HomeMy Public PortalAboutExpense Policy_P-095_Effective Date 2022-05-12Municipality of the District of Chester
Expense Policy
Policy P-95
Effective Date: May 12, 2022
Expense Policy P-95 (continued) Page 2 of 14
MUNICIPALITY OF THE DISTRICT OF CHESTER
POLICY P-95
EXPENSE POLICY
PURPOSE
1.01 The Expense Policy ensures the appropriate use of Municipal funds through routine
disclosure of information concerning eligible expenses incurred by reportable
individuals (the Warden, Deputy Warden, Councillors, and the Chief Administrative
Officer (CAO)), as well as Committee members and Municipal employees. Through
uniform standards and consistent procedures for reimbursement, the Municipality of
the District of Chester seeks to enhance public confidence in the oversight of eligible
travel, accommodation, meals, and training & continuing education expenses incurred
by Council, the CAO, employees of the Municipality, and Committee members while
conducting Municipal business.
1.02 Authority for the Expense Policy is derived from Section 23(3), (4), (6), and (7) and
65D(1), (2), (5), and (6) of the Municipal Government Act. Section 23(3) directs the
adoption of an expense policy; Section 23(4) states the minimum requirements for
such a policy; Section 23(6) stipulates an expense may only be reimbursed if
authorized by an expense policy; Section 23(7) states that the expense policy be
reviewed and adopted following each regular election; and Section 65D outlines
requirements for expense reporting.
2 PRINCIPLES
2.01 The principles informing and underlying this Policy are as follows:
(a) Accountability
The Municipality is accountable for public funds used for travel, accommodation,
meals, and training and continuing education expenses.
(b) Transparency
The Municipality is transparent to all of its residents, businesses, and community
organizations. The procedures for incurring and reimbursing travel,
accommodation, meals, and training and education expenses are clear, easily
understood, and available to the public.
(c) Value for Money
The Municipality undertakes plans for travel, accommodation, meals, and training
and education that are necessary and economical with due regard for health and
safety.
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 3 of 14
(d) Fairness
The Municipality reimburses legitimate authorized expenses incurred during the
course of business conducted by the Municipality.
3. POLICY
3.01 Signing Authorities
(a) The following are the Signing Authorities responsible for administering this policy
with respect to the individuals in the identified positions.
Position
Signing Authority
Warden or Deputy Warden
CAO or Designate
Councillor
Warden or Designate
CAO
Warden or Designate
-Employees of the Municipality
Immediate Supervisor or CAO
Committee Members
CAO or Designate
(b) A Signing Authority may designate a second Signing Authority. The designation of
a secondary Signing Authority shall be in writing and shall state the name and
position of the designate.
(c) All Signing Authorities are prohibited from authorizing their own expenses.
(d) Where applicable, the person who requests a reportable individual to attend a
certain function or meeting and therefore incur eligible expenses should also be the
Signing Authority for that reportable individual to ensure consistent of process.
3.02 Individual Responsibilities
(a) Everyone who incurs expenses in relation to Municipal business is responsible for:
understanding and complying with the provisions of this policy;
completing and submitting expense claims with necessary supporting
documentation;
iii. exercising reasonable diligence and care in incurring expenses prudently and
responsibly; and
iv. timely cancelation of travel reservations as required, safeguarding travel
advances and funds provided, and considering alternatives to travel such as
teleconferencing and videoconferencing.
3.03 Permitted Expenses
(a) Subject to and in accordance with this policy, the following expenses incurred by
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 4 of 14
Council, the CAO, employees of the Municipality, and Committee members are
eligible for reimbursement:
i. authorized travel, including transportation, parking, accommodation and
meal costs;
ii. pre -approved out -of -province travel, including transportation, parking,
accommodation and meal costs; and
iii. approved training or continuing education costs.
