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Home My WebLink About3/23/2026 - City Council - Agenda -RegularAgenda Monday, March 23, 2026, 6:30 PM Work Session, 5:45 PM Council Chambers Conference Room, City Hall, 114 North Broad Street, Salem, Virginia 24153 Regular Session, 6:30 PM, City Hall, 114 North Broad Street, Salem, Virginia 24153 WORK SESSION 1.Call to Order 2.New Business A.Discussion Items Review of potential City membership in American Municipal Power, Inc. (AMP) and resulting electric supply portfolio project opportunities from Garrett Cole, Vice-President of GDS Associates and Alice Wolfe, General Manager of Blue Ridge Power Agency. 3.Adjournment REGULAR SESSION 1.Call to Order 2.Pledge of Allegiance 3.Awards & Recognitions 4.Consent Agenda A.Citizen Comments Comments from the public, limited to five minutes, on matters not already having a public hearing at the same meeting. B.Minutes Consider acceptance of the March 9, 2026, Work Session and Regular Meeting minutes. Page 1 of 81 C.Financial Reports Consider acceptance of the Statement of Revenues and Expenses for the six months ending December 31, 2025. 5.Old Business 6.New Business A.Taxicabs Hold public hearing in accordance with Section 98-94 of THE CODE OF THE CITY OF SALEM, VIRGINIA, and award Certificates of Public Convenience and Necessity for the next twelve (12) months, beginning April 1, 2026. Date set for public hearing at February 9, 2026, meeting. (Advertised in the March 5, 2026, issue of the Salem Times-Register.) B.Roanoke Valley-Alleghany Regional Commission Annual Presentation Council will receive the annual presentation from the Roanoke Valley-Alleghany Regional Commission by Jeremy Holmes, Executive Director of the Roanoke Valley- Alleghany Regional Commission. C.2025 Planning Commission Annual Report Presentation and receipt by Council of the 2025 Planning Commission Annual Report. D.Delegation of Authority to Staff for Electric Energy Supply Congestion Risk Management Actions - Resolution 1521 Consider delegating authority to the Electric Utility Director, Interim Electric Utility Director, or Finance Director to execute actions necessary to manage congestion risk for the City's energy supply. E.Opioid Settlement - Resolution 1522 Adopt Resolution 1522 approving the City's participation in the proposed combined settlement agreement resolving opioid-related claims against Associated Pharmacies, Inc. (and American Associated Pharmacies); J.M. Smith Corporation; Louisiana Wholesale Drug Company, Inc.; Morris and Dickson Co.; North Carolina Mutual Wholesale Drug Company, Inc.; and United Natural Foods, Inc. (Including its subsidiaries Supervalue and Advantage Logistics). F.Approval of Donation to The Preston Place Preservation Foundation, Inc. - Resolution 1523 Consider approval of a donation to The Preston Place Preservation Foundation, Inc. in the amount of $35,000 in order to provide support for initial basic expenditures. 7.Adjournment Page 2 of 81 CITY COUNCIL MINUTES Monday, March 9, 2026, at 6:30 PM Work Session, 5:45 PM Council Chambers Conference Room, City Hall, 114 North Broad Street, Salem, Virginia 24153 Regular Session, 6:30 PM, City Hall, 114 North Broad Street, Salem, Virginia 24153 WORK SESSION 1.Call to Order A work session of the Council of the City of Salem, Virginia, was held in the Council Chambers Conference Room, City Hall, 114 N. Broad Street, Salem, Virginia, on March 9, 2026, at 5:45 p.m., there being present the following members of said Council to wit: Renée Ferris Turk, Mayor; Anne Marie Green, Vice-Mayor; Council members; Byron Randolph Foley (absent), H. Hunter Holliday, and John Saunders; with Renée Ferris Turk, Mayor, presiding; together with Chris Dorsey, City Manager; Rob Light, Assistant City Manager and Clerk of Council; Rosie Jordan, Director of Finance; Kevin Divers, Interim Director of the Electric Department; Crystal Williams, Assistant to the City Manager; Laura Lea Harris, Deputy Clerk of Council; and Garrett Cole, Vice-President of GDS Associates (participated remotely); and the following business was transacted; 2.New Business A.Discussion Items Update on the City's Electric Power Purchasing Process and Next Steps from Garrett Cole, Vice-President of GDS Associates Garrett Cole, Vice-President of GDS Associates, presented an update to Council regarding the City of Salem’s electric power purchasing process and outlined the next steps in the process. Mr. Light provided additional information and reviewed a tentative project timeline. Council members discussed the update and posed questions to Mr. Cole, Ms. Jordan, and Mr. Divers. 