Absolutely - that is an anomaly. The Palidins give you level 14 reward for Mummie Dearest's head (also for going to sawmill) while the Elves give you a level 9.
I don't think you could even get to the sawmill at level 9 let alone kill anyone if you did.
You got a reward for handing the head over? I got nothing. Oh well, doesn't matter.
