# **Independent Examiner’s Report to the Trustees of Rendlesham Community Centre Charity – year ended 31 December 2020** # **Registered Charity No: 1125733** **Income in Year:** **£25,874.25** **Expenditure in Year: £19,666.17** ## **Capital & Reserves as at 31 December 2020: £24,358.15** ## **1. Respective responsibilities of Trustees and Independent Examiner** The Charity’s Trustees are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011. The Trustees require an independent examination. As the Independent Examiner it is my responsibility to: - a) examine the accounts under section 145 of the Charities Act 2011. - b) follow all the applicable Directions given by the Charity Commission under section 145 (5)(b) of the Act and state whether particular matters have come to my attention. ## **2. Report for the year ended 31 December 2020** The Governing Document (Trust Deed) is dated 9 April 2008. The Area of Benefit is the Parish of Rendlesham in the County of Suffolk. The aims and activities of the Charity are to _‘run Rendlesham Community Centre like a village hall for the use of the inhabitants of the Parish of Rendlesham in Suffolk without distinction of sex, sexual orientation, age, disability, nationality, race or political, religious or other opinions, including the use of the property for recreation and leisure time occupations in the interests of social welfare for the said inhabitants’._ Further details regarding ‘what the Charity does, who the Charity helps and how the Charity works’ have been registered with the Charity Commission. Transactions for both income and expenditure in the year of account were examined on a sample basis. An accounting system is in place with detailed breakdown of income and expenditure recorded within the system. Satisfactory documentation and records are maintained and payments are supported by appropriate paperwork. All documentation was very well presented for the Independent Examination. The following observations are made: - a) The Accounts for the year ending 31 December 2020 have yet to be approved by the Trustees. 1 **TREVOR BROWN CPFA Internal Audit Services Charnwood, California, Woodbridge, Suffolk IP12 4DE Tel: 01394 384698 or 07587 523764 Email: tcdbrown01@yahoo.co.uk** - b) The Independent Examiner confirmed that the End-of-Year Accounts were correctly balanced and supported by complete bank statements in respect of the Charity’s Lloyds Bank Accounts. - c) The Independent Examiner verified the total amount of receipts and payments recorded in the year ending 31 December 2020 with the bank statements. A sample of invoices was examined to confirm the controls exercised over the payments system and all was found to be in order. Similarly, a sample of income received was examined in relation to supporting information and found to be satisfactory. - d) Payments from the Charity’s Lloyds Treasurers (Current) Bank Account were made through internet banking, standing order and direct debit transactions. From the sample examined, invoices and vouchers supporting the online payments were initialled by signatories in confirmation of the payment being correctly made. - e) The Independent Examiner’s Report for the previous year (ending 31 December 2019) displayed a total of Capital and Reserves of £18,110.08. However, the Report noted that the purchase of an HP Deskjet Printer on 12 April 2019 had been charged to the Stationery account as a consumable. Following the issue of the Report, the Printer purchase value of £39.99 was subsequently recorded as an asset within Office Equipment. The total of Capital and Reserves brought forward as at 1 January 2020 accordingly amounted to £18,150.07 (£18,110.08 plus the £39.99 value of the printer). - f) The increase in the Fixed Assets total balance from £2,535.64 (as at 31 December 2019) to £3,090.63 (as at 31 December 2020) reflects the inclusion of the HP Deskjet Printer (£39.99) – as per e) above - and the acquisition during 2020 of a Marquee/Party Tent (£515.00 within Furniture and Fixtures). - g) Insurance was in place during the year, the renewal with Zurich Insurance at a cost of £1,372.35 being paid on 13 March 2020. The Independent Examiner has been informed that the cover for Public Liability is for £5 million and the Fidelity Guarantee cover is for £5,000. The normal standard cover for Public Liability for village halls, play equipment etc. is currently £10 million. The Trustees are advised to review the level of cover with the Insurers with a view of increasing cover up to that standard amount. As stated in the Independent Examiner’s Report for the year ending 31 December 2019, Fidelity Guarantee cover is normally based on the maximum amount of bank/cash sums held by the organisation at any one time. The Charity held £21,267.52 in Bank/Cash/Debtors at the year-end 31 December 2020, significantly more than the level of insurance cover currently in place. The Trustees are advised to review the level of Fidelity Guarantee cover with the Insurers with the view of increasing the cover to ensure that it is in line with the amount of cash/bank sums held by the Charity. - h) As a result of the Covid-19 pandemic and the restrictions applied nationally, Sales from Facility Hirings fell during the year of account from £30,637.65 (in 2019) to £15,874.25 (in 2020). The shortfall