WCCO radio host and Second Harvest Heartland board member Jason DeRusha is breaking his silence on the controversy surrounding Second Harvest Heartland’s outgoing CEO, Allison O’Toole—and he’s standing behind the high six-figure salary that’s drawn criticism from both the public and lawmakers.
“I fully stand by the pay that we as a board authorized for Allison O’Toole,” DeRusha said on his afternoon radio show Monday, his first public remarks since Alpha News’ story about O’Toole’s $721,000 in annual compensation.
O’Toole’s salary, confirmed through tax records, came under fire last month during a series of legislative hearings after lawmakers questioned why a nonprofit food shelf receiving public funds was paying its CEO so much.
DeRusha, who serves on the nonprofit’s board of directors, defended the decision.
“You want top talent, you want nonprofits to operate like the business world, you want to use analytics, you want to use data, you want to be sophisticated, you need to be an inspiring leader, you need to get people to donate money so you need to have relationships with donors, you need to lobby legislators, so you need to have political relationships as well—this is a complicated job,” he said.
DeRusha acknowledged the “gut level” reaction that people have to such a high figure and said he thinks it’s a “valid conversation” to have, but noted that the organization grew substantially under O’Toole, who presided “over a 50% increase in revenue” and helped lead the company through the pandemic.
DeRusha open to rethinking future CEO pay
Per the nonprofit’s announcement, compensation for O’Toole’s successor will be set by the board of directors, which includes DeRusha, who shared some thoughts on the matter.
“I’d say $500,000, once you’re more than 500, you sort of are like, and I don’t mean this is saying that Allison wasn’t worth that money, I think she was, I voted for it, I stand by it, but today I get a chance to think about this differently as we embark on a search for a new CEO and so what should that dollar amount be? I don’t know.”
O’Toole announced her resignation last month and will officially step down in June, according to a statement by the nonprofit.
Second Harvest’s chief operating officer, Sarah Moberg—who earns approximately $370,000 annually—has been named interim CEO.
Lawmakers say public funding should come with accountability
Meanwhile, vocal critics—like Rep. Pam Altendorf, R-Red Wing—continue to question whether an organization that warns of growing hunger and receives public support should be paying its CEO nearly fives times more than the governor’s salary.
“The public is waking up to the money funneling system happening within the Minnesota state government,” Altendorf said. “And I’m hearing loud and clear—taxpayers have had enough.”