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The Lord Portsea Gift Fund: Report for 2009 and 2010

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STATES OF JERSEY

THE LORD PORTSEA GIFT FUND: REPORT FOR 2009 AND 2010

Presented to the States on 17th February 2012 by the Minister for Education, Sport and Culture

STATES GREFFE

2012   Price code: B  R.23

THE LORD PORTSEA GIFT FUND ANNUAL REPORT 2009

  1. Background

In 1957 the late Miss Albina Bertram Falle bequeathed to the States and the Royal Court the sum of £17,000, in accordance with the wishes of her brother, the late Lord Portsea of Portsmouth, for the purpose of establishing a fund –

"to  help  all  young  Jersey  and  Guernsey  boys  (of  Jersey  and  Guernsey parentage) entering the Royal Navy, Army, Air Force and Civil Services who are in need of financial help".

In 1968 the States, with the approval of the Royal Court, accepted the gift and, 3 years later, by which time the sum concerned had risen to £27,000, the States passed an Act called The Lord Portsea Gift Fund (Jersey) Act 1971 ("the Act of 1971"), which established the rules and conditions for the administration of the Fund. The Act was promulgated on 25th May 1971. The Act provided for the Fund to be administered by a Delegation, and the members of the Delegation met for the first time that same year. The Act of 1971 has been amended twice, most recently in 1997.

The amendments have broadened the scope of the Fund so that it can now provide help to the following – young women as well as young men; persons who have entered or who are about to enter any branch of the armed services, the respective Service Colleges or the Merchant Navy; and persons who have entered, or who are about to enter,  the  United  Kingdom  Civil  Service  or  who  are,  or  are  about  to  become, employees of the States of Jersey or Guernsey. Originally there was an upper age limit of 20 years for applicants; this has been increased progressively and is now 30 years. Finally, it is now sufficient if just one of the parents of an applicant is a native of Jersey or Guernsey.

  1. Administration of the Fund

The Delegation charged to administer the Fund on behalf of the States and the Royal Court comprises 8 members, 4 of whom are serving Jurats appointed by the Superior Number of the Royal Court, and 4 are States members nominated by the Minister for Education, Sport and Culture, who is Chairman  ex officio  of the Delegation. The quorum for meetings of the Delegation is 5 members, of whom at least 2 must be Jurats and 2 must be representatives of the Education, Sport and Culture Ministry. Following the election for Senators and Deputies in 2008, the representatives of the Education,  Sport  and  Culture  Ministry  changed.  The  Minister  appointed   Deputy A.K.F. Green of St. Helier and Deputy A.T. Dupré of St. Clement to serve on the Delegation, and Deputy Green was appointed Chairman. The Jurat members were unchanged at first. Thus the members of the Delegation during 2009 were –

Deputy A.K.F. Green, M.B.E., of St. Helier , Assistant Minister for Education,

Sport and Culture, Chairman

Jurat P.J. de Veulle, O.B.E.

Jurat J.L. Le Breton

Jurat G.C. Allo (part of year)

Jurat P.J. Morgan

Jurat G.W. Fisher (part of year) Deputy A.T. Dupré of St. Clement Executive Officer: Mrs. J. Bree Honorary Secretary: G.H.C. Coppock.

Jurat Allo ceased to be a member of the Delegation in October, when his term of office as Jurat ended. The Delegation wishes to record its thanks to Jurat Allo for his valuable contribution to the business of the Fund. The Delegation welcomed Jurat Fisher as a new member in place of Jurat Allo.

  1. Finance

The  investment  of  the  Capital  Fund  is  undertaken  by  the  States  Treasury  and Resources Department, with authority to make such changes in investments as it considers necessary and expedient.

The income of the Fund may be used at the absolute discretion of the Delegation to make grants within the terms of the bequest, as extended by the Acts of the States amending the Act of 1971. Grants made are "absolute and without any conditions".

As at 31st December 2009, the amounts available in the Fund were –

Capital Fund  £201,916 Accumulated Fund  £102,079 Annual Income  £11,989

  1. Annual Accounts

The accounts of the Delegation's dealings with the Fund for the year ended 31st December  2009,  which  have  been  duly  audited  by  the  Comptroller  and  Auditor General, are annexed to this Report.

  1. Rules and Conditions of the Fund

The  rules  and  conditions  with  regard  to  the  administration  of  the  Fund  may  be amended  from  time  to  time  by  the  States,  on  a  proposition  of  the  Minister  for Education,  Sport  and  Culture,  and  with  the  approval  of  the  Royal  Court.  The Delegation has approved changes to bring the rules and conditions up to date and compatible with the system of ministerial government. The proposed new rules and conditions  have  been  referred  to  the  Royal  Court  for  approval,  after  which  the Minister for Education, Sport and Culture will present them to the States Assembly. It is not possible to say when this process will be completed.

