The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no: Wednesday 23 rd May 2012 Holmesdale School Hall EGM The H OKEY C OKEY C LUB

Agenda The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no: Introduction History of the Hokey Cokey Club Current Status of the Club Incorporation Options Q&A The Vote

INTRODUCTION This EGM has been called to put forward options to enable the long term stability of The Hokey Cokey Club and facilitate a vote to change its legal status. As you are probably aware our afterschool club is organised by a Voluntary Management Committee (VMC). The VMC is made up of parents who have children attending the club. The VMC employ a management team and bank of Playwork staff to enable the day to day running of the club. You may not be aware that members of the VMC and ultimately the Chairperson are legally and financially responsible for the club and it’s liabilities. This could put parent’s personal assets at risk. It is possible to limit the liability and protect personal interests by changing the legal status of the club to a Limited Company. This is called incorporation. The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no:

HISTORY OF THE HOKEY COKEY CLUB Set up in September 1998 by school governors. A constitution was written which handed over the organisation and ultimate responsibility of running the club to a Voluntary Management Committee (VMC). Members of the VMC are parent members who offer their time to support the overall running of the club. In 2007 the club was at a point of closure and held an EGM in April/May 2007 to resolve, this was mainly due to:- –increased Ofsted requirements of having a Manager trained at NVQ Level 3 Playwork –a lack of suitable staffing –financial instability –lack of continuity/ownership from a day to day Manager (3 Managers between April 2006 and March 2007) –increased risk and liability to VMC members due to the Children Act 2006, imminent EYFS 2008 and increased Ofsted inspection criteria. The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no:

HISTORY OF THE HOKEY COKEY CLUB - challenges Most HCC parent members are working parents with young families therefore have little spare time to offer. Historically it is extremely difficult to recruit new VMC members and inevitably results in the threat of closure. This creates uncertainty as to the ability of the club to continue to provide afterschool childcare and creates an unstable working environment for employees. A continued rotation of VMC members not only creates instability for staff, but diverts management resources away from the primary aims of the club. This in turn hampers long term planning for the development and progression of the club. The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no:

Since that EGM the Clubs day to day management team are strong and have created continuity. The Manager and Deputy Manager have been employed by the Club for 5 years, the Assistant Manager joined in November They hold specific and relevant Playwork qualifications from NVQ Level 3 to Foundation Degrees. This year we had 5 VMC members leave. Despite planning and an extensive recruitment campaign over five months (September 2011 to January 2012), eventually new VMC members were voted in at our AGM in January. Since the club was established 14 years ago legislative requirements within the childcare sector and responsibilities as employers have grown considerably. Such as:- –Children Act 2006 –Employment Act 2008 –Equality Act 2010 The guidance that we as an afterschool childcare provider are underpinned by have also increased, such as:- –Every Child Matters (ECM 2005) –Early Years Foundation Stage, (EYFS 2008) –Early Years Foundation Stage, (EYFS 2012) –Playwork Principles (PPSG 2008) CURRENT STATUS OF THE CLUB The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no:

Many childcare settings in Surrey are run by VMC’s. A voluntary management committee has no legal status. Being a committee member carries personal liabilities where their assets and monies could be at risk. We do have specialist insurance and this can reduce some risk. However each individual committee member is responsible for all actions of the organisation past and present, legally and financially. It has been experienced by VMC members within the last five years that insurance does not sufficiently cover individual VMC members, increasing their personal liability. Surrey County Council is advising that organisations such as ours limit their liability by changing the legal status of the club to a limited company. This is called incorporation. CURRENT STATUS OF THE CLUB The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no:

WHAT IS INCORPORATION? What does incorporation mean? This means that the business has its own legal identity and is separate from the individuals who own and run it. Any contract, agreement or lease is made with the company rather than the individual. What are the benefits of incorporation? By incorporating you limit your personal liability both financially and legally. This means that your personal assets are not put at risk if the business has problems. Are there any risks with incorporation? Limited liability does not protect you in the event of misconduct, negligence or dishonesty. The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no:

Following discussions with Surrey County Council, our VMC Chairman, Dave Lovegrove and School Head, Sarah Beasley, a proposal was produced by Lorna Meares. Part of the proposal outlined the advantages and disadvantages of the three options that needed to be considered. They were:- –Option 1 – Remaining a VMC led organisation –Option 2 – Forming a Limited Company with parents being directors. –Option 3 – Forming a Limited Company and the management team being directors. On the 24 th April 2012 a VMC meeting was held for the sole purpose of considering all the options. The VMC concluded and voted for Option 3. DECISIONS AND PROGRESS SO FAR The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no:

