I appreciate the question. I also completely agree with Dragos that your mindset/belief that you can't get great talent is the first thing for you to shift your thinking around.
If I were in your shoes, I would first define for a given role, what does A talent look like in that role? what are the qualities, character traits, values and experience/expertise for that role?
Then post that position with your requirements/desires wherever you can both in formal and informal networks. Great start is LI jobs section and Glassdoor.com.
I specialize in employee motivation and I can tell you that salary/compensation is what is considered a "hygiene" factor. If not present, it can be a demotivator. Compensation by itself will rarely be the primary motivator. For a small minority it may be but that is rare.
There are other ways of being "competitive" around compensation other than base salary. You may need to think outside the box for this -- bonuses, benefits, rewards, etc.
A *fair* compensation (not necessarily competitive) is in the eyes of the beholder. Let candidates decide if what you offer is fair for the opportunity. Also I would be selling all the other extrinsic and intrinsic intangible benefits your organization offers.