Wells Harbour Commissioners (WHC) Minutes of the Annual Public Harbour Users Meeting Wells Sailing Club Tuesday 14Th May 2019 7.00Pm
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Wells Harbour Commissioners (WHC) Minutes of the Annual Public Harbour Users meeting Wells Sailing Club Tuesday 14th May 2019 7.00pm Meeting opened at 7pm Present: Harbour Commissioners, Harbour Staff, Chris Greeves (MHA Larking Gowen) and members of the general public Apologies: Bob Ellis Andy Frary (AF) – Chairman WHC AF opened the meeting and welcomed the public. AF advised on the structure of the meeting and then introduced Chris Greeves from MHA Larking Gowen to report on the financials. Chris Greeves (CG) – MHA Larking Gowen CG advised the meeting that MHA Larking Gowen have been the independent advisors to WHC for many years advising on taxation matters, reviewing books and records and preparing the annual accounts prepared by WHC’s admin team. Larking Gowen do not act as statutory auditors but provide an independent review of the financials and prepare financial statements and corporation tax returns and highlight any significant errors and omissions to the Commissioners. CG confirmed that nothing had been identified for the year ended 31st December 2018 and thanked WHC’s admin team for their help and cooperation. The full financial statements were presented to and approved by the Commissioners at the end of March and a copy is available for inspection by appointment at the Harbour Office. CG then presented a precis of the full financial statements to the meeting and reported that Wells Harbour Commissioners are sound financially. Turnover from a variety of sources was £1.456 million up from previous year of £1.285 million, largely due to an increase in diesel sales and car park revenue. Cost of Sales, those costs directly attributable to income, has increased for the same reasons from £674k to £825K. Gross income over expenditure of £630K for 2018 compared to £611K in 2017. Overhead expenses being general running costs incurred were £791K an increase from £729K. Other operating income is made up of two elements. One is an accounting adjustment where grant funding previously received for capital projects is released to the income and expenditure account over a number of years to match the depreciation cost of those assets as they are slowly written off for accounting purposes. The second is under an agreement whereby an amount is actually received from Scira to underwrite the costs of the Outer Harbour to ensure that it does not adversely affect the operation of WHC. Returns are subject to an independent review by Larking Gowen. Other operating income increased from £302K to £359K. There was a small amount of investment income in the year £2k (£2k last year). The excess of income over expenditure before tax was £201K compared to £185K in 2017. The operation of the Commissioners is not exempt from taxation and therefore the tax liability is £13K leaving £187K for investment. The tax liability is lower this year as WHC spent money on capital equipment which is tax deductible. The Balance Sheet is a snapshot of assets and liabilities as of 31 Dec 2018. Fixed Assets total £1.7 million and represents historic cost less depreciation. Current Assets which are amounts held in the bank, stocks of diesel, and debtors, totalled £1.6 million an increase from £1.5 million in 2017. Creditors which are amounts owed by the Commissioners including taxation was £385K leaving an overall increase in net current assets from £1,065K in 2017 to £1,220K in 2018. Net current assets are a measure of the liquidity of the Commissioners and shows that the financial state is very strong and healthy. Provisions is an accounting adjustment ‘deferred tax’ and reflects additional tax that would be payable in the unlikely event of all the plant and machinery being sold for the amount shown within fixed assets. Net Assets after provisions are £2.8 million up from £2.7 million. Reserves comprise the accumulated fund £1.6 million which is the surplus accumulated excess of income over expenditure for use by the Commissioners. Other grant and capital reserves come from external sources and relates to monies received for capital works which are written off over time at the same rate as the asset. Overall 2018 was another good solid year. The Scira investment of £1.9 million is depreciated over time. The total included in the assets has fallen due to depreciation. The total amount included in assets is £429K. There were no previously submitted financial questions to answer and CG thanked the Commissioners for their custom. AF thanked CG for his report and attending the meeting and passed over to the Harbour Master Robert Smith. Robert Smith (RS)- Harbour Master Report RS thanked Adrian Underwood who had now retired from the board and welcomed the new board member Kevin Theobald. RS reported that Louise De Lisle is leaving her post at the end of June and this would be her last AGM and welcomed Carolyn Atkins who will be joining the Port in June. RS explained as a trust port WHC are committed to reinvesting any profits back into the port “the business” for the future and benefit of all users. The harbour employs up to 17 people in the summer season. The harbour is run by the staff but the commissioners (the board) have the final say and commissioner meetings are held every two months to discuss strategy and projects and determine what the executive should focus on. Commissioners serve a term of 3 years and can then be re-elected for a further term. Commissioners can serve 3 terms in exceptional circumstances. This results in positions becoming available at the end of each year which are advertised. In a recent survey of job creation, through direct action of the Port, it was estimated 200 jobs are dependent on the operation (wind farm, fishing, chandlery etc), and is a huge part of the community. RS explained the harbour limits to the meeting. The jurisdiction of the harbour includes everywhere the water goes and this means that the Port has powers over the marsh which covers at average HW springs. The channel currently has a “kink” near number 5 buoy pushing out to the East. Near number 5 the channel is trying to go Northwest and then jumps back. As the channel moves the buoys are moved. The purchase by the port of a Talus has enabled the buoys to be moved more easily and independently utilising the port vessel Frank-T. The Talus used to be moved to location by travelling on the road, however this used to cause vibration and so the port purchased a low loader to transport the talus to the beach. In addition to the channel and buoys at Wells, the port also looks after the channel and buoys at Burnham Overy for no charge. Burnham Overy Trust pay for equipment but the port provides manpower as a gesture of goodwill. Recently the port has also helped Blakeney harbour by taking the Frank-T to lift their fairway buoy and check the chain. This was also offered as a gesture of goodwill. Blakeney harbour donated some money to the Wells Harbour Maritime Trust (WHMT). Dredging the channel continues as much as weather permits. The berm on the east side is the lowest it has been since the start of dredging. The hard shingle at the side of the channel helps the tide run well and dredging is not needed in this area as much. Surveying in the area of Bob Hall Sands has been carried out for many years even prior to the start of dredging and results show that some areas increase whilst others decrease due to the natural movement of the tidal behaviour. Last week a wreck was found which has not been seen before, uncovered by tidal movement. The wreck is around 50-60 ft long. Following a tweet by RS the EDP asked for a story, however RS declined as he wishes to deter members of the public pulling parts of the wreck away. There are currently around 4 windfarm boats working from the Outer Harbour on the Sheringham Shoal. Other survey vessels occasionally visit working on other wind farms. The Outer Harbour is also popular with fishermen wishing to get away early on the tide. RS stated he is happy for the fishing fleet to use the Outer Harbour but would appreciate being told so that harbour staff do not have to move vessels around. Around 40 moorings in the inner channel in the region of the pool and skredge have been moved to tidy up the area. The channel is still trying to come down the west bank. Visiting number of boats increase year on year as Wells is becoming more popular and berths are dredged out to accommodate fin keel vessels and cruisers. All these visitors spend money in the town which benefits local businesses. Pontoons have been installed for the Frank-T, at the diesel berth and at the east end. RS stated that the biggest request from stakeholders is for pontoon berths for easier access to their boats and that it is a fact that more people drown from using their dinghies to reach their boats than for any other reason. Therefore, the port is always looking at areas to install more pontoons where they can. In Brightlingsea they use a water taxi and this has also been looked at. The port secured the purchase of the lifeboat horse art installation from the artist following a successful public appeal for donations. The horse will be placed back in on the 20th May and remain until the autumn when it will be removed for maintenance over winter.