  1. Grants

Grants were paid to 3 students during 2009, totalling £7,000. Of these, one was to complete a 2 year course of study. The other 2 were single-year payments, one of which was to assist with the purchase of specialist equipment.

LORD PORTSEA GIFT FUND Balance Sheet

as at 31st December 2009

Note

FUNDS EMPLOYED: Capital Account

Accumulated Reserve Account


2009  2008

£ £

201,916  201,916 102,079  97,218

303,995  299,134

REPRESENTED BY:

Investments at cost  1  136,113  136,113 Cash  2  167,882  163,021

303,995  299,134

LORD PORTSEA GIFT FUND Income and Expenditure

for the year ended 31st December 2009

Note  2009  2008

£ £

INCOME

Investment income  11,238  11,237 Bank interest  751  8,516

11,989  19,753

EXPENDITURE

Administration Expenses  3  128  98 Grants and Subsidies Payments  3  7,000  17,000

7,128  17,098 NET INCOME FOR THE YEAR  4,861  2,655

ACCUMULATED RESERVE ACCOUNT

B/fwd 1st January  97,218  94,563 Net Income for the year  4,861  2,655

102,079  97,218

LORD PORTSEA GIFT FUND

Notes to the Financial Statements

for the period 1st January 2009 to 31st December 2009

2009  2008

£ £  £  £

  1. Investments

Holding  Name  Market Value  Book Cost   Market Value  Book Cost 145000  7.75% Treasury Loan

20/12/2015  162,908  136,113  167,909  136,113

  1. Cash

Deposit at BNP Paribas  167,882  163,011 Imprest   10 167,882  163,021

  1. Payments

Administration  128  98 Grants and Subsidies Payments  7,000  17,000 7,128  17,098

  1. Basis of accounting

These accounts have been prepared on a receipts and payments basis.

THE LORD PORTSEA GIFT FUND ANNUAL REPORT 2010

  1. Background

In 1957 the late Miss Albina Bertram Falle bequeathed to the States and the Royal Court the sum of £17,000, in accordance with the wishes of her brother, the late Lord Portsea of Portsmouth, for the purpose of establishing a fund –

"to  help  all  young  Jersey  and  Guernsey  boys  (of  Jersey  and  Guernsey parentage) entering the Royal Navy, Army, Air Force and Civil Services who are in need of financial help".

In 1968 the States, with the approval of the Royal Court, accepted the gift and, 3 years later, by which time the sum concerned had risen to £27,000, the States passed an Act called The Lord Portsea Gift Fund (Jersey) Act 1971 ("the Act of 1971"), which established the rules and conditions for the administration of the Fund. The Act was promulgated on 25th May 1971. The Act provided for the Fund to be administered by a Delegation, and the members of the Delegation met for the first time that same year. The Act of 1971 has been amended twice, most recently in 1997.

The amendments have broadened the scope of the Fund so that it can now provide help to the following – young women as well as young men; persons who have entered or who are about to enter any branch of the armed services, the respective Service Colleges or the Merchant Navy; and persons who have entered, or who are about to enter,  the  United  Kingdom  Civil  Service  or  who  are,  or  are  about  to  become, employees of the States of Jersey or Guernsey. Originally there was an upper age limit of 20 years for applicants; this has been increased progressively and is now 30 years. Finally, it is now sufficient if just one of the parents of an applicant is a native of Jersey or Guernsey.

  1. Administration of the Fund

The Delegation charged to administer the Fund on behalf of the States and the Royal Court comprises 8 members, 4 of whom are serving Jurats appointed by the Superior Number of the Royal Court, and 4 are States members nominated by the Minister for Education, Sport and Culture, who is Chairman  ex officio  of the Delegation. The quorum for meetings of the Delegation is 5 members, of whom at least 2 must be Jurats and 2 must be representatives of the Education, Sport and Culture Ministry. The representatives of the Education, Sport and Culture Ministry are Deputy A.K.F. Green of St. Helier and Deputy A.T. Dupré of St. Clement , and Deputy Green was appointed Chairman. The Jurat members were unchanged from the previous year. Thus the members of the Delegation during 2010 were –

Deputy A.K.F. Green, M.B.E., of St. Helier , Assistant Minister for Education,

Sport and Culture, Chairman

Jurat P.J. de Veulle, O.B.E.

