Greyfriars Parish Church, Lanark
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1 Greyfriars Parish Church, Lanark (Church of Scotland) Annual Report and Accounts for year ending 31st December 2009 Charity Number: SCO16504 Congregational Number:
2 The trustees present the annual report and accounts for Greyfriars Parish Church, Lanark for the year ended 31st December 2009 Reference and Administrative Information Charity Name: Charity Registration Number: Greyfriars Parish Church, Lanark (Church of Scotland) SCO16504 Congregation Reference No: Contact Address: Website: Greyfriars Parish Church, Bloomgate, Lanark, ML11 9HX Trustees Kirk Session (Active Elders) Elma Barr Dorothy Barclay Catherine Chapman Graham Chapman John Dickman May Dickman Bill Flemington Agnes Gold Carolyn Graham Senga Hamilton Kenneth Hutchison Office Bearers Ian Ivison Liz Ivison Bryan Kerr Scott Ledingham Anna Lumsden Jack Lumsden Elizabeth McCartney Marcella McLennan Robert McMillan Avril Mitchell Helen Plenderleith Keith Prentice Leslie Reid Elspeth Riddet Dale Robb Diane Sloan Alistair Stewart Alex Sutherland Loraine Swan Lilias Tennant William Tennant David Thompson Miller Thomson Sheena Thomson Gershom Walker Jim Wallace Margaret Wallace Marlene Waugh Anne White Mac Wilson (to 19/10/09) Iain Duncan (to 14/12/09) Andrew Gilmour (to 14/12/09) Minister: Rev. Bryan Kerr Church Treasurer: Andrew Brown (to 20/04/09), Karen Brown & Anne Clarkson (from 20/04/09) Session Clerk: Marcella McLennan (to 22/02/10), Graham Chapman (from 22/02/10) Independent Examiner: Bankers: F. C. Marks Bank of Scotland, Bloomgate, Lanark, ML11 9HX The road of life twists and turns and no two directions are ever the same. Yet our lessons come from the journey, not the destination. Page 2
3 Structure, Governance and Management Governing Document Greyfriars Parish Church, Lanark is administered in accordance with the terms of the Deed of Constitution (Unitary Form). Recruitment and Appointment of Trustees Members of the Kirk Session are the charity trustees. The Kirk Session members are the active elders of the church and are chosen from those members of the church who are considered to have the appropriate gifts and skills. The minister, who is a member of the Kirk Session, is elected by the congregation and inducted by Presbytery. Organisational Structure The Kirk Session is moderated by the minister and meets six times in a year. The Kirk Session has five constituted action groups (Mission, Nurture, Pastoral, Resources and Worship) and certain responsibilities are delegate to them. Each action group is convened by a member of the Kirk Session with the membership being made up of elders and representatives from the congregation. Each action group reports regularly to the Kirk Session. Objectives and Activities The Church of Scotland is Trinitarian in doctrine, Reformed in tradition and Presbyterian in polity. It exists to glorify God and to work for the advancement of Christ s Kingdom throughout the world. As a national Church, it acknowledges a distinctive call and duty to bring the ordinances of religion to the people in every parish of Scotland through a territorial ministry. It co-operates with other Churches in various ecumenical bodies in Scotland and beyond. The parish of Greyfriars extends to cover the eastern side of Lanark as well as the village of Nemphlar. In 2006 the Kirk Session set out a vision statement for the congregation as it sought to find a new minister. This vision read: Ten years from now we hope to have increased our impact on the local community, to have increased regular attendance at worship, and to have increased the activity and involvement of members in the life and work of the church. We hope to have a greater proportion of young people involved in the church. Don Williams, Jr. (American Novelist and Poet) In the future, we see a busy, vibrant and caring church: recognised as somewhere to come and celebrate and worship God. It will be a place where one is assured of a warm welcome and comforting fellowship, where one s needs can be addressed with compassion, and where one can feel the love of God in action - shining out into the community. Page 3
