This rise in salaries has generated controversy because non-profits are essentially subsidized by taxpayers. They are exempt from property, sales

http://compensationresources.com/press-room/non-profit-agencies-following-corporations--lead-in-paying-executives.php

In reaction to the rise in non-profit salaries, a 1996 law gave the Internal Revenue Service the power to fine or revoke the tax exemption of non-profits whose executives get excessive compensation. But the law gives groups a "safe harbor" if they have a written opinion from an outside expert justifying the pay. The IRS has also advised that salaries at comparably sized profit-making companies can be used as a guideline