Election year pay poser for local politicians

Auckland’s 170 council politicians face a new political nightmare – setting their own salaries during election year.

The minor discomfort of accepting pay rises forced on them by the Remuneration Authority is over, from next year – election year – the ball bounces into their court.

After years of consultation and research, the body which sets salaries for political and critical public servants, will tell the council how big the salary pot should be and let it carve it up.

The authority paper on the new system suggests Auckland’s pot could become much bigger because of the scale and complexity of what is a city and regional council, rolled into one.

‘‘We had to consider carefully the current closeness of the remuneration of Auckland councillors and Christchurch councillors,’’ it said.

‘‘This needs to be resolved but will take more than a year to do so.’’

Auckland Council argued against the DIY pay move and councillors are not happy.

‘‘Aucklanders want us to be getting on with the job, not debating our pay,’’ said North Shore councillor Richard Hills.

‘‘I find it extremely concerning that not only the governing body, but 21 local boards will have to debate splitting up the fund.’’

Yes, there won’t just be one pot for Auckland, there will be 22 pots. The 20 councillors will discuss how to split their pot between a basic salary and addons for committee chairs.

Each Local Board will get a different-sized pot based on population size, and will have to figure out how to split it between basic board members, deputy chairs and chairs.

The Remuneration Authority is still working out the sizes of the salary pots, that will be revealed early in the new year, and politicians will have to recommend the carve-up soon after.

The mayor is spared the ugliness of the decision, with the top salary continuing to be set by the Remuneration Authority.

It has allowed some headroom for a pay rise though. No local body politician may earn more than a Cabinet minister with one portfolio, currently $296,007.

Auckland’s mayor is now on $279,562 plus a car with no private use allowed.

A councillor gets a basic salary of $109,750.

It is also easy to overlook the cost of ‘‘re-applying’’ for the job at the three-yearly elections.

Council and local salary board decisions will have to be ratified by the authority.

This year’s 2 per cent rise for the mayor and councillors and 1.5 per cent for the 149 local board members, as determined by the Remuneration Authority, will be the last to slide quietly through the system.

The new regime will affect all councils, but for Auckland with the highest political salaries, the risk of an election-year flare-up will be greatest.