File photo

File photo

Gas prices drive new Princeton expense policy

“After eight years, it’s about time.”

Changes to the municipality’s travel policy reflect the rising cost of living, especially the cost of gas, according to the Town of Princeton director of finance James Graham.

The new policy, which applies to staff and members of council, was approved at a recent meeting.

“We haven’t adjusted that since 2014,” said Graham.

“After eight years, it’s about time.”

The mileage rate has increased from 52 cents to 61 cents per kilometre for the first 5,000 kilometres, and 55 cents for each additional kilometre in 2022.

The rate is the maximum allowed by the Canada Revenue Agency under the Income Tax Act and Regulations, according to a report.

Other travel allowances were also bumped.

Seventy dollars per day will be reimbursed for food, while parking, business related phone calls and accommodations will be paid with receipts.

Previous a $60 per day allowance was made for parking, phone calls and food combined.

“The rate was just outdated,” said Graham.

Under the new policy, accommodations over $200 per night must be approved by the CAO before booking, and gratuities will be reimbursed to a maximum of 15 per cent. Previously there was no cap on tips.

Additionally anyone using their personal vehicle for town business to carry at least a $2 million third-party liability insurance policy, which Graham explained protects the municipality from potential liability.

Any extra costs associated with insurance upgrades will be reimbursed.

Related: Princeton proposes $42 million budget for 2022

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