2021-03-31-accounts

HORDEN RECREATION GROUND INCOME AND EXPENDITURE ACCOUNTS 2020121 CHARrrY NAME: HORDEN RECREATION GROUND Charity Commission Registered Number 520826 For the Financial Year Ended 3191 March 2021

SECTION A Unrestricted Funds INCOME- SUMMARY 201912020 2020r2021 BALANCE BROUGHT FORWAFID TOTAL INCOME £44,435 £15.135 £32,522 £109,928 TOTAL £79,956 £125,063 EXPENDITURE- SUMMARY 201912020 202012021 TOTAL EXPENDITURE £64,821 £37,594 NET TOTAL (Inc-Exp) TOTAL CASH a INVESTMENTS £15,135 £87,469 £15,135 £87,469 A detailed incomelexpendituro report can be fwnd in APPENDIX 1. SECTION Restricted Income Funds Horden Parish Council, as sole Trustees of the Charity. SUPPOrt Horden Recreation Ground financially via a grant donation, under their powers. specifically the Open Spaces Act 1906 s.9 arKJ s.10. The grant donation is used sdely to oflsel the expenditure incurred by Horden Recreation Ground. SECTION C Endowment Funds Name of Charity Horden Recreation Ground Has the charity any endowment funds NO SECTION D Statement of Assets and Liabilities at Year End For the Financial Year enderj 31$1 March 2021 D1a Cash Funds £87,469 D1b Other Monetary Assets NIA

D3a Investment Assets NIA D3b Assets Flelained for Ihe Charity's Own Use £122,779 D2 Liabilities NIA Declaration I declare, in my capacity of charity trustee. that: The trustees have approved Ihe report above: atKI Have authorised me to sign it on their behalf. Signature Full Name Position {eg. Chairman) CHA Date •2 104lzozI TFIUSTEES. ANNUAL REPORT (Accompanying Income and Expendtture Accounts) Legal and Administrative Inlormation Horden Recreaiion Ground SECTION 1 Charity Name Chanty Commission Number 520826 For the Year Ended 31S1 March 2021 Charitls principal address Horden Parish Council Horden Social Weltare Centre Seventh Street Horden Peterlee Co Durt￿rn SR8 4LX Goveming Document Transfer document dated 51h November 1998. Objects of the charity In the interests of social welfar8, to improve the conditions of life for the inhabitsnts of the area wthout dbstinction of political. religious or other opinions by the provisi(￿ and maintenance of a recreation ground.

The land identified in the schedule to the scheme must be retained by tho trustee for use of the object of the charity. Mortons Solicitors, SunderlarKI Wellers Hedleys, Kent Prolessional Advisers SECTION 2 Trustees and Governance Name of Trustee Dates during which the named trustees acted if not for the whole eriod of this re 2020121 Name of person (or body) entitled to appoint any charity Irustee Horden Parish Council Horden Parish Council Please explain briefly how tntstees are elecled or appointed. Trustee selection method The term Truslee in aixordance with the d￿Urnent of transfer dated 5th November 1998 applied to Horden Parish Council as a corporate body. There are no individual Trustees. Names of the charity's Custodian trustees Not Applicable. SECTION 3 Activities and Achievements Horden Recreation Ground Continues to provide value for money recreational seNlces to the local public. The park boasts two play areas, cricket tield. general training pitch with floodlights, football ground, bowling greens, a multi-SPOrts pitch, decorative bandstand and two sculptures. The parf( has benefited from wnning Green Flag and Green Heritag8 Site status each year from 2005 onwards. The ground is hosl to a number of thiiving sports clubs; Horden Cricket Club. Horden Colliery Welfare Football aub. Horden Colliery Welfare Junior Football Club. Horden Mens and Ladies Bowls Club. The ground floor of Ambulance House is designated the Wintage Tearoom. which is open three days per week, March to October. and ran by volunteers. The upper floor is occupied by Horden Heritage Centre, to showcase displays of local rnernorabilia, which have been donated or loaned to the Cerrtre. The memorabilia is available to view by the public free of charge.

SECTION 4 Policies Charity trustees should give in their report a description of the policies thal they have adopted. Reseples Policy Horden Parish Council operating as trustees. use a five year strategic plan in which reserves are allocated. Contingency funds are set aside in the form of a grant donation for the ground when applicable in order to purchase equipment of effect emeKgency repairs where required. Grant-making Policy The Trust. through the parish council try to access extemal grantslfunding opportunity whenever practical. Any grants obtained will be uiilised for the benefit ol improvements to recreation facilities and on revenue costs associated therewith. Investments selection policy There is no such policy. Review of major risks The Charity has an extensNe asset base. Major refurbishment is required to the properties which commenced in 2019120. SECTION 5 Signature and Declaration I declare. in my capacity of charity trustee, that: The Irustees have approved the report above; and Have aulhorised me to sign it on their behalf. Declaration Signature Full Name Witskni MO". Position leg. s￿retary, Chair) Dated • Slcxklzo £1

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Horden Recreation Charity 2020/21