3.04 Authorized Travel
(a) All members of Council shall be reimbursed for the reasonable expenses incurred
for attending:
Council and Committee of Council meetings;
ii. functions, meetings, or conferences at which their attendance is authorized
or requested by Council or is part Municipal business;
iii. meetings of any Board, Commission, Committee, or other organization to
which they have been appointed by Council, with the exception that no
reimbursement shall be provided by the Municipality if the reimbursement of
expenses is available directly from the applicable host organization;
iv. in the case of the Warden and Deputy Warden or Designate, functions,
meetings, or conferences to which one or more representatives of the
Municipality have been invited or requested or would otherwise reasonably
be expected to attend, unless Council has specifically directed the Warden
or Deputy Warden not to attend;
V. in the case of a Councillor, and on behalf of the Municipality, functions,
meetings, or conferences identified in 3.04(a)iv above provided that such
attendance is either:
1. at the request of Council to attend in lieu of the Warden or Deputy -
Warden; or
2. at the request of Council to attend as a Councillor for a district that
has a special interest in, or connection with, the subject of the
meeting or conference or because of special knowledge and
experience of the Councillor that relates to subject of the meeting
or conference; and
vi. training or continuing education events in accordance with the provisions of
this policy concerning training and continuing education.
(b) The CAO, or an employee of the Municipality delegated any of the responsibilities
or powers of the CAO pursuant to subsection 29(b) of the Municipal Government
Act, shall be reimbursed for reasonable expenses incurred in attending:
any Council or Committee of Council meeting;
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 5 of 14
ii. meetings or conferences at which the CAO's attendance is authorized or is
requested by Council;
iii. a meeting of any Board, Commission, Committee, or other organization to
which the CAO has been appointed by Council, with the exception that no
reimbursement shall be provided by the Municipality if the CAO is entitled to
reimbursement of expenses directly from the applicable organization;
iv. functions, meetings, or conferences to which one or more representatives
of the Municipality have been invited or requested or would otherwise
reasonably be expected to attend, unless Council has specifically directed
the CAO not to attend; and
V. training or continuing education events in accordance with the provisions of
this policy concerning training and continuing education.
(c) Employees of the Municipality shall be reimbursed for reasonable expenses
incurred in attending:
functions, meetings, or conferences necessary for carrying out duties and
responsibilities associated with their employment and/or as authorized or
requested by their Immediate Supervisor or the CAO or Designate;
meetings of any Board, Commission, Committee, or other organization to
which they have been appointed by Council or the CAO, with the exception
that no reimbursement shall be provided by the Municipality if the
reimbursement of expenses is available directly from the applicable host
organization;
iii. functions, meetings, or conferences to which one or more representatives
of the Municipality have been invited or requested or would otherwise
reasonably be expected to attend, unless their Immediate Supervisor or the
CAO or designate has specifically directed them not to attend; and
iv. training or continuing education events in accordance with the provisions of
this policy concerning training and continuing education.
(d) Committee members of the Municipality shall be reimbursed for reasonable
expenses incurred in attending:
meetings of the Committee to which they have been appointed by Council
or the CAO; and
functions, meetings or conferences at which attendance is authorized or
requested by the CAO or Designate, with the exception that no
reimbursement shall be provided by the Municipality if the reimbursement of
expenses is available directly from the applicable host organization.
3.05 Training and Continuing Education
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 6 of 14
(a) Council members, the CAO, or employees of the Municipality may apply in
advance (see Section 5.02 for procedure) for approval to incur expenses out of an
established training and continuing education expense budget provided that:
i. the training or education course, meeting, or conference is related to
professional development objectives in municipal governance, business, or
administration;
ii. in the case of a Council member, the training or education course, meeting,
or conference is completed prior to the next municipal election date; and
iii. the Claimant reimburses the Municipality for enrollment fees in the event of
failure to attend all or some of the training or education course, meeting, or
conference without reasonable justification.
(b) If the applicable Signing Authority approves an application to incur expenses in
relation to training or continuing education, and the Claimant (not the Municipality)
pays all or some of the pre -approved expenses, the Claimant shall be eligible for
reimbursement of those expenses after submitting an expense claim in accordance
with this policy.
