OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2021-09-30-accounts

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

Charity Registration No. 1016027

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees FSU Europe Trustees Limited
FSU Florida Trustees Limited
Key management personnel James E. Pitts – Director of FSU International Programs
Louisa Blenman – Associate Director of International Programs
Kathleen Paul – Director of London Study Center
Lisa Bowers Isaacson - Senior Associate Director of London Study Center
Charity number 1016027
Principal Address 98 - 104 Great Russell Street
London
WC1B 3LH
Auditor Buzzacott LLP
130 Wood Street
London
EC2V 6DL
Bankers NatWest
PO Box 281
156 Fleet Street
London
EC4A 2DX
Lloyds Bank PLC
113 - 117 Oxford Street
London
W1D 2HW
Solicitors Pennington Manches LLP
125 Wood Street
London
EC2V 7AW

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

CONTENTS

Page
Trustees' report 1 - 6
Independent auditor's report 7 - 9
Statement of financial activities 10
Balance sheet 11
Statement of cash flows 12
Accounting policies and critical accounting estimates and judgements 13 – 16
Notes to the financial statements 17 – 23

17 – 23

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

TRUSTEES’ REPORT

FOR THE YEAR ENDED 30 SEPTEMBER 2021

The Trustees of the Florida State University International Programs Association UK (the Charity) submit their annual report and the audited financial statements for the year ended 30 September 2021.

The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102).

OBJECTIVES AND ACTIVITIES

The Charity in conjunction with Florida State University provides study abroad educational and experiential opportunities for university students. We recognise that today’s global economy requires graduates who are both academically and cross-culturally prepared in order to succeed in a diverse multi-cultural world. Our ambition is to offer life-changing education and experiences to an increasingly broader and more diverse student population.

The objectives of the Charity are:

The strategies employed to achieve these objectives include the following:

Public Benefit

In setting the objectives and planning the activities of the Charity, the Trustees confirm that they have given careful consideration to the Charity Commission’s general guidance on public benefit and in particular to its supplementary public benefit guidance on advancing education.

ACHIEVEMENTS AND PERFORMANCE

Starting with the Spring 2021 term, the Charity welcomed 247 students to London, drawn from both Florida State University in Tallahassee, Florida and six other highly regarded US institutions of Higher Education. Students were enrolled in one of twelve separate programs including, Broad Curriculum, First Year Abroad, First Semester Abroad, Internships, International Human Rights and Theatre. Additionally, the Charity was responsible for the online delivery in Fall 2020, of twenty additional courses, taught by eleven London faculty to students living in the U.S. In Fall 2021, the Charity also assumed the management of a US partner university’s program consisting of thirteen students.

The Charity, like most other organisations and individuals around the world, continued to be affected by Covid-19. The impact was most severe in Fall 2020 when FSU, along with the majority of US universities, cancelled all Study Abroad programs with the result that the Charity did not host any students in person in London. Conditions improved for the Spring 2021 semester with students living and studying in London, where in a creative and flexible response to the UK Government’s Covid-19 mitigating measures, faculty delivered courses in a variety of formats including, online, hybrid and face-to-face. Particularly noteworthy was the determination of faculty to uphold the Charity’s commitment to experiential learning with class assignments devised around individual, small group, or virtual excursions around the city and within museums and galleries. Similarly, staff curated a Social and Cultural Schedule

1

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

TRUSTEES’ REPORT

FOR THE YEAR ENDED 30 SEPTEMBER 2021

ACHIEVEMENTS AND PERFORMANCE (continued)

which facilitated students’ becoming familiar with London and the UK while developing strong community bonds and fostering individual independence and maturity.

The return of students in 2021 was made possible in part by the work undertaken by staff in creating an environment designed to minimise the likelihood of Covid-19 transmission. These measures included not only physical steps such as the installation of plexiglass and the spacing of furniture within classrooms and offices but also intangible measures such as motivating students, faculty, and staff to wear masks, limit social gatherings, self-test regularly, and generally be proactive in the avoidance of Covid-19. As the year progressed, the widespread dissemination of vaccines in both the United States and the United Kingdom, combined with the subsequent lifting of the most arduous mitigating measures, contributed to a surge in demand for Study Abroad with student numbers for Fall 2021 close to the highest recorded.

