I'm not sure how normal it is to pay judges but that's how it's done by our club (although the club only sponser one judged competition a year, which is open to photographers from the community at large). The club pays to have a judge flown in and put up in hotel. I suppose there is a fee in addition to that, but I'm not sure.
Originally posted by mrNewt On a more serious note... it makes sense to bring someone from outside that can be "impartial" when judging the entries.
Yes, that's exactly right.
Generally speaking, photo club competitions, particularly when confined to club members, aren't probably a good idea, regardless of who the judge is. Competitions merely encourage rivalries between club members, which I doubt is a good thing.