;

The 90th Annual Report of the Committee of the Council of The Scout Association for the year ended 31st March 1997.

THE SCOUT ASSOCIATION

Incorporated by Royal Charter - Registered Charity No. 306101

• Introductory Information
• Census of Membership
• Introduction by the Chairman, Committee of the Council
• Annual Report

Note a copy of the Accounts of the Association can be obtained from Headquarters.

Bankers: Barclays Bank plc, Belgravia Knightsbridge Branch, P.O. Box 4578, 155 Brompton Road, London SW3 1XD.

Auditors: Mazars Neville Russell, Chartered Accountants, 2-4 Sutton Court Road, Sutton, Surrey, SM1 4TN.

Investment Managers: Cazenove Fund Management, 3 Copthall Avenue, London EC2R 7BH.

Investment Powers: The Association's Royal Charter authorises it to invest funds of the Association not immediately required in pursuance of its objects and to use the services of a private investment manager or firm.

Insurance Brokers: Willis Coroon, 10 Trinity Square, London EC3B 3AX.

The Scout Association exists by authority of a Royal Charter, granted by King George V in 1912 and supplemented by further Charters granted by King George VI and Queen Elizabeth II. These Charters give authority to the Bye Laws of the Association which are approved by Her Majesty's Privy Council. The Bye Laws, in turn, authorise the making of rules for the regulation of the Association's affairs. The rules are laid out in The Policy, Organisation and Rules of The Scout Association.

The Aim of the Association is to promote the development of young people in achieving their full physical, intellectual, social and spiritual potentials, as individuals, as responsible citizens and as members of their local, national and international communities.

The Method of achieving the Aim of the Association is by providing an enjoyable and attractive scheme of progressive training, based on the Scout Promise and Law.

The report and accounts cover the activities directly controlled by The Scout Association (Charity Number 306101). The activities of the Scout Councils of Northern Ireland, Scotland and Wales, together with Scout Counties/Areas, Districts and Groups, are not reflected in the report and accounts. These bodies are autonomous charities which are affiliated to The Scout Association which together form the Scout Movement in the United Kingdom.

The management of the business of the Association is vested in the Committee of the Council. The Committee comprises twelve members elected by the Council of The Scout Association at its Annual General Meeting and ex-officio and co-opted members. The total number of ex-officio and co-opted members must not exceed the total number of elected members.

For the year ended 31 March 1999

For many years, we have combined, in one publication, a review of the Association's progress and a forward look with the more routine formal material required in the report of a major national charity. As part of our drive towards even more effective communications, we have decided this year to separate the two, and to publish a free-standing Review alongside our formal Annual Report. This has given us the opportunity to report more fully here on the work of your Committee during the past year, and to indicate the wide range of work in support of young people in which we have been engaged. Some significant events occurring after the end of the reporting year are also recorded.

About six years ago, under the leadership of our then Chief Scout, Garth Morrison, we began a major review of all that we do (and how we do it), to try to ensure that Scouting was ready for the challenges of the century to come. Since then the overriding concern of the Committee of the Council has been the strategic direction of change. Change is not always comfortable: but it is necessary for an Association which has always described itself as a Movement!

Following widespread consultation, the Committee confirmed that the Association's Headquarters should continue to provide centralised national support to Scouting in Groups and Districts, with a strengthened Field Commissioner Service. Co-location of all the Association's Headquarters' offices and services at Gilwell has been agreed, and the physical work started: the project will be completed by the end of the next calendar year. The new Information Centre has been established and is already fully operational. The work of the Programme Review Group has nearly reached the 'final round of consultation' stage and the Committee has agreed to establish an Implementation Group. At the same time, the greater formal involvement of young people in our decision making structures has been driven ahead and this year's Annual General Meeting marks the end of a three year programme to bring directly elected young people into membership of the Committee as full Trustees of the Association.

The major challenges facing the Committee in the past year have undoubtedly been the twin issues of growth and finance. The hard work of thousands of Leaders around the country, supported by our Going for Growth initiative, has seen our rate of decline in youth Membership halved in one year. The challenge now is to turn the corner and to grow again. On the financial front, the Committee was alerted at the very beginning of the year to serious pressures on the Association's revenue account and a series of steps has been taken throughout the year to address the issue. This work will inevitably continue throughout the forthcoming year.

I should like to record here the Association's welcome to the two new Directors who have joined our Headquarters staff - David McCarthy (Finance) and, very recently, Jane Gizbert (Communications). Since Garth Morrison first set us on the road of change, we have successfully recruited an entirely new senior management team. Through all these changes, our staff have continued to work over and beyond the formal call of duty, and to face cheerfully current and pending changes to work patterns (and location). We are very grateful to them all. We are also grateful for the continuing support we receive from others in our work. I should mention in particular the Department for Education and Employment, which has just given us a further three year grant in support of our development work.

As I write this introduction, the Association's delegation is about to leave for South Africa for the World Conference in Durban. By the time that I invite the Annual General Meeting formally to receive and adopt this report, I hope that we shall be celebrating the decision of that Conference to allow us to hold the Centenary World Jamboree of Scouting in the United Kingdom in the year 2007. Between now and then - and starting with next year's Millennium celebrations - we still have much to do.

John Bevan (Chairman, Committee of the Council)

This report provides a summary of the activities of the Committee of the Council and its sub-Committees during the period April 1998 to March 1999

Committee of the Council members are the Trustees of The Scout Association. The strategic management of the business of the Association is vested in the Committee. The Committee is responsible for policy making but delegates some of its work to the Executive Committee and some operational decisions to its sub-Committees which may also recommend policies for the consideration of the Committee.

