The trustees present their annual report and financial statements for the year ended 31 January 2025.
The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019).
The company has been formed to benefit principally the community of Dalmellington Parish which comprises the areas of Bellsbank, Burnton, Dalmellington and Waterside with the following objectives:
The advancement of community development (including the advancement of rural regeneration) principally within the Community
The advancement of arts, heritage, culture or science
Advancement of environmental protection or improvement including preservation and conservation of the natural environment, the promotion of sustainable development, the maintenance, improvement or provision of environmental amenities for the community and the preservation of buildings or sites of architectural, historic or other importance to the community
The provision of recreational facilities, or the organisation of recreational activities, with the object of improving the conditions of life for the persons for whom the facilities or activities are primarily intended. Community and the public at large with the object of improving the conditions of life of the Community, and
Any other purpose that may reasonably be regarded as analogous to any of the preceding purposes but only to the extent that the above purposes are consistent with furthering the achievement of sustainable development.
The charity been busy during this year and continues to employ two part time Development Officers funded by South Kyle Wind Farm. £50k was made available to the charity from South Kyle Community Benefit Fund during the financial year 2024/25 and the full amount was distributed to various community groups and organisations. £15k was made available from the South Kyle Training and Education Fund during the Financial year 2024/25 and the full amount was utilised through training courses provided by the Trust and distribution to the local community for Education, Training and Employability purposes and opportunities. The Trust joined with SCOTO to host a ‘Press Pause’ conference and produce a report to ensure that regeneration in the community happens for all through the development and promotion of tourism.
The charity received income of £456k in the year (2024 - £229k) and had expenses of £157k (2024 - £53k) giving a surplus of £299k for the year (2024 - £176k). There was also £76k of capital spend during the year.
Closing reserves amounted to £453 of unrestricted funds and £473k of restricted funds. Included within the restricted funds was £168k of fixed assets.
Cash reserves equivalent to six months operating costs for protection of core work should be held in the Current account. As the Reserves increase an Investment Account will be considered after taking professional advice as set out in this policy. Two x Development Officer Salaries including oncosts and Local Community Funds are Restricted Income and therefore not included in Reserve funds. This Reserves Policy will be reviewed quarterly.
The Trust continues to administer the South Kyle Community Benefit Fund. Funding continues to be agreed at £50,000/annum Community fund and £15,000/annum Training & Education Fund. The charity is planning to host a variety of training courses open to the full community to enhance employability. Access to funding through Foundation Scotland/South Kyle Wind Farm and the 9CCGroup for large community legacy projects will be available during 2025/26. The Charity is currently working on two flagship project proposals for an All Inclusive Cycle Hub and the purchase of the Kirk of the Covenant building.
The charity is a company limited by guarantee and governed by its Articles of Association.
The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:
The maximum number of directors shall be ten; out of that number, no more than 7 shall be Member Directors and no more than 3 shall be Co-opted Directors. At any given time, directors who are also Ordinary Members must form a majority of the total number of directors in office. The minimum number of directors shall be four, of whom a majority must be Member Directors.
Any person who is willing to act as a director, and is permitted by law to do so, may be appointed to be a Director by a decision of the Directors.
In addition the board may appoint any individual (providing they are willing to act) to be a director (a “Co-opted Director”) on the basis that:
they have specialist experience and/or skills which could be of assistance to the board; or
they are in a position to bring an additional perspective (e.g. a young person’s perspective) to the work of the board.
The trustees' report was approved by the Board of Trustees.
I report on the financial statements of the charity for the year ended 31 January 2025, which are set out on pages 4 to 15.
It is my responsibility to examine the financial statements as required under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and to state whether particular matters have come to my attention.
My examination is carried out in accordance with Regulation 11 of the Charities Accounts (Scotland) Regulations 2006. An examination includes a review of the accounting records kept by the charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, 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 view given by the financial statements.
In the course of my examination, no matter has come to my attention
1. which gives me reasonable cause to believe that in any material respect the requirements:
to keep accounting records in accordance with Section 44(1)(a) of the Charities and Trustee Investment (Scotland) Act 2005 and Regulation 4 of the Charities Accounts (Scotland) Regulations 2006, and
to prepare financial statements which accord with the accounting records and comply with Regulation 8 of the Charities Accounts (Scotland) Regulations 2006
have not been met, or
2. to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
Dalmellington Parish Development Trust is a private company limited by guarantee incorporated in Scotland. The registered office is 38 Ayr Road, Dalmellington, Ayrshire, KA6 7SJ.
The financial statements have been prepared in accordance with the charity's Memorandum and Articles of Association, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended), FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (effective 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities not to prepare a Statement of Cash Flows.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Grants receivable are credited to the Statement of Financial Activities (SOFA) in the year in which they are awarded, providing entitlement, certainty and measurement can be confirmed.
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
The average monthly number of employees during the year was:
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
Deferred income is included in the financial statements as follows:
Deferred income relates to a grant with performance related conditions which had not been met at the year end.
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
Bike Track - Includes Funds received from Coalfield Communities Landscape Partnership (CCLP) and East Ayrshire Council to develop and build a new inclusive Bike Track in Dalmellington, construction work on this project started in the year and this is represented by the assets under construction at note 13.
Property fund - This fund includes money received from Foundation Scotland and Dunaskin Bowling Club to contribute to the purchase of the Freehold Property that was purchased. The balance represents the net book value of the property.
Training fund - This money has to be used by the charity for training courses or award businesses or individuals to running training courses.
Community fund - This fund has to be used to award grants out to businesses or individuals.
Development Workers fund - This fund has to be used to staff wages and any overheads to support the staff work within the charity.
Church Building fund - This was funds received to look at the feasibility of acquiring the Kirk O' the Covenant church building.
The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used. These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.
Board members declare any potential conflicts of interest where the director/trustee of the charity has a connection with the individual or organisation making a grant application. In these instances the Board Member in question leaves the room and takes no part in the decision making process.
The following interests were declared in the year relating to grant applications:
Shirley Anderson declared an interest in an application from Zac Dixon for which £558 was awarded. (2024 - £Nil)
Lee Orr declared an interest in an application from Craigmark Burntonians FC for which £3,500 was awarded. (2024 - £Nil)
Elaine Stewart declared an interest in an application from the Zone Initiative for which £3,050 was awarded. (2024 - £nil)
Shirley Anderson and Rae Smith declared an interest in an application from Dalmellington Community Council for which £3,976 was awarded. (2024 - £nil)
Rae Smith declared an interest in an application from Dalmellington Community Association for which £8,060 was awarded. (2024 - £nil)
£2,955 was also paid to Dalmellington Community Association for hire or space and training events. As noted above Rae Smith has a connection to Dalmellington Community Association.