2024-03-31-annual-report - Orchardville Society Limited

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COMPANY REGISTRATION NUMBER: NI063124 CHARITY REGISTRATION NUMBER: 102003

Orchardville Society Limited Company Limited by Guarantee Financial Statements

31 March 2024

Finegan Gibson Ltd Chartered accountants & statutory auditor Causeway Tower 9 James Street South Belfast BT2 8DN

Orchardville Society Limited

Company Limited by Guarantee

Financial Statements

Year ended 31 March 2024

	Page
Trustees' annual report (incorporating the director's report)	1
Independent auditor's report to the members	11
Statement of financial activities (including income and
expenditure account)	17
Statement of financial position	18
Statement of cash flows	19
Notes to the financial statements	20

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report)

Year ended 31 March 2024

The trustees, who are also the directors for the purposes of company law, present their report and the financial statements of the charity for the year ended 31 March 2024.

Reference and administrative details

Registered charity name Orchardville Society Limited Charity registration number 102003 Company registration number NI063124 Principal office and registered Lagan Village Tower office 144-152 Ravenhill Road Belfast BT6 8ED The trustees

	Apolonia Dubekile Mbondiya
	Jamie Bill
	Sian McKinty
	Margaret O' Kane	(Appointed 6 June 2023)
	Jo McGinley	(Appointed 6 June 2023)
	Jonathan McAlpin
	Christopher Perry
	Caroline Matchett
	Kathryn Martin (Chair)
	Louise Tiffney (Treasurer)
Company secretary	Christopher Perry
Auditor	Finegan Gibson Ltd
	Chartered accountants & statutory auditor
	Causeway Tower
	9 James Street South
	Belfast
	BT2 8DN
Bankers	Ulster Bank Limited
	Arches Retail Park
	Belfast
	BT5 4AF

Structure, governance and management

The Orchardville Society was incorporated by guarantee on 13 February 2007. It has no share capital and is registered with the Charity Commission for Northern Ireland and is recognised as a charity by HM Revenue and Customs for taxation purposes. The guarantee of each member is limited to £1. The governing document is the Memorandum and Articles of Association (as adopted 14 August 2006).

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2024

Structure, governance and management (continued)

Our Vision

A society where equal opportunities are enjoyed by all.

Our Mission

Supporting people with learning disability or autism to live, learn and work.

Organisational Structure

The Orchardville Society is governed by trustees who are also directors for company law purposes. There must be at least eight directors at any time but there is no maximum number stipulated. One-third of the directors retire from office each year. This is done on a rotational basis, but each director is eligible for re-election for a further three years. No director shall serve for more than four consecutive three year terms.

The chair and officers are appointed by the directors from among their number.

The board met 7 times during the year.

The Audit and Risk Committee (ARC) met 7 times during the year.

The Governance Committee met 4 times during the year. The committee was responsible for the recruitment and appointment of the new CEO, with the process beginning in September 2023 and concluding in December 2023. A review of committee structure was undertaken and a repurposed Governance and People committee (G&P) and new Business Development Committee (BDC) were established in May 24.

The strategic plan for years 2021-2024 expired on 31st March 2024. The board took part in a workshop in September 2023 to review the existing plan and develop a new 3-year strategic plan. The new strategic plan for 2024-2027 was presented to and approved by the board in May 2024.

Management and staffing

Orchardville's Chief Executive is Ms Cara Cash-Marley, appointed on 19th February 2024, who has the responsibility for leading and developing the strategies and services of Orchardville within parameters set by the Board of Directors. Mrs. Joan McGinn retired from the post of CEO on 31st December 2023.

The Chief Executive was supported during 2023/24 by a Senior Leadership Team comprising of Mrs. Lydia Lynas, Director of Employment and Community Inclusion, appointed 1st April 2023, Mrs. Brenda McCracken, Director of Operations, resigned 31st July 2023, Mr. Paris McDonagh, Head of Catering until 31st July 2023, appointed Director of Social Enterprise and Commercial Development 1st August 2023 and Mrs. Anne Marie McCartney, Director of Finance and IT. HR /Business Improvement advice was provided on a a consultancy basis until February 2024.

