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Vol. 8, 2, No. 09 Tuesday, January8,8, 2011 2013 Vol. 7, No. Tuesday, November
Auditors report reveals what elected officials refused to disclose publicly Michelle Pinon Editor While elected officials have never disclosed the details of a separation agreement between the Town of Lamont and its former chief administrative officer Tom Miller; the numbers are documented in an independent auditor’s report. According to the report, dated March 19, 2012 and published by chartered accountants Wilde and Company; a final payment to Miller was made in the amount of $341,782. That payment was over and above his regular salary of $96,904 and benefits and allowances of $18,112 which combined, equalled $115,016. While terms of the separation agreement could not be publicly disclosed by the mayor and members council at the time of Miller’s dismissal last December; Mayor Bill Skinner did state that if someone wanted to, they could make a request for that information through the Freedom Of Information and Protection of Privacy Act. Skinner reiterated this past Friday in an email that: “At the time of the dismissal of Mr. Tom Miller council indicated council members would not discuss this publicly and a statement to that
effect was given and reported in your paper. Until such time as council directs me otherwise, I will continue to honour this decision.” During a special council meeting on Dec. 7, 2011; members voted unanimously in favour of terminating Miller’s contract that was set to expire at the end of 2014. Under Alberta Regulation 313/2000; municipalities are required to provide a salary and benefits disclosure which was included in the town’s consolidated financial statements for the year ended Dec. 31, 2011. The disclosure also states the salaries of the former and current mayor, as well as members on town council. In 2011, current Mayor Bill Skinner earned $8,400; former Mayor Denis Durand earned $10,800; and the five remaining councillors (Derek Strong, Sylvia McDonald, Wayne Field, Mike Brown and Gail Hrehorets) who earned $7,200 a piece. Under contingencies, Wilde and Company pointed out the municipality is a member of the Alberta Municipal Insurance Exchange (MUNIX). “Under the terms of the membership, the municipality could become liable for its proportionate share of
any claim losses in excess of the funds held by the exchange. Any liability incurred would be accounted for as a current transaction in the year the losses are determined. “The Town has entered into three separate Master Sales Agreements and three separate Development Agreements with a developer. Each is for the sale of land held by the Town for the development of three different subdivisions within the Town’s municipal boundaries. The Town alleges the developer defaulted on
its obligations regarding certain conditions of the Master Sales and Development Agreements. As a result, the Town has sought to terminate the agreements and has called a $406,500 letter of credit held as security against development deficiencies. As disclosed in Note 8 of the financial statements, this amount is included as part of a deferred revenue at Dec. 31, 2011. “Also in dispute are 2008 developer invoices totalling $260,000 for services provided as part of the Development Agreements. The devel-
oper alleges the costs incurred were the responsibility of the Town. The Town did not approve the expenditures and therefore did not record an amount as a liability at Dec. 31, 2008 2009, 2010, or 2011. In the event the dispute is not resolved in favour of the Town, the Town will record an amount as an expenditure in the year the dispute is resolved. “Negotiations regarding the dispute between the Town and developer are ongoing. According to the Town’s legal advisors, any claim of Jabneel, if proven suc-
cessful, will be restricted to damages and they believe that it is unlikely that the court will allow the developer to obtain specific performance of the contracts terminated.” The report in its entirety is available for viewing on the Town of Lamont website. It was officially published on the website on April 24, 2012. To access the document, click on the category titled: finance and click on Financial Statement 2011.
MICHELLE PINON PHOTO
The outdoor rink was the place to be Saturday afternoon as youth enjoyed the balmy weather, fresh air, and companionship during a game of shinny hockey and skating with friends.