Members Allowance Scheme

ELECTED MEMBERS’ ALLOWANCE SCHEME 2009/2010

Council, at its meeting on 27^th November 2008, agreed a Members’ Allowances Scheme, applicable for the 2008/09 Municipal Year and the following two years, taking into account the recommendations of the Independent Panel on Members’ Allowances.

The scheme is detailed below and operates from 22 May 2009.

Members should be aware that allowances payable in return for acting as an Elected Member are regarded as the same as salary or wages for the purposes of Income Tax and National Insurance Contributions (NIC), ie income tax and NIC will usually be deductible from such allowances. 

1.         ALLOWANCES PAID AUTOMATICALLY

(All amounts stated are gross)

(a)   Basic Allowance

£9,829 per annum for each Elected Member.

(b)  Special Responsibility Allowances

These allowances are banded into four categories, as grouped below.  Only one allowance  is payable within each category except:-

(i)         *The Leader’s SRA and the Basic Allowances cover all aspects of work.

(ii)        **The Deputy Leader’s SRA includes Cabinet Membership

An outgoing Leader will receive both future employment advice and a final payment equating to three months of the Leader’s Allowance over and above the normal entitlement. This is subject to the office having being held for at least one year in duration, and the end of office not been caused by bringing the office into disrepute (an issue for Standards Committee consideration if necessary).

(c)   Civic Allowances

These allowances are intended to meet the cost of purchasing a range of requisite clothing and meeting the cost of essential personal hospitality and other expenses associated with being Civic Office holders.

(It is recognised that some items of clothing, for example, equip the recipient over their potentially three years as an Office Holder.)

*£10,863  of the Lord Mayor’s allowance will be provided via allowances, the other £5,176 will be administered by the Member and Civic Support Manager, with any necessary in-year amendments.

(d)       Independent Members and Co-optees

The Council’s Standards Committee is chaired by an Independent Member.  There is also a statutory requirement for co-optees to input into the Council’s activities from an education perspective.  These positions will receive a Special Responsibility Allowance as follows:-

 (e)   Travel and Subsistence – Inside the City

£100.39 per month (£1,205 per annum) is payable to each Elected Member. This is intended to cover all travel (including taxis) and subsistence costs for all activities within the City boundary.

2.         ALLOWANCES TO BE CLAIMED FOR

(a)     Travel and Subsistence - Outside the City

Outside the City of Leicester Members are entitled to claim travel and subsistence in accordance with the details listed below whilst undertaking Approved Council Duties.

Such Approved Duties include:-

           i.      Attendance at meetings of Outside Bodies as approved by

                  the Cabinet/Council or the Group Whips

         ii.      Training courses, conferences and seminars in the furtherance of

                  the Councillor’s performance of their duties as a Councillor

       iii.      Other activities which, in the view of the Director of Corporate Governance,

                 are in the interests of the Council.

For all claims for travel expenses, tickets, receipts or equivalent travel documents must be provided.  The claim must include the reason for the journey.

i)          Travel

ii)         Subsistence Allowance (outside of Leicester)

           ●   The allowance will not apply to a meal which is already provided at no

                charge or included in a conference/course fee.

           ●   Receipts must be provided (where available a VAT receipt) for audit and

                reclaim purposes as a condition of the allowance. 

           ●   The actual money spent on the meal can be reclaimed up to a maximum

                allowance (see table below) on production of a receipt.

Tea and dinner allowances will not be paid in respect of the same evening’s duties.  No claims should be made for alcohol.

iii)        Overnight Accommodation and Out of Pocket Expenses

The following rates will apply for overnight absence (room only).

Provincial rate – not to exceed £86

London rate – not to exceed £146.

Accommodation should be booked through Members’ Services.

Out of pocket expenses - maximum amount per night £4.81, maximum amount per week £19.15.

This amount is intended to cover out of pocket expenses whilst representing the Council (e.g. newspapers, telephone calls home, light snacks etc.).

These are only tax free when the Member is required to stay away overnight on Council business.

 (b)       Childcare and Dependant Carers’ Allowance

Allowances for childcare and dependant care are paid as a contribution to costs, rather than a full reimbursement.  Allowances paid towards childcare or dependant care costs incurred by an Elected Member are subject to Income Tax and NIC even if the costs are unavoidably incurred as a result of carrying out Council duties. The only exception is the £55 per week voucher scheme outlined below.  Allowances can be claimed on the basis set out in Article 7 of the Local Authorities (Members Allowances) (England) Regulations 2003, subject to the following:-

    ●   The maximum hourly rate reimbursed for the independent care of a child under

          the age of 14 shall be equal to the minimum wage applicable to the age

          of the carer;

    ●   The maximum hourly rate reimbursed for the professional care of a dependent

         relative shall be equal to the Council’s own hourly rate for a Home Care Assistant;

    ●   There shall be an upper limit of 10 hours carers allowance claimable per

         Member per week;

    ●   Members must certify that the costs have been actually and necessarily

         incurred and the allowance shall be paid as a reimbursement of incurred

         expenditure against receipts;

    ●   The allowance shall not be payable to a member of the claimant’s own household.