4 With the development of a strategic plan for the congregation the Kirk Session, in order to help achieve that vision, defined why Greyfriars Church exists: Greyfriars Parish Church, Lanark seeks to serve the community and provide friendship, care and unconditional acceptance for all people. We belong together in a diverse family united in the love of God who share in worship and the service of God while examining, nurturing and sharing our faith to become better disciples of Christ. We therefore declare ourselves to be an open and affirming congregation made up of and welcoming all people into full participation in the life of the church, regardless of race, colour, gender, age, nationality, economic circumstance, marital status, sexual orientation, physical or mental ability or emotional condition. Every activity that the congregation undertakes is measured against our purpose in order that our vision can be realised and that as a congregation we move forward and feel God s love in action, shining our into our community. Achievements and Performance Throughout the Bible stories are told of God s people being on a journey. From the earliest times when Moses led his people out of Egypt into the Promised Land, to the writings of Paul as he travelled across the continent sharing the Good News of Jesus Christ, travelling has played an important part. In Greyfriars Parish Church we are on a journey that is no different to those who have inspired the faith in years gone by. It is on our journey that the congregation deepen their faith, meet with God and are shaped by those they meet along the way. Then Moses and the Israelites sang this song to the LORD Exodus 15:1 It is important that on any journey we are equipped for the road ahead. When on their journey from slavery to freedom the Isaraelites often grumbled and complained about the direction in which they were travelling. For forty years they wandered the wilderness on what they had assumed would have been a short journey into the Promised Land. For all their complaining i n and struggles they still found time to worship God. Worship is at the heart of Greyfriars Church. It is in and through worship that we offer our thanks to God for what we Let your mind start a journey thru a strange new world. Leave all thoughts of the world you knew before. Let your soul take you where you long to be...close your eyes let your spirit start to soar, and youll live as youve never lived before. Page 4
5 have, and also grow in our relationship with him. Greyfriars Parish Church meets for worship each Sunday at 11am with a shorter, traditional service being held on the last Sunday of each month at 9:30am. Communion is celebrated 5 times a year at the 11am service, typically on the first Sundays of March, June, September and December as well as on Easter Sunday and every month at the 9:30am service. The worship in Greyfriars takes many forms and it is hoped that there is something in which people of all ages and backgrounds can find inspiration. Greyfriars Church believes that the church is there for all people, and that there will be an unconditional welcome for them when they come along. This is especially true of the children in our church who we aim to welcome into the life of our congregation. The Sunday school provides a welcome, good teaching and discussion and lots of fun for those involved, both children and adults, all in equal measure. Although the children leave the church during the service, they are doing so only to be involved in activities suited to their age, they are not being excluded from worship. The Sunday school and crèche are an integrated part of worship in Greyfriars. To symbolise this belief the Sunday school follow the same stories that the overall worship theme is linked to each week. Greyfriars has a small group of very enthusiastic teenagers who play an important role within the life of our congregation. On a Sunday, as well as attending, many have a role to play within worship, from audiovisual operation to staffing the children s library. During 2009 a youth group was established for those of secondary school age and meets each week during Sunday worship to help young people discuss and think about issues of faith and life. Music plays an important part in worship at Greyfriars and through the exceptional talents of the Directors of Music, Philip and Shena Fox, music to suit all tastes can be heard and enjoyed. The junior and senior choir exist to lead people in praise and play a very active part in worship at Greyfriars and beyond. The junior choir played an active part in Lanark s Christingle Service at Christmas in Christ Church, the local Episcopal Church and sang at the General Assembly in Edinburgh for the national launch of Sing Out a new children s music programme organised by the Mission and Discipleship Council of the Church of Scotland. All of our activities which are provided for children and young people are carried out in accordance with the Church of Scotland s policy on the protection of children and young people. Erich Fromm (Social Philosopher and Psychoanalyst) Greyfriars believes that as well as worshipping and learning together as a congregation, fellowship and growing in friendship are of equal importance. After worship on a Sunday a growing number of people are joining together in the church hall for coffee and fellowship. Many have commented as to how this time has enabled them to deepen relationships with other church members, particularly those who are new to the Greyfriars church family. Page 5