Activity at the Charity has been mirrored elsewhere in the sector with students returning to London both as individuals and as participants in university cohort programs. This recovery has benefited the Charity in the form of gradually increasing demand for housing, office, and classroom rentals. Aligning with the return of programming, it is with pleasure that the Charity notes that no staff were made redundant as a result of either Covid-19 or the ending of the UK Government’s Job Retention Scheme. Lessons learnt from continuing to operate throughout the pandemic such as the benefits of minimising viral transmission among employees, the realization that in the best of circumstances staff are as productive working from home as they are in the office, and the desire to provide staff with greater flexibility and control over their working environment and time, led the Charity to trial voluntary hybrid working with all staff whose responsibilities allow, able to work off-site for one or two days per week. Though designed initially as a response to a hoped-for temporary situation, high levels of positive employee feedback along with not only no evidence of any decrease in productivity but an intangible perception of increased job satisfaction and commitment, make it likely that this new way of working will remain in place.

FINANCIAL REVIEW

Results for the year

A summary of the results for the year can be found on page 10 of the financial statements. Results were impacted by the Covid-19 pandemic which resulted in the discontinuance of face-to-face study abroad programs by Florida State University beginning in March 2020. Face-to-face programs resumed in Spring 2021.

Income for the year totalled £2,179,357 (2020: £1,601,324). Most of the income is provided by grants from Florida State University International Programs Association, Inc. (2021: 1,650,000 and 2020: £850,000) and student housing and rental of office and classroom space provided to other International Education Service Providers (2021: £423,518 and 2020: £589,613). The Charity also received grants from the UK Government Job Retention Scheme (2021: £78,038 and 2020: £111,566).

At the start of the Covid-19 pandemic, the Charity took steps to reduce expenditure wherever possible. Expenditure for the year totalled £2,049,072 (2020: £2,536,016). The largest area of expenditure is for faculty and staff costs which were £963,788 (2020: £1,149,074). Other significant costs are for cleaning and maintenance of the building (2021: £284,595 and 2020: £278,364) and other premises costs for utilities (2021: £205,449 and 2020: £221,805). In years when face-to face study abroad programs are offered year-round, social and cultural costs which provide experiential learning opportunities to students are the largest expense after faculty and staff costs (2021: £144,706 and 2020: £187,013).

Net income for the year totalled £130,285 (2020: net expenditure of £934,692) leaving funds at 30 September 2021 of £1,181,930 (2020: £1,051,645).

The Charity has received the benefit of services from Florida State University staff and faculty members during the year. The trustees are unable to quantify the value of these services and thus unable to include an entry under intangible income within the Statement of Financial Activities.

2

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

TRUSTEES’ REPORT

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Financial position and reserves policy

At 30 September 2021, the balance sheet included net assets of £1,181,930 (2020: £1,051,645). These funds include £836,202 of tangible fixed assets which are not deemed to be readily realisable. The remaining funds of £345,728 are not restricted or otherwise designated, and are in effect, the Charity’s free reserves which are immediately available for general charitable use.

The Management Councils for the Corporate Trustees have adopted a formal reserves policy and consider that the Charity has sufficient resources with the support of the parent organisation to enable it to continue to pursue its charitable objectives.

Maintaining an appropriate level of financial reserves is considered essential in protecting the Charity from financial risk generated by, for example:

The Management Councils for the Corporate Trustees confirm annually that the parent organisation, Florida State University International Programs Association, Inc. plans to continue to operate its study abroad program in London and will continue to fund current operations and building maintenance needs. Given this continued support, the Management Councils have determined that aiming to have at least two months of expenditure is sufficient and prudent to meet financial risks and needs. This goal was met by having just over 2 months of expenditure at 30 September 2021.

All funds received are currently used to achieve the objectives of the charity. Any surplus funds are used for the same purpose. Over time the Trustees would hope to invest surplus funds into other sources to generate further investment returns.

