2023-03-31-accounts

HORDEN RECREATION GROUND

INCOME AND EXPENDITURE ACCOUNTS 2022/23 CHARITY NAME: HORDEN RECREATION GROUND Charity Commission Registered Number 520826 For the Financial Year Ended 31[st] March 2023

	SECTION A Unrestricted Funds	SECTION A Unrestricted Funds	SECTION A Unrestricted Funds
	INCOME - SUMMARY	2021/2022 £	2022/2023 £
	BALANCE BROUGHT FORWARD	£87,469	£123,055
	TOTAL INCOME	£85,404	£128,184
	TOTAL	£172,873	£251,239
	EXPENDITURE- SUMMARY
		2021/2022 £	2022/2023 £
	TOTAL EXPENDITURE	£49,818	£192,239
	NET TOTAL (Inc-Exp)	£123,055	£59,000
	TOTAL CASH & INVESTMENTS	£123,055	£59,000

A detailed income/expenditure report can be found in APPENDIX 1 .

SECTION B 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 and s.10. The grant donation is used solely to offset 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 ended 31stMarch 2023 D1a Cash Funds £59,000 D1b Other Monetary Assets N/A

D3a Investment Assets N/A D3b Assets Retained for the Charity’s Own Use £143,737 D2 Liabilities N/A Declaration I declare, in my capacity of charity trustee, that:  The trustees have approved the report above; and  Have authorised me to sign it on their behalf. Signature ……………………………………………………………………. Full Name David Tait Position (eg. Chairman) Chairman Date 1[st] June 2023 TRUSTEES’ ANNUAL REPORT (Accompanying Income and Expenditure Accounts) SECTION 1 Legal and Administrative Information Charity Name Horden Recreation Ground Charity Commission Number 520826 For the Year Ended 31[st] March 2023 Charity’s principal address Horden Parish Council Horden Social Welfare Centre Seventh Street Horden Peterlee Co Durham SR8 4LX Governing Document Transfer document dated 5[th] November 1998. Objects of the charity In the interests of social welfare, to improve the conditions of life for the inhabitants of the area without distinction of political, religious or other opinions by the provision and maintenance of a recreation ground.

The land identified in the schedule to the scheme must be retained by the trustee for use of the object of the charity.

Professional Advisers

Mortons Solicitors, Sunderland

SECTION 2 Trustees and Governance

Name of Trustee	Dates during which the named trustees acted if not for the whole period of this report	Name of person (or body) entitled to appoint any charity trustee
Horden Parish Council		Horden Parish Council

Please explain briefly how trustees are elected or appointed.

Trustee selection method The term Trustee in accordance with the document of transfer dated 5[th] 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 services to the local public. The park boasts two play areas, cricket field, general training pitch with floodlights, football ground, bowling greens, a multi-sports pitch, decorative bandstand and two sculptures.

The ground is host to a number of thriving sports clubs; Horden Cricket Club. Horden Colliery Welfare Football Club. Horden Colliery Welfare Football Club Ladies Horden Colliery Welfare Football Club Junior Academy. Horden Mens and Ladies Bowls Club.

The ground floor of Ambulance House is designated the Vintage Tearoom, which is open three days per week, March to October, and run by volunteers. The upper floor is occupied by Horden Heritage Centre, to showcase displays of local memorabilia, which have been donated or loaned to the Centre.

Park House, a former residential property is now home to Creative Youth Opportunities (CYO), a CIC social enterprise which uses art to enrich the lives of children & young people.

SECTION 4 Policies

Charity trustees should give in their report a description of the policies that they have adopted.

Reserves Policy Horden Parish Council operating as trustee, use a five year strategic plan in which reserves are allocated. Contingency funds are set aside in the form of a donation for the ground when applicable in order to purchase equipment to effect emergency repairs where required. Grant-making Policy The Trust, through the Parish Council try to access external grants/funding opportunity whenever practical. Any grants obtained will be utilised for the benefit of 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 extensive asset base. Major refurbishment is required to the properties which commenced in 2019/20. SECTION 5 Signature and Declaration Declaration I declare, in my capacity of charity trustee, that:  The trustees have approved the report above; and  Have authorised me to sign it on their behalf. Signature ……………………………………………………………………. Full Name David Tait Position (eg. Secretary, Chair) Chairman Dated 1[st] June 2033