6 But Ruth replied, Don t urge me to leave you or to turn back from you. Where you go I will go, and where you stay I will stay. Your people will be my people and your God my God. Ruth 1:16 In the story of Ruth, following her husband s death, she pleaded with Naomi, her mother in law, not to be sent back to her homeland to remarry as was the custom. She had already made the journey to a new land to marry and she felt at home there, had made friends, and was part of the community. It was in the strongest possible terms that she protested and expressed her desire to stay and be a part of Naomi s life and the life of the community where she felt she was needed. It is within the local community that Greyfriars Church finds its locus. Many people within Greyfriars give of their time and talents to be a part of the local community, ensuring that the ways of God are represented beyond the doors of the church. It would be difficult to think of a community group within Lanark that did not have a member of, or someone associated with, Greyfriars Church playing an active part. Our minister, for example, is a member of the Royal Burgh of Lanark Community Council and represents the views and interests of all the church communities in Lanark. Greyfriars Parish Church sees it as a privilege to provide opportunities for members of the community to gather. Since 2008 the congregation has been encouraging groups to make use of the church building following the closure of the Memorial Hall in Lanark for refurbishment. Groups such as the Lanark Panto Club and Panto Club Juniors, Lanark Amateur Musical Society and Dancerite have all used the church to hold various performances. From Mother Goose to the Messiah, the church has been used to a far greater extent in the past year. The Kirk Session is pleased to be able to welcome different groups to make use of the building and find a home in Greyfriars Church. It is a hope and prayer of the Kirk Session that this valuable work within our community continues to develop and grow to ensure that Greyfriars remains at the heart of the community. Greyfriars also runs a parent and toddler group, the Wrigglers. On a Friday morning up to 30 toddlers (and corresponding parents) attend the Wrigglers group, most from beyond the Greyfriars congregation. The group offers a mix of crafts, stories, games, snacks, informal play, baking and songs for the toddlers and a chance for parents to meet each other in a relaxed atmosphere. The wrigglers committee organises a number of activities for the children as well as looking after the day-to-day management of the group. All those The journey of a thousand miles must begin with a single step. Page 6
7 coming along with a child take turns in offering assistance with snacks, setting-up and clearing away and organising activities. There are many other organisations which take place within the life of the congregation. A sewing group meets fortnightly for fellowship and sewing activities. Around eight people attend this group. Greyfriars Guild, affiliated to the national Church of Scotland Guild, meets fortnightly between September and March and each year has a varied programme of speakers and entertainment on offer for their members. With 35 members and around 30 on average attending each meeting the Guild meets a need within the congregation for fellowship, worship and service. Other organisations to use the church premises include Lanark & Carluke Camera Club, Music in Lanark, Lanark & Carluke Choral Union, Keep Fit Classes, Tai Chi Classes, Yoga Classes, Lanarkshire Association for Mental Health, Lanark Amateur Musical Society (LAMS), Lanark Lord Cornets Club, Macular Degeneration Support Group and Clydesdale VIP Group. During the night Paul had a vision of a man of Macedonia standing and begging him, Come over to Macedonia and help us. Acts 16:9 Paul was taken in a different direction in his journey when he had a vision of a man needing his help. The Kirk Session of Greyfriars Church has been looking at new ways to help people hear the Good News of God. In the autumn of 2009 our first Messy Church event was held. Messy Church is a gathering for people of all ages with crafts, discussion, games, food and worship all centred around a theme. This has proved a popular addition to the activities at Greyfriars with 50 people taking part in our last event. Another new event for Greyfriars Church in 2009 was the establishment of the Open Doors afternoon where people were able to meet for worship, conversation and coffee on a Thursday afternoon from March to December. The Kirk