Investments

The Trust Deed authorises the Trustees to make and hold investments using the general funds of the Charity. At this time, the Management Councils of the Corporate Trustees have chosen to hold any surplus funds in the bank to minimise the risk of potential loss.

Fundraising

The Charity does not do any fundraising and does not use a commercial organisation or professional fundraiser. All fundraising is done by Florida State University. Florida State University contacts alumnae of the Charity’s programs requesting donations for scholarships to benefit students who want to study abroad and may not be able to do so without financial support. All fundraising materials used by Florida State University clearly indicate that the funds will be used to benefit students of the University.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Organisational structure

The Charity is a registered charity, number 1016027, under the laws of England and Wales, which is overseen by the United Kingdom Charities Commission. The appointment and recruitment of trustees is governed by the Trust Deed of the Charity, as revised by the deed of variation dated 23 September 1999. The Board of Trustees is authorised to appoint new trustees to fill vacancies in accordance with the Trust Deed. The number of trustees shall be no less than two and no greater than seven.

The Corporate Trustees who served during the year were FSU Europe Trustees Limited and FSU Florida Trustees Limited.

The Charity is governed by the Management Councils of each of its Corporate Trustees. The Management Councils are responsible for, and oversee the management and administration of the Charity, by setting policies and reviewing and monitoring plans, budgets, and performance. The Councils ensure that the mission of the Trust is implemented, and that the financial and management matters adhere to English and Welsh law. The Charity is part of a larger organisation, operating under the descriptive title of the Florida State University and its direct support organisation,

3

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

TRUSTEES’ REPORT

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Florida State University International Programs Association, Inc., the principal objectives of which are to promote and foster the educational welfare of the students, both in the US and in its Study Abroad Programs.

The members of the Management Council of FSU Europe Trustees Limited (Minimum 1 member; Maximum Unlimited) who served during the year were:

B Ellis R Vickers J Pitts S McRorie A Davies L Blenman B Brenneis M Voznick

The members of the Management Council of FSU Florida Trustees Limited (Minimum 1 member; Maximum Unlimited) who served during the year were:

J Pitts S McRorie L Blenman R Vickers B Brenneis M Voznick

The Management Councils are supported by the Executive Senior Leadership Team of Florida State University International Programs Association, Inc. which includes the Director, the Associate Director, the Director of Risk Management, and the Chief Financial Officer. Administration of the Charity’s finances and resources has been delegated to the Executive Senior Leadership Team. Financial management is monitored by the Team through regular meetings and review of budgets and financial reports.

Trustees

The trustees assess the need to provide training to new members of the Management Councils on an individual basis. Members of the Management Councils are sent information on an ongoing basis of any changes to charity regulations to ensure they are aware of the impact that this may have on their responsibilities. They are also provided annual reminders of their role as members of the Management Councils.

Key management personnel

The key operational management personnel of the Charity are the Director of International Programs, the Associate Director of International Programs and the Director and the Senior Associate Director of the London Study Centre, with accounting oversight provided by the Assistant Director/CFO of International Programs.

The Management Councils of the Corporate Trustees are kept abreast of matters at an annual meeting and any matters concerning construction, management issues, contracts, etc. are brought for consideration by the members of the Management Councils. The Director, Associate Director, and CFO of International Programs are members of the Management Councils. All members of the Management Councils give their time freely and do not receive remuneration from the Charity.

The pay of the senior staff is reviewed annually by the Management Councils of the Corporate Trustees. The Director of the London Study Centre's salary is set by the Director of International Programs, Dr. James E. Pitts. The Associate Director's salary is recommended by the Director of the London Study Centre, Dr. Kathleen Paul, with approval of Dr. Pitts.

Related parties

Details of related parties are included in the notes to the financial statements.

