Sunday, January 23, 2011

It's Good to be the King

In December 1995, Massillon's Mayor for Life, Frank Cicchinelli, signed legislation granting himself, city council, the council president, the law director, the auditor, and the city treasurer annual, unvoted pay raises for life.

In 1996, our mayor for life received a 21% pay hike, and then every year after would be granted a pay hike based on the increase in the United States Consumer Price Index. And it never had to be voted on. It was automatic. Forever.

And how much has our mayor for life's pay gone up in the 15 years and one month since he signed this ordinance?

The mayor's salary has gone up 74%.

We kid you not. 74%.

How can this be so?

In 1996, the mayor received a 21% pay hike. He received smaller pay hikes in 14 of the next 15 years. He received a 4.1% pay hike in 2009, when he expected city workers to take furlough days and pay cuts.

The pay raises compound. Just as bank interest compounds.

When interest is added to the principal, the added interest also earns interest.

When the mayor gets a raise, for example 21% in 1996, the additional amount is included for the next year's percentage of increase.

It compounds.

The net effect is that in about 15 years, the mayor's salary has gone up 74%.

We bet you won't see that statistic in the mayor's campaign advertising.

It really is good to be the king.