Session is currently looking at ways in which more groups like this can be established for people to gather. It was in December 2009 that Greyfriars established its largest new event. On Christmas Eve the congregation moved from the church into the Clydesdale Inn a few doors away from the church to share some Christmas cheer and some of the Christmas story with those who were in the pub that night. Carol sheets were distributed to those who were gathered and by the end of the hour long service over 400 people were a part of it. The Kirk Session are pleased that not only did those who gathered enjoyed themselves but that the congregation were able to share some of the Christian message of hope and peace for all with the local community. Lao Tzu (Chinese Philosopher) Page 7
8 It can be very tempting when you go on a journey to pack everything you might possibly need just in case the need arises. Jesus told his disciples to do exactly the opposite - to take nothing with them. It meant living off the generosity of others, not knowing where their next meal or bed was coming from. In our Christian journey we are encouraged to do likewise. Not to get bogged down with the things that might hold us back, but to let go, travel light and trust in the provision of God. In August 2008 the Kirk Session of Greyfriars Church adopted a new leadership model which allows for more people to play their part in the life of the congregation. It was a new way of operating for the congregation, relying not on our own efforts but on the conviction that God was with us. Almost 18 months after the inception of the new model all of the Action Groups are working well and grappling with issues that present themselves. Five Action Groups have been established to cover Mission, Nurture, Worship, Pastoral Care and Resources and each group is encouraged to look at opportunities for service within the congregation. The Pastoral Group has been engaged with the major task of ensuring that all of the members of Greyfriars Church are cared for and communicated with regarding the work of our congregation. They have successfully relaunched the congregational magazine, The Greyfriars Gazette, in full colour following the purchase of a new digital copier. The Nurture Group has been ensuring that there are opportunities for people of all ages to deepen their faith. Work with children and young people is a large part of this groups remit and with the establishment of a new youth group for young people of secondary school age, the Nurture action group is moving towards their aim of the whole church learning together. The Worship Action Group has been developing opportunities for members of the congregation and community to worship together. The midweek open door was enjoyed by those who came along, new evening services have been developed once a month with a variety of different styles being employed. The music of the congregation continues to develop through the choirs and praise band and the teenagers involved in the puppet ministry team continue to look for new opportunities to share their message. In June 2009 they were invited to be a part of the national ecumenical Churches in Rural S c o t l a n d stand at the Royal H i g h l a n d Show and enjoyed being able to share their faith with those who stopped to watch. He sent them out two by two and these were his instructions: Take nothing for the journey except a staff; no bread, no bag, no money in your belts. Mark 6:7-8 To get through the hardest journey we need take only one step at a time, but we must keep on stepping Page 8
9 The Mission Action Group ran the annual holiday club in 2009 and presented The Tale Machine to over 60 children from the community. The holiday club encouraged children to think about some of the stories of Jesus in a new light and to contemplate the relevance they have for their own life. Everyone involved enjoyed the week and commented on how much the children had appreciated what had gone on. It is hoped that those who volunteered will continue to share the message in future years holiday clubs. The Resources Action Group has established themselves within the life of the congregation ensuring that the finances and property are well maintained. In 2009 the action group had to deal with the removal of asbestos from under the sanctuary floor, the upgrading of the pipe organ to include a new set of pipes, major work in the manse garden to provide suitable drainage for rainwater to ensure that the area can be used by the manse family and the provision of a new office for the minister in the church. It is hoped that the work the action group undertake can be matched by the commitment of the congregation to fund new and exciting projects in the years to come. Peter and the disciples