Councillor wants to scrap transition pay for departing Calgary politicians

If he has his way, Coun. Jeromy Farkas wants the next elected official who leaves office at Calgary's city hall to get no more money as they shiftinto a life after politics.

He plans to put forward a motion at anupcoming city council meeting, calling for council to lead by example and do away with the transition payments.

Farkas said the perk goes above and beyond the current pay and benefits package that council members get.

"My preferred position and the one that I've taken by declining the transition allowance myself is to say that these golden handshakes at city hall, whether they're for staff or elected officials, they need to be ended immediately," said Farkas.

For a transition payment, the city provides politicians two weeks pay for every year that a council member serves in office.

Payments are capped to a maximum of one year's pay once the politician reaches 26 years of service.

The idea of the payment is to help the former politicians stay afloat financially once they leave office, particularly if they are not yet eligible to collect a pension.

Politicians cannot collect employment insurance when they leave office. They're also not allowed to search for a new job before they hand in their key card.

Some backing for idea

Several councillors, including Sean Chu, Joe Magliocca and Jyoti Gondek, say they'll backthe motion from Farkas.

Gondek said she'd support the motion particularly if city council votes to scrap retirement allowances for city workers.

The city currently pays long-time employees an amount equivalent to their vacation entitlement when they retire.

"We should be practicing what we preach," said Gondek.

But how does she feel about the council transition payment?

"I won't be taking it," said Gondek. "I made a decision to leave the private sector and take a chance on running."

She said one way of levelling the playing field is to change employment insurance rules so that politicians pay EI premiums like other workers.

"Maybe we should be going to the federal government and telling them that being an elected official is as much employment as any other position so maybe the EI rules need to change."

More change required

Coun. Jeff Davison said he'd have no problems with removing the transition payment for future councils.

If he chooses to not run again in 2021 or is defeated the polls, Davison or any one-term councillor would be in line for a $17,000 transition payment.

However, he said ending the payments might lead to other changes.

"I do believe we have to look at how we overall look at the total compensation package for council which is through an independent oversight committee," said Davison.

In 2017, a citizen committee recommended the city scrap the transition payments but that was rejected by the last city council.

Broader range of candidates

Coun. Evan Woolley said having a transition payment makes it possible for a broader cross-section of society to consider running for office.

He said council members cannot really search for a new job while they are part of council so if they voluntarily leave office or are defeatedthey likely won't be working for a period of time.

"Never mind for myself. How would we expect anybody who has a family to be able to transition out of political life?"

He rejects the notion that this is a lucrative option for ex-politicians.

"This is not a golden handshake. This is just legitimately a transition allowance. I appreciate though that there are different ways [to help ease the transition]."

The motion from Farkas will be discussed at city council's meeting on Dec. 16.

The current citizen council compensation review committee recently held its first meeting and is expected to file a report to council by the end of 2020.