Puslinch council compensation, benefits review accepted

Council has accepted a report comparing its wages to neighbouring municipalities according to council compensation, benefits, allowances and expenses.

Further councillors endorse a one-third tax free allowance in accordance with the Municipal Act be considered in 2015 for the 2014-18 term of council; and that staff conduct a formal market review for council during the fourth year of each council term.

The review provided council a means of comparison.

With the introduction of the Municipal Act, municipal councils were allowed the option of choosing to continue to receive one-third of their remuneration as a tax-free allowance or remove the tax-free allowance, making all remuneration taxable.

On May 7 council passed a bylaw to continue the one-third tax free allowance.

Currently council remains under the provisions of the above bylaw with one-third of their remuneration being treated as expenses related to carrying out their duties (a tax-free allowance) and two-thirds of council remuneration remains taxable.

The Municipal Act requires council to review this bylaw at a public meeting at least once during each term of council and councillors have the option to terminate the one-third tax free allowance.

However should council terminate the tax free allowance, there is no means to reinstate it.

In a report to council director of finance Mary Hasan stated the township obtained data from Centre Wellington which included 15 municipalities including the local municipalities of Wellington County.

Hasan said the report also incorporated the comparator information for the Township of Wellesley, Town of Mono, and Township of Blandford-Blenheim in order to be consistent with staff’s 2014 pay equity study.

Part of the review included 2013 council remuneration reports from other municipalities regarding per diems paid to members of council for attendance at meetings, conferences, seminars, etc.

According to the findings presented to council the highest compensations for the mayor and council members went to the Guelph/Eramosa mayor and Wellington North councillor.

The lowest compensations were for Mapleton’s mayor and a Wellesley councillor.

Overall wages for the position of mayor ranged from $17,714 to $29,009; while councillor positions ranged from $13,454 to $14,485.

In May, Puslinch set its annual remuneration at $22,220 for the mayor and $15,150 for council members. Future salaries would be linked to the cost of living increase approved for staff for each year.

Mileage rates of 50 cents per kilometre are mid-range with comparable rates being between 47 to 54 cents per kilometre.

Hasan added the township is competitive in its budget provision for conferences, seminars and training.

The township is competitive in group benefit plan coverage with two of the eight comparator municipalities offering group benefit plan coverage fully paid by the municipality.

Hasan recommended the one-third tax free allowance in accordance with the Municipal Act be considered in 2015 for the 2014–18 council term and that staff conduct a formal market review for council during the fourth year of each council term.

Councillor Wayne Stokley agreed with the recommendation to separate council costs from administration.

“It’s a good idea to maintain that separation to make people more aware of how much is being spent by council.”

Roth stated he believed Puslinch’s use of a base salary is a good move.

“There is no way to abuse meeting attendance.”

He also felt it was a good thing for people running for council “to know exactly what the salary is going to be.”

He added that in comparision to similar municipalities, the wages and benefits “are right in line.”

Mayor Dennis Lever said it was a very detailed report.

“We do seem to be very much in line with the median.”

Lever added the municipalities used for council comparisons were the same ones used for the purposes of comparing municipal staff salaries and benefits.

 

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