MEMBERS' ALLOWANCES AND EXPENSES

GUIDANCE NOTE 2003/04

The purpose of this guide is to assist County Councillors, Co-opted Members, Independent Members and Independent Appeal Panel Members (hereafter referred to as `Members') in relation to allowances and expenses under the Council's current approved scheme.

PART I - MEMBERS' ALLOWANCES

1. Background

1.1 The County Council's scheme for the payment of allowances to Members is founded upon the requirements of the Local Authorities (Members' Allowances) (England) Regulations 2003. The current scheme is in Part 5 of the County Council's Constitution (Appendix I). Part 1: Chapter 9 of the Constitution vests authority to approve the Members Allowances Scheme in the County Council. Regulations require the Council to have regard to the recommendations of an independent remuneration panel set up to review the scheme. These recommendations have to be published and made available for public inspection.

1.2 Two types of allowance are payable: a basic allowance and a special responsibility allowance.

1.3 Members are asked to follow these guidelines when completing their claims for expenses but to contact the Chief Executive (David Pryke, in Democratic Services, tel: 01962 847342, e-mail: [email protected]) if circumstances arise about which they are uncertain. Claim forms must be completed in full and signed and be received by the Chief Executive's Department by 10th of each month if they are to be paid at the end of that month. Each month claims are scrutinised. Claims where it is found there appears to be a misunderstanding in relation to approved duties will normally be amended in the Member's interest and the member contacted about the change for future reference. To assist Members all Chief Officers have been instructed to ensure that any invitation to a meeting or event issued by them or their staff states whether or not attendance qualifies for travelling expenses.

1.4 The forms are then authorised for payment on the basis that the Member concerned has satisfied himself/herself that his/her claim complies with the list of approved duties for the payment of travelling expenses. The County Treasurer will check arithmetic and arrange payment. Enquiries concerning income tax, national insurance and pensions should be addressed to the County Treasurer (Nigel Pike, tel: 01962 847485, e-mail: [email protected] /
Sandra Carpenter, tel: 01962 847483, e-mail: [email protected]).

2. Basic Allowance

2.1 The basic allowance is intended to recognise the time devoted by Members to their general work as a County Councillor including attending meetings of the Council and its committees etc., and other meetings called on Council business. It is currently £10,670 a year, payable in twelve equal instalments, or pro rata according to the period during the year that a Member serves on the Council. It also covers subsistence when carrying out approved duties save as described in paragraphs 6 and 7 below.

3. Special Responsibility Allowance

3.1 The special responsibility allowance reflects those special responsibilities which the Council attaches to particular offices held by Members. The amount of the allowance and the offices which qualify are listed in the scheme and are fixed by the Council having considered the recommendations of the Independent Remuneration Panel.

PART II - MEMBERS' EXPENSES

4. Background

4.1 Members may claim travelling expenses and childcare and dependants' carers' allowances when they undertake duties which qualify for such a payment. The qualifying period starts when a Member leaves home or work and ends when the Member returns home or to work provided these are direct journeys or involve giving other members lifts. Indirect journeys must be adjusted to reflect the travelling on County Council duties. Members are advised promptly of changes in mileage rates and if necessary the County Treasurer arranges "back pay" for claims made at the previous rate.

4.2 Receipts for fares and other charges, such as car parking, should accompany claims where possible.

5. Travel Claims

5.1 Subject to the principle of "actual and necessary cost", the amount of a travel claim is left to Members' discretion as to public transport fares. For rail travel most members claim second class fares but first class rail travel may exceptionally be appropriate if circumstances so require. Such claims should be supported by the ticket or other receipt. As a general principle and in the interests of economy, if a private motor vehicle is used for journeys out of county your claim should not exceed the first class rail fare. When travel by air is an option, Members are asked to discuss their plans with David Pryke in Democratic Services. For audit purposes journeys using apparently expensive modes of transport will be queried and justification sought. It is helpful , therefore, for Members always to discuss their plans with David Pryke before such occasions arise.

