member of the Trust to be involved in the presentation with the necessary publicity.  It is estimated that the cost of such plaques would be approximately £35 each and that the likely maximum total cost in one financial year would be £420.

RESOLVED

·        To support the principle of providing plaques to recognise the financial contribution of the Trust to a local projects;

·        That the Trust sets aside a sum of up to £500 annually for such purposes from its grants fund to local bodies;

·        That arrangements are made by Officers for the Chair or local member to present the plaque to the relevant body in parallel with the transfer of grant to support the project.

To submit a report by the Treasurer in relation to the above.

Submitted – a report by the Treasurer in relation to the above.

The Head of Service (Finance) reported that this report is required to confirm funding allocations for 2013/14 and to delegate the funding powers for community facilities and minor grants to the General Grants Committee.  The figures contained within the report are based upon projected outturn for 2012/13.

The projected outturn for 2012/13 means that reserves as at 31 March, 2013 are estimated at £43k surplus.  With the projected growth in investment income, and assuming the continuation of current grant funding levels (with the Oriel Ynys Môn funding decreasing to £200k by 2014/150, revenue reserves are projected to increase to £300k in 2014/15.    Due to the current uncertainties surrounding the future administration of the Trust, it is suggested that this projected surplus is not allocated at this time. 

The projected outturn and revenue reserves for 2012/13 differ from the strategy and budget as follows :-

·        Investment income for 2011/12 was £28k (7%) higher than projected in May 2012;

·        ‘Other grants’ were £6k (12%) higher than originally budgeted due to the award made to Môn FM by the full Trust (the funding of which was covered by allocations forgone in 2011/12);

·        Allocations forgone in 2011/12 were £16k (for prudence, projections for allocations forgone are not included within the annual budget setting reports);

·        Investment income net of minor miscellaneous expenditure was £14k higher than projected at the time of the 2012/13 budget setting report.

The projected outturn means that revenue reserves as at 31 March, 2013 are estimated at £43k surplus.

It was further noted that within the investment portfolio there are accumulation funds.  These funds pay the dividend in the form of investment units rather than cash and are being reflected in increased capital rather than revenue reserves.  As reported in the 2012/13 budget setting document, and as discussed briefly at the Investment and Contracts Committee on 22 May, 2012, this income could justifiably be regarded as revenue and there is the flexibility to recognise it as such.  The income is currently in the region £30k. 

RESOLVED :-

·         To confirm the updated strategy and the tapering of the Oriel Ynys Môn grant by £15k per annum;

·         To adopt a budget for 2013/14 as follows :-

Oriel Ynys Môn - £215k;

Village Halls - £66k;

Community Facilities & Minor Grants £50k (the General Grants Committee to have delegated authority to make these grant allocations);

·      To delegate to the General Grants Committee the sum of £50k;

·      To return to the financial strategy after the election and once the decision on future administration has been made.