Isn't that comparing apples to oranges?  Anchorage has a somewhat reliable revenue system in property taxes.  Additionally, wasn't the increase in pay a move to correct a deficiency in pay to responsibility which was having a negative impact on police administration specifically where one internal position for a police lieutenant went unfulfilled because of the deficiency?

http://www.adn.com/alaska-news/2016/05/24/anchorage-assembly-raises-pay-for-police-fire-commanders/

Also a correction is in order.  The number you toss about was for fire chiefs and police captains.  Battalion chiefs and police lieutenants got a lower increase of 10-30k.  Finally chief and deputy chief positions in either department get nothing.