The City of Salem has proposed increased funding for its school division in this year’s budget development process, along with tax reductions and employee pay raises.
On Monday, School Board Chair Andy Raines will present the proposed 2026 fiscal year budget for the Salem City Schools.
Salem’s schools are expected to see an increase of about $432,000 in funding from the city. The city’s funding will represent about 38.3% of the division’s total funding.
City Manager Chris Dorsey said the funding to the schools differs each year, and the city doesn’t use a set formula to determine the allocation to the division.
“It’s hard to use a percentage when it depends on the amount of students we have and the state funding varies year to year,” Dorsey said. “So we depend a lot on the superintendent and his great financial team to come to us with what their needs are and if we’re able to accommodate them … We had a very positive discussion, and we were able to meet [the superintendent’s] needs.”
State revenue going to Salem’s schools will increase by $4.5 million, while the division is set to lose around $400,000 in federal funding due to coronavirus pandemic grants ending.
According to the proposed budget, school employees and other city employees will see an average 4% salary raise, which equates to over $1.5 million in raises for the schools’ employees.
Dorsey said 2% of this increase is based on the total pay scale increasing, and the other 2% is a cost-of-living increase. He said those already at the top of the city’s pay scale may only receive the cost-of-living increase.
The proposal also includes $233,371 in funding for summer school program costs and an increase of about $254,000 for the Cafeteria Fund, due to salary and food cost increases. Budget documents say the city anticipates increasing student and adult lunches by no more than $0.10.
On Monday evening, the city will also hold four public hearings on various rezoning and special exemption permit requests.
Those interested in reading the full agenda and agenda packet can find the documents here. Monday’s meeting will be held at 6:30 p.m. in City Hall, at 114 North Broad Street in Salem.
