Mid Valley Association of REALTORS® is joining the effort to gather signatures for the referendum petition to put the tax on the ballot for Salem residents’ yes or no vote.  We need MVAR members to:

• Sign the petition if you live within Salem.
• Gather signatures in your office and from your network.
• Volunteer to door knock to gather signatures from Salem voters (more information will be sent soon).
• Share this information with your network.

Petition signature sheets and instructions are available at www.letsalemvote.com. An FAQ is available for download on the website (under “More Info”) which is helpful in talking with prospective signers.

BACKGROUND:

On July 10, the Salem City Council held a public hearing on the Safe Salem employee-paid payroll tax.  The .814% payroll tax would apply to all wages earned within the Salem city limits, even if the person resides or the business is located outside Salem.  For those who are self-employed, the tax will be assessed on net earnings.  Only minimum wage earners are exempt from the tax.  The proposed ordinance was not clear on specifically how the tax would be implemented. 

The tax is restricted to funding existing and new “community safety services” (as well as administration of the tax).  “Community safety services are identified as:  police, fire, emergency medical services, 9-1-1 call services, code enforcement, and unsheltered services.  The tax could be effective as early as July 1, 2024.

Over 100 people submitted written comments and approximately 50 people testified during the public hearing including Ashleigh Fordham (MVAR Past President), Ron Liedke (MVAR Vice President), and Selina Barnes (MVAR Government Affairs Director).  The comments and testimony were overwhelmingly in opposition to the tax and/or that the tax should be sent to the voters to decide.  Thank you to all REALTORS® who submitted comments or testified.

Following the public hearing, the City Council adopted the payroll tax Ordinance Bill No. 12-23 by a 5-4 vote.  A motion to refer the tax to voters failed along the same 5-4 vote.  Mayor Chris Hoy, Council President Virginia Stapleton (Ward 1), Linda Nishioka (Ward 2), Trevor Phillips (Ward 3), and Micki Varney (Ward 8) voted to implement the tax without voter approval.  Those who voted against the tax were:  Deanna Gwyn (Ward 4), Jose Gonzalez (Ward 5), Julie Hoy (Ward 6), and Vanessa Nordyke (Ward 7).  The ordinance has a sunset provision where it must be referred to the voters by July 1, 2031, to approve continuing the tax.