Whitefish council approves compensation and benefits for mayor and council, reduces annual stipend after amendment

The Whitefish City Council approved a compensation and benefits package for the mayor and council effective July 1, 2025, adopting a salary tied to the city’s employee-only health insurance premium (grossed up to cover payroll taxes) and an amended annual stipend of $3,000 for the mayor and $1,500 for council members.

Dana, city finance/human resources staff, summarized the package and the background work sessions the council had held. She described the salary element as “an annual salary that would equal the employee only low deductible health insurance plan premium. It would be grossed up to cover Social Security Medicare taxes.” The proposal also included a stipend intended to cover business-related costs; councilors later reduced the stipend by a friendly amendment.

Councilor Rebecca moved to adopt the compensation plan. A friendly amendment from Councilor Giuseppe Caltabiano was offered during debate to cut the stipend in half; the amendment was seconded and passed on a 4–1 roll call (Councilor Norton opposed). Councilor Caltabiano then asked to be recused from the final vote on the resolution, citing a personal conflict; the record shows the motion as amended subsequently carried with Caltabiano recused.

Dana noted the budget packet presented that evening did not include the compensation line item; the city will assume the cost in budget adoption going forward and staff provided information about enrollment deadlines and payroll onboarding for councilors who choose health insurance. She also provided an estimate of the program’s cost under the city's assumptions, explaining that the exact tax and levy impacts were subject to changes in state law and taxable valuations.

Why it matters: The change moves Whitefish away from all-volunteer elected offices toward paid service, which council proponents said may make holding office more accessible to people who cannot afford unpaid service. The plan ties the salary element to an existing employee benefit to allow automatic annual adjustments.

What’s next: Councilors who want to enroll in the city health plan must complete HR onboarding during the open enrollment window; staff said newly elected officials have a 30-day waiting period after taking the oath before coverage becomes effective. The council implementation includes payroll setup, stipend payment schedules, and annual adjustment to match health plan premium changes.