HomeMy WebLinkAboutCL 59/984
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REPORT TQ COUNCIL
: ROM: Bruce Taylor, AMCT, CMM DATE: December S, 1998
Town Clerk
REPORT NUMflER: CL 59/98
SUBJECT: Remuneration Far Members of Council
P.ECObUKENDATION:
That the draR bylaw to provide remuneration for Members of Council be enacted.
ORIGIN:
At lhe direction of Mayor Arthurs
AU1'HORITY:
Section 242(I) ofthe Municipal Act
FINANCIAL (MPLICATIONS:
See details in Report
EXECUTIVE SUMMARY:
This Report proposes to provide a remuneration package for the Mayor and Members of Council
BACKGROUND:
At the request of Mayor Arthurs, I have prepared a draft by-law to establish a remuneration
package for Members of Council that includes a salary adjustment, an optional RRSP package and
a severance plan.
Members of Council have not received any salary or bene6t increases since December I, 1990.
Council did establish a Task Force comprised of three citizen members in 1993 to eraminc ils
remuneration package. Although this Task Force did recommend salary increases at that time, the
Report of the Task Force was only received and not acted upon. The Report went on to state
that as the Town grows, Councii will be required to re•exemine its fringe beneflt package in arcas
such ns severance and a pension plan for all Members of Council.
The attached draft by-law provides for the following remuneration features:
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SALARY
The following salary adjustments are being recommended:
PRESENT EFFEC'fIVE EFFECfIVE EFFECTIVE
DEC. 1, 1998 JULY 1 1999 JULY t, 2000
MAYOR 540,741 545,000 547,500 £50,000
COUNCILLOR S15,479 317,500 $19,000 320,000
In addition to the above annual salary, it is recommended that Members of Council will
receive e per diem payment for full day meetings oF Council that have been called by the
Mayor to a maximum of five days per yeat. M example of such a meeting would be the
annual Budget Meetings.
The per diem rate would be 0.5% (one•halF of one percent) of the annual salary of ihe
Member of Council. Far example, iF the annual salary for a Councillor was 520,000, the
per diem rate would be:
520,000 x 0.5% = S 100.00
REGISTERED RET(REMENT SAVINGS PLAN IRRSPI
A Member of Council would have the option of contributing a maximum of 20% uf his nr
lier annual salary each year towards an RRSP Ihat would be matchcd by the municipalily
to a maximum of 5% of the annual salary.
A Member of Council would have to provide a conlribWian reccipt to the Town in thc
amount he or she wishes to contribute to �he RRSP on or before December 31st and the
matching contribution by the Town would be paid by January 31 st of thc next calendar
year directly ro the financial instilmion selected by the \tember oFCouncil. This would be
reflected on the appropriate year's T-4 as a taxable benefit.
During this term of Council an�y, a M1tember of Council would be eligible to contribute up
to three years of their most recent service prior to December 31, 1997.
SEVERANCE
A Member of Council would be cligible far a severance package after he or she �vas
elected to a second consecutive tertn on Councii. The severance payable would be one
month of salary for each year of consecutive service to a maximum of 24 years of service.
ATTACFQvfENTS:
Draft by-law
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Prepared By:
Bruce Taylor, AMCT, CI�Rvf
Town Ckrk
Attachment
Recnmmended for the consideration of
Pickering Town Council
Thomas J. Quinn,
Chief Administretive 0�cer
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THE CORPORATION OF THE TOWN OF PICKERING
BY-LAW N0. 5434/99
Being a bylaw to provide remuneration for
Members of Council.
WHEREAS pursuant to Section 242(1) of the Municipal Act, R.S.O. 1990, c. M.45, as amended,
the Council of a municipality may pess bylaws for paying remuneratiom to the Memhers of
Council, and such remuneration may be determined in any manner that Council considers
advisable;
NOW THEREFORE THE COUNCIL OF THE CORPORATION OF Tl� TOWN OF
PICKERING HEREBY ENACTS AS FOLLOWS:
I. [n this by-law,
a) "Member" means any person who is or becomes a btember of the Council of iha
Towo of Pickering an or after December l, 1997.
b) "Service" mcans any period of service as a hlembe� and shall include a M1iemhcr's
period of service occurring prior to Dccember I, 1997.
c) "Severance Remuneratiun" means the amount of money calculated in accordance
with Section 6(b) of this by-law.
2. The remuneration payable to the M1layor shall bc as follows:
Eflective December I, 1998 545,000.00
Effective luly I, 1949 Sd7,500.00
Effective luly I, 2000 550,000.00
3. The remuneration payable ta a Councillor shall be as follows:
Effective December I, 1998 S17,500.00
Etfective July l, 1999 519,000.00
Effectiveluly I, 2000 520,000.00
4. a) A Member shall be paid a per diem rate of 0.5% of their annual salary for attending
e full day meeting of Council or a committee called by the Mayur.
b) A Member shall be eligible for a maximum of five per diem payments as noted in
Section 4(a) above in any calendar year.
5. a) A Member shall have the option of contributing a maximum of 20% of his or her
annual salary each year towards a Registered Retirement Savings Plan (RRSP) that
will be matched to a maximum of 5% by the municipality.
b) Evidence of a contributians by a Member townrds an RRSP es set in Section 5(n)
shall be made to the Treasurer no later than December 31st in any given year and
the Town's contribution shall be mede no later than Jenuary 31st of Ihc ncrt
calendar year.
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c) Sation 5(a) is hereby retroactive to lanuary I, 1995.
6. a) A Member, with service of more than tm�e cansecutive years, may, upon writtcn
applicatian to the Town Clerk therefore by the Member, or by a representalive
appointed in writing by the Member, receive severance remuneration upon ceasing
to be a Member by reason of:
i) election defeat
ii) resignation;
iii) leaving ofiice; or
iv) dying while in office if the Member is 65 years of age or over and not
eligible to receive benefits under the Town's group life insurance program;
provided that no Member shall be entilled to receive scverance remuneralion who
ccases to be a Member by rcason of, or by resignation which is a result of or givcn
in anticipation of:
i) removal from otBce byjudicial process; or
ii) disqualification undcr or operation of any Act of thc Parliamcnt of Canada
or the Legislature of the Province of Ontario.
b) Sevcranco remuneralion shall be equal to one month of salary for a titcmbcr, times
the number of years of consecutive, uninlerrupted full service of the �tember, tu a
maximum amount payable of 24 months rcmuncration.
c) A written application for severance remuneration must bc receivcd by Ihc Ta�vn
Ckrk within six calendaz months of a Member ceasing ta be a Member, othenvise
any entitlement to severance remuncration shall bc forfeited.
BY-LAW read a first, secand and third time and finally passed this I Ith day oflanuary, 1999.
Wayne Arthurs, Mayor
Bruce Teylor, Clerk