Jim Thorpe Borough Council members were split Thursday night over potential increases to council member and mayoral compensation following the passage of Act 131, which raised the maximum allowable compensation for borough officials across Pennsylvania for the first time since 1995.

Act 131, which originated as House Bill 2265 sponsored by Rep. Kyle Donahue (D-Lackawanna), was signed into law by Gov. Josh Shapiro after passing the Pennsylvania Senate with a bipartisan vote of 49-1 on Oct. 22, 2024.

The new law increases the maximum allowable compensation for borough council members in municipalities with fewer than 5,000 residents, which Jim Thorpe falls under, from $1,875 to $3,145 per year. For boroughs with a population of less than 5,000, the maximum pay increase for a mayor goes from $2,500 to $4,190 annually.

The council’s current compensation sits at $1,380 annually for council members and $1,980 for the mayor, well below even the previous caps.

Council President Greg Strubinger expressed opposition to increasing the stipends, suggesting that historical context should be considered.

“This stipend was put in partly because we were without a borough manager during most of the prior 70-year period,” Strubinger said, explaining that council members previously had more administrative responsibilities. “They were taking phone calls, talking to vendors, etc. We moved to having a borough manager be the chief administrator of the borough, I think that sort of changes things a bit. I don’t want to take the council stipend away, but I’m not sure it should be increased.”

Strubinger added that when he ran for council, he “didn’t know there was a stipend,” and doesn’t believe anyone serves for financial reasons.

“I think we should keep it as is,” he said. “It gives the members a little something to compensate them for fuel and other things.”

Councilman Ted LaRizzio argued for at least matching the current threshold.

“You don’t want to fall too far behind what they’re (the state) allowing you to go to,” he said. “I think for the work you put in, you certainly deserve it to get a couple bucks for everything that gets done by everybody there.”

Several potential new compensation figures were mentioned during the discussion, including increases to $2,650 or $2,500 from the current $1,380. These would represent increases of 92% and 81% respectively.

Councilman Mike Yeastedt said that at $2,500, the compensation would be approximately $645 under the new maximum cap, positioning them proportionally similar to their current standing about $500 below the existing cap.

“It has not been raised since 1995,” Yeastedt said of the compensation number. “I think it should be raised somewhat. I’m not saying much, but I think it should be raised somewhat.”

Any change would not affect current council members during their existing terms. As specified by Act 131 and in accordance with the Pennsylvania Constitution, changes to borough officials’ compensation cannot take effect until the beginning of the official’s next term of office.

Council would first need to vote to authorize drafting an ordinance before any actual changes could be enacted.

A vote on the matter is expected at Thursday’s regular council meeting.