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2024

Structure, governance and management (continued)

Valuing Volunteers

Orchardville acknowledge the important contribution made by volunteers during the year to help achieve the charity's objectives. Volunteers support activities across the organisation in particular within the day opportunity services. As well as regular individual volunteering we have welcomed groups of volunteers from our charity partners including PwC and PA Consulting. Volunteers share their skills and knowledge to enrich the opportunities available including delivering employability training, hosting careers visits, gardening projects and supporting creative activities.

Disabled Employees

The Orchardville Society gives full consideration to applications for employment from disabled persons where the candidate's particular aptitudes and abilities are consistent with adequately meeting the requirements of the job and are proud to work alongside several colleagues with disabilities. Opportunities are available to disabled employees for training, career development and promotion.

Employee Involvement

Staff teams met regularly across departments and areas of work, using online platforms and in person. The Senior Leadership Team (SLT) met frequently to ensure strong leadership and planning. The SLT met in person 12 times in the year. The manager network was reestablished in June 2024, has met twice so far, and will be meeting quarterly across the year. The team participated in an employee survey to aid the development of the establishment of the organisation's 2024 - 2027 Strategic plan and there are ambitious plans to continue engagement across the year.

Public Benefit

Orchardville provides direct public benefit through the development and delivery of a range of specialist services to over 600 people with learning disability and / or autism throughout many parts of Northern Ireland. The directors confirm that they have had regard to the Charity Commission for Northern Ireland's guidance on public benefit on reporting on the charity's achievements and performance on page 5.

Objectives and activities

Orchardville delivers a range of services, projects, and opportunities to people with learning disability or autism to support them to reach their full potential and to be included in society. The principal objectives for which Orchardville Society is established is to relieve and advance the education of people with learning disabilities; to further the integration of people with learning disability into society; provide training, education, employment, leisure and recreation for people with learning disability and to increase public knowledge of the problems faced by people with learning disability.

Coronavirus-Covid-19

The impact of Covid-19 could still be felt throughout 2023/24 and we continued to follow public health advice.

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2024

Achievements and performance

2023/24 saw Year 3 of the current 3-Year strategy being delivered with progress monitored against the Balanced Score Card.

This year was an extremely challenging one for Orchardville which resulted in a loss of £249,731 in our employment and skills and supported training activities. The challenges along with the corrective action taken are described in the following paragraphs. While navigating these challenges Orchardville continued to deliver the same level of service excellence to our participants.

Employment and Skills

The new SkillSET programme, Orchardville's specialist employment programme, funded by UK Shared Prosperity Fund (UKSPF), BHSCT, SEHSCT & WHSCT, is focused on individuals with learning disability or autism who require specialist employment and training support to achieve and sustain employment and to support inclusion in society.

The European Social Fund which came to an end on 31st March 2023 was replaced by the UKSPF effective from 1st April 2023. This fund will exist for 2 years and allow the employment programme to continue until 31st March 2025. The UKSPF grant had different criteria which led to necessary changes within our organisation.

In 2023/24

299 participants positively engaged with SkillSET
Project participants secured 44 paid jobs
Participants achieved 197 accredited and non-accredited qualifications

Orchardville's employment team also supports people in employment (or at risk of losing their employment) through Workable NI, funded by the Department for the Communities. Orchardville is one of 6 specialist disability organisations who together form the Supported Employment Solutions consortium, to deliver Workable NI. During the year Orchardville supported 35 participants on the programme and supported employers through the provision of disability awareness training and advice on reasonable adjustments.

