How Salem is run
Who runs Salem, what it costs, and where your money goes
The city manager, council pay, the budget, your property tax bill and who provides each service, from Salem's own public documents. Every number links to its source and says which year it describes. Checked Oct 10, 2026.
Who runs Salem
A city manager hired by the council runs the city day to day. The council sets policy, adopts the budget and sets the tax rate.
What they are paid
Salem city staff
517 full-time-equivalent positions, including General fund departments 411, Water 39, Electric 28, Civic center 19, Sewer 15. FY2026-27 (adopted budget, positions). City of Salem · May 26, 2026
The budget publishes a pay scale (minimum, midpoint and maximum) for every grade and job title; we found no pay list by employee. We name pay only for elected officials and the city manager.
Is Salem in the red?
Cities must pass a balanced budget, so "profit" and "deficit" mean something different here. The useful questions: does the city's everyday money (the general fund) cover its everyday costs, how much does it keep in savings compared with its own target, and how big are its pension and debt bills.
Savings against the city's own target
Unassigned general fund balance: $60M (2025-06-30). The city's own target: Unassigned general fund balance must be at least 10% of the general fund, debt service fund and school division operating budgets, net of the general fund transfer to the schools. At June 30, 2025 it was 41.3%. The city meets this target. City of Salem · Nov 24, 2025
Why we skip the "budgeted deficit": many cities plan to dip into savings, then spend less than planned. The audited result tells you what really happened.
Where the money comes from and goes
The general fund only: the city's everyday money for FY2026-27.
Comes from
- Real estate taxes$42.2M · 35%
- State aid for specific programs$13.6M · 11%
- Personal property taxes$12.3M · 10%
- Local sales tax$10M · 8%
- Business license tax$8.4M · 7%
- Meals tax$6.8M · 6%
- Interest and rents (use of money and property)$5.4M · 5%
- Other (other taxes, state aid, fees, payments in lieu of taxes)$20.4M · 17%
Goes to (FY2026-27)
- Education (schools)$27.5M · 23%
- Public safety$25.5M · 21%
- Public works$16.2M · 14%
- General government$16.1M · 13%
- Parks, recreation and culture$9.2M · 8%
- Health and welfare$8.3M · 7%
- Other (courts, community development, transfers, debt service, contingency)$16.3M · 14%
Your property tax bill: who gets it
Salem is an independent city, so there is no county property tax. The city funds its share of the schools from the general fund. The rate fell two cents for FY2027, after a two-cent cut the year before.
100¢
of each property-tax dollar goes to the city of Salem
- City of Salem (including schools)1.16 · 100%
- Total ($ per $100 of assessed value)1.16
FY2026-27 real estate tax rate for a home in the City of Salem. Salem City Council · May 11, 2026
See what a Salem home costs each year, line by line →Who provides your services
Not everything in Salem is run by the city. Who provides a service decides whose budget pays for it and whose election decides it.
- PoliceThe citySalem Police DepartmentCity of Salem
- Fire and EMSThe citySalem Fire-EMSCity of Salem
- ElectricityThe cityCity Electric DepartmentAbout 13,300 customers.City of Salem
- WaterThe cityCity Water and Sewer DepartmentCity of Salem
- SewerThe cityCity (collection); Western Virginia Water Authority (treatment)Wastewater goes to the regional plant the authority operates.City of Salem
- TrashThe cityCity Sanitation Division; Roanoke Valley Resource Authority (landfill)City of Salem
- SchoolsSeparate districtSalem City SchoolsThe council appoints the School Board.City of Salem · Nov 24, 2025
- LibraryThe citySalem Public LibraryCity of Salem · May 26, 2026
- Parks and recreationThe cityCity Parks and Recreation DepartmentCity of Salem
- StreetsThe cityCity Street DivisionCity of Salem
- Social services and jailThe countyRoanoke CountyUnder an agreement dating from 1973.City of Salem · Nov 24, 2025
- Civic centerThe citySalem Civic Center (city-owned)City of Salem · Nov 24, 2025
Compared with similar cities
The cities in this state closest in population that we cover. Read it for scale, not as a ranking: cities provide different services.
| Per city | WaynesboroVA | HerndonVA | SalemVA | FairfaxVA |
|---|---|---|---|---|
| Residents | 23,951 | 25,506 | 25,816 | 26,772 |
| Top administrator's base pay | Not confirmed | Not confirmed | $195,000 | Not confirmed |
| Council member pay | Not confirmed | Not confirmed | $12,000 | Not confirmed |
| General fund per resident | $3,231 | $1,919 | $4,616 | $7,766 |
| Debt per resident | $1,923 | $616 | $2,928 | $5,484 |
| Unfunded pension per resident | $525 | $15 | $1,573 | $3,062 |
| City staff per 1,000 residents | 14.9 | 11.1 | 20.0 | 17.3 |
Figures as shown in each city's section, divided by its population. Years differ by state, and pension figures are measured differently in each state (each city page says how). Herndon pays another agency for police or fire, so its own staff count is lower.
What Salem publishes
What a resident can find online today. A "no" is something you can ask the council to publish.
- No: City manager's contract findable onlineThe City Manager page gives his start date and background but no contract or salary. City of Salem
- Yes: Council votes recorded member by member onlineCouncil minutes on the city's agenda portal list each member's aye or nay vote. Salem City Council · May 26, 2026
- Yes: Meeting videos and minutes onlineAgendas and minutes are on the city's agenda portal, and meetings stream on the city's YouTube channel. City of Salem
- Yes: Council pay stated in a public documentCouncil minutes state the mayor's and council salaries and the raise that takes effect July 1, 2027. Salem City Council · Nov 25, 2024
Questions to ask your council
- Unassigned general fund balance was $60.0 million at June 30, 2025, or 41.3% against a 10% minimum. What does the council plan to do with the amount above the minimum?
- The real estate tax rate fell from $1.20 to $1.16 per $100 over two years. What reserve level or revenue growth does the council need to keep that rate?
- Council pay rises from $12,000 to $22,000 and mayor pay from $13,000 to $24,000 on July 1, 2027. How was the new level chosen?
The fiscal year starts July 1. The city manager presented the FY2027 proposed budget on April 13, 2026. The council held the budget public hearing and set tax rates on May 11, 2026, and adopted the budget on May 26, 2026. See who is running for council
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