    ●   Any dispute regarding entitlement or any allegation of abuse should be referred

         to the Council’s Standards Committee for adjudication.

Members using registered childcare provision may, if they so choose, receive tax free, up to £55 per week of their contribution to childcare by way of vouchers, which will be reimbursed by the Council direct to the childcare provider

A list of authorised meetings is in Appendix 1.

3.         MEMBERS’ SUPPORT PACKAGE

The main purpose of the Members’ Support Package is to increase flexibility for Members and support their work as an Elected Member in a manner which is most appropriate to their personal methods of working and needs.

£ 1,606 (maximum) to be available for the first full year to each elected Councillor following an election.

£ 801 per annum ongoing thereafter for the second to fourth year of a Councillor’s term of office.

In the event of a By-Election, the provision will be calculated as follows:-

£ 801 (maximum) set up costs for newly elected Councillor.

£ 801 pro-rata to period of Municipal Year elected as a Councillor.

£ 801 per annum ongoing thereafter for the remainder of the term of office.

The Support Package will cover the follow items:-

(a)     Purchase of items for home use, i.e. furniture (e.g. desk/filing cabinet), equipment

        (e.g. photocopier), etc.

(b)     Maintenance/repair and ongoing rental charges associated with any of the above

         items.

(c)      Phone Costs– All claims for telephone expenses must be supported by

         an itemised bill clearly identifying the rental/calls that make up the

         amount claimed.

         Private Landline

         Annual amount for equipment and line rental plus annual call allowance (as

         determined by the relevant Director of Corporate Governance in consultation

         with the Group Whips).  

          And/or

          Mobile Phone

           (i)  City Council provided Mobile Phone - Line rental and cost of Council

                related call charges

           Or

          (ii)    Private Mobile Phone - Total monthly cost (as determined by the relevant

                 Director of Corporate Governance in consultation with the Group Whips)

                 to cover both line and handset rental and Council related call charges.

(d)     Broadband line rental to the maximum of £26 per month. The first £15 will be

         met by ICT services and the rest through the Member’s Support Package.

(e)     ICT equipment and software over and above the standard configuration

        available to Members.

(f)      Other miscellaneous items which can be demonstrated to assist the Councillor

         in their role as an Elected Member, subject to prior agreement of inclusion of

         such items in the list of approved items by the Director of Corporate Governance

         in consultation with the Group Whips.

(g)     Purchase of bicycles to use on council business.

(h)     Environmentally friendly items in support of those items included on the

         approved list.

The Support Package will not cover the following items:-

           i.   Travel and Subsistence within the city covered by £1,205 adjunct to

Basic Allowance.

         ii.    Surgery Costs (rental of surgery room and associated publicity material).

       iii.     Personal calls made on Council provided mobiles. These will be deducted

from monthly allowances, following identification of such calls by the Member concerned.

       iv.    Computer equipment which does not meet the Council’s approved               specification.

       v.     Facilities located centrally in the Members’ Areas of the Town Hall (1^st and 2^nd   floor) i.e. copier, etc.

       vi.   Consumables provided centrally from within Members’ Services e.g. paper,        envelopes.

     vii.     Adaptations required within the provisions of the Disability Discrimination Act to  enable a Member to fulfil their duties.  These will be funded from sources other than the individual Member’s Support Package allocation.

Notes Relating to the Support Package:

           i.     All items must be purchased through City Council approved procurement processes arranged through Members’ Services.

         ii.     All items purchased through the Support Package will remain the property     of Leicester City Council and must be returned when the Councillor ceases to be a Councillor.

       iii.     All items purchased through this process must facilitate Members in their       role as an Elected Member. Legislation prohibits its use for party political purposes.

       iv.     Members should note that the purchase of certain items through this                fund, such as clothing, would be taxable. Further advice on specific items can be obtained via Members’ Services.

         v.   The Director of Corporate Governance will maintain a list of items/categories of  items which may be funded from the Support Package.   No item which is not on this list can be purchased unless approved by the Director of Corporate Governance in consultation with the Group Whips.

