Salem, OR. — The City of Salem has begun work on its Fiscal Year 2027 budget, a process city officials say is centered on maintaining essential services while addressing projected financial pressures in the years ahead.
The fiscal year runs from July 1, 2026, through June 30, 2027. City departments are currently developing budget proposals for review by the city manager, with an emphasis on controlling rising costs and reducing long-term structural deficits.
City officials describe community involvement as a cornerstone of Salem’s budgeting process. Residents will have multiple opportunities to review budget materials, attend meetings, and provide testimony before a final budget is adopted by the City Council in June.
The City’s financial condition directly affects service levels ranging from public safety and library operations to parks, recreation, and senior services. City staff say the FY 2027 process is focused on identifying new approaches and operational efficiencies to sustain these services while preparing for potential future shortfalls.
Public engagement opportunities include reviewing the proposed FY 2027 budget—expected to be published on the City of Salem website in early April—watching Budget Committee meetings on CCTV Channel 21 or via the City’s YouTube channel, and attending meetings in person at the Salem Public Library’s Loucks Auditorium. Residents may also sign up to testify, either in person or online, or apply to serve as a Budget Committee member.
Salem’s Budget Committee consists of nine City Councilors and nine appointed community members. The committee reviews the city manager’s proposed budget and recommends a final version for City Council consideration. The process began with a January 14 meeting that included an update on the City’s Five-Year Financial Forecast.
Beginning in April, the Budget Committee is scheduled to meet weekly on Wednesdays at 6 p.m., with meetings planned for April 15, April 22, April 29, May 6, and an alternate date of May 13.
Levy funding approved by voters in May 2025 continues to play a key role in supporting city services. The five-year local option levy, approved at a rate of $0.98 per $1,000 of assessed property value, is projected to generate approximately $76.4 million from fiscal years 2026 through 2030. City officials say the levy has helped restore library hours, maintain recreation and Center 50+ programs, and support operations across Salem’s park system.
City leaders are encouraging residents to stay engaged as the budget process advances and additional materials are released in the coming months, noting that public input helps shape both spending priorities and long-term financial planning.
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