The Committee met five times during the period under review, of which three were two-day residential meetings. Its sub-Committees generally met bimonthly.

During the year six County/Area Commissioners exercised their right of attendance at meetings of the Committee as did most National Commissioners.

The Committee was pleased to record that from among its Members Mr. G. Mitchell was created a Commander of the Order of the British Empire in Her Majesty's Birthday Honours in June 1998, and that Mr. R. Whittington was created a Deputy Lieutenant for the County of Clwyd.

The Committee also recorded with pleasure that the Hon. Mrs. Betty Clay, CBE, daughter of the Founder, had been awarded the Bronze Wolf by the World Scout Committee for services to World Scouting.

The deaths of Mr. Michael Cadbury and Mr. Sydney Robin were noted with regret. Mr. Cadbury, County President and former County Commissioner of Birmingham, had been Chairman of the Committee from 1974 to 1979. Mr. Robin had become a Director of Scout Shops Limited in 1984 and had served as its Chairman from 1986 until his death.

Local Support Services

The Movement was consulted during 1997 on the provision of Headquarters services. In February 1998, the Committee of the Council had confirmed action following this consultation. It affirmed the principle of providing a centralised rather than a decentralised base for support services to the Movement and commissioned a cost benefit analysis of co-locating Headquarters departments. It requested the establishment of an Information Centre. The Committee also asked for proposals for a revised staffing structure and a review of the Field Commissioner Service. It also requested a report as to how Counties and Areas and Districts could benefit from fast, information technology-based communications with Headquarters in the future.

During the year under review a number of these matters were progressed.

Information Centre

The Committee received a report on the establishment of an Information Centre. Following research, the Committee agreed service targets for the Information Centre which opened on 1 April 1999. The staff were appointed before the end of 1998. The Information Centre is the primary point of contact for all general calls, e-mail and post and is accessible via a local call number - 0845 300 1818. Initially it will be open for calls from 8 am to 8 pm five days a week and from 9 am to 12 noon on Saturdays.

Set up costs were estimated at £178,000 with annual operating costs of £238,000. The number of staff will be at a level to meet customer expectations and the performance targets set. It was noted that the provision of this service would require an increase in the Headquarters Membership Subscription in April 1999.

Co-location

The Committee considered the cost-benefit analysis of co-location. The analysis assessed matters including building, staffing and operating costs and savings over five- and ten-year periods with options for full and partial co-location.

After careful detailed consideration the Committee unanimously agreed to proceed with full co-location at Gilwell Park, targeted to be completed by the end of the year 2000. It requested the Finance sub-Committee to advise it on how best the project might be financed.

Subsequently, the cost benefit analysis was subjected to external assessment by Arthur Anderson Consulting. Its report confirmed the original view of the Senior Management Team that the best course of action was to sell the Central London office building although, because of market sensitivity, a shift in property values could cause the option of external bank financing to be a better choice.

However, it was noted that a final decision was not required until early 1999. The Committee, therefore, deferred the final decision on the funding of the project to its April 1999 meeting so that an updated appreciation of the various options could be considered.

The project is being managed by the Senior Management Team with sympathetic attention to personnel matters and Headquarters business requirements.

In order to take the project forward on the agreed time-scale and to ensure proper and detailed attention to human resource and building project management, the Committee agreed that a Co-location Personnel Manager and a building project management consultancy be appointed. The project managers appointed, AYH, will oversee the work of the architects, quantity surveyors, builders and contractors.

Field Commissioner Service Review

There had been strong support in the consultation for an enhanced Field Commissioner Service. The Service was held in high esteem by the Movement. Further consultation with County/Area Commissioners in England and Wales has confirmed this view.

The Committee noted that the Field Commissioner Service had been reviewed five times in the last 14 years. However, further refinement and tuning was now necessary to ensure effective support to Counties, Areas and Districts. Primary tasks for Field Commissioners include providing pro-active help to develop Scouting and supporting County/Area and District Commissioners.

However, the existing 'fields' were geographically and numerically - in Membership terms - too large to enable this to happen effectively.

A report to the Committee recommended that four additional Field Commissioners be recruited in England and that a Field Development Officer be appointed to help Scouting expand in Wales.

The Committee was minded to adopt the recommendation but due to financial constraints could not see how it could be implemented in the short term. It was accepted that the post of Field Development Officer (Wales) could proceed if external funding could be found.
 

Information Technology

The Committee received a paper on ways and means of ensuring that every County, Area and District could benefit from fast, information technology-based communications with Headquarters.

It was accepted that the Association and its Members need fast access to updated resources and information. The establishment of the Information Centre and the development of the Association's official web site ScoutBase - http://www.scoutbase.org.uk/ - will meet some of these needs.

Others required the direct use of e-mail. Because both developments involved some cost and some investment on the part of the user, a clearly structured, relatively low cost approach was needed.

It was recommended this be done in three phases:

1. the provision/extension of e-mail to and from Headquarters to every County and Area;
2. the more systematic use of ScoutBase as an access point for information and resources; and
3. iii) a more gradual extension of phase i) to Districts.

The Committee agreed that a computer equipment upgrade loan scheme be made available to Counties and Areas to accelerate phase i) of the plans. E-mail addresses of Headquarters departments were published in December 1998.

Going for Growth

The Committee was informed that if every Section in every Group increased its numbers by two Members then there will be more young people involved in Scouting than ever before.

To achieve this the Going for Growth Group advised the Committee that there was a need for an effective Group Scout Leader in every Group; a need to increase the enthusiasm, self-confidence and self-esteem of every adult in the Movement; and a need for Leaders to recruit and retain Members.

