💼 Big changes coming to #Olds! Town council moves to a salaried pay system for the Mayor & Councillors starting in 2025. What do you think about the new policy? 🤔🏛️ #Alberta #LocalGovt #Politics
Town of Olds Council Switching to Salaried Pay
The Town of Olds has made a significant shift in how it compensates its council members, moving from a per diem-based model to a fixed salary system. Beginning on January 1, 2025, the mayor will receive a compensation of $58,658 annually, and councillors will earn $38,524. This decision follows months of deliberation and feedback from the community, but not without raising some concerns about the direction the council is taking with its remuneration policy.
A Shift Toward Stability
The transition to a salaried pay structure offers a sense of predictability for council members. Knowing they will receive a consistent amount each year, adjusted for inflation based on the Alberta Consumer Price Index, provides a more stable financial framework than the previous per diem model. This shift seems particularly relevant as public service roles grow more demanding, and the expectation for council members to attend various meetings, forums, and conventions increases.
By compensating council members with a salary, the administrative effort behind managing varying per diems is minimized, as was pointed out during a discussion back in July. It’s an approach that simplifies accounting while ensuring transparency—key values expressed by many of the council members, such as Coun. Dan Daley. He emphasized the importance of allowing citizens to understand what is happening within the council and how their representatives are being compensated.
Transparency as a Central Theme
Transparency was a central theme of the discussions leading up to this decision. One of the more significant moves to uphold this value is the decision to post the council’s remuneration on the municipality's website. This public disclosure allows for greater accountability, showing the community exactly how much their elected officials are receiving in return for their service. It’s a step toward ensuring that financial governance aligns with the expectations of the residents in Olds, as highlighted by the council members, including Daley, who reiterated that the policy would allow citizens to see what their representatives are doing, not just within the council sessions but also on boards and commissions.
That said, posting all remuneration information isn’t without its challenges. As Coun. James Cummings noted, some boards and commissions meet at different times, making it tricky to provide consistent updates. However, by suggesting that council members report their attendance to administrative staff, the council seems to be working toward a functional solution.
The Remuneration Committee’s Efforts Overlooked?
Not everyone is entirely satisfied with the process leading to this change. Coun. Heather Ryan expressed her disappointment that the work done by the remuneration committee, a group made up of local residents, was seemingly dismissed. The committee had proposed that councillors continue receiving per diems for required attendance as official representatives outside the town, and that these per diems be updated to reflect current costs. However, under the new policy, councillors are “not eligible” for such payments.
This raises a deeper question: What is the role of citizen committees if their recommendations can be so easily bypassed? In this case, while the council expressed gratitude toward the committee for its efforts, it appears their work wasn’t entirely adopted. The committee’s recommendation to continue with per diems, updated to reflect modern costs, would have likely provided a fairer system for covering the extra effort and time spent on duties outside the town. But with the shift to a fixed salary, the council seems to be prioritizing simplicity and cost-efficiency over the nuance of compensating for different types of duties.
Looking Ahead: What Will Future Councils Decide?
One thing is clear: this policy isn’t necessarily set in stone. As Coun. Ryan pointed out, future councils may choose to alter the compensation structure. The beauty of policies like these is that they are malleable. Over time, councils might determine that more changes are needed to reflect the evolving demands placed on public servants. For now, though, this shift to a salary model marks a key moment in the town’s governance, bringing a fresh approach to how council members are paid.
A Balanced Solution or Missed Opportunity?
The decision to move to a salary-based system while eliminating per diems is a balancing act. On one hand, it simplifies the remuneration process and ensures stability for council members. On the other hand, it may overlook the more granular demands of the role, such as attending events or representing the town outside of Olds. By compensating councillors for attending professional development conferences and conventions, the policy does address some of these extra demands, but it stops short of recognizing the additional time required for attending events outside the town.
Ultimately, this policy presents a more streamlined way of compensating public servants in Olds. However, the loss of per diems could leave some councillors feeling that their time spent outside the town's borders—representing the municipality in vital areas—isn’t fully appreciated. Going forward, the council may need to re-examine how best to reward these extra efforts.
What do you think about the changes to council remuneration in the Town of Olds? Are you in favor of the new salary structure, or do you think the old per diem model was fairer? Head over to our Facebook page or Twitter page to share your thoughts and join the conversation!