Agenda Salem: City council to consider first adoption of FY26 budget after a public hearing

On Monday, the Salem City Council will consider a first adoption of the FY26 budget, including considerations of tax rate changes and the school division appropriation. 

The council will hold public hearings on the real estate tax rate and the overall budget for the upcoming year. 

This includes a 2-cent decrease in the real estate tax rate, bringing it to $1.18 per $100; a personal property tax rate of $3.40 per $100; and a machinery and tools rate of $3.20 per $100.

Funding for the school division is proposed to increase by over $400,000 in the upcoming year, and an approximately 4% pay increase is proposed for all employees who are eligible on the pay scale. 

The council will also hold public hearings on multiple rezoning requests, including one that, if approved, would allow for a new single-family home community.

ABoone Real Estate is requesting to rezone about 19 acres of land on 1906 Mill Lane and 1400 Penley Blvd., or the Dorsey Farm, from residential single-family/agricultural division to residential single-family division. The land is currently not in use. 

The property owners, Jeffrey Dorsey, Douglas Dorsey and Charles Dorsey, voluntarily submitted three proffers for this request, according to city documents. These include: 

1. The development shall not exceed 70 single-family residential homes.
2. Lots that have driveway access directly to Mill Lane shall include a driveway turnaround so residents are not forced to back onto Mill Lane.
3. Minimum lot frontage shall be 51 feet. Lots that front on the arc of the cul-de-sac shall be allowed to reduce frontage to a minimum of 40 feet, provided that the lot width at the front building setback is not less than 51 feet. 

According to the rezoning application, the city’s Future Land Use Map identifies this area as residential. New housing will start in the mid- to upper-$400,000 range.

The application narrative cites a need for new housing in Salem, as the housing stock ages.

The 6:30 p.m. meeting will be held in City Hall, at 114 N. Broad St. in Salem. Those interested in reading the full agenda for Monday’s meeting can find it here.