A variety of resources to support Going for Growth initiatives was promoted. This included: introductory leaflets for new Group Scout Leaders; adult recruitment materials; Beaver Scout Section workshops on the issue of waiting lists; the Buddy Badge and the Waterwise package for the Cub Scout Section; 'positive image' cards and the Ruff Guide for the Scout Section; and the Venture Scout Section's Go Mad and Missing Links support material. In addition there was the schools link project being supported by Marks and Spencer plc, and support for new Groups and Sections.

In addition the Committee agreed that there should be a 50 percent refund to Scout Groups of the Headquarters Membership Subscriptions paid on increased numbers.

For new Groups this will equate to a 50 percent rebate of all their Membership Subscriptions for 1999. Counties, Areas and Districts were also encouraged to offer a similar incentive as a sign of their commitment to the growth of the Movement.

Since February 1998, Going for Growth presentations had taken place at more than 30 County, Area and Regional meetings. The topic also provided a key theme for the Gilwell Reunion and for the Association's Annual General Meeting and Council in Conference in September 1998. As a result many Counties, Areas and Districts had put Going for Growth at the top of their agenda.

In the light of requests for examples of practical measures, the working group is developing a second phase to the programme. This included practical work in small groups at the County and Area Commissioners Conference in May 1999, and continues with developing a simple action plan for each County and Area.

In parallel, the group will roll out a new initiative which will assist the induction of new Group Scout Leaders. This will include a reworded Warrant, a prompt card summarising their key responsibilities, and a personal letter from the Chief Scout. District Commissioners will also be asked to agree local priorities with each Group Scout Leader.

Co-education

The Committee received the final report of the Co-education Working Group. The report took into account the recommendations of the Girls in the Scout Troop Working Group of the National Scout Team and the Headquarters Strategic Development Plan target, that all Districts will offer membership for girls by the end of 1999 and 20 percent of the total youth Membership will be female by the end of 2002.

To implement this action the Committee agreed that all new Scout Groups registered after 1 January 2000, should be required to offer mixed Membership. It also agreed that the lack of a mixed gender leadership team should not be a barrier to co-educational Scouting, although it remains recognised good practice. For existing Groups, the decision to have a mixed membership and to deliver a co-educational programme, will be taken at Group level.

A new co-educational information pack Living and Working Together has been prepared.

Scout Fellowship Review

In October 1997, the Committee had identified that a review of the role and operation of the Scout Fellowship was needed. A Review Group was established to make recommendations.

During the year the group presented its report. The Committee agreed that there was an opportunity to promote the Scout Fellowship in a positive, dynamic and fresh way and that the concept of providing active local support to Scouting was the key. In future, Fellowships providing general active support can be attached to a Group, District, County or Area. Those carrying out specific tasks such as providing a camp site service team or providing adventurous activities can be attached to Districts, Counties or Areas.

It further agreed that a document with outline proposals for implementation, based on the decisions taken, be circulated to the Scout Fellowship for consultation and comment. A further report taking into account responses to the consultation was requested by the Committee for its June 1999 meeting.

Scout Network

Two years ago the Committee had agreed to pilot a programme provision specifically aimed at 18- to 25-year-olds in The Scout Association. This became known as the Scout Network.

The Committee carefully considered the evaluation report and agreed that such a provision should not proceed as an established part of the Association's current programme provision. The Committee did agree that consideration be given to developing a social network at a local level to support young Leaders based on the lessons learnt from the Scout Network field trial.

Voice for Young People

The Committee agreed that Miss K. Geddes and Mr. A. Fry be invited to attend its meetings as a part of the Voice for Young People initiative. The majority of its sub-Committees and Headquarters' working groups also have places for young people. Subject to the final approval of the Privy Council of changes to the Bye Laws from the Annual General Meeting in September 1999 three young people will be elected by the Council to serve as Trustees on the Committee of the Council (see Constitutions and Bye Laws on page 11).

A letter was sent to County/Area Commissioners encouraging the appointment of County/Area Co-ordinators to support young people on County and Area Committees.

In order to encourage more Patrol Leaders' Councils, the Committee agreed that the responsibilities of the District Commissioner include encouraging the formation of a District Patrol Leaders' Council. Additionally, the Committee agreed membership of District Scout Councils should include the Chairmen of all Patrol Leaders' Councils in the District.

Similarly, the Committee also agreed that the responsibilities of the County Commissioner include encouraging the formation of a County Patrol Leaders' Council. It was also agreed that the nominated membership of the County Scout Council be amended to include Patrol Leaders nominated annually by each District Patrol Leaders' Council.

Friends of Scouting UK

Friends of Scouting UK was launched in September 1997, and has recruited just under 600 members to date. The club is of interest to adults who were at some time involved in the Movement and would like to hear more about Scouting today. On the anniversary of its launch, the club announced an initiative to encourage recruitment by Counties, Areas, Districts and Groups, along with five-year and life membership options.

Communication and Image

The Committee received the final report of the Communications and Image Strategy Working Group. The Group identified that Scouting has a strong public image but it is not necessarily the one that the Association would like to have. The media and the public have a preoccupation with a highly publicised but outdated view of Scouting. The Membership and the public received a good deal of information about Scouting but this was not always appropriate or effectively communicated.

Although Scouting's 'brand' is universally recognised, its mission is not, and this lack of understanding, has led to young people not wishing to join and a lack of credibility with decision makers. The aim of the strategy proposed is to ensure that Scouting's mission is understood by those who recognise the Scouting brand.