Statement of Trustees’ responsibilities

The Trustees are responsible for preparing the Trustees' Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

4

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

TRUSTEES’ REPORT

FOR THE YEAR ENDED 30 SEPTEMBER 2021

The law applicable to charities in England & Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the Charity and of the income and expenditure of the Charity for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, applicable Charity (Accounts and Reports) Regulations and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

FUTURE PLANS

With faculty and student demand for studying abroad increasing, the Charity looks forward to a strong Spring and Summer in 2022. Already, approximately thirty London faculty are preparing just on forty distinct courses for delivery in Spring while forty-four faculty drawn from Tallahassee are planning to offer thirty-four courses and nine curriculumfocused programs in Summer. Welcoming these high numbers amidst what appears likely to be a continuing, if lessening, global pandemic, Charity staff are set to engage in a constructive review of policies and practices in all areas of responsibilities so as to ensure students leave London having experienced an academically productive, and culturally rewarding, semester.

The Charity maintains on-going relationships with twenty-three US universities based in eighteen US states, for whom it provides a range of administrative, academic, pastoral and facilities support. In response to an increasing number of enquiries, the Charity plans to further develop its collegial external relationships by curating bespoke programming designed to meet the requirements of individual US universities. While the nature of the partnerships may differ, from participation in FSU classes through administration of an entire Study Abroad program to the provision of facilities, the Charity remains committed to ensuring, in any area for which it has responsibility, continued excellence in delivery resulting in a positive student experience.

Maintaining and improving the exterior and interior fabric of the buildings, along with refurbishing spaces occupied by students, faculty, and staff is a continuous duty for the Charity. Building on works completed over the course of the pandemic, taking advantage of the absence of students to undertake larger than normal projects in-house and over time, the Charity looks now to invest in furniture for the accommodation and technology and design for the classroom well suited to the next generation of students. Moving away from traditional large seating or storage units, for example, the Charity will continue with the installation of new, modern, small footprint, and flexible-use furniture designed to make better use of space and facilitate students’ curation of their communal visions of apartment living in London.

With the first FSU study abroad program in London taking place in 1971, 2021 marks the fiftieth anniversary of FSU in London. Over the course of five decades, tens of thousands of U.S. students took classes, participated in academic and cultural excursions and, through a series of daily negotiations, became Londoners. In celebration, the Charity is holding a series of online events orchestrated by staff involving alum, faculty, and students. Response from alum based now across the globe and drawn from multiple generations has been extremely positive with audiences actively engaging both with each other and with staff and faculty. The on-going success of the celebratory events is further indicative of the strength of the communities and depth of feeling created by a study abroad experience, bringing together, as it does, a set of individuals largely unknown to each other who become through shared adventure and academics, a cohort of friends.

Equally robust and resilient is the relationship between the Charity in London and the parent body in Tallahassee with the latter continuing to provide grants in aid of the former and in so doing manifesting unwavering confidence in both the work, and the future, of the Charity.

5

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

TRUSTEES’ REPORT

FOR THE YEAR ENDED 30 SEPTEMBER 2021

PRINCIPAL RISKS AND UNCERTAINTIES

The Management Councils of the Corporate Trustees have a risk management strategy which comprises:

The Management Councils for the Corporate Trustees are responsible for the management of the risks faced by the Charity. Detailed consideration of such risks has been made with appropriate controls established to mitigate the risks identified. A review and assessment of these controls is undertaken on an annual basis.

The major risks have been identified as fire, possible terrorist attacks, student health risks, security and the impacts of Covid-19 as noted in the “Achievements and Performance” section above. The Charity has a fire safety inspection undertaken quarterly and an emergency lighting inspection monthly by external companies with monthly and regular checks undertaken in-house. The Charity also has developed a plan for evacuating students and staff should the need arise. Security officers are hired to provide overnight security and protection. The Charity subscribes to an alert system to be aware of potential health and other threats and maintains a Liability Insurance policy as well as student health insurance.

Through risk management processes for the Charity, the Management Councils for the Corporate Trustees are satisfied that the major risks identified have been adequately mitigated where necessary. It is recognised that systems can only provide reasonable, not absolute, assurance that major risks have been adequately managed.

The trustees’ report was approved by the Management Councils of the Corporate Trustees.

