The Dartmouth Trust

Background
This is an unofficial page and does not belong to The Dartmouth Trust. 
Brian Edgington former Mayor of Dartmouth and previous Chairman of the Dartmouth Trust and Cllr Dave Cawley, believe that many years ago the merchants and traders of Dartmouth donated their wealth and property on their deathbeds, to the people of Dartmouth.  To keep Dartmouth Special for the people of Dartmouth.  Certainly those that left substantial amounts to the Church were hoping it might increase their chance to get into heaven.

The merchants and traders loved Dartmouth, its beauty, the climate and especially its people.  They realised that in the future things might change and they wanted to protect Dartmouth and its people.  It is generally believed that they would approve of their money being used to help Dartmouth people stay in Dartmouth and have a good life with reasonable rents, and why not, it was their money?

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The current situation
For many years the Dartmouth Trust have given Dartmouth people reasonable rents on it's mixed portfolio of 51 homes and shops.  Even 18 months ago reasonable valuations had another 10% deducted.  However recently "absolute maximum" valuations have been sought and are likely to be applied to all tenants within the next two years, during that time further rises are likely too.

During the good years the word "best" in the Trusts scheme was interpreted as "best" for Dartmouth and Dartmouth people.  It is now being interpreted as the maximum obtainable from anyone anywhere.

The Trust is currently hiding behind the Charities Commissions interpretation of the current scheme and the word "best".  The Charities Commission is telling them that "if" the Trust continues the current scheme it must change rents. That would mean that some residential rents could go up by 40% and many shops by two or three times.

The Trust is laying the blame right on the doorstep of the Charities Commission and saying the "have" to change and charge more rent.  Not only is this not true, but the Charities Commission have objected that are being used as an excuse.  In a nutshell the Trust could easily change and give reasonable rents, this is explored later on this page

The Trust could if it so whished, simply change the scheme to be more in line with its performance a couple of years ago and for the last 100+ years too.  The Charities Commission have given clear and unambiguous advice on how to change.  This is quite simple, but at the January 2011 meeting half the trustees were not in favour and the Chairman Martin Hart used his casting vote to keep maximum rents.

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What the Charities Commission said
In an e-mail the Charities Commission suggested the scheme could be changed, this is what they said:

●  " If the trustees as a body felt that the purposes of the charity were not appropriate / had failed due to e.g. social and economic circumstances, then they should conduct a public consultation, not only with the beneficiary charities but also the public/residents in Dartmouth. Once the consultation has been completed the trustees could approach the Commission with the results of the consultation to seek a change of the purposes of the charity. We will need to see the relevant documents on the public consultation. "

The indication is that they are expecting this to happen as they are openly requesting the documents.  Clearly the social and economic circumstances have changed in Dartmouth over the last few years.  Wages are the lowest in the country and rents amongst the very highest.  It is believed that the Charities Commission would agree with this and the scheme could and should be changed.  Two of the three beneficiaries are broadly in favour, see below.

● If the scheme were to be changed then residential tenants could rest easy knowing they will be paying reasonable rents not "property developer" rents. They would have the knowledge that they could stay as long as they wanted and not just 12 months, and they could hang pictures on their walls without fear of a telling off. Local shopkeepers would be able to make a living from paying the Trust a reasonable rent, but big multiples and large commercial bodies would pay the going rate to benefit us all. The good thing about taking up the suggestion of the Charities Commission, is that it would be with their blessing and all the tax advantages would stay in Dartmouth. Simples!!

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What the papers say
Herald Express 17 January click here to read it
Dartmouth Chronicle 24 January click here to read it
Herald Express 31 January click here to read it
Dartmouth Trust 14 February  click here to read it
BB Radio News early morning show 15 February
BBC TV News 3 separate slots on February 15
Herald Express February 17 click here to read it
Herald Express March 1 click here to read it
Dartmouth Chronicle March 18 click here to read it
BBC Radio News March 18 all through the day

" Meanwhile, leading town councillor and fellow trustee Dave Cawley warned; "This is a very sad day. The people who on their death beds left what is now valued at almost £14million must be turning in their graves." "

" Dartmouth mayor Richard Rendle M.B.E., who is a trustee, left a trust meeting in disgust after trust members refused by just one vote to take action to stop the increases."

" To try and change the rules to expel me, instead of changing the rules to benefit the tenants, simply beggars belief! "

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Views of other people

Two out of the three beneficiaries have said they don't want any extra money to the detriment of Dartmouth people:

● On February 7  Dartmouth Town Council resolved: "That the Town Council does not support the present activities of the Dartmouth Trust with regard to the rent increases."

● The Archdeacon of Totnes, the Venerable John Rawlings, said on the telephone to Richard Rendle M.B.E. "The Church does not want to receive extra funds as result of putting Dartmouth people into hardship."

● Brian Edgington former Mayor of Dartmouth and previous Chairman of the Dartmouth Trust at this years "Civic Evening", said "The Dartmouth Trust must return to its old policy of offering reasonable rents for Dartmouth people". He also said changing the scheme with the offer of help from the Charities Commission was the way to go about it. Brian went on to say that he applauded the initiative of the Dartmouth United Charities to spend some of its nearly £1M on affordable homes for young working Dartmouth people.