5.2 Current rates for travelling are shown in Appendix III to this guide.

6. Subsistence - overnight stays in the U.K. and abroad

6.1 When abroad, for Members' convenience arrangements will be made where possible for the County Council to be invoiced for the cost of accommodation or, given that officers will normally be present, for the County Council to pay direct and for the members' budget to be recharged accordingly. Where direct payment by the County Council is not practicable then foreign currency will be issued up to the maximum permitted by the Secretary of State. Any balance must be returned afterwards and expenditure accounted for. If Members make their own arrangements they should continue to claim for any overnight stays required in connection with the exercise of an approved duty; reasonable expenses will be paid.

6.2 When carrying out approved duties in the U.K. which require an overnight stay

the same principles will apply other than in relation to any cash advance.

6.3 At home or abroad the overnight allowance covers accommodation and all meals taken in a day. Where a meal is paid for by officers, therefore, or is otherwise provided as part of the exercise of an approved duty, Members are reminded that they should reduce any claim they make to reflect that. Where accommodation arrangements are made for Members and paid for by the County Council, no claims should be made other than for travelling if Members have to make their own travel arrangements. At all times when the County Council pays for accommodation Members must pay for their own incidental expenditure, such as newspapers, personal telephone calls, refreshments etc.

7. Subsistence

No subsistence is payable for Members attending meetings, tours, site visits or appeals. Where lunch is taken in connection with such occasions therefore you must pay from your own pocket.

8. Childcare and Dependants' Carers' Allowances

8.1 Childcare and dependants' carers' allowances are paid at a rate of £7.62 for
2.5 hours for childcare and £7.00 per hour for dependants' carers up to an annual
maximum of £1,000 per Member. Claims for childcare and dependants' carers'
allowance must be accompanied by receipts and a claim will not be paid in
respect of Members of families carrying out these services. Members are asked

to contact David Pryke when they wish to make such a claim and assistance will be given.

9. Six Months Rule

All travel expenses, subsistence for overnight stays in the U.K. and abroad,
and childcare and dependants' carers allowances must be claimed within six
months of the date of the meeting/conference or seminar.

10. Suspension of Allowances

When a member of the Council is suspended from all duties, all allowances,
including travel, childcare and dependants' carers' allowances, will be withheld
for the period of suspension. Where a Member is partially suspended, any
special responsibility allowance relating to any duties from which the Member is
wholly suspended will be withheld for that period. For other cases of partial
suspension, it is expected that such Members will agree to a voluntary
suspension of their allowances as appropriate.

11. Recovery of Allowances Paid

Any allowance that has been paid to a Member whilst on suspension or any
allowance after a Member has ceased to be a Member of the authority shall be
recovered.

12. Duplication

12.1 Where a Member is a member of two or more authorities, they will not receive
more than one allowance for the same duties.

12.2 Members of the County Council who are also district councillors therefore may not make dual travelling claims, i.e. you may claim for a journey from a County Council duty to a district council duty either from the County Council or from the district council but you may not claim from both.

12.3 Some outside bodies, such as Primary Care Trusts and the Environment Agency,
pay their own allowances for attending their meetings. If you claim from the
County Council in respect of these you may not also claim from the outside body
and vice versa.

13. List of Duties Qualifying for Travel Expenses and Childcare and
Dependants' Carers' Allowances

13.1 The current list of approved duties for the purposes of travelling expenses and childcare and dependants' carers' allowances is shown in Appendix IV to this guide.

14. CONCLUSION

14.1 It is important to remind Members that, whilst claims are monitored by the Chief Executive and assistance given where possible, the content of claims is their personal responsibility and they are liable in the event that discrepancies come to light through the audit process. When completing their claims Members should also have regard to the County Council's code of conduct and Regulations 7 and 8 of the Local Authorities (Members Allowances) (England) Regulations 2003 which requires every claim to include or be accompanied by a statement signed by the Member that he/she has not made and will not make any other claim in respect of the matter to which his/her claim relates. The statement is on the County Council's claim form, the signed submission of which is your undertaking to comply with the Regulations.

