The mayor and councillors of Guelph are going to be getting a pay increase, but it won't result in them taking home any more money.
Guelph City Council voted 8-5 on Monday to accept six recommendations that will see the mayor's position be paid $152,000 and councillors $40,000 starting on Dec. 1.
That's an increase of roughly $29,999 for the mayor and $4,500 for councillors.
(Voting in favour of the recommendations: Chrstine Billings, Dan Gibson, Cathy Downer, Cam Guthrie, June Hofland, Mark MacKinnon, Leanne Piper; Against: Phil Allt, Bob Bell, James Gordon, Mike Salisbury, Karl Wettstein.)
But it doesn't mean more money in their pockets, as their net take home pay will remain pretty much the same.
That's because the federal government has ended a program that made one-third of mayor and councillor salaries tax free, so the increases approved on Monday makes up the difference in what they will now have to pay in taxes.
A city advisory committee had recommended keeping the mayor's salary at the current $122,724.
But councillor Mark MacKinnon pointed out that the new tax rules will mean a reduction in the net pay of the mayor's position of roughly $16,000. MacKinnon amended the recommendation to give the mayor's position the increase that would make up the difference, which was adopted.
Mayor and councillors will still be eligible for the same wage increases that other non-unionized city employees receive and the city will continue to match a contribution by the mayor to an RRSP up to 3 per cent.
The mayor's position also receives a $425 monthly car allowance.
Council remuneration is reviewed every four years.
Council also agreed in the future to have recommendation on council remuneration come to council prior to the start of the period where people can sign up to run in an upcoming municipal election, so that they know what the pay is prior to making that decision.
