The Press of Atlantic City had a great editorial this morning. They are advocating that non-profits that receive the bulk of their money from the state should have salary caps for CEOs.
Should the CEOs of private, nonprofit social-service agencies have to submit to salary caps if they receive most of their funding from the state?
Sounds reasonable to us. The idea is being floated by the state Department of Human Services, which relies on community social-service agencies to serve the needy, the mentally ill and those with developmental and physical disabilities. These groups often receive most of their funding from the state.
Under the DHS proposal, CEOs’ salary limits would be on a sliding scale tied to the size of their organizations’ budgets – with those overseeing the biggest budgets being able to earn as much as $141,000, and those overseeing the smallest budgets permitted a maximum of $105,750. Organizations that exceed the CEO salary limits could lose state funding.
It sounds reasonable to me. They should also not be allowed to receive perks such as free cars, clothing allowances, and such. I would like to se Lou Magazzu take this one step further and insist on salary caps for CEOs of non-profits that receive county funding. As hundreds of workers are fired on the county, municipal and township level this year, it is a slap int he face to earmark hundreds of thousands of dollars to some non-profits whose CEO’s earn well over the $141,000 cap recommended by the Department of Human Services.
Would Lou agree with this? Would he be behind a county statute forcing irresponsible non-profits to reign in reckless spending such as this? Or will he remain silent and stand behind his friends and cronies raking in big bucks, financed by the taxpayers – the same taxpayers losing their jobs, their homes, and cutting back on necessities in this time of fiscal crisis?