were on a journey to another town and they had forgotten to take Jesus! However he came to them, walking on the water. Jesus was quite clear, for Peter to show his faith he had to walk to Jesus but in order to do that he had to get out of the boat! In all that Greyfriars Church does it is recognised that occasionally risks have to be taken. The challenge for our church is to trust, as Peter did, in God s love to hold us and carry us in all that we do. It is important that Greyfriars continues on the journey it started many years ago to be a place of welcome for all people. However, to do so, we might have to get our feet wet and step out of the boat. Chinese Proverb When the disciples saw Jesus walking on the lake, they were terrified. It s a ghost, they said, and cried out in fear. But Jesus immediately said to them: Take courage! It is I. Don t be afraid. Lord, if it s you, Peter replied, tell me to come to you on the water. Come, he said. Then Peter got down out of the boat, walked on the water and came toward Jesus. Matthew 14:26-29 The vision of Greyfriars Church is clear. We are on a journey, with many twists and turns, and even the occasional pot-hole on the road, but our joy is in the journey. We may not know the destination, but as we commit ourselves to worship, prayer and service, let us pray that God will show us the way forward and encourage us to continue to show his love in action as we embark on our journey of faith. Page 9
10 Financial Review Income Although Income in total showed an increase over last year there was in fact a slight reduction when the one-off VAT recovery of 7,764 is excluded. Offerings were 2% down, fundraising income was also less and income from investments was reduced due to low interest rates. There was, however, a substantial increase in income from letting our premises due to the greater usage by local community groups while the Memorial Hall remains closed. Expenditure Total expenditure at 138,327 showed a significant increase over last year. A large part of this increase was attributable to essential expenditure on Fabric and Maintenance which amounted to 24,326 ( ,386). The main items were Vestry windows replacement and partitioning - 5,409 Asbestos removal - 4,395 Drainage work in Manse garden - 4,734 Boiler repairs - 2,264 Electrical re-wiring and lighting improvements - 1,112 In addition 5,175 was spent on the organ for pipework repairs and a major upgrade These costs were unusually high in 2009 but it is essential that our properties are maintained to a high standard to reduce the risk of higher costs at a later date. Energy costs also escalated mainly due to the increased rates being charged by our suppliers. We are disputing the level of gas supply charges but have made full provision in the accounts. The Challenge Ahead We have been fortunate to have had s u f f i c i e n t accumulated Reserves from previous years to meet the deficits incurred in the last three years. We cannot Focus on the journey, not the destination. Joy is found not in finishing an activity but in doing it. Page 10
11 however sustain continuing deficits over the long term. The Trustees have a responsibility to maintain the Church s finances in a healthy condition and are therefore planning to have a Stewardship Campaign entitled Gifts for God in the Autumn of Reserves Policy It is the Trustees policy to hold reserves of approximately six months expenditure including designated funds. At the year end the Church held unrestricted cash funds of 61,973 (2008: 88,038) of which 3,654 (2008: 3,654) had been designated for fabric fund and 4,696 (2008: 4,429) for congregational organisations. The remaining balance of 53,623 (2008: 79,955) represents about five months expenditure The church also held 20,000 (2008: 20,000) of restricted funds and 11,125 (2008: 10,867) in endowment funds, which have been provided for the purposes specified in Note 13. Statement of Trustees Responsibilities Charity law requires the trustees to prepare financial statements for each financial year which show a true and fair view of the state of affairs of the charity and its financial activities for that period. In preparing those financial statements, the trustees are required to: select suitable accounting policies and then apply them consistently; make judgments and estimates that are reasonable and prudent; state whether applicable accounting standards and statements of recommended practice have been followed,subject to any departures disclosed and explained in the financial statements; and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operational existence. The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 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. Approved by the Trustees and signed on their behalf, Greg Anderson (Author) Graham Chapman, Session Clerk 22nd February 2010 Page 11
