Band council members’ tax free salaries take the cake

Jason Luciw - Kelowna Capital News Published: September 01, 2009 6:00 PM

When it comes to compensation, no local government politicians earn more than Westbank First Nation’s chief and council.A look at the band’s Council Remuneration and Expense Law shows that the four WFN councillors—Loretta Swite, Mike DeGuevara, Larry Derrickson and Brian Eli—each make $60,000 per year.Since their incomes are earned on reserve land, the amounts are also income tax free.Chief Robert Louie brings in $100,000 annually, also tax free.

By comparison, West Kelowna Mayor Doug Findlater earns just shy of $55,000 and his councillors earn $19,800 annually.One-third is considered a tax free allowance, to compensate for costs associated with conducting council business.West Kelowna council governs a municipality of 28,000 compared to approximately 8,500 living on the WFN’s five reserves in Kelowna and on the Westside.In Kelowna, where council governs a city of approximately 110,000, Mayor Sharon Shepherd is paid $85,800 per year, while her councillors earn $29,200. Again one-third is tax free.

However, WFN council salaries are not population based, nor can they fairly be compared with compensation given other local government politicians, Louie said.“They do only a percentage of what we do,” the chief explained.For example, the Westbank chief and council sit as directors on the boards of more than a dozen band companies, in addition to their other government duties, Louie explained.“That does not happen on municipal councils. The band council also deals with real estate and corporate ventures, forestry and it just goes and goes on.”

Additionally, the WFN band council has jurisdiction over some provincial and federal matters, which a municipal council would not have responsibility for, Louie added.“We’re not paid like the premier or the prime minister or their ministers, but we have (some) equivalent jurisdictional functions on our land.”Louie also noted that band members are responsible for voting on remuneration levels for chief and council.“The people go and vote on my and council’s salary and whether we get a raise or not,” Louie explained.“Do you get a vote on whether the prime minster or premier gets a raise?”Louie also noted that he has voluntarily returned more than $100,000 of his wages during the past seven years he has served as WFN chief.