in income was partly offset by the grant of £10,000 received from East Suffolk Council on 28 April 2020 under a Government scheme to support local communities during the pandemic. - i) Similarly, the pandemic impacted heavily upon some areas of the Charity’s routine operations, with a significant decrease in Caretaking costs and Premises Expenses in the year. Expenditure listed under Overheads decreased from £27,108.21 (in 2019) to £19,666.17 (in 2020) and resulted in the Surplus in the year increasing from £3,529.44 (in 2019) to £6,208.08 (in 2020). ## **TREVOR BROWN CPFA Internal Audit Services** **Charnwood, California, Woodbridge, Suffolk IP12 4DE Tel: 01394 384698 or 07587 523764 Email: tcdbrown01@yahoo.co.uk** 2 - j) The Capital and Reserves balance at the year-end 31 December 2020 amounted to £24,358.15 (reflecting the £6,208.08 surplus in the year of account). As at 31 December 2020 it is considered that there were sufficient reserves and contingency sums being maintained to meet, within reason, any unforeseen items of expense that may occur. - k) The value for Debtors as at 31 December 2020 stood at £1,288. The Charity’s accounting system provides for a detailed Aged Debtors Analysis which can be used to monitor outstanding debts. As at 31 December 2020 an amount of £189.00 remained due from the Monday Quilting Club for hirings in 2018. This sum is being settled by means of a monthly direct debit payable to the Charity. - l) The Charity was registered during the year with the Information Commissioner’s Office (ICO) as a Fee Payer/Data Controller for Local Charity purposes (Registration ZA169897 refers). - m) The Charities Act 2011 requires all registered charities to prepare a Trustees' Annual Report (TAR) and Accounts and to submit them to the Charity Commission if their income was greater than £25,000. The Commission's website entry for Rendlesham Community Centre Charity confirms that the reporting is up to date, the Accounts and the TAR for the year ended 31 December 2019 having been received by the Commission on 25 August 2020, within the required time for submission. ## **3. Basis of Independent Examiner’s report** My examination was carried out in accordance with the applicable Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the Charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeking explanations from the Trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below. ## **4. Independent Examiner’s statement** I have completed my examination. - a) I confirm that no material matters have come to my attention which gives me cause to believe that in any material respect the accounting records were not kept in accordance with Section 130 of the Charities Act 2011 or the accounts did not accord with the accounting records or comply with the applicable requirements concerning the form and content of accounts. - b) I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report (other than those matters already listed at item 2 above) in order to enable a proper understanding of the accounts to be reached. ## **Trevor Brown Chartered Institute of Public Finance and Accountancy** ## **16 March 2021** 3 **TREVOR BROWN CPFA Internal Audit Services** **Charnwood, California, Woodbridge, Suffolk IP12 4DE Tel: 01394 384698 or 07587 523764 Email: tcdbrown01@yahoo.co.uk** Date: 0210212021 rime: 09'.28:31 RENDLESHAM COMMUNITY CENTRE Profit and Loss From: To: Month I, Janltary 2020 Month 12, DeL￿ber 2020 Chart of A(rx>unts: Def￿1t Layout of Accounts [PARTLAL] Year to Date Sales Product Sales Other Sales 15,874.25 10,000.00 15,874.25 10,000.00 25,874.25 25,874.25 Dlrert Expenses Gross p￿￿/[LO￿). 25,874.25 25,874.25 Gross Wages Rent and Rates HeaL tight and Power Printlng and Sta￿nery Telephone and Computer charges Prof<%sional Fees Malrtenan Bank Charges and Interest 1,208.00 1,691.38 6,805.57 64.41 1.231.n 740.00 7,928.81 (3.72) 1,208.00 1,691.38 6,805.57 64.41 1.231,n 740.00 7,928.81 (3.72) 19,666.17 19.666.17 Net Profitl(Loss): 6,208.08 6,208.08 ## RCCC TREASURERS REPORT FOR 2021 AGM. As you are all aware COVID had a huge impact on the usage and revenue for the Centre in 2020. Income was £25,874.25 which included the Government Grant of £10,000 given to all Community Centres/village halls. This was still £4,763.40 lower than in 2019. Most of the £15,874.25 came from the Social Club who continued to pay during the lockdowns as did The Parish Council for The Parish Office. Expenditure was also down at £19,666.17 some £7,442.04 lower than in 2019, main savings, Electricity, Caretaking, Cleaning, Book Keeping and Maintenance. Cash in the Current account dropped to £3,856.30 however the £10,000 grant was transferred to the Contingency Account which stood at £16,113.62. Debt was the lowest with just £1,288 outstanding most of which will have been paid in January. The Auditor has suggested that we look at the Insurance cover for Public Liability (£5m) and Fidelity Guarantee (£5k) with a view to increasing such to £10m and £10k accordingly. We have been given an extension of 3 months by our Insurer due to Covid ( now due in June) and therefore have time to assess the financial impact on our Insurance costs. The Budget for 2021 is not going to be easy to determine and may well be the case we assess as the months go by. Roy Ince, Trustee/Treasurer. March 2021.