Administration of Support Package.

           i.    Each Member will have a first year Support Package allocation of £1,606 in the year following an election and thereafter each Member will have £ 801 ‘Support Package Account’ at the beginning of each financial year.  These will be administered by Members’ Services.   The ‘account’ will be debited as each item is paid for (directly by the City Council).  Members will be issued with a monthly statement of account.

         ii.     All items purchased will be in liaison with Members’ Services (see note above regarding procurement to make maximum use of the Council’s purchasing power).  Items will be net of VAT as long as the Council purchases the items or VAT receipts are submitted.

       iii.     The relevant Group Whip will monitor the Support Package accounts on a regular basis.

       iv.     Capital costs may be spread over the term of the Council, with underspends and overspends carried forward year to year.

Personal Computers and Printers

Standard specification PCs/laptops with relevant software and printers are available to all Members from ICT Services.  ICT equipment/software, etc. over and above the standard specification purchased through the Council must be procured through ICT Services and must be in accordance with the provisions contained in the Members’ ICT User’s Agreement.    

4.         PENSIONS

On a voluntary basis all Members may participate in the Local Government Pension Scheme in respect of the Basic and SRA elements only of their Members Allowance.

5.         MISCONDUCT/WITHHOLDING OF ALLOWANCES

In the event of a Member suspension/partial suspension, the Member’s allowances will be withheld in full or in part in accordance with the duration of the suspension.

6.         PAYMENT ARRANGEMENTS

           i.     All automatically paid allowances (as outlined in the first section) will be paid in twelve equal monthly instalments via Payroll system.

         ii.     Where a Member becomes or ceases to be entitled to allowances within a calendar month, entitlement will be calculated on a pro rata basis. Entitlement will commence three days after Election or agreement.   

       iii.     Payment of travel and subsistence for expenditure outside the City will be made in arrears on the basis of a claim form being submitted and signed by Members within three months of the event claimed for event taking place. (The payment of claims made outside this period will be reviewed in accordance with the provisions of the scheme).

       iv.     Payment of Childcare and Dependent Carer’s Allowances will be made in arrears on the basis of a claim form being submitted and signed by members within three months of the event claimed for taking place.

         v.     Allowance claims over six months old will only be paid in exceptional circumstances such as long-term illness. Such payments will be made in consultation with the relevant Group Whip.

       vi.     Where any overpayments occur the Member will be notified and the amount will recovered from the next monthly payment (unless instalments are requested by the Member for accounts over £50).

     vii.     A Member may decide not to claim any element (in full or in part) of their Allowance and must notify the Director of Corporate Governance in writing of their intention.

 Appendix 1

Authorised meetings for which Childcare and Dependant’s Allowances can be claimed

a)         Meetings of the City Council including Cabinet, Scrutiny, Regulatory Committees, Area Committees (and any subsequent related arrangements) and Full Council, and any sub-committees relating to these.

b)         Meetings of relevant bodies where the Member is appointed by or on behalf of the Council, e.g. outside bodies appointed through Whips’ Meetings, school governors where the Member is appointed as the LEA governor in their capacity as a councillor (not when attending as a parent governor)

c)         Working Parties or Panels of Members properly convened by the Director of Corporate Governance as a result of a decision of the relevant body of the Council

d)         Formal briefing meetings or conferences of members convened by the Director of Corporate Governance in relation to the proceedings of meetings or functions of a relevant body of the Council in accordance with arrangements approved by that body, e.g. Scrutiny Task Group Meetings.

e)         Meetings for the appointments of senior officers.

f)          Joint meetings with other authorities, provided that members from at least two political groups have been invited.

g)         Meetings of any group of authorities of which the City Council is a member.

h)         Performing a duty under Section 135 of the Local Government Act 1972 which requires members to be present while tender documents are opened

i)          Inspections and tours of City Council and other establishments and venues, approved in advance by or on behalf of the relevant body of the Council.

(j)         Official deputations to or meetings with government departments, statutory authorities or other local authorities.

 (k)       Attendance by Members appointed for that purpose, at a meeting properly convened on behalf of a public authority or government department to discuss issues relating to the work of the City Council

 (l)        Meetings convened by the Director of Corporate Governance between group whips or their nominees

(m)      Attendance by members at meetings of City Council bodies, or site visits when requested specifically by the body concerned

(n)        General information visits or tours having been previously approved by or on behalf of the relevant body

(o)       Attendance at conferences where these are relevant to the Member’s duties

(p)       Attendance at other meetings or other duties approved by the authority for the purpose or in connection with the discharge of the functions of the authority or any of its committees or sub-committees )  This includes briefing meetings, Joint Action Groups,  Tenants’ Association meetings etc.

(q)       Performing a duty in connection with arrangements made the Council the attendance of pupils at any school approved for the purposed of section 342 of the Education Act 1996 (approval on non-maintained special schools).

Annex 2 – Summary of Allowances Since 2007

As Members may decide not to claim any element of their Allowance, set out below is a schedule of rates since 2007.