The Treasurer to the Board presented her report on the Abstract of Accounts 2017-18. She explained that the accounts had been checked by the Merton internal accounts team and know following the Chair’s sign off, would  be submitted to the External Auditors, no comments were made on the last Audit.  She stated that the internal audit team had asked for a valuation process of the Board’s assets to be completed for next years accounts.

The Treasurer asked the Board to note that during 2017/18 the main variations were linked to added income and revised management administration charges. The Board also noted that special projects now appear on the balance sheet; bearer beam, purchase, replacement of boiler and works to the toilet block. The works to the toilet block have been rolled forward.

The Treasurer presented the appendices to her report including the risk register. Members asked about the risk from a pandemic, and noted that the Merton and Sutton Joint Cemetery was a designated site for mass burials if a pandemic should occur. The Treasurer stated that as the new contract becomes embedded then the associated risks can be reduced.

The Treasurer explained the situation regarding the Board’s pension scheme. The fund is mature, that is more people are retired from the Board and deferred pensioners than are contributing to the scheme, and the scheme is an admitted body to the Surrey County Council scheme. It is not advised to close the scheme as it would then reduce  in value (due to a cessation valuation), but there are only 3 current contributing part-time staff; the three part time board officers. The Board noted that further information regarding the former and deferred staff had been requested from Surrey County Council This pension fund is the Board’s liability. A copy of the report considering the last Actuarial Valuation was provided to Board Members.

Board members asked questions about the staffing of the Board and noted that  a variance in the accounts was caused by the Board’s only full-time member of staff being transferred under TUPE to idverde. 

Board members asked about burial figures and noted that in recent years the figures varied between 212 in 2012 and 262 in 2016 per year, but that in the 1990s this was over 400 burial per year. However there are currently less staff at the cemetery and no burial is turned away. The Treasurer stated that business model requires interest from reserves to provide sufficient income to maintain the cemetery in perpetuity when the land is fully utilised for burial purposes.

The Treasurer stated that price comparisons between local cemeteries had not been carried out recently, but the Client side manager would be asked to carry out such a comparison.

Members asked for further information regarding the Board’s insurance cover.

The Board agreed the recommendations in the report but noted that a correction was required in recommendation D, such that 2017 was changed to 2018. The Board did subsequently set the date of this meeting to 20 November 2018.

RESOLVED

A.   To receive and approve the Draft Abstract of Accounts for 2017-18

B.   To approve the Annual Audit Return for 2017-18

C.   To approve the revised revenue estimates for 2018/19 at Appendix H

D.   To arrange an autumn 2018 meeting to review the operation of the contract and further review the budgetary position

E.   Review and Agree the Risk Register as at June 2018