● MP Dr Sarah Wollaston has voiced her concerns over Dartmouth Trust's proposals to increase rents warning: "It would change the nature of Dartmouth." She was speaking after a privately held meeting of about 30 private and commercial trust tenants. Mrs Wollaston said there was a danger Dartmouth could turn into a 'chain store town' if vulnerable independent traders are forced out. Mrs Wollaston said: "This has come as a huge shock to tenants. Were the Trust to shift to charging maximum commercial rents, it would change the nature of Dartmouth. No one wants Dartmouth to become a chain store town."

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What is the trust doing now?
The Trust has dug its heels in and is attempting to get those trustees that disagree to resign.  Cllr Dave Cawley was aggressively asked to resign twice during the 9 February meeting.  Since then the Trust are attempting to change their rules to simply "deselect" or "fire" trustees with a different view.  Unbelievably they will change the scheme to remove honest people of Dartmouth, but not change the scheme to protect the innocent tenants of Dartmouth, how bizarre is that?

The Trust is also trying to get all trustees to keep all Trust matters totally and completely confidential.  A completely secret society in other words.

● Or looking at it another way, instead of the Dartmouth Trust changing the rules to allow reasonable rents for Dartmouth people, it is changing the rules to get rid of trustees it does not like!!

● Recently the Trust engaged a solicitor to address the trustees and he suggested that those that did not "toe the line" would be libel to a £100K fine!  He forgot to mention that if the Trust adopted the suggestion of the Charities Commission that there would be no fine and the people of Dartmouth would be happy.

● The Trust has made repeated attempts to remove Dave Cawley from the board of trustees as his views are not "compatible" with the Chairman and Administrator.  He had been issued a gagging order and cannot any longer promote "reasonable rents" for the Dartmouth Trust tenants.  Deciding it might be easier to work outside the Trust he resigned, click here to read his resignation letter. This very personal letter says a lot, it is essential reading!

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What now?   It's time to change

The first thing is to lobby the Dartmouth Trust.  Then a proper review of rents needs to be carried out.  It is quite possible that some residential rents should go down.  It is also quite possible that some commercial rents should come down, and also that some commercial rents should go up.

1. The tenants of the Dartmouth Trust are not happy with the rent increases.
2. The people of Dartmouth are not happy with the rent increases.
3. The Town Council, one of the three beneficiaries, is not happy with the rent increases.
4. The Church, one of the three beneficiaries, is not happy with the rent increases.
5. Our local MP Dr Sarah Wollaston , is not happy with the rent increases.
6. The Charities Commission have suggested we change our scheme.
7. Only 5 out of the 12 trustees voted for the rent increases.

So there we have it, it's time to change.

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From the 2009 report:

Objectives
The Dartmouth Trust is currently being administered under a Scheme of the High Court made in 1890 and as amended in 1909, 1952, 1955 and 1988 in arrangement with the Charity Commission. The net income is applied to the three beneficiaries - namely, Dartmouth United Charities, The Church of St Saviour, Dartmouth and the Trustees of the Dartmouth Public Purposes Charity. The summary set out above is intended merely as an aide-memoire. For any matters requiring detailed consideration, reference should be made to the original deed. There have been no changes in policy during the year.

Trustees
Debbie Morris, Wendy Rendle, Colin Cooper, Peter Norton, Dave Cawley, Pam Norton, Terry Dunn, Gordon Farr, Martin Hart, Peter Conisbee, David Temple, Richard Rendle.

Investment Policy
The trust deed authorises the trustees to make and hold investments using the general funds of the charity. The trustees have considered the most appropriate policy for investing funds is the ownership and management of both commercial and residential properties. Surplus funds are invested in specialised unit trusts, designed for the charity sector to generate both income and capital growth. Following the recent uncertainties in the financial markets the market value of the unit trusts decreased by £17,932. The trust made a surplus for the year of £222,135 (2008 £219,385) after charging a provision of £30,000 towards the cost of stabilisation of 4 The Quay and the emergency repair fund. The trust has had a satisfactory year and as a result of rent increases the gross income has continued to rise. Property expenses this year were lower than in the previous year by £7,388. Funds available are sufficient to permit the charity to continue in operation for the foreseeable future. It is proposed that the appropriation for the year shall be £222,138 (2008 £219,384) which would leave a balance of £1 (2008 £4) to be carried forward to 2009/2010.

General Review
The Dartmouth Trust is regulated by a Scheme of the High Court of Justice (Chancery Division) of the 22 January 1890 as varied by Schemes of the Charity Commissioners of 8 October 1909, 24 October 1952, 19 August 1955 and 28 March 1988. The Trust is registered with the Charity Commission (registration number 203402) as a charity whose purpose is to administer and manage the specified properties. The income after payment of the expenses of the Trustees shall be applied as follows: One half: to the Trustees of the Dartmouth United Charities; One third: to the Trustees of the Ecclesiastical Charity for the repair and maintenance of the Church of St Saviour, Dartmouth; One sixth: to the Trustees of the Public Purposes Charity for the general benefits of the inhabitants of Dartmouth. The trustees consider the performance of the trust this year has been satisfactory. The trust would not be able to provide the service to our tenants without the continued support of the trustees who give their services voluntarily, to assist the day to day management.

Future Commitments
The charity’s priority is to continue to upgrade and maintain its existing portfolio of properties to a high standard for the benefit of the charity and its residents. End of 2009 report.

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Contact  click here or copy this into your e-mail system   trust@davecawley.com this mail will go to Dave Cawley not the Dartmouth Trust. This page reflects the views of Dave Cawley
 

This page is located at http://www.dartmouth.tv/dartmouthtrust/dartmouthtrust.htm 14 April 2011