The Committee agreed a 'principal image' for the Association as that of a co-educational organisation for young adolescents who reflect the excitement of being Scouts and are always looking for new challenges. The Scouts work together as a team and enjoy activities in outdoor environments. They lead themselves but are supported by adult Leaders in the background. This 'principal image' was capable of being modified for other age groups.

After careful consideration the Committee agreed strategic objectives to govern future work in this area. The Scout Association will aim to present a fresh and contemporary image of a dynamic, forward-thinking, values-based organisation which young people want to join. It will ensure that appropriate information and guidance is communicated effectively with Members to fuel their own enthusiasm for Scouting.

It will also encourage Members to share their own vision and aspirations with the Association's decision makers and deliver an efficient and readily accessible means of communication. Effective channels of communication for allowing the general public to find out the opportunities Scouting provides will be created. This will also help to promote the benefits of membership. The strategy will also enable Scouting to communicate its valuable contribution to the development of society - locally, nationally and internationally.

The Committee requested detailed costings of the recommendations once the Director of Communications was in post.

SCOUTING Magazine won the 1998 Institute for the Study of Drug Dependence Media Award for the Drugs - What you need to know poster published in the April 1998 edition.

Programme Review

The Committee received progress reports on the work of the Programme Review Group. Various sub-groups are engaged in different aspects of research prior to producing models for later field testing. As part of this work a paper on Scouting fundamentals was drafted in the form of a Programme Mission Statement.

After discussion, the Committee agreed the statement. It also agreed that this and six Personal Development Areas will form the basis for further programme development work.

The Review Group organised 'model-making' workshops in different parts of the country. Information arising from these workshops was presented to the Committee at its April 1999 meeting. There will then be a further consultation with the Movement with a range of possible model options.

The Committee agreed to establish a Programme Implementation Group to take forward the work of the Programme Review Group after it reports in May 2000, and that it should be operational by the end of 1999.

Programme and Development

Community Action Projects

The Community Development Department registered 199 projects during the year. These ranged from projects opening new Sections and Scout Groups, to Counties employing local Development Officers and Community Action (partnership) projects with other organisations. Eighty-three Scout Groups were awarded start up grants for new Sections from the Trustees of The Scout Foundation, taking Scouting to 1,330 more young people and 287 adults.

In addition, The Scout Foundation funded another 38 projects - 15 new Scout Groups, ten District projects, six County projects, four Community Action projects and three projects with Secondary Schools (with funding from Marks and Spencer). During 1998, The Scout Foundation decided that it could no longer support Community Action projects due to the pressure on its funds, but recognising the essential role Community Action projects played in the development of Scouting, the Committee agreed that external funding be sought to enable the Association to fund these projects. Community Action projects are partnership projects with other organisations and take the fundamentals of Scouting to disaffected young people who would not usually join Scouting. There is no requirement of Scout Membership for these young people.

For the previous three years our community development work had been part funded by the Department for Education and Employment. The Scout Association was pleased to receive a further three year's funding to continue its development work - with existing Scout Groups and with new Scout Groups and communities. The Scout Association was awarded a total of £410,000 for use from April 1999 - March 2002 to expand its development work.

First Response

The First Response emergency aid training course for Leaders was revised following evaluation since its introduction and changes in emergency aid techniques.

Residential Experiences and Camping

A proposal to introduce a camping permit for all Leaders and young people undertaking 'residential experiences' was considered. It was agreed that a field trial of any proposal would be necessary before any recommendation was considered by the Committee of the Council.

1999 Outdoor Activity Award

It was agreed to provide an Outdoor Activity Award for Cub Scouts and Scouts during 1999. Those gaining the award will be able to wear it on their uniform until the end of August 2000.

Proficiency Badges Review

The National Scout Team carried out the three year review of Section Proficiency badges. Details of the review will be published during the next financial year.

Certificates of Competence

It was agreed that there would be a review of Certificates of Competence for Trainers and Assistant District Commissioners (Adult Training) and a report submitted to the Programme and Training sub-Committee in May 1999.
 

International

19th World Scout Jamboree - Chile

The World Jamboree was held in Chile over the 1998/99 New Year period. Nearly 2,000 UK Scouts participated.

The Association hosted a reception for the London-based Ambassadors of the South American Countries visited by Scouts having home hospitality in connection with the Jamboree.

In February 1999, the Committee received a report on the Association's participation in the 19th World Scout Jamboree in Chile. There had been complications for the Association arising from the arrest of Senator Pinochet in London. The financial exposure to the Association during this period of uncertainty had been substantial but risk assessment had been carried out, both in Chile and by using the services of a professional risk assessment company.

The Association owes an immense debt of gratitude to the officers of the All Party Parliamentary Scout Group who had acted on the Association's behalf in lobbying the Government.

ScoutBase had also played a very significant part in keeping Members of the Movement and parents informed in the period prior to the Jamboree as well as during the Jamboree itself.

9th European Scout and Guide Conference 1998

The Committee received the report of the Association's delegation to the Conference held in Luxembourg in May 1998.

Discussion on the structure of future co-operation between the European Scout and Guide Regions dominated the agendas of the separate and joint Scout and Guide conferences. The new structure finally agreed was consistent with the mandate given to the delegation by the Committee.

In future there will be two separate conferences, meeting together for some time to discuss agreed collaborative work. There will also be two separate European committees which will meet to ensure implementation of such work. The European Scout Committee has decided to close its main office in Brussels and relocate to Geneva. The European Scout Plan 1999-2007, approved by the Conference, was noted by the Committee.

Mr. D. Bull, a Member of the Association, was elected to the European Scout Committee and subsequently as its Chairman.

