Public official compensation has been in the news lately. A report came out that state legislators, despite being “part time,” can make more than part-time money when you count per diem.
Base salary for Indiana lawmakers is just $24,140, but members collect a generous per diem for food and lodging. Legislators receive $159 a day even if they live close enough to the Statehouse to stay at home during the session or if they dine at a lobbyist’s expense.
Leadership apparently ends up making about $65 – $70,000 when leadership bonuses are figured in. Meanwhile, there was a hue and cry over a proposal to raise compensation for Marion County officials. The proposal would have raised the mayor’s salary from $95,000 to $125,000 and council salaries from $11,400 to $16,400.
Raising lawmaker compensation is deeply unpopular. This stems from a variety of factors. People don’t like government. It’s easy to complain that government spends too much as it is. Lawmakers should be ordinary citizens, and ordinary citizens often make much less than lawmakers. Lawmakers are, in effect, giving themselves a pay raise which is always unseemly. But, up to a certain level anyway (I think there are diminishing returns as salaries climb higher), you get what you pay for. And when you look at the overall budgets of the State and Marion County that these officials are charged with overseeing, sweating these salaries seems penny wise, pound foolish. Indiana has a budget of $15 billion and Marion County has a budget of a billion dollars. The mayor’s salary is something like 1/10,000th of the County’s budget.
I don’t expect the intense resistance to public salaries will decline any time soon, but I find it tough to get very excited about what usually ends up being a very minor part of the public budget.