(a) To welcome Mr. Philip Heath, Weightmans LLP to the meeting.
(b) To submit a report by Weightmans Solicitors on behalf of Trust Officers.
Minutes:
· 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, a separation of the administration of the Trust from the Council would ensure that there would be no public perception issues arising from suggested conflict of interest between the Council and the Charitable Trust over its administration.
The separation of the administration of the Trust from the Council would ensure that suitable specialist advice and support is available to the Trust going forward; the cost of administration of the Trust is now provided free by the Council; advice and support is independent from that provided to the Council; the Trust has access to appropriate professional and technical advice without having to rely on the support of the Charity Commission and no conflicts arise in respect of the operation of the Charitable Trust. It was noted that there was a need to look at the possibility of distancing the Trust from the Council by ensuring independent trustees.
Members of the Trust were unanimously in support of the principle that the administration of the Charitable Trust should be separated from the Council but stressed that the assets and the capital of the Charitable Trust should be safeguarded for the benefit of the Island for future generations.
RESOLVED
· To thank Mr. Health from Weightmans LLP for his report;
· To accept the report in principle and to await a further report from Weightmans LLP in due course;
· That the further report should include consideration of how the capital of the Charitable Trust could be safeguarded for the benefit of the Island in the event of reorganisation of local government in the future.