Cambridge United Charities Risk Management

Trustees met on 7 July 2017 to review and update the existing risk register, i.e. to identify possible major risks that the Charity might face and decide how to respond to these.

Measuring possible risks

There are many ways of measuring risks. The Trustees adopted the method detailed below in this context:

RISK REGISTER July 2017

Identifying Risks

The following risks were identified by the trustees:

Type of risk Examples for possible risks Likelihood/Gravity (low, moderate, high, extreme)

Action proposed

Governance Succession planning: Loss of trustees or trustees’ skills and/or their experience not the right balance for an effective Board

High risk Regular discussions at Board Meetings. Ads placed. Clear role specifications for specific trustees (Chair, Treasurer, Almshouse Trustee, etc). However, recruitment is difficult.

Insufficient time available in full Board meetings to provide sufficient strategic oversight and planning

Low risk Established two sub-committees of the Board of Trustees to conduct more detailed work and to report to the Board.

No clear mission/medium term strategy

Low risk Mission clearly spelt out in Governing Doc. Strategy discussed in Annual Report.

Trustees or officers engaged in fraudulent activity

Low riskPossible but not probable

Charity has appointed a professional accountant. New Scheme limits time in office for the Treasurer →greater control.

FinancialHigh cost of professional advice could lead to needing to reduce planned charitable spending

Moderate risk Careful planning, keeping costs under constant review. Professional costs can be offset by higher rental income.

City Planning Offices refuse development plans for Hobson House with the highest return. CUC might get lower premium and ground rent.

Moderate risk Crossing fingers. There is little trustees can do, apart from cautious budgeting.

Continued problems regarding Radegund lease and payment of rent by tenant.

Moderate risk This is a nuisance issue. The Charity has appointed professional property agent to deal with the issue.

Unable to fund unexpected high repair costs of almshouses

Low risk The Almshouse Branch has ca. 188k in reserves and ca. 84k in the extraordinary repair investment fund. HHS is undertaking a condition survey. Urgent work has been started. Planned cyclical maintenance programme in place to ensure stock in good condition

Loss of investment income Moderate risk Stock market currently volatile. Trustees have engaged new investment brokers who provide regular updates and attend Board meetings twice a year.

Operational Underperformance of almshouse management by agent

Low risk CUC has recently changed the management company to improve performance. Clear management agreement. Formal review once a year with clear action plan and targets. Close relationship with Almshouse Trustee. Visiting Trustees keeping an eye open for possible negligence.

Change of accountancy support might mean a deterioration of service

Low risk Professional accountant has been employed. Former accountant provided guidance in a three months transition period.

Change of clerk/secretarial support might mean a deterioration of service.

Moderate risk Profile of duties undertaken, Job spec agreed. Post needs to be advertised. In the meantime the Chair is covering duties.

Sheltering a problem resident in an almshouse which could result in harm done to any of our residents or Visiting Trustees.

Low risk Both HHS and Visiting Trustees are vigilant. Almshouse Trustee has changed our application form to help prevent fraudulent applications.

Harm to residents or third parties from health and safety issues (e.g excessive hoarding, etc.)

Moderate risk Clear communication lines between Visiting Trustees and HHS to minimise these risks.

External factorsand compliance wih the law

Incomplete disaster planning Low risk HHS has a disaster plan. Almshouse Sub-committee has devised emergency procedures for each almshouse.

Need to evacuate almshouse residents as result of fire, flood etc.

Low risk Work in progress. VTs and HHS have established an appropriate evacuation site for each almshouse. Almshouse Trustee to produce posters with evacuation plan. Insurance plan covers temporary accommodation.

Handling the aftermath of an unforeseen event - hostile media interest

Low risk Charity has a media policy. Chair and treasurer have undergone media training.

Non-compliance with Charity Commission’s general requirements

Low risk Trustees attending regular training opportunities and legal updates by local law firm and regional meetings with other charities.

Charity being sued Medium risk Many control mechanisms to avoid negligence. Otherwise Trustees are covered by insurance

Non-compliance with data protection regulations for individuals personal details

Low risk Ensured clear policy. Changes made to Board agenda to ensure greater confidentiality of information.