A new plan for how Bruce Telecom provides its annual payout to the municipality of Kincardine has been approved by council.
The framework sets the maximum amount payable at 75 percent of the previous year’s operating surplus and the minimum at three percent of the previous year’s closing net assets.
Councillor Kenneth Craig likes the plan because it assures predictability in how much money is received annually from the municipally-owned utility.
Mayor Larry Kraemer like the plan as well, noting it gives clarity to the board for what should go to the municipality, and how much should stay in the company’s hands.
He stresses the final approval still rests with council, but the policy — which hasn’t existed before, at least gives the board direction.
Kraemer says Bruce Telecom is the biggest asset the municipality owns and the company wants to understand changes in the telecommunications business and any other issues that affect its profitability.