City budget committee to reconvene, restore city services with levy funds
On Monday, the city of Salem was primed to make deep cuts to its library, parks and senior center. It’s a different story after Tuesday, when voters approved a new property tax to support the city services.
The city’s budget committee will reconvene on Wednesday, May 28, to discuss changing the budget to account for the influx of money from the new five-year levy.
The tax will charge the average Salem home about $220 per year, at a rate of 98 cents per $1,000 of assessed property value. The levy is projected to bring in $14 million in the first year and a total of $76 million over its five-year term, and will return to voters for renewal before it expires.
The money can only be used for services and staffing the Salem Public Library, operating and outreach at Center 50+ and for recreation programs, management and maintenance at city parks. The tax will be put in a separate, dedicated fund overseen by a committee.
Wednesday’s budget committee discussion will likely have a different tone than the other meetings this year, which led to a proposed budget that cut half of the library’s hours, dozens of staff and turned off sprinklers and splash pads in city parks.
Next week’s meeting will discuss how to restore those services with the new revenue, the city said in a statement Friday. City officials said prior to the vote that the money would allow the city to add hours back to the library that were cut in early 2024.
The budget committee consists of all eight city council members and nine community members. The Salem City Council will meet to discuss next year’s budget on June 9, the city said. City leadership will continue looking for other sources of revenue to support city services because property taxes, including those collected by the levy, increase more slowly than the city’s wages and other costs.
To participate
The city’s budget committee meets on Wednesday, May 28, at 6 p.m.
It is available to watch in-person or on YouTube in English and with Spanish translation.
To testify, sign up here between 8 a.m. and 2 p.m. on May 28.
Read the agenda here.
As of Thursday, the levy had received 59.4% of the vote, with 15,276 people saying yes out of 25,711 votes, according to state data.
The levy is the first major success the city has had in years to bring in new revenue amid a multi-million dollar budget deficit. Its last major effort, the 2023 payroll tax, was rejected by 82% of voters.
The levy’s passage came after the tax received broad support from area business leaders, the city council and bipartisan groups, and with community members sharing their support with lawn signs and rallies.
“I’m grateful to the Budget Committee for their thoughtful leadership, and to our community and staff for their support through this challenging time. In July, with the new fiscal year before us, we can continue to work together to discover possible new revenue solutions, refining and improving quality and efficiency of our service delivery, and advancing our cost savings strategies,” said Interim City Manager Krishna Namburi in a city statement.
Contact reporter Abbey McDonald: [email protected] or 503-575-1251.
A MOMENT MORE, PLEASE– If you found this story useful, consider subscribing to Salem Reporter if you don’t already. Work such as this, done by local professionals, depends on community support from subscribers. Please take a moment and sign up now – easy and secure: SUBSCRIBE.
Abbey McDonald joined the Salem Reporter in 2022. She previously worked as the business reporter at The Astorian, where she covered labor issues, health care and social services. A University of Oregon grad, she has also reported for the Malheur Enterprise, The News-Review and Willamette Week.
