Salem Mayor Nic Farley outlined successes in economic development, infrastructure improvements, and in the police department during his state of the city message on Thursday before the Greater Salem Chamber of Commerce.
Farley said economic development came in several areas.
“Over the past year, our approach to economic development has been very deliberate and practical,” Farley said. “We focused on activating vacant spaces, supporting local entrepreneurs, and strengthened the foundations that will allow not short-term growth, but long-term growth. These efforts reflect the strategic decisions we set as a city and the values we continue to apply to every major decision we make. We use our strategic plan, and the community helped us craft that, so thank you.”
Farley says the downtown tax increment financing program has turned underutilized buildings into active businesses and community assets. He says the city has also invested in the appearance of downtown through facade improvements, masonry work, roofing, paint and awnings.
Farley reports industrial development has also remained a priority. Through targeted Industrial TIF agreements, they have supported the construction of the new local start up 618 plastics plant, expansion of Robb Trucking, and with Agracel on a TIF assignment that allowed the sale and long term stabilization of an industrial building.
Farley says the new TIF District is already producing results, including the Hilda Gardens apartment complete were 20 housing units are filled and eight more are under construction. There has also been expansion at Ace Auto Sales and the opening of a new real estate office.
The city approved ten building materials exemption certificates in 2025, reducing upfront costs for development and encouraging reinvestment.
The city issued 80 building permits with an estimated value of more than $25-million dollars in 2025. Permits included a major expansion at Radiac, allowing new production lines and additional employees. Construction of a new dermatology clinic and expansion and renovation of Salem Township Hospital were also issued.
Farley reported the public works department completed more than $1-million in improvements to the utility system last year while handling cleanup from a major flood in April. Another $3-million in improvements are budgeted for this year. Salem was also recognized as a Gig Certified and Smart Rural Community, a designation that reflects the strength of the city’s fiber optic internet infrastructure. The city has also worked to update various sections of the city code to ensure it remains clear, current and functional. Farley says they are also pursuing grants and low interest financing to modernize infrastructure while protecting ratepayers.
Farley also noted the transition in the police department with a new chief and deputy chief and work to get to full staffing. Online accident reporting replaced paper reports and a new field training program was implemented. The department partnered with Tasc, Treatment Alternatives for Safe Communities, to address homelessness and related challenges that affect communities across Illinois. In 2026 the focus will be on continuing to develop the newer officers, getting them more engaged in the community and expanding proactive efforts.
Farley also shared some other goals for 2026.
“Support local businesses, expand housing opportunities, maintain and update our infrastructure, use incentives responsibly, and continue to make Salem a place we all want to live and work and invest.”
Farley says all of the progress is tied back to a simple idea: “Salem plans. Salem invests. Salem follows through.”

