The Salem City Council Monday night approved an $18.5-million balanced budget for the fiscal year beginning May first.
City Manager Rex Barbee is commending city staff for watching expenses as the budget was prepared.
“All of our staff members and department heads worked really hard about anticipating expenses. Look at the purchases they’ve made over the past 5 years, what’s wearing out and needs replaced. There will probably always be something that comes up as an unexpected expense, but Kelly has always been very judicious with the revenues she’s projecting.”
The proposed budget was changed Monday night to increase projected income tax revenue by $50,000 to cover the cost of several expense changes and keep the general fund $1,000 in the black. Those changes include $35,000 to go towards the cost of a new street sweeper, an additional $15,360 being transferred from the general fund to parks, and putting $12,000 back in the budget for Keep Salem Beautiful that was inadvertently left out.
The council approved a new package liquor license for Falguni Patel whose family wants to lease the former Family Video store on West Main for a new convenience store that will also include food products. She told the council she was uncertain if they would lease all or just part of the building. The council rejected giving Patel a Class A liquor license that would have allowed consumption on-premise and video gaming.
The council agreed to cut liquor license fees in half for the coming license year that begins July 1st as a helping hand to the license holders who were impacted by COVID-19 restrictions. A similar reduction was made for the current year.
The council approved the purchase of a used vehicle from Max Dye, Inc for the police detectives who will pass their current vehicle down to the Deputy Chief who in turn will give her vehicle to animal control. The 2019 Toyota Camry will cost $22,321. Barbee notes at one point they were also looking at a new used vehicle for Animal Control whose current vehicle is falling apart. Councilman Craig Morton voted no because no vehicle purchase was budgeted for the police department. Barbee responded by saying revenue had come in better than expected allowing the purchase.
The council approved the sale of two additional tracts at the site of the former Armory to James Hoffman who is currently building a home on two other lots. That leaves only the lot across Warmoth Street from the former Armory that contained a parking lot.
Photo: Acting Mayor Nic Farley who will be sworn in as Mayor for the next two years at the May 3rd city council meeting. Photo by Bruce Kropp.