.............................. .............................. FSU Europe Trustees Limited FSU Florida Trustees Limited

Dated: 16 December 2021 Dated: 16 December 2021

6

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

INDEPENDENT AUDITOR'S REPORT

TO THE MEMBERS OF THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

Opinion

We have audited the accounts of The Florida State University International Programs Association UK (the ‘charity’) for the year ended 30 September 2021 which comprise the statement of financial activities, the balance sheet, the statement of cash flows, principal accounting policies and the notes to the accounts. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the accounts:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the accounts section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the accounts in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the accounts, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the accounts is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the accounts are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the annual report and accounts, other than the accounts and our auditor’s report thereon. Our opinion on the accounts does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the accounts, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the accounts or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the accounts or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

7

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

INDEPENDENT AUDITOR'S REPORT

TO THE MEMBERS OF THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement, the trustees are responsible for the preparation of the accounts and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of accounts that are free from material misstatement, whether due to fraud or error.

In preparing the accounts, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the accounts

Our objectives are to obtain reasonable assurance about whether the accounts as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these accounts.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

How the audit was considered capable of detecting irregularities including fraud

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

8

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

INDEPENDENT AUDITOR'S REPORT

TO THE MEMBERS OF THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

Auditor’s responsibilities for the audit of the accounts (continued)

We assessed the susceptibility of the charity’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the accounts is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with section 144 of the Charities Act 2011 and with regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Buzzacott LLP Statutory Auditor 130 Wood Street London EC2V 6DL

Date

Buzzacott LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

9

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Unrestricted Unrestricted
2021 2020
Notes £ £
Income from:
Charitable activities 3 2,179,357 1,601,324
Expenditure on:
Charitable activities 4 2,049,072 2,536,016
Net income (expenditure) for the year and net movement in funds 130,285 (934,692)
Fund balances at 1 October 1,051,645 1,986,337
1 0
Fund balances at 30 September		 1,181,930 1,051,645

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

10

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

BALANCE SHEET

AT 30 SEPTEMBER 2021

Notes
Fixed assets
Tangible assets
10
Current assets
Debtors
12
Cash at bank and in hand
Creditors: amounts falling
due within one year
13

Net current assets
Total assets less current liabilities
Creditors: amounts falling
due in more than one year
13
Net assets
Unrestricted funds
£
170,491
462,648
633,139
(287,411)
-		 2021
£
836,202
345,728
1,181,930
1,181,930
1,181,930
1,181,930
£
154,280
347,937
502,217
(348,857)
(47,500)		 2020
£
945,785
153,360
1,099,145
1,051,645
1,051,645
1051,645

The Boards of Trustees delegated authority for approval and authorisation of the financial statements to E. Brenneis and J. Pitts. E Brenneis and J. Pitts approved and authorised the financial statements on ................................

Signed on behalf of the Boards of Trustees:

.............................. ..............................

FSU Europe Trustees Limited FSU Florida Trustees Limited Trustee Trustee

11

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

Notes
Cash flows from operating activities
Cash provided by (used in) operations
20
Investing activities
Purchase of tangible fixed assets
Net cash used in investing activities
Financing activities
Cash (outflows) inflows of borrowing
Net cash (used in) provided by financing
Net increase (decrease) in cash and cash
equivalents
Cash and cash equivalents at beginning of year
Cash and cash equivalents at end of year
Analysis of changes in net debt
£
-

(50,000)
At 1 October
2020
£
2021
£
164,711
-

(50,000)
£
(3,665)

50,000


At 31
September
2021
£
462,648
462,648
-
-
-		 2020
£
(768,775)
(3,665)
50,000
(722,440)
1,070,377
347,937
114,711
347,937
462,648
Cash
flows
£
114,711
114,711
2,500
47,500
164,711
Cash
Loans falling due within one year
Loans falling due after more than one year
Total		 347,937
347,937
(2,500)
(47,500)
297,937

12

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 SEPTEMBER 2021

1 Accounting policies

Charity information

The Florida State University International Programs Association UK is an unincorporated registered charity number 1016027. It meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s). The Charity operates from 98 – 104 Great Russell Street London WC1B 3LH.