HORDEN RECREATION GROUND

INCOME AND EXPENDITURE ACCOUNTS 2022/23 CHARITY NAME: HORDEN RECREATION GROUND Charity Commission Registered Number 520826 For the Financial Year Ended 31[st] March 2023

	SECTION A Unrestricted Funds	SECTION A Unrestricted Funds	SECTION A Unrestricted Funds
	INCOME - SUMMARY	2021/2022 £	2022/2023 £
	BALANCE BROUGHT FORWARD	£87,469	£123,055
	TOTAL INCOME	£85,404	£128,184
	TOTAL	£172,873	£251,239
	EXPENDITURE- SUMMARY
		2021/2022 £	2022/2023 £
	TOTAL EXPENDITURE	£49,818	£192,239
	NET TOTAL (Inc-Exp)	£123,055	£59,000
	TOTAL CASH & INVESTMENTS	£123,055	£59,000

A detailed income/expenditure report can be found in APPENDIX 1 .

SECTION B 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 and s.10. The grant donation is used solely to offset 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 ended 31stMarch 2023 D1a Cash Funds £59,000 D1b Other Monetary Assets N/A

D3a Investment Assets N/A D3b Assets Retained for the Charity’s Own Use £143,737 D2 Liabilities N/A Declaration I declare, in my capacity of charity trustee, that:  The trustees have approved the report above; and  Have authorised me to sign it on their behalf. Signature ……………………………………………………………………. Full Name David Tait Position (eg. Chairman) Chairman Date 1[st] June 2023 TRUSTEES’ ANNUAL REPORT (Accompanying Income and Expenditure Accounts) SECTION 1 Legal and Administrative Information Charity Name Horden Recreation Ground Charity Commission Number 520826 For the Year Ended 31[st] March 2023 Charity’s principal address Horden Parish Council Horden Social Welfare Centre Seventh Street Horden Peterlee Co Durham SR8 4LX Governing Document Transfer document dated 5[th] November 1998. Objects of the charity In the interests of social welfare, to improve the conditions of life for the inhabitants of the area without distinction of political, religious or other opinions by the provision and maintenance of a recreation ground.

The land identified in the schedule to the scheme must be retained by the trustee for use of the object of the charity.

Professional Advisers

Mortons Solicitors, Sunderland

SECTION 2 Trustees and Governance

Name of Trustee	Dates during which the named trustees acted if not for the whole period of this report	Name of person (or body) entitled to appoint any charity trustee
Horden Parish Council		Horden Parish Council

Please explain briefly how trustees are elected or appointed.

Trustee selection method The term Trustee in accordance with the document of transfer dated 5[th] 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 services to the local public. The park boasts two play areas, cricket field, general training pitch with floodlights, football ground, bowling greens, a multi-sports pitch, decorative bandstand and two sculptures.

The ground is host to a number of thriving sports clubs; Horden Cricket Club. Horden Colliery Welfare Football Club. Horden Colliery Welfare Football Club Ladies Horden Colliery Welfare Football Club Junior Academy. Horden Mens and Ladies Bowls Club.

The ground floor of Ambulance House is designated the Vintage Tearoom, which is open three days per week, March to October, and run by volunteers. The upper floor is occupied by Horden Heritage Centre, to showcase displays of local memorabilia, which have been donated or loaned to the Centre.

Park House, a former residential property is now home to Creative Youth Opportunities (CYO), a CIC social enterprise which uses art to enrich the lives of children & young people.

SECTION 4 Policies

Charity trustees should give in their report a description of the policies that they have adopted.

