APPENDIX 2

 

draft scheme of allowances

 

MEMBERS' ALLOWANCES SCHEME

 

This Member’ Allowances Scheme has been established under the Local Authorities (Members’ Allowances) (England) Regulations 2003 (and any amendments to those regulations).

 

1.                  This scheme may be cited as the Isle of Wight Council Members' Allowances Scheme.

 

2.                  In this scheme,

 

            "councillor" means a member of the Isle of Wight Council who is a councillor;

 

“co-opted member” means a Co-opted or Independent Member of the Scrutiny Committee and Standards Committee;

 

            "year" means the 12 months ending with 31 March.

 

3.                  Basic Allowance

 

Subject to paragraph (6), for each year a basic allowance shall be paid to each councillor. The amount of the allowance will be reviewed in accordance with paragraph (8). For the year 2006/2007 the allowance is £7,500.

 

4.                  Special Responsibility Allowances

 

(a)         For each year a special responsibility allowance shall be paid to those councillors who hold the special responsibilities in relation to the authority that are specified in Schedule 1 to this scheme.

 

(b)         Subject to paragraph (6), the amount of each such allowance for 2006/07 shall be the amount specified against that special responsibility in that schedule. The allowances will be reviewed in accordance with paragraph (8).

 

5.                  Renunciation

 

A councillor or co-opted member may by notice in writing given to the Chief Financial Officer elect to forego any part of his entitlement to an allowance under this scheme.

 

6.                  Part-year Entitlements

 

(a)         The provisions of this paragraph shall have effect to regulate the entitlements of a councillor or co-opted member to allowances where, in the course of a year, this scheme is amended or that councillor or co-opted member becomes, or ceases to be, a councillor or co-optee, or accepts or relinquishes a special responsibility in respect of which a special responsibility allowance is payable.


(b)         If an amendment to this scheme changes the amount to which a councillor or co-opted member is entitled by way of any allowance, then in relation to each of the periods

 

(i)            beginning with the year and ending with the day before that on which the first amendment in that year takes effect, and

 

(ii)          beginning with the day on which an amendment takes effect and ending with the day before that on which the next amendment takes effect, or (if none) with the year,

 

the entitlement to such an allowance shall be to payment of such part of the amount of the allowance under this scheme as it has effect during the relevant period as bears to the whole the same proportion as the number of days in the period bears to the number of days in the year.

 

(c)         Where the term of office of a councillor or co-opted member begins or ends otherwise than at the beginning or end of a year, the entitlement of that councillor or co-opted member to any allowance shall be to the payment to such part of the allowance as bears to the whole the same proportion as the number of days during which his term of office subsists bears to the number of days in that year.

 

(d)         Where this scheme is amended as mentioned in sub-paragraph (b), and the term of office of a councillor or co-opted member does not subsist throughout the period mentioned in sub-paragraph (b)(i), the entitlement of any such councillor or co-opted member to any allowance shall be to the payment of such part of the allowance referable to each such period (ascertained in accordance with that subparagraph) as bears to the whole the same proportion as the number of days during which his term of office as a councillor or co-opted member subsists bears to the number of days in that period.

 

(e)         Where a councillor or co-opted member has during part of, but not throughout, a year such special responsibilities as entitle him or her to a special responsibility allowance, that councillor's entitlement shall be to payment of such part of that allowance as bears to the whole the same proportion as the number of days during which he has such special responsibilities bears to the number of days in that year.

 

(f)           Where this scheme is amended as mentioned in sub-paragraph (b), and a councillor or co-opted member has during part, but does not have throughout the whole, of any period mentioned in sub-paragraph (b)(i) of that paragraph any such special responsibilities as entitle him or her to a special responsibility allowance, that councillor's or co-opted member’s entitlement shall be to payment of such part of the allowance referable to each such period (ascertained in accordance with that sub-paragraph) as bears to the whole the same proportion as the number of days in that period during which he or she has such special responsibilities bears to the number of days in that period.


7.                  Payment of Allowances

 

(a)             Payments shall be made

 

(i)                 in respect of any allowances, subject to sub-paragraph (b), in installments of one-twelfth of the amount specified in this scheme on the last working day of each month;

 

(ii)               in respect of claims for travelling and subsistence, for Council business off the Isle of Wight, on the last working day of each month in respect of claims received up to the day 14 days before that date. Claims shall be made on the prescribed forms obtainable from the Members Support Office. The maximum amounts reimbursable are prescribed by the Secretary of State for the Environment; the rates for 2006/2007 are set out in paragraph 12 below. The duties for which these claims are approved are all off Island activity connected with Council business. All such claims must be supported by evidence of expenditure for every item in the claim.

 

(b)             Where a payment of one-twelfth of the amount specified in this scheme in respect of any allowance would result in the councillor or co-opted member receiving more than the amount to which, by virtue of paragraph (6), he or she is entitled, the payment shall be restricted to such amount as will ensure that no more is paid than the amount to which he or she is entitled.

 

8.                  Annual Review

 

All the allowances shall be up rated each 1 April, for the next four years, with the prevailing Consumer Price Index (CPI) prevailing at that time.

 

Motor Mileage Allowances and Subsistence Rates (for off Island business) are reviewed by the Secretary of State, normally on an annual basis.

 

9.                  Pensions

 

That all councillors who are eligible to join the Local Government Pension Scheme, be able to do so and that it should apply to both Basic Allowance and Special Responsibility Allowance.

 

10.             Dependant Carer’s Allowance

 

Where a councillor or co-opted member has either:

 

·        a dependant child living with them under the age of 14, or

·        cares for a dependant elderly or disabled person

 

The following are claimable:

 

For child care: the actual expenditure incurred up to a maximum of £4.81 per hour. This is the rate paid by the Local Government Association (LGA), which reviews it rates annually and therefore the amount quoted is subject to change.