Global Awareness Participation Project (GAPP)

The project, partially funded by the DfEE, is a joint project with Young Farmers' Clubs to develop peer education skills amongst young people. GAPP team members attended many large events to provide activities on the theme of global awareness and development education.

The project concluded at the end of the financial year under review, and an evaluation report is anticipated during the next financial year.

World Scout Youth Forum

The Committee agreed to send a delegation to the World Scout Youth Forum in South Africa in July 1999 and appointed delegates and observers.

35th World Scout Conference

The Committee agreed to send a delegation to the 35th World Scout Conference in South Africa in July 1999 and appointed delegates and observers. Others involved in the promotion of the United Kingdom's bid to host the 2007 World Scout Jamboree will also be present.

11th World Scout Moot

The Committee agreed the Contingent Leadership Team for the 11th World Scout Moot in Mexico in July 2000.

2007 - The Centenary of Scouting

Planning for the centenary of Scouting was continued during the year under review. This included filming with the Hon. Mrs. Betty Clay (daughter of the Founder), on Brownsea Island.

Possible 2007 world and UK activities were noted and work is in hand to design a 2007 world logo and a UK variation.

The Committee was notified that the United Kingdom was making the only bid to host the 2007 World Scout Jamboree. The Chief Scout visited the preferred Jamboree Site at Hylands Park, Chelmsford, and a member of the World Scout Bureau staff inspected it in December 1998.

Preliminary proposals on structures and the establishment of a wholly-owned subsidiary company through which the centenary activities will be managed were considered. The structures will have to be put into place immediately after the decision of the World Scout Conference in July 1999.

The Committee agreed that the formal decision to establish Scouting 2007 Limited, be deferred until June 1999, while additional legal and financial matters were investigated. A search group was established to seek a non-executive Chairman (Designate) for the company.

Conference and Activity Centres

Gilwell Park Development

During the year the final account for the first phase of the development of the White House and conference facilities (1995) was made after contractors had completed outstanding work.

Gilwell Park Camp Site Redevelopment

A consultation day on the redevelopment of the Gilwell Park Camp Site was held in July 1998. The report of the day provided a focus for the redevelopment of the site.

Members of the Committee noted that the redevelopment of the site was crucial in the lead up to 2007, as World Scouting will have high expectations of Gilwell Park. In addition its role in the history and future of international Scouting could not be ignored.

A progress report was scheduled for April 1999, with a full report on a vision for the redevelopment of the Camp Site in June 1999.

Baden-Powell House Hostel Refurbishment

During the year negotiations to conclude the final account for the refurbishment (1997) of the Hostel continued with the contractor

Hawkhirst Activity Centre

The Committee received the annual report on Hawkhirst Activity Centre. The site had been the venue for the National Sea Scout Camp during the Summer 1998, but fewer Groups had participated than in previous years. Hostel occupancy was up by five percent but camper nights were down 11 percent, to the same level they were in 1996.

Efforts were being made to increase the use of the site. Camper night fees were being cut to improve bookings and investment made in standing camping facilities.

Child Protection Matters

Criminal Records Bureau

The Scout Association has a well established vetting and recruitment process. During the year the Government announced that it will establish a Criminal Records Bureau for England and Wales. Similar arrangements will be made in Scotland. This will allow youth organisations and others to check if adults volunteering to work with young people have a criminal record. The Association welcomes the initiative.

However, the Government proposes that the Bureau will charge £10 per check and voluntary organisations will not be exempt from the charges. As a result The Scout Association may be forced to spend £750,000 each year. While the scheme is described as 'optional', it will be very difficult for the Association to opt out. There will be parental concern and the Association's credibility will be placed at risk. Northern Ireland already has access to free Police checks.

Early indication from the Association's insurers is that they might require the Association to use the new service. The Association believes that it will have a moral responsibility to use it as a part of the recruitment process.

In areas of deprivation and poverty a charge of £10 will create a barrier to volunteering. It will not help the already difficult task of attracting adult Leaders. Other national voluntary organisations share the same view.

The Chief Executive and over 40 chief executives of other voluntary organisations met with the Minister of State. The Minister's response was disappointing and, consequently, it galvanised the organisations into concerted action.

A briefing was provided to County/Area Commissioners and many have contacted MPs in their localities.

Lord Weatherill, former House of Commons Speaker and member of the All Party Parliamentary Scout Group, arranged for the Chief Executive to meet with the Home Secretary at the end of March 1999, to explain the concerns of the Association and other voluntary organisations. Further action is planned during the next financial year.

Camp Sites and Activity Centres

Child protection advice and operational guidelines were provided to Counties and Areas.

Management and Administration

Headquarters Strategic Development Plan

The Committee reviewed the first year of implementation of the Headquarters Strategic Development Plan. Most work is on track with good progress being made towards targets. The plan provides a focus and tool to assist collaborative working across Headquarters.

County/Area Commissioners were informed of the various workshops to be held in the next 12 months, many of which were related to achieving targets set in the Headquarters Strategic Development Plan.

Membership Categories and Headquarters Membership Subscription

The Committee confirmed that members of the Scout Fellowship should be at least Associate Members of the Association with the option to become Members. It also confirmed its July 1996 decision that there should be no exemptions from the payment of the Headquarters Membership Subscription.

Some letters of concern were received regarding the decision to withdraw the exemption for Scout Fellowship members over 65 years of age which they had enjoyed since 1990.

The Committee noted that the task set for the working group in 1996, was to simplify the Membership rules. The argument of a special case for Scout Fellowship members could not be argued in isolation to that for students and those with special needs. The Committee believed that all Members of the Association should pay a subscription.