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Appendix I

MEMBERS' ALLOWANCES SCHEME 2003/04

1. This scheme is made by Hampshire County Council in accordance with the

provisions of the Local Authorities (Members' Allowances) (England) Regulations 2003 and operates from 1 October 2003.

Basic Allowance

2. With effect from 1 October 2003 for each year a basic allowance of £10,670 shall
be paid to each elected Member of the County Council, £600 to each Co-opted
Member of the Education Policy Review Committee, £600 to each Independent
Member of the Standards Committee and £200 to each Independent
Remuneration Panel Member (hereafter referred to as `Members').

Special Responsibility Allowance

3. (1) Subject to paragraph 5 and sub-paragraph (2) below a special responsibility allowance shall be paid to those Members who hold the offices of special responsibility listed in the Appendix to this scheme and the amount of each allowance shall be the amount specified against that special responsibility in that schedule.

(2) Provided that any Member who for the time being holds more than one

office of special responsibility shall be entitled to receive the allowance
attached to one office only.

Remuneration

4. A Member may give notice to the Chief Executive to elect to forego all or any part of his/her entitlement to any of the allowances payable under this scheme.

Part-Year Payment

5. (1) If this scheme is amended during any year to change the amounts to

which a Member is entitled by way of basic allowance or

special responsibility allowances, the payments due shall be calculated

by reference to the number of days during the year to which the

appropriate rate of allowance applies.

(2) If this scheme is amended during any year to change the special duties

for the payment of special responsibility allowance set out in the

Appendix, the payments due shall be calculated by reference to the

number of days during the year that the special duties were approved for

the payment of special responsibility allowance.

(3) Where the term of office of a Member begins or ends otherwise than

at the beginning or end of a year the entitlement to basic allowance shall

be calculated by reference to the number of days during the year during

which that Member held office.

(4) Where any Member ceases during the year to hold a position of special
responsibility or is appointed to a position of special responsibility as set
out in the Appendix to this scheme, the entitlement to special
responsibility allowance shall be calculated by reference to the number of
days during the year when the Member held a position of special
responsibility.

Pensions

6. Basic and special responsibility allowances are pensionable for all County Councillors under the age of 70.

Childcare and Dependants' Carers' Allowances

7. Childcare and dependants' carers' allowances are paid at a rate of £7.62 for
2.5 hours for childcare and £7.00 per hour for dependants' carers up to an annual
maximum of £1,000 per Member.

Suspension of Allowances

8. When a member of the Council is suspended from all duties, all allowances,
including travel, childcare and dependants' carers' allowances, will be withheld
for the period of suspension. Where a Member is partially suspended, any
special responsibility allowance relating to any duties from which the Member is
wholly suspended will be withheld for that period. For other cases of partial
suspension, it is expected that such Members will agree to a voluntary
suspension of their allowances as appropriate.

Recovery of Allowances Paid

9. Any allowance that has been paid to a Member whilst on suspension or any
allowance after a Member has ceased to be a Member of the authority shall be
recovered.

Duplication

10. Where a Member is a member of two or more authorities, they will not receive
more than one allowance for the same duties.

Financial Loss Allowances

11. Financial loss allowances are payable only to Independent Appeal Panel
members at the following rates:-

(1) for a period not exceeding 4 hours - £29.42.


(2) for a period exceeding 4 hours, but not exceeding 24 hours - £58.85.


(3) for a period exceeding 24 hours, the aggregate of £58.85 and such amount
specified in (a) and (b) above as is appropriate to the number of hours by
which the period exceeds 24 hours.