12 Greyfriars Parish Church, Lanark (Church of Scotland) SCO16504 Report of the Independent Examiner Respective responsibilities of trustees and examiner The charity trustees consider that an independent examination is needed under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act It is my responsibility to examine the accounts under section 44(1)(c) of the Act and to state whether particular matters have come to my attention. Basis of independent examiner s statement 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 I do not express an audit opinion on the accounts. Independent examiner s statement In the course of my examination of the statement of account for the year ended 31 December 2009, no matter has come to my attention 1. which gives me reasonable cause to believe that in any material respect: accounting records have not been kept in accordance with Section 44 (1)(a) of the Charities and Trustee Investments (Scotland) Act 2005 and Regulation 4 of The Charities Accounts (Scotland) Regulations 2006 the accounts do not accord with those records the statement of account do not comply with any of the requirements of Regulation 8 of The Charities Accounts (Scotland) Regulations to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached. Fred C. Marks Chartered Accountant Hillcot Whitelees Road Lanark ML11 7RX 2nd March 2010 Page 12
13 Statement of Financial Activities Year ended 31 December 2009 Note Unrestricted Restricted Endowment Funds Funds Funds Total Total Incoming Resources Incoming resources from generated funds Voluntary income 1 82,716 82,716 84,262 Activities for generating funds 2 11,141 11,141 7,766 Investment income 3 1, ,085 4,533 Incoming resources from charitable activities 4 7,556 7,556 11,162 Other incoming resources (VAT Refund) 7,764 7,764 - Total Incoming Resources 111, , ,723 Resources Expended 5 Costs of generating funds Charitable activities 136, , ,671 Governance costs Total Resources Expended 137, , ,866 Net incoming/outgoing resources before transfers (26,065) - - (26,065) (3,143) Transfers between funds - Net incoming/outgoing resources before other recognised gains and losses - Gain/Loss on revaluation of investments (2,443) Net movement in funds (26,065) 258 (25,807) (5,586) Total funds brought forward 88,038 20,000 10, , ,491 Total funds carried forward 61,973 20,000 11,125 93, ,905 Page 13
14 Balance Sheet at 31 December Note Fixed Assets Tangible Fixed assets 8 15,857 14,754 Investments 9 11,125 10,867 26,982 25,621 Current Assets Debtors 10 13,858 24,779 Bank and cash 65,957 93,451 79, ,230 Creditors Falling due within one year 11 13,699 24,946 Net Current Assets 66,116 93,284 Net Assets 93, ,905 Unrestricted Funds 13 General funds 20,436 26,7687 Designated funds 41,537 61,271 61,973 88,038 Restricted Funds 13 20,000 20,000 Endowment Funds 13 11,125 10,867 Total Funds 93, ,905 The accounts were approved by the Kirk Session on 22nd February For and on behalf of the Kirk Session Graham Chapman, Session Clerk John Lumsden, Resources Convenor Karen Brown, Treasurer Anne Clarkson, Treasurer Page 14
15 Accounting Policies for the year ended 31 December 2009 The principal accounting policies, which have been applied consistently in the current and preceding year in dealing with items which are considered material to the accounts, are set out below. The charity has adopted the requirements of the Statement of Recommended Practice: Accounting and Reporting by Charities (issued February 2005) for the first time. Accordingly, the accounts of the charity, previously prepared on an accruals basis, have been restated. Basis of preparation The accounts have been prepared in accordance with applicable accounting standards and under the historical cost convention, modified to reflect the inclusion of investments at market value, and in accordance with the Charities and Trustee Investment (Scotland) Act 2005, The Charities Accounts (Scotland) Regulations 2006, the Regulations anent Congregational Finance approved by the General Assembly of the Church of Scotland in 2007 and the Statement of Recommended Practice: Accounting and Reporting by Charities (2005). Funds Funds are classified as either restricted funds or unrestricted funds, defined as follows. Restricted funds are funds subject to specific requirements as to their use which may be declared by the donor or with their authority or created through legal processes, but still within the wider objects of the charity. Endowment funds are funds which have been given on the condition that the original capital sum is not reduced, but the income therefrom is used for the purpose defined in accordance with the objects of the charity. Unrestricted funds