INNISFAIL – Town council will not give itself a raise or even a cost of living boost for the next two years.
In doing so, however, Mayor Jim Romane is cautioning that adopting future tough hold-the-line decisions on council remuneration could make well qualified candidates for public office think twice about throwing their hats in the ring.
Moreover, council was told at its Nov. 12 regular meeting that Innisfail is now at the “lower capacity” in terms of wages when compared to 10 other communities that were looked at by administration.
“And this (council decision) is going to be for the next two years,” said Romane. “It is substantial and now there is no cost of living (increase) either.”
Romane reminded council that all Canadian municipal council members lost their one-third tax free exemption as of Jan. 1, 2019 following a federal government budget decision in 2017. The mayor pointed out he personally saw his take home pay cut by 18 per cent.
“I know other communities absorbed that loss and increased the gross pay to offset them so they were still taking home the same amount of money,” noted Romane. “I just wanted to make sure this committee was aware of that situation in their discussions, and apparently they were.
“That part was a little disappointing but I also understand the need for austerity. We will live with it,” added Romane, agreeing that “optics” was an important consideration as well. “Politically, yes, but realistically if you want good people to run, you know, think about it. Good people are going to expect being reimbursed for their time.”
The mayor currently receives a $2,700 monthly honorarium, while each of the six councillors receive $1,300. There are also per diems for each meeting they attend, as well as travel expense compensation and a benefits package.
Council’s decision to hold the line on their pay came from a recommendation from the Council Remuneration Review Committee, comprised of three public members – Albert Hannah, Ron King and Don Harrison. They met on Nov. 1 to review council’s remuneration and benefits, which were compared to 10 comparable municipalities.
King said committee members agreed “very, very substantially” that it was a time to hold the line on council wage increases.
“Our main concern was the way the economy is right now and how it would reflect upon council and administration if there was an increase based on what is happening with pretty well everyone in every industry,” said King. “We felt the compensation is adequate, and not dismissing the value that the councillors bring to Innisfail, but just based on the fact we felt was an issue of the economy. What would be the public’s perception at this point in time if they took a raise?
“If we were to grant them a raise, suggest they take a raise, the public has forgotten that 18 per cent,” said King in response to Romane’s comments. “I realize they took that hit but the perception of the public is always what is happening right now, not what happened two years ago.”
Other council members agreed and were adamant the current bleakness of the economy was more than enough reason to just hold the line on any wage increase for the next two years.
“A lot of people in our community are hurting. We are going to see a lot of people being asked to take a pay cut in the next while. Our most vulnerable people (AISH recipients) have had their pay de-indexed. They are not getting a cost of living increase,” said Coun. Jean Barclay, who introduced the motion on Nov. 12 to hold the line on wage and cost of living increases. The motion was passed unanimously. “I am quite happy to leave things as is considering the economic climate we are in.”
In the meantime, Harrison, who attended council’s Nov. 12 regular meeting, emphasized Innisfail’s elected members are a good council but added their job is “all about public service” and that each council member ought to look at themselves and ask, ‘why am I doing this?’
“It is to give back to your community, give back to your constituents and to make a difference,” said Harrison.
“Where Mayor Romane was coming from I am really not quite sure. It was one of those unfortunate things that the federal government did. Our constituents are taxed. They should not be penalized for that,” he added.
King noted ominously that when the committee meets again the overall economic fortunes of the community might be as tough as ever.
“In two years when that committee is formed again to discuss the next two years it is going to be a really challenging situation,” said King. “That is all I can say but the perception of the public is vitally important at this point in time based on the economy.”
