Legislative Assembly of New Brunswick
 
MLA Compensation Review Commission 2007

Terms of Reference

Approved by the Legislative Administration Committee, March 23, 2007

1.

That a one-person Commission be appointed and charged with reviewing salaries of MLAs, and additional indemnities for parliamentary office holders (MLAs with additional responsibilities) and making recommendations on compensation.

2.

That the Commission consider and recommend whether the annual expense allowance, which is not subject to income tax, should be made taxable and a taxable equivalent value added to the annual indemnity.

3.

That the Commission consider and recommend whether amendments should be made to the Members’ Pension Act as follows:

 

a)

the eligibility requirement for an annual pension shall be set at six years instead of the current eight sessions of pensionable service;

b) for retirement prior to age 60, a reduction in the normal retirement pension of 3% instead of 5% for each year by which retirement age precedes age 60;
c)

 the calculation of a Members’ pension shall be based on the number of years of pensionable service instead of the number of sessions of pensionable service;

d)

such other consequential and transitional amendments as may be necessary to implement the changes proposed in paragraphs a), b) and c) above.

4.

That the Commission review the provisions of the Legislative Assembly Act relating to re-establishment allowances, in particular the exclusionary provisions found in paragraph 32.2(5)(a) of the Act and make the necessary recommendations for amendments to ensure that the provision deals fairly or justly with each circumstance when a Member ceases to be a Member.

5.

That the Commission consider and make recommendations for the inclusion of a provision to provide that a former Member who does not re-offer or re-offers and is defeated in the next provincial election may be reimbursed for expenses related to career counselling or re-training to a maximum of five-thousand dollars and subject to such terms and conditions as may be determined by the Legislative Administration Committee.

6.

That the Commission base its recommendations on the following guiding principles:

 

 


The job of an MLA is representative of a full-time occupation. MLAs should be compensated at a fair and reasonable level to ensure that capable individuals continue to offer themselves for public services. Compensation levels should not be so small that they discourage qualified candidates from running, or so generous as to be a major inducement for seeking office.

The method of compensation should differentiate between remuneration for the MLA as a Member of the Legislative Assembly and expenses incurred by the Member in fulfilling his or her duties as an elected official.

7.

That the Commission reports its recommendations to the Legislative Administration Committee by September 30, 2007.

8.

That the report, once filed with the Committee, be tabled in the House by the Speaker for its immediate adoption during the Second Session of the Fifty-sixth Legislature;

9.

That the Commission recommend the necessary amendments, including consequential and transitional amendments to the Legislative Assembly Act, the Members’ Pension Act, and the Members’ Superannuation Act.

 

Revised May 9, 2007
The Legislative Administration Committee accepted the recommendation of Hon._Patrick A.A. Ryan, Q.C., Conflict of Interest Commissioner, that the mandate of the Commission be expanded to allow the Commission to seek public input on the proposed changes to MLA Compensation.

MLA Compensation Review Commission 2007
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