are expendable at the discretion of the trustees in furtherance of the objects of the charity. If parts of the unrestricted funds are earmarked at the discretion of the trustees for a particular purpose, they are designated as a separate fund. This designation has an administrative purpose only and does not legally restrict the trustees discretion to apply the fund. Incoming resources All donations and gifts are included within incoming resources under either unrestricted or restricted funds according to the terms under which the donation is made and when the amount can be quantified with reasonable certainty. Donations and gifts in kind are brought into the accounts at their market value to the charity. Resources expended Expenditure is recognised on an accruals basis as the liability is incurred. Page 15
16 Accounting Policies for the year ended 31 December 2009 Tangible fixed assets The charity has the right to occupy and use for its charitable objects certain tangible fixed assets, including the Church, halls and manse, vested in the Church of Scotland General Trustees. No consideration is payable for the use of these assets. Expenditure incurred on the repair and maintenance of these assets is charged as resources expended in the statement of financial activities in the period in which the liability arises. All tangible fixed assets costing in excess of 500 having a value to the charity greater than one year, other than those acquired for specific purposes, are capitalised. Depreciation is provided on a straight-line basis to write off the cost or initial value, less residual value, of tangible fixed assets over their estimated useful lives: General Fixtures & Fittings Computer Equipment Lighting Equipment Audio Visual Equipment 10 years 4 years 4 years 5 years Investments Fixed asset investments are stated at market value at the balance sheet date. Unrealised gains and losses represent the difference between the market value at the beginning and end of the financial year or, if purchased in the year, the difference between cost and market value at the end of the year. Realised gains and losses represent the difference between the proceeds on disposal and the market value at the start of the year or cost if purchased in the year. Taxation Greyfriars Parish Church, Lanark is recognised as a charity for the purposes of applicable taxation legislation and is therefore not subject to taxation on its charitable activities. The charity is not registered for VAT and resources expended therefore include irrecoverable input VAT. Page 16
17 Notes forming part of the financial statements for the year ended 31 December 2009 Unrestricted Restricted Endowment Funds Funds Funds Total Voluntary income Offerings 69, ,412 70,946 Tax recovered on Gift Aid 13, ,304 13,316 Legacies Endowment income Other ,716 82,716 84,262 2 Activities for Generating Funds Use of premises 11, ,016 7,766 Life and Work Other ,141 11,141 7,766 3 Investment income Deposit interest 1, ,744 3,688 Dividends received Bank interest , ,085 4,533 4 Incoming Resources from Charitable Activities - Weddings and funerals 1, ,678 3,835 Other Fundraising Activities 5, ,878 7,237 7, ,556 11,162 Page 17
18 Notes forming part of the financial statements for the year ended 31 December 2009 Unrestricted Restricted Endowment Funds Funds Funds Total Analysis of Resources Expended Costs of Generating Funds Offering envelopes Charitable Activities Ministries and Mission Allocation 51, ,856 51,924 Presbytery dues 1, ,950 2,272 Minister's expenses 3, ,474 6,136 Locum costs and pulpit supply Other salary costs 11, ,428 8,850 Fabric repairs and maintenance 24, ,326 10,386 Council tax 2, ,488 2,558 Other buildings costs 19, ,260 8,510 Church office expenses 2, ,929 4,415 Organ and music 5, ,175 - Audio and Visual Worship resources ,166 Worship Action Group 1, ,216 - Nurture Action Group Mission Action Group Pastoral Action Group Kirk Session Church organisations (Note 16) 5, ,750 4,294 Other expenses (828) ,399 Net cost of new manse Vacancy expenses Depreciation 6, ,366 4, , , ,671 Governance Costs Independent Examiner s fee Total 137, , ,866 Support costs have not been separately identified as the trustees consider there is only one charitable activity. Therefore support costs relate wholly to that activity and have not been separately identified. Page 18
