What's a politician worth What's fair for them and taxpayers

Once again, the issue of MLA pay is on the agenda. The government appointed a three member Commission to recommend changes to MLA salaries, allowances and pensions. Sound familiar Experiencing a bit of deja-vu

Taxpayers may recall a 1996 Citizens' Panel appointed by the Harcourt government that dealt with these same questions. That panel recommended welcome and sensible changes to MLA remuneration and its reforms have been in place for eight years-or just over three legislative terms.

The new commission has a mere 90 days to collect data, review the current MLA compensation package, consult the public and report to the Speaker. The legislature will then vote on the recommendations this spring.

The first question taxpayers and the commission should be asking is whether MLAs receive adequate compensation for the service they perform as elected representatives already Currently, the base salary for an MLA is $76,100. There are additional allowances of $39,000 each for cabinet ministers, the speaker and the opposition leader. The premier receives an additional $45,000 annually. Parliamentary secretaries, chairs of legislative caucuses, whips and chairs of legislative committees also receive additional allowances.

Considering that the average weekly wage earner in BC collects just under $37,000 a year, our politicians are doing just fine.

Compared to other provincial legislatures, British Columbia MLAs are in the middle of the salary ranges. Thanks to the 1996 citizen's panel salaries are transparent , fully taxed and a yearly formula exists to adjust them. Gold-plated pensions that had taxpayers contributing $5 for every $1 contributed by an MLA-earning many MLAs well over $1-million in retirement benefits were eliminated.

The gold-plated pension scheme was replaced by a group-style RRSP, a plan championed by then opposition leader Gordon Campbell. Every year the legislative assembly (the technical employer for MLAs) contributes 9 per cent of their basic salary to the RRSP. The MLA can then voluntary match that 9 per cent. Regardless of whether the "employee"-MLA-contributes to the plan, the employer automatically puts in 9 per cent of their basic salary.

That type of RRSP is more generous than any offered in the private sector. In one term of office an MLA can stash close to $55,000 in retirement savings, a nice start to a nest egg. MLAs should be provided retirement benefits for their years of service but the benefits should be reasonable and fair to the taxpayer. The current plan is more than adequate.

The Canadian Taxpayers Federation (CTF) suggests the current compensation package (salary and pension) remain in place as it is neither excessive nor inadequate

If however, the government accepts any improvements or changes to the existing compensation package those changes should only be implemented after the next election. Delaying the implementation of any changes provides our politicians an opportunity to defend the pay hikes to the people who pay for them.

The CTF is also recommending the annual publication of the total cost of each of the 79 members of the legislature, including base pay, allowances, expenses and pension contributions. Most crown corporations already practice proactive disclosure of employee pay; the legislature should do the same.

In the spirit of transparency and accountability, the CTF recommends the legislative assembly management committee (LAMC) record and disclose the minutes of meetings concerning MLA compensation. Currently, this very important committee meets behind closed doors and beyond public scrutiny. If MLAs deserve an increase in compensation, members should be expected to justify it to taxpayers and be accountable for their decisions.

To be sure, the work of our MLAs is important, draining, tough and sometimes thankless. Family and career sacrifices are par for the course.

But, being elected should neither be profitable nor charitable; it should be fair for the member and the taxpayer. The existing MLA compensation package strikes a good balance and provides an annual, indexed, base salary, a generous RRSP contribution allowance and numerous incidental benefits like coverage of MSP premiums.

BC led the country with its sweeping changes to MLA compensation in 1996 and our current government can continue to demonstrate its commitment to transparency, fairness and accountability by keeping the structure of the existing plan in place.