Advantages Controlled and influenced by parents of club/school. Some familiarity for parents and the school with the VMC set-up and outcomes. OPTION 1 – Remaining a VMC led organisation The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no: Disadvantages Parents need to commit to being VMC members. Threat of club closure if VMC members are not recruited. Unstable working environment for permanent staff due threat of club closure. Continuous demand on management time and financial resources in the recruitment of and informing new members of the clubs ethos, legal responsibilities and policies and procedures. Stringent Ofsted requirements of VMC Officer positions. Hindrance to long term planning, development and progression. Personal liability and risk to parent VMC members. The requirement of VMC members to have a wide knowledge of childcare sector legislation, such as ECM 2005, EYFS 2008 – Key Person, 6 Areas of Learning and 5 EYFS Outcomes, EYFS 2012, Playwork Principles 2008, Children’s Act 2006 etc. The requirement of VMC members to have a wide knowledge of other legislative requirements in their duty of care for the children and the clubs employees, such as Health & Safety at Work Act 1974, Equality Act 2010, Employment Act 2008 etc.

Advantages Reduced personal risks to VMC members as they change to become Directors of a limited company. Controlled and influenced by parents of club/school. OPTION 2 – Forming a Limited Company, parents as directors The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no: Disadvantages Parents need to commit to being Directors (as to Option 1). Threat of club closure if Directors are not recruited (as Option 1). Unstable working environment for permanent staff due to the possible threat of closure (as Option 1). Continuous demand on management time and financial resources in the recruitment and informing new officers of the clubs ethos, legal responsibilities and policies and procedures (as Option 1). Stringent Ofsted requirements of designated person (as Option 1). The requirement of Directors to have a wide knowledge of childcare sector legislation, such as ECM 2005, EYFS 2008 – Key Person, 6 Areas of Learning and 5 EYFS Outcomes, EYFS 2012, Playwork Principles 2008, Children’s Act 2006 etc (as Option 1). The requirement of Directors to have a wide knowledge of other legislative requirements in their duty of care for the children and the clubs employees, such as Health & Safety at Work Act 1974, Equality Act 2010, Employment Act 2008 etc (as Option 1). The issue of recruiting parents who are prepared to commit to the unfamiliar demands of a directorship role. Extra administration in producing certified company accounts and personal tax returns.

Advantages The Club will continue to run and will be unaffected by the change of status. Examples of how to fulfil this are:- –the original ethos and objectives of the club are maintained i.e. affordable sustainable child care for parents. –Parents continue to have a voice in the sustainable development of the club by forming a parent focus /liaison group. The management team will have the ability to maximise the potential development of the club ultimately benefitting the children, such as a constant financial system to enable improved play resources and facilities. Management focus will be directed to the quality of the children’s play environment rather than supporting the diverse requirements of a voluntary management led organisation or a parent member Directive. The ability of long term strategic planning will be fulfilled by the current management team without the distraction of structural changes within the club, whether from a voluntary management led organisation or a parent member Directive. The school will continue to benefit from having a popular afterschool club managed by a committed and qualified team without the accountability and responsibility. OPTION 3 - Forming a Limited Company, managers as directors The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no: Disadvantages Parents, the school and the Governors may feel they have less control and influence.

In conclusion, choosing Option 3 the management team will become more stable and able to focus on the development of the Hokey Cokey club, and the provision of excellent play experiences for children. To continue the trust and transparency to the school and parents by offering a dedicated agreement of checks and balances to ensure the objects and ethos of the club are sustained. –‘The provision of affordable, sustainable, high quality child care outside of school hours. The ethos of the club is to provide a safe and caring environment with an emphasis on fun’ The Hokey Cokey Club Constitution With increased demands in growth and development imminent for September 2012 the dedicated management team will be able to act promptly and efficiently to ensure these demands are met. The current legal status of the club gives an ultimatum to parents of ‘No VMC, No Afterschool Club’. The pressure for parent members to commit their time and energy to being a VMC member will be alleviated. The potential personal legal and financial liabilities will be taken away without losing their valued childcare provision. CONCLUSION The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no:

Q&A The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no: Any Questions?

The Vote The Hokey Cokey Club C/o Holmesdale Community Infant School, Alma Road, Reigate, Surrey, RH2 0BY Mob: OFSTED registration no: “The Club may at any time be dissolved by a resolution passed by a two thirds majority of those present at a Meeting of the Club called for that purpose, of which at least 21 days clear notice shall have been sent to all members and Committee members.”