Prepared by: Dave Crimmin Page 1 of 6

Agenda Item 2 Councillor Dispensation If there is an item on this agenda for which you have a pecuniary interest you will not be able to take part in any of the discussion or vote on a resolution. However, if you wish the council to consider your request for dispensation you need to write to the Clerk ahead of the meeting stating your reasons on why you should be given a dispensation. Agenda Item 5 Routine Correspondence No correspondence other than that listed in this pack has been received since the last meeting. If there is an email that I have circulated which is not included on the agenda and you consider it should be discussed, please raise the item at this point. Agenda Item 6 Clerk s Report Minute Action Complete P 18/043 c Issue to be raised with SCC Highways. 18/085 Minutes placed on website. P 18/089 a Payments made to suppliers. P 18/090 Planning response(s) sent to Babergh. P 18/089 c Subscription process for Parish Online in progress. 18/092 Policy updated on website. P 18/094 Wrote to James Finch. P 18/095 Meeting dates published on notice boards and website. P Clerk Hours As at 30th December 2018 the Clerk Worked 132.5 hours / Paid 152 hours. Additionally, 4.5 hours worked on the Neighbourhood Plan in November. Prepared by: Dave Crimmin Page 1 of 6

Agenda Item 7a Responsible Finance Officer (RFO) Report Receipts & Payments Date Details Ref Power Receipts Payments 17/12/18 Autela - Payroll Q3 515 LA 2011 ss 1 to 8 0.00 30.00 28/12/18 DF Crimmin - Salary Oct to Dec 516 LA 2011 ss 1 to 8 0.00 470.32 28/12/18 DF Crimmin - WFHA Oct to Dec 516 LA 2011 ss 1 to 8 0.00 26.00 28/12/18 HMRC - Clerk Tax 517 LA 2011 ss 1 to 8 0.00 117.60 14/11/18 SCC P3 276.40 0.00 15/01/19 Gardens Arb Business Ltd - Footpaths 518 LA 2011 ss 1 to 8 0.00 240.00 Bank Reconciliation Actual v s Budget Statement Date Statement Balance Actual Balance Unpresented Cheques Credits not shown Difference Treasurers Account 30/11/18 13,463.91 12,579.99 883.92 0.00 0.00 Cash 07/01/19 0.00 0.00 0.00 13,463.91 12,579.99 883.92 0.00 Budget Actual Reserves Budget Actual Assets B/Forward 11,004.02 Income Expenditure Precept 4,850.00 4,851.00 Clerks Salary 2,076.03 1,647.85 Grants 276.40 276.40 Admin 760.00 479.59 Bank Interest 0.00 0.00 Donations 600.00 300.00 Locality 0.00 0.00 Subscriptions 300.00 229.35 Other 0.00 0.00 Insurance 200.00 187.88 VAT Repayment 0.00 103.03 Inspection 200.00 200.00 Maintenance 700.00 200.00 Village Hall 0.00 0.00 Contingency 500.00 250.00 VAT Paid 0.00 159.79 Total 5,126.40 5,230.43 Total 0.00 5,336.03 3,654.46 Assets C/Forward 12,579.99 Total 16,234.45 Total 16,234.45 Prepared by: Dave Crimmin Page 2 of 6