Accounting convention

The accounts have been prepared in accordance with the Charity’s Trust deed, as revised by the deed of variation dated 23 September 1999, the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)”. The Charity is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the Charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

Going concern

The financial statements have been prepared on a going concern basis as the trustees believe that no material uncertainties exist. The trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. In making their assessment, the trustees have considered the impact of Covid-19 and the ongoing support of the parent organisation, Florida State University International Programs Association, Inc. The budgeted income and expenditure is sufficient with the level of reserves for the Charity to be able to continue as a going concern.

Charitable funds

All funds held by the Charity are unrestricted and available for use at the discretion of the trustees in furtherance of the general objectives of the Charity and have not been designated for other purposes.

Income

Income from charitable activities includes grant income, rental income and income from fees and services for providing activities related to the Charity’s objectives. The income is used to provide two main activities which are maintenance of the buildings at Great Russell Street and increasing student knowledge of the United Kingdom, but neither is restricted in its use. All income is included in the Statement of Financial Activities when the charity is legally entitled to the income, the amount can be reliably measured, and it is probable that the income will be received. Grant income is recognised on receipt. Rental income which includes income from the leasing of office space is recognised in the period when earned i.e. the date when the space is being utilised.

Deferred income represents the rents receivable in respect of future accounting periods. See Note 14.

As the Charity is a subsidiary of its parent based in Tallahassee, Florida, it relies on the parent entity for certain administrative staffing support. No value of these amounts has been recognised in the Charity’s financial statements because it is not possible to accurately estimate the time spent and the time spent is not expected to be significant.

13

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

1 Accounting policies (continued)

Expenditure

All expenditure is accounted for on an accrual basis and has been classified under the heading that aggregates all the costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required, and the amount of the obligation can be reliably measured. All expenditure is for charitable activities.

The Charity is not registered for VAT and all expenditure is shown gross of irrecoverable VAT.

Support costs are indirect costs incurred in supporting the charitable activities and are allocated to charitable activities as disclosed in the following notes. Governance costs comprise the expenditure incurred for the management of the Charity and the compliance with constitutional and statutory requirements.

Tangible fixed assets

Tangible fixed assets are stated at cost less accumulated depreciation.

Depreciation is provided at rates in order to write off the cost less estimated residual value of each asset over its expected useful life as follows:

Leasehold land and buildings over the term of the leasehold i.e. 25 years Computer equipment 33% straight line Fixtures and fittings 20% straight line

The Charity has a specific policy regarding capitalisation of expenditure based on amounts incurred and no amount under £2,500 is capitalised.

Impairment of fixed assets

At each reporting end date, the Charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Debtors

Debtors are recognised at their settlement amount less any provision for non-recoverability. Prepayments are valued at the amounts prepaid.

Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, and other short-term liquid investments with original maturities of three months or less.

Creditors and Provisions

Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

14

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

1 Accounting policies (continued)

Financial instruments

The Charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all its financial instruments.

Financial instruments are recognised in the Charity’s balance sheet when the Charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction. Financing transactions are measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Impairment of financial assets

Financial assets, other than those held at fair value through income and expenditure, are assessed for indicators of impairment at each reporting date.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the Charity transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Basic financial liabilities

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Charity’s contractual obligations expire or are discharged or cancelled.

Taxation

The Charity has been confirmed to be exempt from Corporation Tax upon any surpluses arising from its activities as long as those surpluses are held for the purpose of the Charity’s objectives.

15

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

1 Accounting policies (continued)

Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the Charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

The Charity contributes to a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the Charity in independently administered funds. The pension cost charge represents contributions payable by the Charity to the scheme.

Leases

Rentals payable under operating leases are charged to income on a straight line basis over the term of the relevant lease.

Foreign exchange

Assets and liabilities in foreign currencies are translated to sterling at the rates of exchange at the balance sheet date. Transactions in foreign currencies are translated to sterling at the rate ruling on the date of transaction. All exchange differences are reflected in the Statement of Financial Activities.

2 Critical accounting estimates and judgements

Accounting estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

The following judgements (apart from those involving estimates) have been made in the process of applying the above accounting policies that have had the most significant effect on amounts recognised in the financial statements:

Useful economic lives of tangible assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

There are no key assumptions concerning the future or other key sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, other than the continued support of the parent organisation, Florida State University International Programs Association, Inc.