3.06 Limits on Reimbursement of Expenses
(a) Notwithstanding any other provision of this Policy, the following limits shall apply to
the reimbursement of expenses:
a Claimant shall be reimbursed only for costs the Claimant has incurred;
the expenses of a Council member for political activity associated with
election or re-election shall not be reimbursed;
iii. air travel must be booked at the most cost-effective rate available in order
to be eligible for reimbursement;
iv. reasonable costs for luggage, airport improvement or similar fees shall be
reimbursed at actual costs;
V. hotel accommodations shall be reimbursed at actual costs, with
government rates obtained whenever possible;
vi. hotel accommodation upgrades shall be at the personal expense of the
Claimant unless there are ergonomic necessities attributable to physical
requirements including, but not limited to, accessibility needs;
vii. meals included as part of registration fees for conferences or courses are
not eligible for reimbursement;
viii. eligible meal expenses shall be reimbursed by expense claims
accompanied by detailed receipts;
ix. costs for alcoholic beverages shall not be reimbursed;
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 7 of 14
X. fees, interest, and surcharges incurred on a credit card shall not be
reimbursed;
A. when personal and Municipal travel is combined, only documented, eligible
expenses directly related to the Municipality are reimbursable; any
extended travel time and related expenses are the Claimant's personal
expenses and shall not be reimbursed;
xii. reimbursement shall not be provided for the following: loss of personal
effects; medical and hospital treatment; purchase of luggage, clothing and
other personal equipment; or personal services such as valet services, dry-
cleaning, laundry, haircuts; and
xiii. reimbursement shall not be provided for travel and related expenses for
individuals who are not Council members, the CAO, employees of the
Municipality, and Committee members.
3.07 Travel Advances
(a) Travel advances are not routinely approved. Advances are intended to cover out-
of-pocket expenses incurred during travel. The following limits shall apply to the
use of advances:
i. all advances must be approved by the Immediate Supervisor, or the CAO
or Designate, as appropriate;
ii. advances will only be issued when an overnight stay is required;
iii. advances will not be made for less than $150;
iv. the Immediate Supervisor, or the CAO or Designate, must not approve an
advance unless there is a reasonable need for the advance;
V. the recipient of the advance must complete an expense claim that
reconciles the amount of the advance with the actual reimbursable
expenses incurred, and must repay any remaining balance of the advance
to the Municipality within 10 days of completing the travel; and
vi. advances are prohibited if the Claimant has a Municipal credit card.
3.08 Use of Municipal Credit Cards
(a) In respect to expenses incurred while conducting Municipal business, Municipal
Credit Cards shall be used only for eligible expenses related to travel,
accommodation, meals, and training and education as defined in this policy.
(b) Municipal Credit Cards must not be used for cash advances and personal
expenses.
(c) Expenses incurred while on Municipal business and which are paid with Municipal
Credit Cards are considered personal expenses of the card holder until such time
First Notice — Council —April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 8 of 14
as the signing authority has reviewed the statement and has approved them as
eligible expenses according to this policy.
3.09 Meals
(a) For each day or part day of travel, the Claimant shall be reimbursed for meals
(including reasonable associated gratuities and taxes) that the Claimant purchased
during travel. Meal expense claims shall be accompanied by detailed receipts.
(b) Should special dietary requirements (medical, religious, etc.) prevent the Claimant
from participating in a meal that is provided free of cost, and, as a result, the
Claimant must pay for a meal, the Claimant shall be reimbursed for that meal.
(c) Alcoholic beverages are not eligible for reimbursement.
3.10 Kilometrage
(a) The kilometrage allowance reimbursed for a Claimant using a personal vehicle for
authorized travel shall be at the rate stipulated by the Province of Nova Scotia as
the maximum kilometrage rate for its employees.
(b) Should Council members, the CAO, employees of the Municipality, and Committee
members be attending the same meeting, conference, or function, reasonable
efforts shall be made to share a vehicle.
3.11 Vehicle Rentals
(a) The cost of rental of a vehicle shall be a reimbursable expense in instances when:
reasonable ground transportation services such as public transit, taxis, or
hotel shuttles are unavailable; or
two or more Municipal representatives (Council members, the CAO,
employees of the Municipality, Committee members) are traveling together,
and it is more economical than the combined cost of other reasonable
ground transportation.
(b) Compact, economical vehicles must be used unless three or more persons are
travelling together, the bulk or weight of goods being transported necessitates a
larger vehicle, or a compact, economical vehicle is unavailable.
(c) For the protection of the Claimant and the Municipality, Claimants must ensure that
adequate insurance (collision, comprehensive, and third -party liability insurance) is
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 9 of 14
in place for all drivers by either renting the vehicle using a personal credit card with
an insurance option, or by purchasing a policy from the rental agency. The
applicable deductible must be the lowest available given the coverage described
above.