Agenda Item 7b Precept 2019 / 2020 At the November meeting you agreed an Expenditure Budget of 6,222.33 for 2019 / 2020 as follows: 2017 / 18 2018 / 19 Budget Actual Budget Actual to Date To year end 2019 / 20 Budget Income Grants 276.40 380.70 276.40 0.00 276.40 276.40 Bank Interest 0.00 0.00 0.00 0.00 0.00 0.00 Locality 0.00 0.00 0.00 0.00 0.00 0.00 Other 0.00 123.82 0.00 0.00 0.00 0.00 VAT Repayment 0.00 158.68 0.00 103.03 103.03 0.00 Total Income 276.40 663.20 276.40 103.03 379.43 276.40 Precept 4,931.38 4,850.00 Expenditure Clerks Salary 2,035.34 1,991.24 2,076.03 1,647.85 2,406.90 2,597.33 Admin 760.00 462.88 760.00 479.59 760.00 1,100.00 Donations 400.00 627.25 600.00 300.00 600.00 600.00 Subscriptions 290.00 240.53 300.00 229.35 300.00 325.00 Insurance 190.00 187.88 200.00 187.88 187.88 200.00 Inspection 100.00 0.00 200.00 200.00 200.00 200.00 Maintenance 600.00 609.16 700.00 0.00 700.00 700.00 Village Hall 0.00 0.00 0.00 0.00 0.00 0.00 Contingency 500.00 103.82 500.00 250.00 500.00 500.00 VAT Paid 0.00 103.03 0.00 119.79 200.00 0.00 Total Expenditure 4,875.34 4,325.79 5,336.03 3,414.46 5,854.78 6,222.33 Reserves held by LCPC It is proposed to increase the Village Hall and the Election reserves whilst keeping the Assets reserves at the 2018 / 2019 level. 2017 / 18 2018 / 19 2019 / 20 Start of End of year Start of End of year Start of End of year year year year Asset Replacement 750.00 1,000.00 1,000.00 1,000.00 1,000.00 1,000.00 Election Costs 600.00 900.00 900.00 1,200.00 1,200.00 1,200.00 Village Hall 4,000.00 4,500.00 4,500.00 4,750.00 4,750.00 5,000.00 Total Earmarked Reserves 5,350.00 6,400.00 6,400.00 6,950.00 6,950.00 7,200.00 General Reserves 4,385.23 4,604.02 4,604.02 3,428.67 3,428.67? Prepared by: Dave Crimmin Page 3 of 6

Precept for 2018 / 2019 Babergh has written to LCPC regarding the Tax Base for 2019 / 2020. LCPC s Tax Base will decrease 138.96 in 2018 / 2019 to 138.31 in 2019 / 2020. Using the projections for income, expenditure and earmarked reserves, LCPC will also need to consider the level it wishes to maintain its General Reserves. Best practice would suggest that the level of General Reserves should be somewhere between 50-100% of main income. The 3 examples I give below show a: Example 1 Example 2 Example 3 Precept of 5,250 resulting in an annual increase of 3.06 in council tax Precept of 5,625 resulting in an annual increase of 5.77 in council tax Precept of 5.250 resulting in an annual increase of 8.48 in council tax 2017 / 18 2018 / 19 2019 / 20 2019 / 20 2019 / 20 Example 1 Example 2 Example 3 START OF YEAR Earmarked Reserves 5,350.00 6,400.00 6,950.00 6,950.00 6,950.00 General Reserves 4,385.23 4,604.02 3,428.67 3,428.67 3,428.67 Total Reserves 9,735.23 11,004.02 10,378.67 10,378.67 10,378.67 Income ex Precept 663.20 379.43 276.40 276.40 276.40 Precept 4,931.38 4,850.00 5,250.00 5,625.00 6,000.00 Total Income 5,594.58 5,229.43 5,526.40 5,901.40 6,276.40 Expenditure 4,325.79 5,854.78 6,222.33 6,222.33 6,222.33 END OF YEAR Earmarked Reserves 6,400.00 6,950.00 7,200.00 7,200.00 7,200.00 General Reserves 4,604.02 3,428.67 2,482.74 2,857.74 3,232.74 Total Reserves 11,004.02 10,378.67 9,682.74 10,057.74 10,432.74 Tax Base 141.26 138.96 138.31 138.31 138.31 Band D Council Tax 34.91 34.90 37.96 40.67 43.38 The Council Tax that a Band D household in Little Cornard pays is the Precept demanded by LCPC divided by the Tax Base for that year. Agenda Item 8d Status of planning applications Application Reference DC/18/03971 Address Planning Details LCPC Minute Parish Council Comments Babergh DC Comments Land and Buildings at Change of use of redundant agricultural 18/077a Supported Approved 06/11/2018 Peacocks Hall, Kedington open storage building to form 5No storage Hill units and erection of 2No semi-detached single storey storage units for Class B8 use utilising existing vehicular access. DC/18/04602 The Harwell, Spout Lane Partial conversion of outbuilding to residential. DC/18/04671 Glovers, Slough Lane Erection of ancillary outbuilding for storage use. DC/18/04905 Spout Farm, Spout Lane Listed Building Application - Rebuilding fire damaged roof to part of detached barn/outbuilding. 18/090a Supported Approved 06/12/2018 18/090b Supported Approved 30/11/2018 18/090c Supported Prepared by: Dave Crimmin Page 4 of 6

