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Appendix 3Charity TrustsGeneral Assembly notes the clarification of and alterations to the advice concerning Charity Trusts given to the General Assembly in 2001 and 2004 and asks synods, synod trust companies, district councils/area meetings and local churches to ensure that all are aware of their responsibilities.
1. Most United Reformed Church property (churches, halls and manses) is held under the statutory trusts in the United Reformed Church Acts (and printed in Section D of The Manual). There has been much discussion about who are the “charity trustees” of these properties.
2. At the heart of the discussion have been the differing perceptions of “charity trusteeship”, not just by the Charity Commission in 2001 and 2004, but by the synods and their trust companies. Although the synods have over the years evolved different policies, they all have the same basic understanding of the underlying duties and responsibilities falling upon the councils of the Church and the “trustees”.
3. The primary concern of those who formulated the statutory trusts was that those trusts should accurately reflect the conciliar nature of the United Reformed Church, in which authority is based on the complementary roles of its councils. Consequently, it is not possible to single out any one body as clearly having “charity trusteeship” in the sense in which it is understood by the Charity Commission, i.e. as the body responsible under the charity’s governing document for the general control and management of the charity. It is important that all the relevant bodies are fully aware of their responsibilities.
4. The table below shows for each paragraph of the statutory trusts where the responsibility lies for the required action. It will be seen that the local church (through both its elders’ and church meetings), the district council/area meeting and the synod all have their part to play in respect of statutory trust properties, as do the trustees (the company or individuals having legal title) of those properties. No one body has sole responsibility, and the carrying out of the purposes of these trusts is a collaborative exercise in which each has its part to play. As a general guide, when any of the tasks is contemplated,
the elders’ meeting recommends, the church meeting resolves, the synod approves, the trustees implement
– and in that order. If in doubt, churches should ask the secretary to their “trustees” (usually but not invariably the synod trust company) for advice.
5. As stated in Reports to Assembly in connection with resolution 8 in 2001 and resolution 39 in 2004, the members of the elders’ meeting collectively are the charity trustees for the working funds of the local churches and for any properties or investments to which the statutory trusts do not apply. The day to day oversight, management, safety and insurance of all property and financial resources lies with the local church, principally with the elders’ meeting, which refers to the church meeting as appropriate.
6. Although this statement has been prepared with particular reference to England and Wales arising from dealings with the Charity Commission, the principles and processes within the URC are the same for churches in Scotland. Churches in Scotland now come under the jurisdiction of the new Office of the Scottish Charity Regulator.
RESPONSIBILITIES UNDER THE UNITED REFORMED CHURCH PROPERTY TRUSTS
(URC Act 1972 Schedule 2, URC Act 1981 Schedule 2, URC Act 2000 Schedule 1 as applicable to churches becoming part of the United Reformed Church at different dates but with equivalent provisions)
The table below summarises the responsibilities of the different councils of the United Reformed Church, and of the “trustees”, in relation to the statutory trust property. The “trustees” are those individuals or bodies specifically appointed for this purpose who have legal title to the property, normally but not invariably the synod trust company.
Click here to download the table in PDF Format
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