Reserves Policy Horden Parish Council operating as trustee, use a five year strategic plan in which reserves are allocated. Contingency funds are set aside in the form of a donation for the ground when applicable in order to purchase equipment to effect emergency repairs where required. Grant-making Policy The Trust, through the Parish Council try to access external grants/funding opportunity whenever practical. Any grants obtained will be utilised for the benefit of 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 extensive asset base. Major refurbishment is required to the properties which commenced in 2019/20. SECTION 5 Signature and Declaration Declaration I declare, in my capacity of charity trustee, that:  The trustees have approved the report above; and  Have authorised me to sign it on their behalf. Signature ……………………………………………………………………. Full Name David Tait Position (eg. Secretary, Chair) Chairman Dated 1[st] June 2033

Internal Audit Report

Horden Parish Council – Charity Arrangements Ref No: 12101/2023/05

Final Report

Assurance Opinion:	Substantial
Prepared by:	Graeme Adcock, Apprentice Internal Auditor
Reviewed by:	David Mitchell, Principal Auditor
	Nicola Cooke, Audit Manager
Date issued:	23 May 2023
Distribution List
For Action:	Samantha Shippen, Clerk to the Council
For Information:	Members of the Horden Parish Council
	Tracy Henderson, 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 – Horden Parish Council – Charity Arrangements

Contents

Introduction ......................................................................................................... 1 Conclusion .......................................................................................................... 1 Summary of Findings .......................................................................................... 1 Background ......................................................................................................... 2 Audit Scope and Approach ................................................................................. 3 Overall Assurance Opinion and Priority of Our Recommendations ..................... 3

Internal Audit Report – Horden Parish Council – Charity Arrangements

Introduction

1. As part of the 2022/23 Internal Audit Plan, an audit was carried out in February 2023 to evaluate the control framework in place on the management of the risks associated with Horden Parish Council - Charity Arrangements.

2. The last audit in this area was completed in March 2022 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 01 January to 31 December 2022.

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’s financial arrangements are administered by Horden Parish Council and procedures are in place to ensure that receipts and payments relating to the Charity are kept separate from those of the Parish Council with a separate bank account, cheque book, paying in book, receipt book and financial records being maintained.

2. The Charity’s accounts are managed within Alpha accounting software which records receipts, payments, budgets, and VAT.

3. Regular bank reconciliations were undertaken between the bank statements and Alpha throughout the year.

4. Horden Recreation Ground has its own Committee which is separate to the Parish Council and Committee meetings took place monthly with the exception of August 2022. Meeting minutes are publicly accessible on the Parish Council website.

5. The Grant Donation for 2022/23 from Horden Parish Council to Horden Recreation Ground Charity of £60,855 had been appropriately approved and recorded in the minutes of the Committee meeting held on 03 March 2022.

6. A full sample of all cash and cheque income was examined. These transactions were able to be traced through from the receipt book to the paying in book and then to the bank account with no issues.

Durham County Council Internal Audit and Risk Management Division 1

Internal Audit Report – Horden Parish Council – Charity Arrangements

1. Additionally, a sample of ten BACS income transactions were examined from across the period. These were able to be traced from the original sales invoices to the bank account with no issues.

2. A sample of ten payments were also examined from across the period. These were all supported by a purchase order, and were traced to an invoice, to the cheque book and to the bank account with no issues.

3. A separate asset register is in place from that of the Council. The asset register was approved by Committee during the meeting held on 03 March 2022. An update to the asset register was approved on 09 June 2022 due to an asset deemed to be beyond repair.

4. As a result of the audit, there are no high or medium priority findings.

5. One best practice recommendation was identified during the audit;

6. The Charity is required to submit an annual return to the Charity Commission signed by the Trustees; however, a signed copy of this document was unable to be provided by the Clerk for review.

Information obtained from the Charity Commission website confirmed that the figures for the correct year had been provided to the Commission, however the copy of the return uploaded by the Commission related to the previous year in error. In discussion with the Clerk, it was explained they intend to have a fresh copy of the return signed and resubmitted to the Charity Commission to correct this.

A copy of the Trustees Report and Statement of Accounts signed by the Trustee should be retained on file.

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 – Horden Parish Council – Charity Arrangements

Audit Scope and 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.

Overall Assurance Opinion and Priority of Our Recommendations

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.

1. We define the priority of our recommendations arising from each overall finding as follows;

Priority	Definition
High	Action required, that is consideredimperative, to improve the control environment so that objectives are not exposed to unacceptable risks through lack of or weaknesses in critical or key controls.
Medium	Action required to improve the control environment so that objectives are not exposed to risks through weaknesses in controls.
Best Practice	The issue merits attention and its implementation will enhance the control environment.

Durham County Council Internal Audit and Risk Management Division 3