The Committee confirmed its previous decision and a letter was sent to all Fellowships explaining its decision.

Honorary Scouters

The position of Honorary Scouters was clarified. The conferment of the title Honorary Scouter did not bring with it any benefits of Membership of the Association and, therefore, those on whom the title was conferred, did not have to pay the Headquarters Membership Subscription unless at the same time they were a Member of the Association, e.g. a member of the Scout Fellowship.

National Membership Database and Membership Cards

The Committee discussed a recommendation that full consideration be given to the creation of a national Membership database financed by the Association following consultations with County/Area Commissioners.

It was argued that it will become increasingly important that Headquarters should know the names of all its Members and that it might only be a matter of time before the insurers raised questions regarding proof of a person's Membership.

Until now the Association had been seeking, unsuccessfully, a sponsor to assist it to set up a database facility.

A short term alternative was proposed to address some of the key issues and keep options open for possible future development and sponsorship of a national Membership database.

It was agreed that - for 1999 - on receipt of census forms a supply of unnamed Membership cards be provided for local distribution. The card will serve as a receipt for the Headquarters Membership Subscription for the year, develop a sense of belonging and provide a sense of entitlement to Headquarters services.

It further agreed that the names and addresses of all Members should be recorded by Groups and that a copy of this information be passed to Districts, Counties and Areas as part of the 1999 Census operation. It was agreed that this would help Districts to communicate directly with all Members when required and may facilitate the establishment of a Membership database at some time in the future.

A more detailed report will be commissioned on the longer term options and costs in creating a national Membership database.

National Volunteer Structures

The Committee established a working group to review the national volunteer structures in the light of changing priorities and staff management structures. The Committee received a report in February 1999.

Following careful consideration the Committee agreed to abolish the Programme and Training and the Community Development sub-Committees and to establish a new Programme and Development sub-Committee with effect from September 1999. Its key areas of responsibility will cover youth programme; adult training; activities; training conferences and events; development and growth of Scouting; and the international programme.

The Committee confirmed that the key areas of responsibility of the Finance sub-Committee were: budget; fundraising and sponsorship; financial marketing; salary review; performance monitoring of subsidiary companies, investments, property maintenance, use of assets, financial controls; and liaison with The Scout Foundation, Scout Business Trust and Pension Scheme.

The Committee commissioned a further paper to enable it to conclude its debate about the need for other sub-Committees at its June 1999 meeting.

The Committee considered key national volunteer appointments, particularly National Commissioners, in the knowledge that the Programme Review Group may make recommendations on this same issue in due course. It was noted that if changes were made now then a further review will subsequently be necessary as it was not yet clear what support any revised programme will require.

The Committee agreed to await the Programme Review Group's report before considering any major changes to the present structure of National Commissioners with the exception of agreeing to a new post of National Commissioner for Development.

The Committee confirmed that the National Chairman of the Scout Fellowship will in future report to the National Commissioner for Adult Support. Also, the appointment of a National Chairman will be made under the normal process for a national lead volunteer and not by election.

The Committee considered the role and responsibilities of its members as Trustees. The working group's report established that the primary function of the Committee was to devise strategies and policies to achieve the Aim of Scouting. This raised issues regarding the number of Trustees necessary to carry out this role, the process by which Trustees were appointed to this office and the training or qualifications necessary to enable them to carry out this role. It was agreed to debate this issue at the June 1999 meeting.

Service Certificates and Decorations.

After due consideration the Committee agreed that service certificates should be introduced for five and ten years adult service. The qualifying period of adult service for the Long Service Decorations will remain unchanged at 15 and 25 years.

The Committee also agreed that there should be a new service award known as the Chief Scout's Long Service Decoration to be awarded to those who have given 40 years service to Scouting while holding adult appointments.

Changes were made to the Leader database to enable the majority of these service certificates and decorations to be issued automatically by Headquarters.

County Groupings

Having noted that there were no major operational difficulties and only a minimal impact on regional representation on National Teams, the Committee agreed to transfer the Counties of Dorset, Gloucestershire and Wiltshire from Region 3 (S) to Region 4 (SW).

Health and Safety

A series of health and safety workshops for Counties and Areas was completed. The workshops had highlighted the need for further help to the Movement.

It was decided, therefore, to appoint a staff member for health and safety. The person appointed will spend his or her time supporting the Movement and advising Headquarters on health and safety matters.

An external audit of health and safety issues at the Association's sites was commissioned.

Constitutions and Bye Laws

The Committee approved amendments to the Bye Laws of The Scout Association for recommendation to the Council. Following acceptance by the Council at the Annual General Meeting in September 1998, a formal request was made to the Privy Council for approval.

The new Bye Laws include a provision for each County and Area to nominate one youth representative aged 18-24 years (at the time of nomination) to the Council of The Scout Association plus the election of three youth representatives to the Committee.

Although formal approval from the Privy Council is still awaited Counties and Areas were requested to nominate a youth representative to the Council at their annual meetings.

The Committee recommended arrangements for the election of young people to the Committee to members of the Council by a postal consultation for implementation at the Annual General Meeting in September 1999.

The Committee approved the revised constitutions of the Welsh Scout Council and the Northern Ireland Scout Council.

Youth Membership Application Form

Many Scout Groups are producing their own youth Membership application forms. The National Special Needs Team believed that many of the forms asked for too much detail which might deter young people with special needs from joining the Movement. It was agreed that a national form - for optional use - should be produced. This should be available in the next financial year.

Census 1999 - Ethnic Survey

It was agreed that the ethnic origin of Members should be surveyed from the 1999 Census onwards. The results will assist the Association to monitor the success of its Equal Opportunities Policy and its wish to reflect in its Membership a similar cultural diversity to that in the United Kingdom population as a whole.