Travelling Allowances

12. Travelling allowances payable to Members shall be equivalent to the current
casual user mileage allowance for staff.

Subsistence - overnight stays in the U.K. and abroad

13. (1) When abroad, for Members' convenience arrangements will be made where
possible for the County Council to be invoiced for the cost of
accommodation or, given that officers will normally be present, for the
County Council to pay direct and for the members' budget to be recharged
accordingly. Where direct payment by the County Council is not practicable
then foreign currency will be issued up to the maximum permitted by the
Secretary of State. Any balance must be returned afterwards and expenditure
accounted for. If Members make their own arrangements they should
continue to claim for any overnight stays required in connection with the
exercise of an approved duty; reasonable expenses will be paid.

(2) When carrying out approved duties in the U.K. which require an overnight
stay the same principles will apply other than in relation to any cash
advance.

(3) At home or abroad the overnight allowance covers accommodation and all
meals taken in a day. Where a meal is paid for by officers, therefore, or is
otherwise provided as part of the exercise of an approved duty, Members are
reminded that they should reduce any claim they make to reflect that. Where
accommodation arrangements are made for Members and paid for by the
County Council, no claims should be made other than for travelling if
Members have to make their own travel arrangements. At all times when
the County Council pays for accommodation Members must pay for their
own incidental expenditure, such as newspapers, personal telephone calls,
refreshments etc.

Claims and Payments

14. (1) Payments in respect of basic and special responsibility allowance shall

be made in 12 equal monthly instalments on the last day of each

calendar month.

(2) Where any monthly payment of basic or special responsibility

allowance would otherwise exceed the amount payable by virtue of

paragraph 5, the value of any payment made will be restricted to the

entitlement under that paragraph.

(3) All travel expenses, subsistence for overnight stays in the U.K. and
abroad, and childcare and dependants' carers allowances must be claimed
within six months of the date of the meeting/conference or seminar.

Appendix II

HAMPSHIRE COUNTY COUNCIL

MEMBERS ALLOWANCES SCHEME 2003/04

£

per annum

(i) Basic Allowance for Members of the County Council 10,670
Basic Allowance for Co-opted Members of the Education
Policy Review Committee 600

Basic Allowance for Independent Members of the

Standards Committee 600
Basic Allowance for Independent Remuneration Panel
Members 200

(ii) Special Responsibility Allowances

Only one special responsibility allowance is payable to any member under the scheme. The allowances in brackets will not be paid whilst the current
postholder receives a higher special responsibility allowance in respect of
another post or if the postholder, in the case of the Hampshire Fire and Rescue
Authority, is not a County Councillor.
£
per annum

The Executive:


Leader 25,750

Deputy Leader 15,450

Education member 15,450

Environment member 15,450

Recreation and Heritage member 15,450

Social Care member 15,450

Economic Development member (15,450)

Spatial Strategy member 15,450

Community Development and Regeneration member 15,450

Personnel and Training member 15,450

Chief Whip 15,450

Non-portfolio member (currently none) (10,300)

Leaders of Political Groups:
Leader of Liberal Democrat Group 10,820
Leader of Labour Group 7,420

Chairmen of Policy Review Committees:
Policy and Resources 10,300

Education 10,300

Environment 10,300

Recreation and Heritage 10,300

Social Care 10,300

Health Review 10,300

Vice-Chairmen of Policy Review Committees:

Policy and Resources 2,580

Education (2,580)

Environment 2,580

Recreation and Heritage 2,580

Social Care 2,580

Health Review 2,580

Minority Parties' Spokesmen:

Liberal Democrats:
Policy and Resources (5,150)
Education 5,150
Environment 5,150

Recreation and Heritage 5,150
Social Care 5,150
Health Review 5,150


Labour:
Policy and Resources (2,580)
Education 2,580
Environment 2,580
Recreation and Heritage 2,580
Social Care 2,580
Health Review 2,580

Regulatory Committee:
Chairman 7,500

Vice-Chairman (1,875)

Standards Committee:

