Public safety remains the city’s top priority now that Salem’s finances are on a more stable footing compared to last year, Salem Mayor Julie Hoy said during her second State of the City address on Wednesday, March 11. 

She told an audience of hundreds at the Salem Convention Center that the city is working to deliver core services more sustainably as it clocks measurable progress on priorities including addressing cleanliness and safety concerns downtown and in northeast Salem. She vowed to keep things moving in the current direction. 

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“As I reflect on the past 14 months as your mayor, this is exactly what happened to Salem. We focused on the basics: responsible budgeting, public safety, delivering core services, and remembering who we work for. Together, we have made meaningful progress. We have turned the corner,” Hoy said. “The challenge now is whether we can stay the course. I am confident that we can. It will require discipline and sensible, thoughtful decision making as we move forward.”

Hoy is seeking a second term in the May 19 election, facing off against City Councilor Vanessa Nordyke. 

Hoy’s cautiously optimistic tone contrasts with last year’s State of the City address, when she endorsed a property tax increase to save critical city services, and said the city was using its scant resources as efficiently as it could amid severe financial hardships.

Hoy attributed the city’s current successes to a steadfast city leadership team under City Manager Krishna Namburi, who received a standing ovation from the audience as the mayor credited her work.

Hoy also credited a measured approach to city spending, and to voters’ acceptance of the property tax increase last May, which put the city on more stable financial footing.

“Once you begin getting your fiscal house in order, you create conditions to focus on the next core responsibility of city government: public safety,” Hoy said. “Public safety remains one of my top priorities because it remains one of the top priorities of the people we serve.” 

The current course consists of the Safe, Clean and Healthy Salem initiative, a pilot program launched in January designed to improve cleanliness and safety in downtown and Northeast Salem by expanding police and cleaning crews. The city also worked with Marion County to stand up a new mobile crisis response team through the fire department called the REACH team. 

“When we talk about public safety, we are talking about the full picture, cleanliness in our public spaces, the challenges of homelessness, mental health needs, and criminal activity of all kinds,” Hoy said. “These are complex issues, and they require thoughtful solutions.”

She said Salem can expect to see faster responses to public safety concerns and better care for people with mental health or substance abuse challenges.

The new programs should also lead to fewer repeat emergency calls, more cleaning of homeless camps and eventual cost savings by avoiding unnecessary emergency room trips, she said.

“Not every crisis is a crime. Not every situation is best served by sending a fire engine or a patrol unit. Sometimes what is needed is medical care. Sometimes it is behavioral health expertise,” Hoy said. 

Hoy lauded Namburi for taking a measured approach to city spending, most recently demonstrated when the city authorized a $200,000 pilot social services funding program to assist vulnerable community members, including people and families impacted by federal immigration enforcement. 

While Hoy voted against declaring a state of emergency in Salem over immigration enforcement in December, she did vote in favor of the one-time social services funding. 

She mentioned the fear and chaos caused by immigration enforcement in Salem during her address Wednesday. 

“Let me be clear about something: the city of Salem does not control federal immigration policy or enforcement. Those decisions are made at the national level,” Hoy said. “What we can do as a city is ensure that our community has access to clear information, trusted resources, and a sense of stability during uncertain times.”

She added that “every person who lives here deserves to feel that they are part of this community and that their city government cares about their well-being.” 

Hoy said the city’s progress translates into economic momentum and said last year new commercial and industrial building permits were valued at more than $78 million. She said the city processed over a thousand land use applications and permits for about 855 housing units. Hoy also said she is committed to improving the city’s relationship with the developer community by streamlining the process of permitting and construction. 

“We have accomplished a lot, but there is more to do. Salem needs to be seen as a partner. Because when someone is willing to invest in Salem, we should be ready to help them succeed,” Hoy said.  

During her speech, Hoy held firm to some of her core talking points on the importance of fiscal responsibility in government that helped her win election in 2024. She said managing public funds is the city government’s primary responsibility.  

“I want to be clear. I don’t believe more revenue is always the answer. We have to manage what we have,” Hoy said. “We have to resist the temptation to create ongoing obligations without ongoing funding.” 

While Hoy said she’s dedicated to responsible financial stewardship of public funds, she also said the city faces ongoing challenges due to rising costs for health insurance and pensions which are largely outside city control.

“It is easy in government to make short-term choices that feel good in the moment and create bigger problems later. We are working to do the opposite. We are trying to be realistic now so that Salem is stronger and sustainable,” Hoy said.

Contact reporter Joe Siess: [email protected]. 

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