Policy, Organisation and Rules

Revised rules enabling uniform variations and the carrying of knives for reasons of faith or culture were adopted.

Following consultations with County/Area Commissioners the Committee agreed that the ten-year rule for the maximum appointment for a County/Area Commissioner be extended to District Commissioners and be provided as suggested guidance for Assistant County/Area Commissioners and Assistant District Commissioners.

Swimming rules were reviewed and revised after consultations with external agencies including the Health and Safety Commission.

Other amendments to rules were published in a third Amendment Booklet to the 1995 Edition of the Association's Policy, Organisation and Rules. A consolidated and updated version including amendments to date was issued on a CD-ROM. Fourteen thousand copies were issued to Groups, Districts, Counties and Areas.

Volunteer Appointments

Directors of Scout Shops Limited

A search group was established to seek, externally, new non-executive directors for Scout Shops Limited.

Consideration was also given to the position of the Association's 'internal' Directors. The Committee agreed to appoint the Chief Executive, the Director of Finance and the new Managing Director of Scout Shops Limited as Association nominated directors.

Brownsea Island

The chairmanship of the Brownsea Island Scout and Guide Committee is appointed jointly with The Guide Association. For the past ten years Mr. K. Stevens has held this post, seeing through significant development including a recent Forward Planning Strategy for the Scout and Guide facilities on the island. Some time ago he had indicated a wish to stand down.

The Committee, therefore, agreed to support the nomination of Mrs. A. Thomas, former Guide County Commissioner for Cornwall, as Chairman of the Brownsea Island Scout and Guide Committee with effect from 1 June 1998, for a term not exceeding five years.

The Committee also recorded its sincere appreciation to Mr. Ken Stevens for his chairmanship over many years and for the positive relationships developed with the National Trust over that period. The Chairman of the Committee of the Council attended the Annual General Meeting of the Brownsea Committee and made a presentation to Mr. Stevens on behalf of the Committee as a token of its gratitude.

2003 World Jamboree

A search group has been established to find a UK Contingent Leader for the next World Jamboree which will be held in Thailand.

2007 UK Celebrations

Following a postal consultation Mr. Derek Humphreys was appointed Co-ordinator for the UK activities in 2007 (other than Jamboree).

Member Nominated Trustee of the Staff Pension and Life Assurance Scheme

The Committee noted that Mr. John Grantham, Insurance Manager, was elected by members of the Staff Pension and Life Assurance Scheme as a Member Nominated Trustee of the scheme.

Chairman of Scouting 2007 Limited

Following a search, a number of names had been suggested for the post of Chairman of Scouting 2007 Limited, and a short-list identified. The search group met the individuals concerned in March 1999 and anticipated a recommendation being made to the Committee in April 1999.

Directors of Scout Services Limited

The Committee approved the appointment of Mr. A. Lee and Mr. D. McCarthy, as Directors of Scout Services Limited, consequent upon the retirement of Mr. W. McDonald and Mr. B. H. Lees.

Directors of Scoutways Limited

The Committee approved the appointment of Mr. D. McCarthy as a Director of Scoutways Limited - a dormant company - with immediate effect consequent upon the retirement of Mr. B. H. Lees.

National Appointments Processes

The Committee agreed the processes for the appointment of Chief Commissioners and National Commissioners.

Staff Matters

Management Structures

The Committee received the report on staff management structures that it had requested. The report took account of other work in hand on job evaluation, salary structure and on co-location, as well as the Information Centre and a proposed review of the national volunteer structure.

The proposals provided clarity and efficiency for the management of human and material resources, with particular focus on the corporate strategic responsibilities of members of the Senior Management Team and the delegated operational authority and responsibilities of Departmental Managers.

After careful consideration the Committee agreed a new structure under four directorates reporting to the Chief Executive and led by The Secretary, the Director of Finance, the Director of Programme and Development and the Director of Communications.

Job Evaluation

External consultants were commissioned to review the Association's job and salary structure. The existing salary grading scheme had been introduced ten years ago but now included a number of anomalies. Retention and recruitment of staff was proving difficult, especially when compared with salary scales in the charity and commercial sectors.

Directors

During the year the two new Directors took up their posts.Mr. D. McCarthy, Director of Finance (Designate) on 5th May 1998, and Mrs. J. Gizbert, Director of Communications on 1st March 1999. Mr. B. H. Lees, Director of Finance and Marketing, retired at the end of July 1998.

Mr. D. Markwell was appointed the Managing Director (Designate) of Scout Shops Limited with effect from 4th May 1999, in preparation of Mr. A. Moore's retirement at the end of July 1999.

Financial Matters

The Association's Annual Accounts are prepared in accordance with the Statement of Recommended Practice, Accounting by Charities, more often referred to as the Charities SORP.

Incoming Resources

The total incoming resources for the year amounted to £10.743 million, a decrease of £137,000 over last year with the increased subscription rate more than offset by the fall in Membership.

Investment income of £2.583 million includes dividends and interest on our investments, donations, grants and insurance commissions, and was in line with last year despite the fall in interest rates. Cash flow improved following management actions to reduce expenditure in the second half of the year offsetting lower income from other sources.

The Subsidiaries' net income of £686,000 represents the total profits of Scout Shops Limited, Scout Services Limited, and Scout Insurance (Guernsey) Limited. Further details on each of these operations are provided below.

