General Committee

 

 

 

 

 

TO:

Mayor and Members of Council

 

 

 

 

FROM:

Sheila Birrell, Town Clerk, and

Andy Taylor, Commissioner of Corporate Services

 

 

 

 

PREPARED BY:

Sheila Birrell, Town Clerk

 

 

 

 

DATE OF MEETING:

2005-11-07

 

 

 

 

SUBJECT:

2006 Election Contribution Rebate Program

 

 

 

 

RECOMMENDATION:

That a by-law be presented, in the form attached hereto as Schedule “A”, to provide for an Election Contribution Rebate Program during the 2006-2009 term of office in the Town of Markham;

 

AND THAT an Election Rebate Program of $70,000 be included in the 2006 Operating Budget.

 

PURPOSE:

To facilitate the passage of a by-law providing for an Election Contribution Rebate Program for the 2006 municipal election term.

 

BACKGROUND:

On October 11, 2005, Council approved the 2006 Election Contribution Rebate Program.  Details of the approval are outlined on the attached Schedule “B”.  At the time of approval, Council requested that:

·        the program stipulate that only the net contribution from fund raising events would qualify for rebate; and

·        that staff report back on:

o       candidates opting to not participate in the election rebate program, processes for contributors to be so advised and a means for obtaining contributor consent to no rebate, in writing, and

o       candidates opting out not filing an auditor's report for donations under $10,000 pursuant to The Municipal Elections Act,;

 

 

OPTIONS/DISCUSSION:

The draft by-law, in Section 3, stipulates that only the net contribution from fund raising events would qualify for rebate.  Section 6 requires candidates who opt out of participating in the rebate

program to notify their contributors and to obtain their consent to no rebate, in writing.  Section 5 of the By-Law speaks to what is required of candidates who participate in the rebate program,

including a separate list of contributors who contribute to a fund raising event.  This information will assist staff in administering the program, post election.

 

A Candidates’ Kit is provided to all candidates running in a municipal election.  The Rebate By-

Law will be included in the package, as well as a form requiring any candidate who wishes to opt out of the Rebate Program, to complete and sign.  The form will require the candidate to declare in writing they will be opting out and will be notifying their contributors and will be requesting contributors to confirm consent to no rebate in writing.  Also included in the kit will be two types of receipts, one three part form for those candidates opting into the program, and one two part form for those candidates who opt out.  The form for the candidates opting for the rebate program will provide as its authority both the Municipal Elections Act and the Town’s Rebate By-Law, whereas the form for candidates opting out will provide as its authority only the Municipal Elections Act.  Candidates who opt out of the rebate program and who spend less than $10,000 will not be required to provide an audited statement, pursuant to the Act.

 

Notice of the Town’s Rebate By-Law and rules surrounding its use will be made available to candidates and the general public through the elections communications plan. 

 

A software package for ease of maintenance will be made available for all candidates who opt into the program.  In addition, every effort will be made to allow candidates to submit their financial reports on line; it being understood that they will still be required to attend at the Election Office for commissioning of the documentation.

 

FINANCIAL CONSIDERATIONS:

At the October 11th Council Meeting, a number of options were presented for the election rebate program.  The costs of each option varied.  However, given that no funds were previously set aside for the election rebate program, Council approved that $150,000 be accrued in 2005, funded from the Corporate Contingency account, to minimize the financial impact in 2006.  Council also directed staff to quantify the impact on the 2006 Operating budget for the Rebate Program approved by Council that night.  The funding of the Election Rebate Program is to be considered in the 2006 Operating Budget Process.

 

In the last election, approximately 2,100 election rebates were provided with a total cost of approximately $160,000.  Based upon the Rebate Program presented in this report, the same 2,100 election rebates would cost approximately $200,000.  An annual budget of $70,000 would generate $210,000 ($70,000 * 3 years) every third year for election rebate costs.  It is recommended that an annual Election Contribution Rebate Program in the amount of $70,000 per year be included in the 2006 Operating Budget.

 

FINANCIAL CONSIDERATIONS:  (cont’d.)

Since $150,000 has already been accrued in 2005, the additional $70,000 would result in $220,000 ($150,000 + $70,000) set aside for the Election Rebate Program in 2006 only.  Future years would have the projected $210,000 ($70,000 * 3 years).

 

Contribution patterns may change as the maximum rebate has increased from $75.00 to $350.00 per individual.  As a result, the $210,000 to be budgeted for the Election Rebate Program may not be sufficient to fully fund it.  In this event, the Corporate Contingency account may be used to supplement the funding for this program.

 

ENVIRONMENTAL CONSIDERATIONS:

None

 

ACCESSIBILITY CONSIDERATIONS:

None

 

ENGAGE 21ST CONSIDERATIONS:

None

 

ATTACHMENTS:

Schedule “A” – Proposed By-Law

Schedule “B” – Details of the Markham Election Rebate Program

 

 

 

Sheila Birrell,                                                                Andy Taylor,

Town Clerk.                                                                 Commissioner of Corporate Services.