Agenda Item 11 Risk Management Register as at January 2019 There will be an additional GDPR Risk item for your review at the March meeting. LITTLE CORNARD PARISH COUNCIL RISK MANAGEMENT REGISTER AS AT JANUARY 2019 Risk Identified Impact Risk Insurance Control Action Cover Inadequate forward planning and budgetary controls High Low No Annual Budget Review Actual vs. Budget review at meetings Fraud by Clerk or Councillors resulting in immediate financial loss High Low Yes No Petty Cash Councillors check bank reconciliation against bank statements at each meeting Internal Auditor review Council operates ultra vires or does not comply with current legislation High Low No Regular training for Councillors and Clerk Within Clerk's job description Poor reporting to Council, Record Keeping and Book Keeping Medium Low No Accurate minutes Timely and accurate financial reporting Internal Auditor review External Auditor review Council lacks relevant skills Medium Low No Regular training for Councillors and Clerk Create committee and second skills Lack of maintenance to council owned assets High Medium Yes Maintenance programme Walk the Parish to review condition of assets Loss or damage to council owned property Low Low Yes Asset Insurance cover Review Assets Register against insurance Injury to persons as a consequence of asset ownership or provision of amenities Medium Medium Yes Public Liability insurance Walk of Parish to review Failure to reclaim VAT Low Low No RFO Report review by councillors Internal Auditor review VAT can be claimed back 3 years Failure to respond to electors' rights of access Medium Low No Within Clerk's job description Unexpected loss of Clerk or Clerk's office High Low Yes Up to date job description Copy of filing system index and data backup offsite Prepared by: Dave Crimmin Page 5 of 6

Agenda Item 12 Effectiveness of LCPC s Internal Control and Internal Audit processes Under the Finance and Audit Regulations the Council must carry out a review of its Internal Controls on at least an annual basis. The regulations require the Council to carry out a review of the effectiveness of the Internal Controls and to consider the findings of this review. Although in 2011 the need for a council to review its systems of internal audit was removed, the current controls are included for your review. Internal Control processes The Parish Council accounts are produced on an excel spreadsheet. This file along with all other data files held on behalf of the Council are backed up using BT s Cloud. All entries within the Receipts and Payments are supported by documentation that is referenced back to the excel spreadsheet. Each item of expenditure highlights the power used by Council and the minute where the expenditure was authorised. On the foot of each page of the minutes the fact that Little Cornard Parish Council adopted the General Power of Competence on the 20 th May 2015 is noted. A list of receipts and payments to be authorised at each meeting are contained in the RFO Report. The Council holds money at Lloyds Bank and these balances are reconciled in the RFO Report for each scheduled meeting of the Council. A councillor also checks the bank account statements against the reconciliation report at each meeting. All councillors are LCPC s signatories for the Lloyds accounts which require 2 signatories for a transaction. The councillors are also given a Statement of Affairs vs Budget in the RFO Report for their review at each scheduled meeting. The annual budget proposal for 2019 / 2020 was reviewed at the LCPC meeting on 13 th November 2018 and all the papers are appended to the minutes. VAT recoverable is normally claimed after the last meeting of the financial year in March. No Petty Cash is held by the Council and all cash / cheques received are deposited as soon as practicable after receipt. Internal Auditors Victoria Shennan was appointed as this Council s Internal Auditor at the LCPC meeting held on 8 th May 2018 minute 18/037. Victoria meets the criteria set for an internal auditor as she is independent from the Council, undertakes the audit with integrity, objectivity and a good understanding of local council legislation and procedures. Prepared by: Dave Crimmin Page 6 of 6