The City of Salem Finance Committee met Wednesday night (June 23) to discuss the budget for the swiftly approaching FY 2022-23. East Ward Alderwoman Kala Sisco, who chairs the committee, called the meeting to order at 6 p.m. at the Salem Community Center @ the Armory.
According to alderman Shawn Bolerjack, board president, the city needs to better protect the general fund by becoming less reliant upon cash transfers from the utilities department to fund much of the city’s operation.
One way to do that is to figure out ways to drum up more revenue, the other is by cutting expenses from the budget.
There was brief discussion of a possible use tax, which would place the same sales tax requirements to online purchases that are currently on brick and mortar stores; implementation of that use tax would need to pass by a vote of the public. Bolerjack pointed out that if the city wanted to move forward with a use tax it likely could not be on ballots until November and, if passed, possibly would not be implemented until March 2023. A use tax may be a future way to get more revenue for the city; however, it cannot be counted on while budgeting for FY 2022-23, said Bolerjack.
The committee also spent time studying a budget draft for the upcoming year and discussing what ways the city might be able to decrease expenses.
The meeting adjourned at 7:28 p.m. after the committee set a time to meet on Friday at noon at the Salem Community Center @ the Armory.
Mayor Greg Parker urged the committee to make a decision regarding the budget by the next Board of Aldermen meeting June 28 at 6 p.m. According to statute, budget for FY 2022-23 will need to be passed by June 30.
Committee members present at the meeting were Richard LaBrash, Bob Jenkins, Sherry Lea and Deanna Nash. Three members were absent, but a quorum was still able to be established; Breanna Taylor, Amanda Duncan and Mark Manjarrez were absent.
Also present were all four aldermen: Sisco, Bolerjack, Tod Kinerk and Kyle Williams. Greg Parker, mayor, was also present.
City Officials present at the meeting included: Ray Walden, city administrator; Stacey Houston, finance director; Tammy Koller, city clerk; Mark Nash, director of public works; Sally Burbridge, economic development director; and Joe Chase, police chief.