Detailed Receipts & Payments by Budget Heading 31/03/2021

Cost Centre Report

		Actual Year To Date	Current Annual Bud	Variance Annual Total Committed Expenditure Funds Available	Variance Annual Total Committed Expenditure Funds Available	Variance Annual Total Committed Expenditure Funds Available	% Spent	Transfer to/from EMR
100	Income
1130	Cricket Social Club Rent	660	660	0			100.0%
1150	Ambulance House Rent	1	1	0			100.0%
1160	Bowls Ground Fees	291	578	287			50.3%
1170	Cricket Ground Fees	284	1,785	1,501			15.9%
1180	Football Ground Fees	1,290	1,890	600			68.3%
1190	Other Ground Fees	201	380	179			52.9%
1210	Electricity Recharge	463	630	167			73.5%
1220	Water Recharge	127	530	403			24.0%
1270	Wayleaves	110	96	(14)			114.6%
1400	Parish Council Grant	101,558	101,558	0			100.0%
1403	Income-Tenant Water Recharge	205	0	(205)			0.0%
	Income :- Receipts	105,190	108,108	2,918				0
							97.3%
	Net Receipts	105,190	108,108
				2,918
200	Expenditure
4070	Professional Fees	3,150	2,100	(1,050)		(1,050)	150.0%
4100	Council Tax	2,027	2,204	177		177	92.0%
4120	Water	1,565	3,518	1,953		1,953	44.5%
4130	Electricity	3,324	3,990	666		666	83.3%
4150	Telephone/Fax	363	520	157		157	69.8%
4170	Cleaning	139	350	211		211	39.8%
4180	Clothing	90	250	160		160	36.0%
4200	Buildings	1,345	71,800	70,455		70,455	1.9%
4210	Plant and Equipment	231	1,500	1,269		1,269	15.4%
4220	Play Equipment	1,904	2,500	596		596	76.2%
4230	Trade Waste	1,610	1,575	(35)		(35)	102.2%
4250	Tools	118	300	182		182	39.2%
4260	Equipment Repairs	1,616	1,600	(16)		(16)	101.0%
4270	Grounds Maintenance	6,936	8,000	1,064		1,064	86.7%
4290	Equipment Fuel	2,472	2,419	(53)		(53)	102.2%
4300	Vehicle Maintenance	1,584	1,000	(584)		(584)	158.4%
4310	Horticulture	3,543	3,800	257		257	93.2%
4320	Health and Safety	905	663	(242)		(242)	136.5%
4500	Miscellaneous Expenditure	0	19	19		19	0.0%
	Expenditure :- Indirect Payments	32,922	108,108	75,186		75,186		0
					0		30.5%
	Net Payments	(32,922)	(108,108)
				(75,186)

Continued over page

15/07/2021

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Horden Recreation Charity 2020/21

11:27

Detailed Receipts & Payments by Budget Heading 31/03/2021

Cost Centre Report

	Actual Year To Date	Current Annual Bud Variance Annual Total Committed Expenditure Funds Available % Spent Transfer to/from EMR	Current Annual Bud Variance Annual Total Committed Expenditure Funds Available % Spent Transfer to/from EMR
Grand Totals:- Receipts Net Receipts over Payments Payments	32,922 105,190	108,108 108,108	2,918 75,186 (72,268) 0 75,186 97.3% 30.5%
	72,268	0
Movement to/(from) Gen Reserve
	72,268

Internal Audit Report

Charity Arrangements – Horden Recreation Ground Ref No: 12101/2021/02.bf

Final Report

Assurance Opinion: Substantial Prepared by: Jill Nattrass, Senior Auditor Reviewed by: David Mitchell, Principal Auditor Tracy Henderson, Interim Audit Manager Date issued: 15 April 2021 Distribution List For Action: Gemma Rowe, Deputy Town Clerk / RFO Kevin Wilkinson, Clerk to the Council

For Information: Stephen Carter, Interim Chief Internal Auditor and Corporate Fraud Manager

Confidential

This report is confidential and has been prepared solely for use by officers named on the distribution list and, if requested, the County Council’s External Auditor and its Audit Committee to meet legal and professional obligations. It would therefore not be appropriate for this report or extracts from it to be made available to third parties and it must not be used in response to FOI or data protection enquiries without the written consent of the Chief Internal Auditor. We accept no responsibility to any third party who may receive this report, in whole or in part, for any reliance that they may place on it.

Internal Audit Report – Charity Arrangements – Horden Recreation Ground

Contents

Introduction ......................................................................................................... 1 Conclusion .......................................................................................................... 1 Summary of Findings .......................................................................................... 1 Limitations ........................................................................................................... 3 Overall Assurance Opinion ................................................................................. 3

Internal Audit Report – Charity Arrangements – Horden Recreation Ground

Introduction

1. As part of the 2020/21 Internal Audit Plan, an audit was carried out in March 2021 to evaluate the control framework in place on the management of the risks associated with Charity Arrangements – Horden Recreation Ground.