Chairman 5,150

Vice-Chairman 1,290

E-Champion 2,580

Hampshire Fire and Rescue Authority:
(These allowances are only payable if the office holder
is a County Councillor)
Chairman 10,300

Minority Parties' Spokesmen:

Liberal Democrat Group 5,150
Labour Group 2,580

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Appendix III

RATES OF TRAVELLING ALLOWANCES PAYABLE TO MEMBERS OF THE COUNCIL AND ITS COMMITTEES AND SUB-COMMITTEES, ALL CO-OPTED MEMBERS, ALL INDEPENDENT MEMBERS AND ALL MEMBERS OF THE INDEPENDENT REMUNERATION PANEL

1. Cycle allowance

The rate for travel by a Member on a Member's own cycle/
electric cycle or one provided for his/her use 8.1p per mile

2. Motor cycle allowance

The rate for travel by a Member's own solo motor cycle or one
provided for his/her use: 25.2p per mile

3. Motor vehicle allowance

The rate for travel by a Member's own private motor

vehicle, or one belonging to a member of his family

or otherwise provided for his/her use, other than a solo

motor cycle: 45.7p per mile

The rates specified in paragraph 3 may be increased by not more than the amount of any expenditure incurred on tolls, ferries or parking fees, including overnight garaging

4. Rates for travel by public transport or taxi

(a) the rate for travel by public transport shall not exceed the amount of the

ordinary fare or any available cheap fare, and where more than one class of fare is available, the rate shall be determined, in the case of travel by ship by reference to first class fares, and in any other case by reference to second class fares unless the body determines, either generally or specifically, that first class fares shall be substituted.

(b) The rate specified in the preceding sub-paragraph may be increased by

supplementary allowances not exceeding expenditure actually incurred:

(i) on Pullman car or similar supplements, reservation of seats and deposit or porterage of luggage; and

(ii) on sleeping accommodation engaged by the Member for an

overnight journey, subject, however, to reduction by one third of any subsistence allowance payable to him for that night;


(c) The rate for travel by taxi cab shall not exceed:

(i) in cases of urgency or where no public transport is reasonably

available, the amount of the actual fare and any other
reasonable gratuity paid; and

(ii) in any other case, the amount of the fare for travel by
appropriate public transport.

(d) The rate for travel by a hired motor vehicle other than a taxi cab shall
not exceed the rate which would have been applicable had the vehicle
belonged to the Member who hired it, provided that where the body
approves, the rate may be increased to an amount not exceeding the
actual cost of hiring.

(e) The rate for travel by air shall not exceed the rate applicable to travel
by appropriate alternative means of transport together with an
allowance equivalent to the amount of any saving in attendance
allowance or financial loss allowance, and subsistence allowance
consequent on travel by air.

Provided that where the body resolves, either generally or specifically,
that the saving in time is no substantial as to justify payment of the
fare for travel by air, there may be paid an amount not exceeding:

(i) the ordinary fare or any available cheap fare for travel by regular air service; or

(ii) where no such service is available or in case of urgency, the
fare actually paid by the Member.

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Appendix IV

LIST OF DUTIES SPECIFIED AS "APPROVED DUTIES" FOR THE

PURPOSES OF THE PAYMENT OF TRAVELLING EXPENSES AND CHILDCARE AND DEPENDANTS' CARERS' ALLOWANCES

With effect from 1 October 2003 for the purposes of claiming travelling expenses and childcare and dependants' carers' allowances, approved duties shall be taken to include:

1. The Council, the Executive and Committees etc.

Attendance at meetings of the Council and, provided the Member has been appointed by name or attends by virtue of Standing Order 17.4, attendance at meetings of the Executive or the Council's Standing Committees, Sub-Committees and Panels.

2. Executive Members

Attendance individually for the purpose of making Executive Member decisions.

3. Meetings with an Executive Member

Attendance at the invitation of an Executive Member to meet with the Executive Member in connection with the discharge of the County Council's functions, the Executive Member to notify the Chief Executive in advance of every invitation.