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2024

Achievements and performance (continued)

Community Provision & Transitions

Community Inclusion projects provide a range of services and support to people with learning disability or autism in several locations including Belfast, North Down, Lisburn, funded by the BHSCT, SEHSCT, Department of Health, The National Lottery, Motability and Assets Recovery Community Service (ARCS). The projects encourage the development of new skills, friendships and independence leading to progression towards independence and employment goals. A monthly timetable of activities is developed which includes partnering with local organisations to take part in wellbeing, creative and sporting activities as well as volunteering opportunities which encourage social participation in the community. During 2023/24 a total of 332 participants engaged in community projects including 150 participants engaged with community inclusion programmes in Belfast (TAP2 ,Engage, Employability Solutions & CLASP) and 132 engaged with the SEHCT programme which includes Next Steps, Men's Shed and Orchardville Grows, a a horticulture/gardening project. It also includes SDS Managed Budgets for participants from SEHSCT.

Social Clubs

Social Clubs continued in Belfast during 2023/24 with funding from BHSCT with one club meeting each week at head office or alternative facilities in the community. In addition the project funded by the Department of Health established to offer respite opportunities to families through the creation of social groups for young people and adults with learning disability in the SET continued throughout the year. This programme ran for 2 years and in that period 9,020 hours of support were offered and 70+ parents/carers benefited from the project. Orchardville Disability Football Club (DFC) was reformed, took part in the Disability Football league and finished top of the table hence winning the league. Also through the legacy donation a group of men continued to meet once per month on a Friday night to do activities in the community.

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2024

Achievements and performance (continued)

Supported Training

Supported training continues to be provided throughout Orchardville's services and social enterprises with experienced community support workers and vocational mentors supporting participants to progress and achieve agreed goals.

The social enterprise café estate at the beginning of the year consisted of 3 cafes. These cafes faced significant operational challenges during the financial year to 31st March 2024. These challenges proved to be too extensive to overcome and as a result the cafes sustained an operational loss in the year of £193k. The environment from the previous year did not improve to allow the 3 cafes to operate at a profit. The inflationary pressures created by the cost of living crises, changing consumer behaviour, and the loss of European Social Fund funding, were all still in existence and this ultimately led to the cafes operating at a loss during the year. The financial performance of the café estate was monitored very closely by senior management, forensically reviewed by the Audit & Risk (ARC) committee at each meeting and by the Board of Directors. After careful consideration and following full deliberations the decision was taken by the board that the remaining cafes would have to cease trading and subsequently by the end of February 2024 the three cafes had closed.

During this period of change our participants, in particular those that had been within the café estate, had not been disadvantaged, as alternative opportunities / training had been secured for them and they continued to be supported to develop both employability and soft skills. The core elements of Orchardville's business remained strong and stable throughout the financial year but there were challenges relating to the social enterprise activities as described above.

Organisational

During the year the Board of Directors kept under review the strategic risks (including governance risks) and operational risks (including financial, compliance, people and technological risks) to which the charity may be exposed.

Orchardville purchases professional indemnity insurance on behalf of its directors and officers as well as legal expenses insurance to cover any potential employment disputes and awards.

A new structure at Senior Level was introduced to manage the key organisational areas of focus.

The organisation launched its new 2024 - 2027 Strategy in June 2024. This strategy saw a focus on the "3 R's" Reflect, Refresh and Retain.

Orchardville are, via this plan, communicating our commitment to reflect on the previous strategic delivery period which saw challenges both internal and external. A change in the funding environment, the working environment and in consumer habits to name a few. These lessons will inform decision making across the next strategic period, empowering staff and service users to have a clear voice moving forward.

We also are committing to refresh our services and support to ensure that they are delivering what those who access them need. This will see renewed methods of communication, collecting and collating data in new ways and making data informed decisions. Furthermore we will reach out to collaborative partners making sure that those pathways are live and accessible.

Retaining those services which matter most, whilst ensuring they are fit for purpose and for the future is of prime importance across the next strategic plan. Ultimately this plan will see Orchardville and its services get closer to a position of sustainability. We will achieve this by reflecting on our income streams, our costing, our communication (internal and external) and our internal processes. We will

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2024

Achievements and performance (continued)

continue to develop a strong skills and strategic decision making base at a governance level and invest in skills development across our staff and volunteer teams.

Risk Management

The Management Committee has considered the major risks to which the charity is exposed. A risk register has been established and is updated at least annually. This was reviewed by the board in November 2023. Where appropriate, systems or procedures have been established to mitigate the risks the charity faces. Significant external risks to funding have led to the closure of the café estate to cease loss-making activity and best support future development and financial sustainability.