3.12 Fraud, Misuse or Misappropriation of Municipal Funds
(a) Fraudulent irregularity, misuse or misappropriation of Municipal funds may result in
disciplinary action up to and including termination of employment.
(b) Suspicious activity and potential misuse of funds must be reported to the CAO. If
such activity relates to the CAO, it must be reported to the Warden.
4 SCOPE
4.01 This Expense Policy applies to all Reportable Individuals, employees of the
Municipality, and Committee members who incur approved expenses while conducting
Municipality of the District of Chester business.
5 PROCEDURES
5.01 Approval of Out -of -Province Travel Requests
(a) All requests for out -of -province travel costs shall be made in writing and shall
contain the following information:
i. purpose and duration of the trip;
ii. location(s) to be visited;
iii. dates and times of arrival and departure;
iv. details regarding any pre -paid transportation, meals, or accommodation;
and
V. details regarding any other anticipated expenses.
(b) The review and approval of all requests for out -of -province travel will consider the
value and benefit of the proposed travel in relation to its cost.
(c) When two or more out -of -province travel requests are made by Council members
for the same purpose, the CAO, in discussion with the Warden, shall determine the
appropriate number of persons necessary to represent the Municipality.
(d) All requests for out -of -province travel by Reportable Individuals and Municipal
employees will be reviewed by corresponding Signing Authorities in accordance
with Section 3.01(a) of this Policy.
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 10 of 14
(e) If a request for out -of -province travel is approved, and the Claimant (not the
Municipality) pays all or some of the eligible expenses for the travel, the Claimant
shall be eligible for reimbursement of those expenses after submitting an expense
claim in accordance with this policy.
5.02 Approval of Training and Continuing Education Requests
(a) All requests for training or continuing education reimbursement shall be made in
writing and shall contain the following information:
i. details of proposed training or continuing education;
ii. course or enrollment fees;
iii. details regarding pre -paid transportation, meals, or accommodation; and
iv. any other anticipated expenses.
5.03 Expense Claims
(a) Expense claims must be submitted on the form provided by the Municipality and
shall be signed by the Claimant.
(b) The business reason for each expense must be submitted with all expense claims
and a detailed itemized receipt is required for all expense claims except:
incidental expenses, such as tolls and parking; and
claims for personal vehicle kilometrage for authorized travel.
(b) If no receipt is available, a written attestation signed by the Claimant must be
submitted to explain why the receipt is unavailable, and a description itemizing and
confirming the expenses. Debit or credit card transaction records are not
acceptable as receipts.
(c) Expenses incurred by one individual on behalf of another must be attributed to the
individual for whom those expenses were incurred.
(d) No expense claim shall be paid unless the claim is first approved for payment by
the Signing Authority with the authority to approve the claim. Before approving an
expense claim, a Signing Authority must ensure that:
i. the claim is consistent with this policy;
ii. the expenses claimed were necessarily incurred in the performance of
municipal business;
iii. appropriate receipts are provided to support the claim, and the claim
documentation is appropriately filed; and
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 11 of 14
iv. the expenses claimed have appropriate justification.
(e) In considering an expense claim for payment, a Signing Authority may request
additional explanations, documentation, or justification from the Claimant, and may
refuse to approve any claim or expense that the Signing Authority decides is
unreasonable or not in compliance with this policy.
(f) The use of petty cash to pay an expense claim is prohibited.
5.04 Timeframe
(a) A claim for reimbursement of an expense shall be submitted for approval to a
Claimant's Signing Authority within thirty (30) days of the expense being incurred.
(b) An extension to the thirty (30) days submission window will be considered if the
Claimant provides a reasonable explanation for the delay.
(c) Expenses must be submitted in, and charged to, the year in which they occurred
otherwise they will be considered ineligible. Expenses cannot be carried forward to
future years.