4. Other County Council Meetings

Attendance at meetings in connection with the discharge of the County Council's functions to which Members of more than one political group have been formally invited by the Chief Executive or other Chief Officer.

5. With the Chairman's Concurrence

With the Chairman's concurrence, attendance by a Member to speak on business in connection with his/her duty as a member of the Council or as a local Member at meetings of the Executive or Committees, Sub-Committees and Panels to which the Member has not been appointed by name.

6. Political Group Meetings

Attendance at ONLY the political group meeting before a meeting of the full County Council. (The Chief Executive must be advised of the dates of political group meetings and be supplied with a copy of the record of attendance).

7. Executive Decision Days

Attendance by the Executive Member and Chairman, Vice-Chairman and
Political Group Spokesmen of the appropriate Policy Review Committee.

8. Meetings with Officers

Attendance at formally arranged meetings with officers in connection with the discharge of the functions of the Council provided that, for each occasion, either
the Member or officer concerned makes the arrangements at least the day before the meeting takes place.

9. Meetings of other Local Authorities and Residents Associations

Attendance at meetings of district and parish councils and recognised residents' associations, provided that the Member is specifically and formally invited to attend as a representative of the Council.

10. Headteacher Interview Panels

Attendance at Interview Panels to appoint headteachers, provided that the Member's attendance is as a representative of the County Council and not as a school governor.

11. Opening Ceremonies and VIP occasions etc.

Attendance by the Chairman and/or Vice-Chairman of the Council, and/or Executive Members and/or the Chairman and/or Vice-Chairman of the appropriate Committee(s) at V.I.P. visits, launches, or the official opening of premises for the purpose of, or in connection with, the discharge of the functions of the Council or any Committee of the Council or similar occasions, due to their holding that particular office. Committee Members or other nominated Members may also claim provided that the invitation is formally extended by the relevant Committee Chairman or Chief Officer.

Note: This does not apply to County Council receptions, the Civic Service or similar events.

12. Hampshire Ambassadors' Events

Attendance as a Member of the Executive or the Policy and Resources Policy Review Committee, on the invitation of the Head of Economic Development, at Hampshire Ambassador events.

13. Duties of Executive Members, Chairmen, Vice-Chairmen and Deputy Chairmen

Attendance following consultation with the appropriate Chief Officer, for the purpose of duties arising from the holding by a Member of the office of Chairman or Vice-Chairman of the County Council, of Executive Member or Chairman, Vice-Chairman or Deputy Chairman of a committee, sub-committee or panel of the Council.

14. Conferences, Seminars and Courses

Attendance authorised by the Chief Executive, after consultation with the Leader
or other appropriate Executive Member at any conference, seminar or course, details to be reported quarterly by the Chief Executive to the Executive.

15. Outside Bodies

Attendance at business meetings of any outside body to which a Member has been formally appointed by the County Council, and at conferences, seminars, courses and other meetings arranged by the outside body, provided that, for each occasion, either the Member or outside body concerned makes the arrangements at least the day before the meeting takes place. This authority shall not constitute approval by the County Council to meet the cost of any conference, seminar or course attendance fee; in this respect the preceding paragraph applies.

16. Local Government Association/County Councils Network Council/South East

England Regional Assembly

Attendance at Local Government Association, County Councils' Network Council or South East England Regional Assembly meetings provided that the Member has been duly appointed as a representative of his/her political county or national group.

Note:

(i) The terms "Chief Executive" and "Chief Officer" include their representative(s).


(ii) Where the exercise of an approved duty requires a Member to be away from home overnight and provided that the County Council does not meet any of the costs direct, then the Member may claim for actual expenses incurred on accommodation and meals up to the prevailing maximum overnight rate permitted by the Secretary of State.


(iii) This scheme also applies to non County Councillors appointed to represent
the County Council on outside organisations.

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