Financial review

For year ended 31st March 2024 our income decreased by 4.4% to £2,366,254 compared with £2,475,497 year ended 31st March 2023.

Our main funding streams for 2023/24 were from the DLUHC (UKSPF), Department for Communities, Department of Health, Department of Justice, Belfast Health and Social Care Trust, South Eastern Health and Social Care Trust, Western Health and Social Care Trust, The National Lottery, Motability, PA Foundation, Rank Foundation and social enterprise activities.

Designated Funds

Designated funds are those unrestricted reserves that have been allocated for a particular purpose by the directors.

The Fixed Asset reserve is equivalent to the net book value of Orchardville's assets which the board expects to retain less assets purchased using restricted funds, namely, the National Lottery Community Fund funded 'Connect' project.

Restricted Funds

Restricted funds are subject to specific trusts, ordinarily stipulated by the donor. The total of restricted funds carried forward at the balance sheet date amounts to £94,189.

The majority of the funding for Orchardville's activities and programmes has been from the three main health trusts, BHSCT, SEHSCT and WHSCT and the Department of Leveling Up, Housing and Communities (DLUHC). These funds represented almost 70% of total restricted income and 52% of total income.

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2024

Financial review (continued)

Reserves Policy

Free reserves comprise the total reserves available to the charity, less those reserves whose uses are restricted or else designated for specific purposes.

Orchardville's reserves policy has been reviewed by the Audit and Risk Committee and agreed by the board in November 2021 that free reserves be maintained:

to provide an appropriate level of working capital;
to fund shortfalls in income, when income does not reach expected levels; and
to fund unexpected expenditure when unplanned events occur.

To strengthen our overall position, the reserves policy supports 4 key areas:

Projected fund
Designated Funds
Infrastructure Funds
Research\Development Fund

Priority is given to the Projected Fund to sustain and support 3 months working capital requirements and to the Designated Fund to meet redundancy liabilities in the event of funding not being replaced and to address HR and staff priorities and issues. Funds remaining after the priority funds will support the Infrastructure and Research & Development Funds

In the event of reserves dipping below agreed level, we will aim to restore reserves over 4 years by:

Increased fundraising
Increasing earned income
Reducing expenditure

The Board of Directors developed a new policy designed to protect total reserves from any further depletion due to operational losses. This policy, Tolerance Level policy, was crafted during the year and has since been approved and agreed by the board at their meeting in August 2024.

Free reserves at 31 March 2024, excluding fixed assets and restricted reserves, amounted to £185,825.

Investment Policy

The Board of Directors reviewed the investment policy during the year to ensure that the overall investment objective which is to produce the best financial return with an acceptable level of risk is met.

The investment objectives that were set are:

The overall investment objective is to produce best financial return with an acceptable level of risk.
Investments are generally for the long term and trustees will ensure that their ability to meet future planned expenditure is not compromised by over-investment.

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2024

Trustees' responsibilities statement

The trustees, who are also directors for the purposes of company law, are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charitable company and the incoming resources and application of resources, including the income and expenditure, for that period.

In preparing these financial statements, the trustees are required to:

select suitable accounting policies and then apply them consistently;
observe the methods and principles in the applicable Charities SORP;
make judgments and accounting estimates that are reasonable and prudent;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.

The trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charity's transactions and 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 Companies Act 2006. 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.

Auditor

Each of the persons who is a trustee at the date of approval of this report confirms that:

so far as they are aware, there is no relevant audit information of which the charity's auditor is unaware; and
they have taken all steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information.

Small company provisions

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

Orchardville Society Limited

Company Limited by Guarantee

Trustees' Annual Report (Incorporating the Director's Report) (continued)

Year ended 31 March 2024

The trustees' annual report was approved on 19 November 2024 and signed on behalf of the board of trustees by:

Kathryn Martin (Chair) Trustee

Louise Tiffney (Treasurer) Trustee