5.05 Reporting Requirements
(a) In accordance with the requirements section 65D of the Municipal Government Act,
the CAO shall ensure that the Municipality:
prepares and posts an Expense Report on the Municipality's website within
ninety (90) days of the end of each quarter for expenses incurred by the
Warden, CAO (including an employee of the Municipality delegated any of
the responsibilities or powers of the CAO pursuant to subsection 29(b) of
the Municipal Government Act), and each member of Council for the
following:
1. travel and travel -related expenses, including transportation,
accommodation, and incidental expenses;
2. meals; and
3. training and education;
prepares an annual report that summarizes expense reports for the
preceding fiscal year in compliance with the requirements of the
Department of Municipal Affairs and Housing and of the Financial Reporting
and Accounting Manual, and files that annual summary report with the
Minister of Municipal Affairs and Housing by September 30 each year.
5.06 Review Requirements
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 12 of 14
(a) The Municipality's Audit Committee shall review the expense annual summary
report by September 30 of each year.
(b) By the January 31 immediately following a regular election held under the
Municipal Elections Act, Council shall review this policy and, following a motion by
Council, either re -adopt the policy or amend the policy and adopt the policy as
amended.
6. REFERENCES AND RELATED STATEMENTS OF POLICY
■ Municipal Government Act Section 23(3), (4), (6), and (7) and 65D(1), (2), (5), and
(6).
■ Financial Reporting and Accounting Manual (FRAM), Department of Municipal Affairs
and Housing, Government of Nova Scotia.
■ P-09: Remuneration of Warden, Deputy Warden, and Councillors Policy — Section E
■ P-55: Personnel Policy, Section 7 — Training and Professional Development
■ P-58: Remuneration of Appointed Committee Members
As of the date of adoption of this policy, this Expense Policy replaces any related
sections of Municipality of the District of Chester policies and procedures concerning the
definition, approval, and reimbursement of expenses. Not to restrict in any way in
general applicability of the foregoing statement, this policy replaces the following
policies:
■ P-55: Personnel Policy, Section 6 — Travel Expense & Meal Allowance
■ P-22: Petty Cash Fund Policy
DEFINITIONS
7.01 "CAO" means the Chief Administrative Officer of the Municipality of the District of
Chester.
7.02 "Claimant" means the individual submitting an expense claim in accordance with the
policy and procedure statement of this policy.
7.03 "Committee Members" means members of committees formed by Council from its
members and the public at large to perform authorized functions as required by any
Act, by-law or resolution.
7.04 "Council" means the elected officials that make up the Council of the Municipality of
the District of Chester. For the purposes and provisions of this policy, the term
`Council' includes the Warden, the Deputy Warden, and Councillors, unless specific
statements of policy or procedure are otherwise identified for the Warden or Deputy
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 13 of 14
Warden.
7.05 "Employee" means any person directly employed by the Municipality of the District of
Chester as well as persons under contract who provide goods or services to the
Municipality.
7.06 "Expense Report" means a report on all amounts reimbursed for a reportable
municipal expense to a reportable individual during a fiscal quarter;
7.07 "Municipality" or "Municipal' means the Municipality of the District of Chester.
7.08 "Reportable Individual" means the Warden, Deputy Warden, Councillor, Chief
Administration Officer (CAO), and any employee of the Municipality delegated the
responsibilities of the CAO.
7.09 "Reportable Municipal Expense" means an expense for which reimbursement was
provided by the Municipality for the following expense categories: (i) travel and travel
related expenses, including accommodation, incidentals, and transportation; (ii) meals,
(iii) professional development and training.
7.10 "Signing Authority" means an individual authorized to sign on behalf of the
Municipality.
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022
Expense Policy P-95 (continued) Page 14 of 14
VERSION LOG
Version
Number
Amendment
Description
Policy Editor
Policy Sponsor
Approval Date
2022-05-12
Policy created
CAO and
Corporate &
2022-05-12
Director of
Strategic
Finance and
Management
Information
Department
Services
Annotation for Official Policy Book
Expense Policy that containing content
Reason for Adoption
required by Municipal Government Act (MGA)
amendments and by the Financial Reporting
and Accounting Manual (FRAM) Regulations.
Date of First Notice at Council
April 28, 2022 (2022-169)
Date of Second Notice at Council
May 12, 2022 (2022-197)
Effective Date
May 12, 2022
1 certify that this Policy was adopted by Council
as indicated above.
L `
May 12, 2022
Pamela Wkyra, ounicipal Clerk Date
First Notice — Council — April 28, 2022 (2022-169)
Second Notice — Council — May 12, 2022 (2022-197)
Effective Date — May 12, 2022