The manager of the Indian Hills General Improvement District received a $12,000 raise Wednesday, but will forego any raise when his annual review comes up in November.
District Manager Jim Taylor has served the district for seven months.
When he was hired for $72,000 a year, he said negotiations included a $5,000 pay increase after six months.
He pointed out that the district is not paying for his health insurance benefits, which he said saves the district nearly $12,000 a year.
Board member Denise Pierini said she felt $1,000 a month was substantial.
"Mr. Taylor, I've developed a high respect for you, but what would you do in my shoes?" she asked. "The residents are going to think we're going crazy."
But newly appointed board member Ronny Lynch said he felt Taylor was worth the money.
"I can understand where you're coming from," he told Pierini. "You and I are foot soldiers. We don't have to make the hard decisions. Our history with managers hasn't been very good. If I were Jim I'd be questioning why I was doing it."
Board member Brian Patrick agreed with Lynch, but proposed offering Taylor a 10 percent raise.
Chairwoman Dianne Humble praised Taylor's work.
"I think he has done a tremendous job," she said.
Former board member Kathryn Clark-Ross read an e-mail she'd received from a neighbor questioning the pay increase.
She said the e-mail reflected the sentiments of her neighbors.
"This is the feeling I'm getting and I felt the need to give them a voice," she said.
Former board member Art Baer, who served a district manager before Taylor was hired, supported the increase.
"I only sat in that chair for three months and you wouldn't believe the headaches that walked in the door every day," he said. "I think Jim made a mistake when he was hired in that he didn't ask for enough money."
The board approved Taylor's pay increase 4-1, with Pierini voting no.
Under the agreement, Taylor said he would not seek a pay raise until his second anniversary in November 2010.