16

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

3 Income from charitable activities

Grants received for the Charity’s activities
Grant received for Coronavirus Job Retention
Rental income re charitable activities
Other income		 Unrestricted
Total
2021
Total
2020
£
£
1,650,000
850,000
78,038
111,566
423,518
589,613
27,801 50,145
2,179,357
1,601,324		 Unrestricted
Total
2021
Total
2020
£
£
1,650,000
850,000
78,038
111,566
423,518
589,613
27,801 50,145
2,179,357
1,601,324
1,601,324

4 Charitable activities


Staff costs
Depreciation
Cleaning, repairs and maintenance
Computer accessories
Fees and commissions to rental agents
Hire of outside classrooms and accommodations
Insurance
Marketing
Other administrative costs
Other instructional costs
Premises costs for utility and phone services
Professional services
Social and cultural expenses
Security expenses
Travel and conferences
Share of governance costs (see note 5)

17

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

5 Governance costs
2021 2020
£ £
Audit and accountancy fees 11,520 11,160

6 Trustees

None of the Trustees (or any persons connected with them) received any remuneration, benefits or expenses from the Charity during the year (2020: £nil).

7 Auditor’s remuneration

The analysis of auditor’s remuneration is as follows:

Fees payable to Charity’s auditor for the audit of the company’s annual
accounts
Total audit fees		 2021
£
11,520
11,520		 2020
£
11,160
11,160

18

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

8 Employees

Number of employees

The average monthly number of employees during the year was:

Teaching
Administration
Cleaning
Employment costs
Wages and salaries
National Insurance costs
Pension costs		 2021
Number
10
13
3
26
2021
£
885,572
58,240
19,976
963,788		 2020
Number
13
19
4
36
2020
£
1,062,081
65,363
21,630
1,149,074

Included within staff costs are amounts paid to independent contractors of £165,764 (2020: £210,076).

Key management personnel remuneration has been detailed in note 19 to the accounts.

The number of employees whose annual remuneration was £60,000 or more were:

were:
2021 2020
Number Number
£60,000 - £69,999 1 -
£70,000 - £79,999 - 1
£80,000 - £89,999 1 1

Contributions totalling £8,711 (2020: £8,708) were made to defined contribution pension schemes on behalf of employees whose emoluments exceed £60,000.

9 Taxation

The Charity is exempt from tax on income and gains falling within s524 of the Income Tax Act 2007 and s256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objectives. No tax charges have arisen in the Charity.

19

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

10 Tangible fixed assets

Leasehold
land and
buildings
Computer
equipment
Fixtures and
fittings
£
£
£
Cost
At 1 October 2020
7,367,075
386,441
1,085,852
Additions
-
-
-
At 30 September 2021
7,367,075
386,441
1,085,852
Depreciation and impairment
At 1 October 2020
6,510,166
376,525
1,006,892
Depreciation charged in the year
46,686
5,395
57,502
At 30 September 2021
6,556,852
381,920
1,064,394
Carrying amount
At 30 September 2021
810,223
4,521
21,458
At 30 September 2020
856,909
9,916
78,960		 Total
£
8,839,368
-
8,839,368
7,893,583
109,583
8,003,166
836,202
945,785

Included in land and buildings is the leasehold of 98 - 104 Great Russell Street, London, a property that the charity occupies mainly for the purposes of pursuing its charitable aims.