Jurat J.L. Le Breton

Jurat P.J. Morgan

Jurat G.W. Fisher

Deputy A.T. Dupré of St. Clement Executive Officer: Mrs. J. Bree Honorary Secretary: G.H.C. Coppock.

  1. Finance

The  investment  of  the  Capital  Fund  is  undertaken  by  the  States  Treasury  and Resources Department, with authority to make such changes in investments as it considers necessary and expedient.

The income of the Fund may be used at the absolute discretion of the Delegation to make grants within the terms of the bequest, as extended by the Acts of the States amending the Act of 1971. Grants made are "absolute and without any conditions".

As at 31st December 2010, the amounts available in the fund were –

Capital Fund  £201,916 Accumulated Fund  £105,559 Annual Income  £3,480

  1. Annual Accounts

The accounts of the Delegation's dealings with the Fund for the year ended 31st December  2010,  which  have  been  duly  audited  by  the  Comptroller  and  Auditor General, are annexed to this Report.

  1. Rules and Conditions of the Fund

The  rules  and  conditions  with  regard  to  the  administration  of  the  Fund  may  be amended  from  time  to  time  by  the  States,  on  a  proposition  of  the  Minister  for Education,  Sport  and  Culture,  and  with  the  approval  of  the  Royal  Court.  Some considerable  time  ago,  the  Delegation  approved  changes  to  bring  the  rules  and conditions up to date and compatible with the system of ministerial government. The proposed new rules and conditions were referred to the Royal Court for approval, but the Law Officers advised that the rules were not in an appropriate form. Accordingly, the Law Officers will be preparing instructions for the Law Draftsman to produce a new set of rules to give full effect to the purposes of Miss Falle's bequest. The Minister for Education, Sport and Culture will then present the new rules to the States Assembly  for  approval.  The  Delegation  cannot  say  when  this  process  will  be completed.

  1. Grants

Grants were paid to 2 students during 2010, totalling £6,000. One was for the first year of a 2 year post-graduate course of study in medicine; the other for the initial year of a diploma in the use of the arts in education and therapy. In addition, the Delegation approved a grant of £2,500 for a medical student to be paid during the academic year 2010/11.

LORD PORTSEA GIFT FUND Balance Sheet as at 31st December 2010

Note  2010  2009

£ £

FUNDS EMPLOYED:

CAPITAL ACCOUNT  201,916  201,916 INCOME ACCOUNT  105,559  102,079

307,475  303,995

REPRESENTED BY:

Investments (at cost)  2  136,113  136,113 Cash  3  171,362  167,882

307,475  303,995

LORD PORTSEA GIFT FUND

Income and Expenditure for the year to 31st December 2010

Note  2010  2009

£ £

INCOME

Loan, Bank and Notional Interest  600  751 Investment Income  11,465  11,238

12,065  11,989

EXPENDITURE

Administration Expenses  74  128 Grants and Subsidies Payments  4  8,500  7,000 Supplies and Services  5  11  

8,585  7,128 NET INCOME FOR THE YEAR  3,480  4,861

INCOME ACCOUNT

Balance at 1st January  102,079  97,218 Net Income for the Year  3,480  4,861

Balance as at 31st December  105,559  102,079

LORD PORTSEA GIFT FUND

Notes to the Financial Statements for the year to 31st December 2010

Note

  1. Basis of accounting

These financial statements have been prepared on a receipts and payments basis.

  1. Investments (at cost)  2010  2009

£ £

Government Bonds  136,113   136,113

Investments are recorded in these financial statements at their book value. The market value as at 31st December 2010: £155,971 (December 2009: £162,907) is shown in this note for information.

  1. Cash  2010  2009

£ £

BNP Paribas, Jersey    167,882 Royal Bank of Scotland  71,224  – Banco Santander  100,138  171,362   167,882

Cash was transferred from BNP Paribas Jersey to the States of Jersey's cash manager,  Royal  London  Asset  Management,  in  October  2010,  which  was deposited  with  Royal  Bank  of  Scotland  and  Banco  Santander  as  at  31st December 2010.

  1. Grants and Subsidies Payments  2010  2009

£ £

Grants Paid  8,500  7,000

During the year, grants were made to help young Jersey and Guernsey boys (of Jersey and Guernsey parentage) entering the Royal Navy, Army, Air Force and Civil Services who are in need of financial help.

  1. Supplies and Services  2010  2009

£ £

Management Fees  11  

During the year, the Fund paid management fees for cash management services to Royal London Asset Management.