SRC Governance Options in a nutshell
WHY
The law has changed. We can no longer continue to operate as an exempt charity, this is due to the 2006 Charities Act
OPTIONS
1. Operate as an independent charity and register with the Charities Commission
2. Merge with the University and become a Durham Student Organisation
HOW WE DO IT
Option 1 – Operate as an independent charity Option 2 – Merge with the university
1. Create new Charities Commission compliant constitution. 1. Create governing documents.
2. Register with the Charities Commission. 2. Transfer assets to the university.
3. Find a trustee board & restructure our democracy / decision process 3. Start operating under the university as a Student Organisation.
as needed.
4. Start operating as a charity.
3 BIG PROS
Option 1 – Operate as an independent charity Option 2- Merge with the university
1. We have full ‘democratic’ independence as a students union 1. We save up to £10,000 extra per year through the cost of insurance
2. We would have a well defined legal position which could only be and accountancy that we would have under the charity route.
altered if students explicitly wanted it. 2. The University takes all liabilities away from the SRC but gives us full
3. As a charity it may be easier to elicit donations from people and operational independence to continue to do what we do.
organisations.
3 BIG CONS
Option 1 – Operate as an independent charity Option 2- Merge with the university
1. We have to adhere to the letter of the law; there is no room for 1. We would no longer be a students union in the eyes of the law but
mistakes. Every single trustee and SRC officer will be personally liable would become a Durham Students Organisation.
for their mistakes in. 2. The university may only modify the framework with the agreement of
2. Financial cost: we would have to pay up to £10,000 more to be a SRC. However, in extreme circumstances the university council may
charity than if we merge with the university due to insurance and modify the framework on the students behalf.
accountancy costs. 3. There is a perceived danger that comes from the fact that the
3. Bureaucratic Burden: Finances and affairs will need to be examined university will legally own our physical assets.
much more carefully in order to be compliant to the rules set by the
charities commission. This could be a lot to expect from exec
members who are not sabbatical.
HOW DO WE GET OUT?
Option 1 – Operate as an independent charity Option 2- Merge with the university
Assuming that we do not have outstanding debts, the University will take us. We would be able to decide after two years that we could remove ourselves
It is unknown what will happen if we ‘mess up’ while registered as a charity from the University governing structure. This time frame has been decided to
and then request to merge with the University as a ‘get out of this mess’ card. allow the University to improve the services it provides for the SRC.