Scout Shops Limited

Turnover for the year ended 31 January 1999, showed a growth of 2.7 percent over the previous year, while gross margins remained constant at 42 percent of turnover. However, in common with other high street retailers, the increased turnover failed to disguise a year of poor trading, with operating profits before interest, dropping by £394,000 to £402,000. Business with the Movement showed the greatest decline, excluding revenue from supplying the Jamboree contingent, and efforts are being made to reverse this trend.

A new covenant was executed in 1998 at the level of 85 percent of taxable profits and resulted in a sum of £231,000 falling due to the Association compared with £624,000 last year, and leaving £32,000 in Scout Shops as retained profits after taxation.

Scout Insurance (Guernsey) Limited

The Association's captive insurance company achieved a £40,000 increase in profit to £243,000 for the financial year. As in previous years, the Guernsey Board has decided not to declare a dividend and has allocated a further £50,000 to a General Liability Reserve Fund.

Scout Services Limited

The continuing and growing sponsorship of badges allowed Scout Services to achieve another solid year of results, with £180,000 being passed to the Association under the 100 percent profit shedding covenant.

During the year new sponsors attracted to the Association included the Environment Agency, Legoland UK and ProShot. Reckitt and Colman sponsored the Cub Scout Home Help badge through Dettol, and the Automobile Association renewed its sponsorship for a further three years.

The Lifeboat Appeal was brought to a close during the year after £31,000 had been raised, while the Bank of Scotland Affinity Card has now brought over £210,000 into the Association since its launch.

Other Trading Activities

Other Trading Activities income of £2.538 million arises from the charitable trading operations at Baden-Powell House Hostel, Gilwell Park Conference Centre, Hawkhirst Adventure Centre, Resource Centre (now the Information Centre), National Camp Site, and SCOUTING Magazine.

Baden-Powell House Hostel returned to profit with a 27 percent increase in income in what was the first full year of trading after the refurbishment, which was completed in the summer of 1997.

The Gilwell Park Conference and Activity Centre failed to improve on the poor results of last year. The Senior Management Team has accelerated the programme to convert temporary offices in the Barn into bedrooms during the Autumn of 1999 in order to widen the appeal of the centre and attract outside commercial clients to fill spare capacity.

SCOUTING Magazine achieved an improved surplus on last year following an increase in the cover price, while the Resource Centre operation continued to perform well during its absorption by the Information Centre.

Resources Expended

Resources expended rose by some six percent if other trading costs are excluded, partly through inflation and higher insurance premiums, but also by the need to recognise the liability for future redundancy costs arising from the decision to co-locate the Headquarters offices to Gilwell Park by the end of the year 2000. This has resulted in a provision of £713,000 in the accounts.

Following a Management review in October 1998, a range of measures to provide tighter control on expenditure were implemented. Steps were also taken to improve revenue generation and reduce trading deficits. Gardner Merchant were appointed as the contract services company operating at Gilwell Park and Baden-Powell House in place of Sutcliffe Catering. The priorities and methods for the implementation for each of the targets in the Headquarters Strategic Development Plan were fully reviewed.

Staff posts which became vacant were frozen, with consequent pressure on the remaining staff to maintain the level and quality of the service offered by Headquarters to the Movement. By February 1999, there were some 20 vacant staff posts frozen.

Support and other costs include unrecovered VAT, which remains similar to previous years and is a considerable burden to this and other charities. Fundraising and publicity costs reflect the service offered by Headquarters to the Movement in advice on lotteries, grants and other fundraising activities (see below), as well as in direct fundraising for the Association.

Net Incoming Resources

The net incoming resources for the year amounted to £165,000, a marked fall against last year (£1.080 million). These include retained profits in subsidiaries of £275,000, leaving a net outflow of resources before gains on investment assets and prior year adjustments are taken into account.

Gains on Investment Assets

The figure represents the difference between the market value of our investment portfolios at the start and end of the financial year. Only a small part of this figure has actually been realised on investments sold; the much larger portion reflects unrealised gains.

The Scout Association Pension and Life Assurance Scheme

The Actuary carried out a triennial valuation of the Pension Scheme as at 31 March, 1998.

The previous valuation in March 1995 had identified that the Pension Scheme was over-funded at that time by some 16 percent. As a result £2,681,000 had been refunded to the Association, with a one eleventh write back into revenue each year in accordance with SSAP24.

The latest valuation required a capital injection of £1.2 million into the scheme, drawn from the £2.6 million previously paid into the Association, together with a future employer's funding rate of 22.9 percent from 12 percent previously.

As the occupational scheme, with its fixed contribution rate, has not appealed to all members of staff, the Association has introduced a group personal pension scheme in conjunction with Scottish Widows.

Assistance and Guidance

Specialised guidance and advice has continued to be provided on National Lottery Grants as well as a range of other fundraising initiatives. Other areas of advice include VAT, charity trading and the charity accounting regulations.

Loans and Grants

During the year the Association advanced a further £110,000 to assist Groups, Districts, Counties and Areas to acquire or modernise local Headquarters buildings, and provided grants from restricted funds to assist Scouting at both local and international level.

The Association's Funds

Despite consolidated reserves of £30.794 million, an increase of £456,000 over 1998, the Association's unencumbered funds after excluding reserves locked into fixed assets (£8.135 million), Restricted and Endowment Funds (£5.442 million) and funds retained in subsidiaries (£684,000) amount to £16.533 million, equivalent to just over one and a half year's income at current levels.

Of this total some £9.5 million has been set aside into Designated Funds for future calls on the Association's finances, including costs leading up to the 2007 Jamboree, modernisation of the Gilwell National Camp Site facilities and co-location of certain Headquarters service departments.

Derek M Twine
(Chief Executive & Trustee -- For the Committee of the Council)
21 July 1999