Local Sunshine List Jumps by 30%
Last year, WN had 13 employees on the list of employees earning more than $100k. Now it has 17.
As I outlined last week, West Nipissing’s taxes will be going up by 4.75% and over 21% cumulatively over the last 5 years (50% higher than inflation during this time).
The biggest expense on this budget year-after-year is Human Resources. This year our HR expenses will go up another 8% (to $9.12M). This is a 30% increase since 2019 when we spent just $6.99M on this line.
Subscribed
One way to see why this expense line has grown so much is with the Ontario public disclosure list of individuals making over $100,000 per year. I don’t want to use this information to single out individuals as many of them likely deserve the salaries they make however this list is a good tool to analyse patterns and identify unsustainable municipal finances.
The year before COVID in 2019 our municipality spent just under $1.5M on individuals earning more than $100,000. Since that time, when almost all our municipal services saw a decline or suspension, this number went up to $2.3M in 2022.
In 2021 we had 13 taxpayer funded employees on this list. In 2022 we had 17.
Some say that the metrics of this list are outdated and $100,000 is not a good threshold to identify how many highly paid public servants our taxes pay for. But, for a community like West Nipissing, I disagree.
According Statistics Canada in 2020, the median income in West Nipissing was $37,300. 66% of the population earns under $50,000. In order to make $100,000 you have to be in the 93rd percentile or above in this small community.
When taxpayers earning on average $37,000/year see their taxes go up 21% in 5 years, they have the right to question how many of those who suggest these increases earn triple or quadruple what they make.
Fire Prevention is a Costly Service
The top earner in 2022 is the retiring fire chief who earned $226k last year. This is likely due to some sort of severance or retirement bonus. But overall, fire services are by far the most expensive service West Nipissing residents pay for. Out of the 17 municipal employees on the sunshine list, 7 of them work for the fire department (nearly the entire staff).
Highest Paid CAO Around
For the first time ever, West Nipissing’s Chief Administrative Officer earned over $200,000 (540% more than the WN median income). This position earned 14% more than in 2021 and 24% more than 2019. When the 2023 municipal budget was presented 6 comparable small communities were shown as comparables to our tax rate. I identified them below with the salary of their CAO.
Comparable Municipality CAO Salaries in 2022 (rounded to the 1000)
Elliot Lake = $173,000
French River = $158,000
Callander = $124,000
Espanola = $130,000
Kenora = $171,000
Temiskaming Shores = $124,000
West Nipissing = $200,000
Average = $154,000
I don’t want to criticize individuals. But I want us to be aware that our human resource costs are increasing at unsustainable levels. And I don’t think that it’s fair to the average West Nipissing.
The average West Npissing resident’s salary hasn’t gone up 24% during the COVID pandemic. The overall West Nipissing population earning over $100,000 didn’t go up 30% last year (it likely didn’t go up at all).
Check out all the details of this year’s and prior year’s sunshine lists here.
Other Highlights:
2.2% of our municipal taxes goes to fund part of the budget for the NBPS Health Unit. It’s boss who kept our small businesses closed for a chunk of 2020-2022 and insisted that safe outdoor activities be closed (but not anywhere else in Canada), Jim Chirico topped that department. Taking in $365,000 last year ($38K or 12% more than before the pandemic).
10% of our taxes (or $2M) go towards funding Au Chateau (along with provincial funding). That organization saw a 25% increase in employees making the list. 12 individuals working there now make over $100,000. Interestingly 5 of them are PSWs (who entirely deserve it, but likely well overworked because of the staffing crisis. More on this later).
17% of our taxes (or $3.4M) go to DNSSAB (Social Services). This organization’s workforce saw a huge boon during the pandemic having only 5 employees topping $100k pre-COVID. They now have 13.
The West Nip Voice is a regular newsletter covering issues in West Nipissing and the surrounding area. Please consider becoming a subscriber.