11
Financial instruments
Carrying amount of financial assets
Debt instruments measured at amortised cost
Cash measured at amortised cost
Carrying amount of financial liabilities
Measured at amortised cost
12
Debtors
Amounts falling due within one year:
HMRC Job Retention Scheme receivable
Prepayments and accrued income		 2021
£
1,680
462,648
219,381
2021
£
1,680
168,811
170,491		 2020
£
14,786
347,937
297,926
2020
£
14,786
139,494
154,280

20

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

13 Creditors: amounts falling due within one year

Notes
Other taxation and social security
Deferred income
14
Trade creditors
Other creditors
Accruals
Bounce Back Loan Scheme (see below)		 2021
£
39,682
68,030
77,921
13,878
87,900
-
287,411		 2020
£
19,236
98,431
130,331
1,602
96,757
2,500
348,857

Creditors: amounts falling due in more than one year

Creditors falling due in more than one year at 30 September 2020 related to a £50,000 loan received on 16 June 2020 under the Bounce Back Loan Scheme created by the UK government in response to Covid-19. The loan was interest free if repaid within one year from the date the loan was drawn. The loan was due on 16 June 2026 if not repaid early. However, the charity repaid the loan in full in June 2021.

Between one and two years
In two or more years
Deferred income
Deferred income at 1 October 2020
Released from previous years
Amounts deferred in the year
Deferred income at 30 September 2021		 2021
£
-
-
-
98,431
(98,431)
68,030
68,030		 2020
£
10,000
37,500		 2020
£
10,000
37,500
47,500
242,681
(242,681)
98,431
98,431
98,431

14 Deferred income

Deferred income relates to rentals invoiced prior to the financial year end but relating to periods after the year end.

21

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

15 Unrestricted funds

Unrestricted funds are made up as follows:

Balance at 1
October
2020
£
Unrestricted funds
1,051,645
1,051,645		 Movement in funds
Income Expenditure
Balance at 30
September
2021
£
£
£
2,179,357
2,049,072
1,181,930
2,179,357
2,049,072
1,181,930		 Movement in funds
Income Expenditure
Balance at 30
September
2021
£
£
£
2,179,357
2,049,072
1,181,930
2,179,357
2,049,072
1,181,930
1,181,930

16 Operating lease commitments

At 30 September 2021, the Charity’s future minimum operating lease payments are set out below:

Within one year
Between two and five years
In over five years		 2021
£
300
1,200
3,600
5,100		 2020
£
300
1,200
3,900
5,400

17 Ultimate Controlling Party

The ultimate parent entity is Florida State University International Programs Association Inc. a not-for-profit entity based in the United States. The consolidated accounts may be obtained from the registered address of the parent entity which is P.O. Box 3062420, Tallahassee, FL 32306-2420. The US Federal Tax ID number of the parent is 59-3153341.

18 Capital commitments

There were no capital commitments at 30 September 2021 (2020: £nil)

19 Related party transactions

Remuneration of key management personnel

The remuneration of key management personnel is as follows.

2021 2020
£ £
Aggregate compensation 171,487 169,712

22

DocuSign Envelope ID: DFAF59C7-BE32-4AB9-955B-3D3C3FC64226

THE FLORIDA STATE UNIVERSITY INTERNATIONAL PROGRAMS ASSOCIATION UK

NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)

FOR THE YEAR ENDED 30 SEPTEMBER 2021

19 Related party transactions (continued)

There were no transactions between the Charity and the Members of the Corporate Trustees during the year.

The Charity paid Companies House filing fees of £26 (2020: £26) on behalf of the Corporate Trustees.

The Charity leases the buildings it occupies at 98 - 104 Great Russell Street, London WC1B 3LH, England from the parent organisation, The Florida State University International Programs Association, Inc. at an annual rental of £300.

The Charity received total grants during the year of £1,650,000 (2020: £850,000) from the parent organisation The Florida State University International Programs Association, Inc.

No amounts were due to or from the noted related parties at either 30 September 2021 or 30 September 2020.

The Charity is required to accept, without further charge, students of The Florida State University. Certain computer equipment situated at the Great Russell Street premises is owned by The Florida State University International Programs Association, Inc.

The Charity received the benefit of faculty and staff services from The Florida State University International Programs Association, Inc.

20
Cash provided by operations
Surplus (deficit) for the year
Adjustments for:
Depreciation and impairment of tangible fixed assets
Movements in working capital:
(Increase) decrease in debtors

(Decrease) in creditors
 2021
2020
£
£
130,285
(934,692)
109,583
122,443
(16,211)
233,882
(58,946)
(190,408)
164,711
(768,775)

23