Our newsroom was pleased to hear that Town of Cochrane Chief Administrative Officer (CAO) Mike Derricott has stepped away from any involvement in his wife's consulting business, after a period of recent flak when a social media post revealed his association with the company.
Derricott estimated he's spent roughly 100 hours assisting his wife in spearheading and running Isokarhu Strategies since their family relocated to Cochrane in early 2021. If that's an accurate estimate, it amounts to less than one hour per week.
But as Derricott's contract with the Town of Cochrane stipulated, he is supposed to "devote his full time and attention to the discharge of his duties as an employee for the municipality." While he was granted permission from council (informally) to assist his wife's business, his work for Isokarhu Strategies appears to have contravened this stipulation – even if he and some members of council argue otherwise.
If you read through the Alberta CAO Handbook, the role of a chief administrative officer is a crucial one. Derricott is "responsible for the administration, operation, financial management, and human resource management" for the Town of Cochrane. If you were to consider a municipal government as a business, the CAO would be akin to the CEO or COO. It's any Town's or City's highest-ranking staff position.
Being a CAO is a stressful, time-consuming job that brings with it a lot of leadership and responsibilities. CAOs are typically highly paid, (Derricott's remuneration, posted on the Town's website, is around $287,000 a year, pending bonuses). A high salary makes sense because it's a big-picture position that requires a lot of commitment and a lot of legal and political expertise. CAOs need to be well-versed in both provincial legislation as well as municipal bylaws, policy development, finance, and strategic planning.
Needless to say, being a CAO is not a 40-hour-a-week job, and there's an expectation that CAOs, whose salaries are paid for through tax dollars, will devote their complete energy toward the position.
Therefore, it was right of Derricott to step down from his role with Isokarhu Strategies – regardless of how limited that role was.
