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Autopilot raises undermine accountability in Dewey

February 13, 2026

Dewey Beach is scheduled to vote this Friday on a police chief employment contract that includes automatic 5% annual raises for a lifetime of employment, regardless of performance. Automatic raises of this magnitude are not consistent with sound public-sector governance or standard practice in most organizations. 

Under the proposed contract, the raise is guaranteed each year without being tied to an annual performance evaluation or measurable outcomes. Over 10 years, a 5% automatic increase compounds to roughly a 63% salary increase. Once senior leadership compensation is placed on autopilot, it becomes difficult to credibly deny similar treatment to other employees, regardless of performance or fiscal conditions.

Two examples in the town illustrate the magnitude of recent salary growth. The town clerk position increased from $49,000 in 2022 for a certified clerk to approximately $72,000 today – a 46% increase – despite the current clerk not holding certification. By comparison, a nearby town recently advertised a certified town clerk position at approximately $54,000. The accounting/HR role rose from about $43,000 in 2022 to about $75,000 today – a 72% increase – even after payroll administration, a major component of the role, was outsourced following years of payroll errors that cost the town tens of thousands of dollars. Despite a reduction in responsibility, compensation continues to rise.

A separate but equally serious issue facing the town is the cost of employee health insurance. Very few organizations provide full insurance coverage for both employees and their families. Historically, the town followed a more balanced approach, covering about 90% for employees and 80% for family members. That structure was recently changed to 100% coverage for individuals and families. The financial impact is substantial. In 2022, total administrative employee benefit costs were approximately $39,000. Under the current budget, those costs are projected to reach $169,000 – more than a fourfold increase in just a few years. This growth far exceeds inflation and reasonable benefit changes.

These examples are not about individuals; they point to a broader structural issue: Compensation and benefits have grown rapidly without clear ties to performance, credentials or fiscal conditions.

Two straightforward reforms would help restore fiscal sanity: Require any police chief raise be determined annually by council based on performance and economic conditions, and require new non-contract town employees to contribute at least 10% toward individual health insurance and 20% toward family coverage.

This is about restoring sustainability and public trust.

David Moskowitz, CFA, CPA, SPHR
Former commissioner
Dewey Beach
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