 

For dependents who are elderly or disabled: the actual expenditure up to a maximum of £10.00 per hour, which is the rate paid by the Isle of Wight Council Adult Services Department under their Direct Payment Scheme.  Adult Services review their rates annually and therefore the amount quoted is subject to change.

 

11.             Travel and Subsistence Allowances – on the Island

 

Councillors can elect to have an additional sum added to their basic and special responsibility allowance that is payable instead of any claims for travel or subsistence for on Island activity. No other payments can be made for on island travel or subsistence.

 

This “Expenses Sum” is calculated as follows:

 

Factor A – distance from Members home to County Hall – 3 bands: Band 1 – less than 3 miles, Band 2 – between 3 and 8 miles, and Band 3 – more than 8 miles.

 

Factor B – type of office held – 4 bands: Band 1 – frontline member (without an SRA); Band 2 – Leader of group with 4 or more members, Vice Chairman of the Council; Band 3 – Chairman of Council, Regulatory Committee Chair and Vice Chairs, Chair of Audit and Performance Committee; Band 4 – other SRA holders.

 

The two factors are added together to give a “Factor” for each member. All the factors are added together and this is then divided by the money spent of mileage and subsistence (on Island) in 2005/06 (first year of current administration less an amount for the employers NI contributions) – this gives an “Amount Factor”. The “Factor” and “Amount Factor” are multiplied together to give the total “Expenses Sum”.

 

12.             Accommodation, Expenses and Subsistence – Out of Authority

 

Whenever a councillor or co-opted member has to travel off the Island on Council Business this paragraph applies.

 

That wherever possible Members organise their travel, meals and accommodation through the Council which pre books and makes payment. If it is not possible to pre book travel, meals and accommodation then these costs will only be reimbursed against production of a proper receipt. The most efficient form of transport to be used in all circumstances, any changes from this have to be supported by a detailed justification. In addition to paying the cost of the most efficient form of public transport for off island travel the following mileage rates (where it is more efficient not to use public transport) and subsistence rates will apply:

 


Motor Mileage Allowances (for OFF ISLAND TRAVEL ONLY)

 

(a)               Motorcycles

 

Up to 150cc

8.5p per mile

151cc to 500cc

12.3p per mile

Over 500cc

16.5p per mile

 

(b)               Motorcars

 

All vehicles

40p per mile

 

Subsistence Rates (for OFF ISLAND TRAVEL ONLY)

 

(a)               Breakfast allowance of up to £5.05 for absence from normal place of residence of more than four hours before 11.00 am

 

(b)               Lunch allowance of up to £6.95 for more than four hours absence, including the period between 12 noon and 2.00 pm.

 

(c)               Tea allowance of up to £2.74 for more than four hours absence, including the period 3.00 pm to 6.00 pm.

 

(d)               Evening meal allowance of up to £8.60 for more than 4 hours absence ending after 7.00 pm.

 

(e)               Overnight subsistence (i.e. absence overnight from the usual place of residence £81.90 and, for certain specified approved conferences and for a stay in inner London, £93.41) plus up to an additional £20 for meals in excess of these rates on production of receipts.

 

13.             Co-optees Allowances

 

That the following allowances be paid to co-optees on the following:

           

Scrutiny Committee

£1,552.00

Chairman of the Standards Committee

£3,105.00

Standards Committee

£286.00

Education Co-optees

£776.00

 

14.             Suspension of Allowances

 

That when a councillor or co-opted member is suspended from acting as a Councillor or co-opted member by the Standards Committee or Adjudication Panel then the Standards Committee be empowered to suspend in whole or part the allowances payable to that member, for the period of the suspension.

 

15.             Performance enhancement

 

The Basic Allowance for councillors is related to the corporate performance of the Council and that the measure used (as at 2006/07) is the current Comprehensive Performance Assessment (CPA) awarded to the Council, taking the base line (as at 2006/07) of two stars. Any increased star rating will increase the Basic Allowance paid to each Member by £500 per year per additional star awarded. Conversely, any reduction in star rating will result in a decrease in the Basic Allowance paid to each member by £500 per year per star reduced.

 

16.             Reporting to Public

 

Each Councillor is required to produce an annual report (no more than 300 words) covering what they have achieved, what they hope to achieve in the following year, and what they have been unable to achieve in the current year. This annual report is to be prepared for the annual Council each year and will not be required in the year of Council ordinary elections, when new and returning members all have the opportunity to set out their aspirations to the new Council.

 

 
SCHEDULE I
SPECIAL RESPONSIBILITY ALLOWANCES

 

The following are specified as the special responsibilities in respect of which special responsibility allowances are payable, together with the amounts of those allowances for 2006/2007.  Only one special responsibility allowance will be paid to any member. These allowances are payable in addition to the basic allowance of £7,500.

 

 

Office Holder

Special Responsibility Allowance

£ pa

 

Leader

23,000

(1.5)

Cabinet Member

11,250

(1.25)

Cabinet Secretary

9,375

(1)

Chairman of the Council

7,500

(0.5)

Vice Chairman of the Council

3,750

(1)

Commissioner

7,500

(1.5)

Scrutiny Committee Chairman

11,250

(1)

Audit and Performance Committee Chairman

7,500

(1)

Regulatory Committee Chairman

7,500

(0.25)

Vice Chairman of Regulatory (Licensing)

1,875

(0.25)

Vice Chairman of Regulatory (HR & Miscellaneous)

1,875

(0.25)

Leaders of Groups with four or more members

1,875

(0.25)

Member Champions

1,875

0.25

Scrutiny Vice Chairman

1,875