Judge Rejects N.Y. Cap on Charity Executives’ Compensation
April 11, 2014 | Read Time: 1 minute
A New York State judge ruled against a bid by Gov. Andrew Cuomo’s administration to restrict wages to top executives at nonprofits that receive significant taxpayer funding, the New York Daily News and the Associated Press report.
A spokeswoman for New York’s attorney general said the state will appeal State Supreme Court Justice Thomas Feinman’s decision that the Health Department overstepped its authority in imposing pay caps for top officials at state-supported nonprofits. The regulation adopted in May 2012 limited executive salaries to $199,000 unless the charity secured a waiver from the state to pay more.
Agencies for Children’s Therapy, an association of 33 groups in New York City and on Long Island that provide early intervention and special education programs, filed suit against the restriction.