19 Notes forming part of the financial statements for the year ended 31 December Staff costs and numbers Salaries and wages 11,428 8,850 Social security costs Total 11,428 8,850 The average number of employees during the year, calculated on the basis of a head count, was as follows: Music staff 2 2 Premises maintenance All Church of Scotland congregations contribute to the National Stipend Fund which bears the costs of all ministers stipends and employer s contributions for national insurance, pension and housing and loan fund. Ministers stipends are paid in accordance with the national stipend scale, which is related to years of service. For the year under review the minimum stipend was 23,139 and the maximum stipend (in the tenth and subsequent years) 30, Trustee Remuneration and Related Party Transactions The Minister Rev. Bryan Kerr received reimbursement of expenses during the year, as undernoted Travelling Expenses 1,786 Telephone/Internet Accounts 1,618 Sundries 70 3,474 In addition Council Tax of 2488 was paid for the manse in the year No trustee or a person related to a trustee had any personal interest in any contract or transaction entered into by the charity during the year other than as follows:- A Gilmour was paid a total of 2695 for joiner work and materials for creating an office space, replacing windows, and altering pews to fit wheelchairs and prams in the church. K Prentice was paid a total of 2933 ( ) in his role as Church Officer throughout 2009 as agreed by the trustees Page 19
20 Notes forming part of the financial statements for the year ended 31 December Tangible Fixed Assets Equipment Cost At 1 January ,875 Additions Security Locks 527 Photocopier 3,817 Church Lighting Equipment 3,125 7,469 At 31 December ,344 Accumulated Depreciation At 1 January ,121 Charge for year 6,366 At 31 December ,487 Net Book Value At 31 December ,857 At 31 December ,754 9 Investments Market value at 31 December ,867 13,310 Unrealised (loss) / gain on investments 258 (2,443) Market value at 31 December ,125 10,867 Investments at cost 11,477 11,477 The following investments are held: 3, /2% War Loan 435 4% Consolidated Stock 2465 units Church of Scotland Growth Fund Page 20
21 Notes forming part of the financial statements for the year ended 31 December Debtors Gift Aid Tax refund due 4,603 3,958 Payments recoverable re new manse - 9,296 Grant receivable for pointing work - 8,000 Sundry debtors 9,255 3,525 13,858 24, Creditors Accruals 3,199 1,083 Balance of fees re manse - 5,399 Trade creditors 9,879 18,420 Sundry creditors ,696 24, Analysis of Net Assets Among Funds General Designated Restricted Endowment Total Fixed Assets 15,857 15,857. Investments 11,125 11, Current Assets 18,278 41,537 20,000 79,815 Current Liabilities (13,699) (13,699) Net assets at 31 Dec ,436 41,537 20,000 11,125 93,098 Page 21
22 Notes forming part of the financial statements for the year ended 31 December Movements in Funds At 1 January Incoming Outgoing At 31 Dec 2009 Resources Resources Transfers 2009 Endowment funds 10, ,125 Restricted funds Legacy not for fabric 20, ,000 Unrestricted funds Designated Fabric Fund 3, ,654 Bequest Fund 53, (20,000) 33,187 Designated Guild Fund 2,735 3,893 2,989-3,639 Designated Wrigglers Fund 1,052 1,180 1, Designated Sunday School Fund ,157 - (38) Designated Puppet Ministry Designated Youth Choir General Fund 26, , ,356 20,000 20,436 88, , ,106-61,973 Total funds 118, , ,069-93,098 Purposes of Endowment Funds Income from the Funds may to be used for any purpose agreed by the Trustees Purposes of Restricted Funds The Funds may be used for such purposes, excluding the fabric, as the Session shall determine Purposes of Designated Funds Fabric Fund: The Trustees have set aside funds for the maintenance of the church property. Bequest Fund: The Trustees have set aside funds received from legacies, the use of which is unrestricted. Guild Fund: The Trustees have set aside funds for the running of the Guild. Wrigglers, Sunday School, Youth Choir, Puppet Ministry Funds: The Trustees have set aside funds for the running of the individual groups. 14 Collections for Third Parties Open Door Trust Kenyan Aid Project Water Aid 1,395 - Christian Aid Bible Society Salvation Army ,034 1,119 Page 22
23 Notes forming part of the financial statements for the year ended 31 December Funds held by the Church of Scotland General Trustees Capital Account Balance at 1 January ,203 Reduction in value of investment shares (1,476) Funds transferred (4,727) - Interest Account Balance at 1 January ,201 Interest for year 88 Funds transferred (4,274) 15 All of the above funds were used to reduce the costs of the new manse 16 Congregational Organisations Income is included in Notes 1-4 as follows Income Voluntary Bank Coffee Other Income Interest Mornings etc Income Total Guild ,727 1,403 3,894 Sunday School Wrigglers 1, ,207 Puppet Ministry Youth Choir , ,727 1,897 6,045 Expenditure shown in Note 5 is as follows Expenditure Gifts & Worship Toys & Donations Flowers Resources Equipment Sundries Total Guild ,446 2,989 Sunday School , ,157 Wrigglers ,330 Puppet Ministry Youth Choir , ,286 5,750 Page 23
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