Bellevue's new director of administrative services could end up getting a nice pay raise in the coming year, regardless of an employment contract that some officials think should preclude it.

Although new DAS Doug Sample agreed to waive health insurance benefits when he was hired last summer, he still may be able to take advantage of a $300 per month opt-out payment the borough offers employees.

Council voted Tuesday to institute a new cafeteria benefits plan that keeps employees' benefits from being subject to income taxes. According to Sample, the borough's past method of offering the monthly opt-out payment put both those payments and the value of their health insurance at risk of being considered taxable income by the IRS.

Under the new plan, non-contract employees who elect to receive health insurance will pay 10 percent of the cost of their benefits. Those who opt out, however, will be paid $300 per month. Sample said that the opt-out payment is an incentive to encourage employees to take advantage of spouses' benefit plans, thereby saving the borough thousands of dollars each year.

Solicitor Tom McDermott said that the options have to be made available to all employees covered by the new cafeteria plan, Sample being one of those employees.

A clause in Sample's emploment contract, however, states that he waived the borough's health benefits because he was covered under his wife's plan. In fact, according to council member Jane Braunlich, Sample's starting salary was increased some $3,000 -- to $65,000 his first year -- because he would not be covered by the borough's health insurance.

Sample said that it was never his intention to waive the opt-out payment, and that he was aware at the time that he accepted the job that the borough needed to institute a proper cafeteria plan that would include him.

Council voted 3-2 to approve the cafeteria plan. In favor of the motion were council members David Gillingham Jr., Mark Panichella and Mark Helbling. Braunlich and Linda oshner were opposed. Lisa Blaney-Stewart, Kathy Coder and Jim and Susan Viscusi were absent.