2. The last audit in this area was completed in March 2020 when a Substantial Level of assurance was provided.

3. The audit examined the financial arrangements in place for Horden Recreation Ground Charity, including receipts and payments, banking arrangements, and grant money requested and received from Horden Parish Council covering the period 1st April 2020 to 28[th] February 2021.

4. Due to the COVID 19 pandemic restrictions, the hard copy documentation required to carry out the audit review was collected from the Parish Council’s Offices by the auditor who carried out the review remotely, working from home, in accordance with the latest Government guidance. Where required, additional supporting information was obtained electronically by email and the requirements of a full audit review were met.

Conclusion

1. The audit work carried out can provide a Substantial level of assurance that the control framework and procedures in place are effective in managing the associated risks.

Summary of Findings

1. The Charity Financial Arrangements are administered by Horden Parish Council and arrangements are in place to ensure that receipts and payments relating to the Charity are kept separate from those of the Parish Council. A separate bank account and financial statements are maintained.

2. Horden Recreation Ground has its own Committee established which is separate to the Parish Council. Due to the COVID 19 pandemic restrictions, no Committee meetings were held during the period April 2020 to August 2020, but meetings resumed on 3[rd] September 2020.

3. The Grant Donation for 20/21 from Horden Parish Council to Horden Recreation Ground Charity of £101,958.00 had been appropriately approved and recorded in the minutes of the Committee meeting held on 5[th] December 2019. The donation was paid in three instalments during the year.

4. All receipts for rents, water charges and donations, paid directly into the Council offices and by Direct Credits were examined covering the period 1[st] April 2020 to 28[th] February 2021, all were found to have been recorded accurately in the accounts and appeared in the bank account as expected.

Durham County Council Internal Audit and Risk Management Division 1

Internal Audit Report – Charity Arrangements – Horden Recreation Ground

1. 58 purchase orders were raised during the period April 2020 to February 2021 and a sample of 10 purchase orders were selected for review. The audit confirmed that all orders had been signed by either the Deputy Parish Clerk or the Parks and Cemetery Manager and that there was a corresponding invoice retained relating to each order.

2. Due to the COVID 19 pandemic restrictions, as Council/Committee meetings were not held during the period April 2020 and August 2020 it was not possible for invoice payments to be reviewed and subject to formal approval prior to payment been made.

3. Instead, it was practice for invoices to be reviewed and approved by the Chair of the Finance and General Purposes Committee on a monthly basis and for cheque payments to be made. The formal approval of invoice payments was obtained in retrospect when Council/Committee meetings resumed in September 2020.A review of the sample of ten transactions tested confirmed that all invoice payments had been recorded accurately in the accounts and appeared in the bank account as expected.

4. A separate asset register is in place from that of the Council and it has been updated with disposal and acquisitions since it was evidenced at the last audit review. The asset register is to be included in agenda for the next Committee meeting.

5. Accounts must be submitted to the Charity Commission within 10 months of the end of the financial year. The Trustees Report and the Charity’s accounts for 2019/2020 were approved by Committee on 3[rd] September 2020 and submitted online on the 14[th] September 2020 within the stated deadline.

6. As a result of the audit, there have been no recommendations made.

Background

1. This review has been carried out in accordance with the Terms of Reference.

2. This review aims to help management achieve its objectives by providing an opinion on the adequacy of the control framework in place to manage risks effectively. The conclusions from the review will inform the annual audit opinion provided by the Chief Internal Auditor on the adequacy and effectiveness of the entire control environment operating across the whole of the Authority, required to inform the Annual Governance Statement.

3. The report is intended to present to management the findings and conclusions of the audit. Wherever possible, findings and recommendations made to improve the control framework have been discussed with the appropriate officers and their views taken into account.

Durham County Council Internal Audit and Risk Management Division 2

Internal Audit Report – Charity Arrangements – Horden Recreation Ground

1. In carrying out the audit, the time and assistance afforded by Gemma Rowe was greatly appreciated.

Scope and Audit Approach

1. The scope and audit approach for this review were agreed as part of the preparation stage of the audit and were reflected in the agreed terms of reference. The scope was informed by a Control Risk Assessment (CRA) determined in consultation with appropriate officers.

Limitations

1. Due to the Covid-19 restrictions in place at the time of this audit a site visit by the auditor to inspect all original documentation and records was not possible. Gaps in testing as a result of this were generally mitigated through the supply of copy records and documentation by email where this was practical, and the results of this audit and audit opinion should be viewed with these restrictions in mind.

Overall Assurance Opinion

1. Based upon the ratings of our findings and recommendations arising during the audit, we define the overall conclusion through the following assurance opinions.

Opinion	Definition
Substantial Assurance	There is a sound system of control. Any weaknesses identified expose some of the system objectives to minor risk.
Moderate Assurance	Whilst there is basically a sound system of control, there are some weaknesses, which expose objectives to risk.
Limited Assurance	There are weaknesses in key areas in the system of control, which expose objectives to unacceptable levels of risk.

Durham County Council Internal Audit and Risk Management Division

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