3.Adjournment Item #4.B Date: 3/23/2026 Page 3 of 81 There being no further business, Mayor Turk adjourned the meeting at 6:13 p.m. REGULAR SESSION 1. Call to Order A regular meeting of the Council of the City of Salem, Virginia, was called to order at 6:30 p.m., there being present the following members to wit: Renée Ferris Turk, Mayor; Anne Marie Green, Vice-Mayor; Council members: Byron Randolph Foley (absent), Hunter Holliday, and John Saunders; with Renée Ferris Turk, Mayor, presiding together with Chris Dorsey, City Manager; Rob Light, Assistant City Manager and Clerk of Council; Rosie Jordan, Director of Finance; Chuck Van Allman, Director of Community Development; Mike Stevens, Director of Communications; and Jim Guynn, City Attorney. 2. Pledge of Allegiance 3. Awards & Recognitions There were none this evening. 4. Consent Agenda A. Citizen Comments Comments from the public, limited to five minutes, on matters not already having a public hearing at the same meeting. John Breen, 142 Bogey Lane, expressed concern that City leadership may be avoiding difficult decisions and new ideas. He also criticized the City's current budgeting approach and raised concerns about the property tax rate. Mr. Breen urged Council to ask what expenses could be reduced or eliminated, implement zero- based budgeting in certain departments, and reduce the property tax rate from $1.18 to $1.12. He provided an analysis of tax rates and revenue for Council's review. B. Minutes Consider acceptance of the February 23, 2026, Work Session and Regular Meeting minutes. The minutes were approved as written. Mayor Turk requested that the City Manager provide an update on current items in the City of Salem. Mr. Dorsey provided several updates to Council. He reminded the public that early voting is currently underway at the Registrar’s Office. It was confirmed that the hours are from 8 a.m. to 4 p.m. He encouraged citizen participation. He reported that the Moyer Softball Complex recently hosted the Hokie Classic collegiate softball tournament, which featured several top-ranked teams and drew strong attendance, Page 4 of 81 and noted that the City received positive feedback regarding the facility and hospitality. Mr. Dorsey noted that the City has begun publicizing the process for the new FEMA flood map updates, with public meetings scheduled for March 17 and March 19 at City Hall. He shared that additional information on this would be presented by Mr. Van Allman later in the meeting. The City Manager also reported that the ODAC Basketball Tournament had been successfully hosted at the Salem Civic Center since the last Council meeting. He announced that the City’s annual Easter Egg Hunt would be held on March 26 at Salem Memorial Ballpark and that the lineup for the Salem After Five summer concert series at the Downtown Farmers Market would be announced the following week. Finally, he invited Council and the public to attend a ceremony for the City’s new fire engine at Fire Station No. 1 on March 18 at 1:30 p.m. C. Financial Reports Consider acceptance of the Statement of Revenues and Expenses for the five months ending November 30, 2025. The Financial Reports were received. 5. Old Business There was no Old Business this evening. 6. New Business A. Roanoke Regional Partnership Annual Presentation Council will receive the annual presentation from the Roanoke Regional Partnership by John Hull, Executive Director of the Roanoke Regional Partnership. John Hull, Executive Director of the Roanoke Regional Partnership, presented an overview of the Roanoke Regional Partnership's projects and accomplishments during 2025. He noted that Pete Eshelman, Senior Director of Creative Strategies, and Julia Boas, Director of Business Investment, were in attendance with him this evening. B. Presentation - FEMA Flood Map Revisions Presentation on the United States Federal Emergency Agency (FEMA) preliminary flood map revisions. Chuck Van Allman, Director of Community Development, provided an update on the United States Federal Emergency Agency (FEMA) preliminary flood map revision process. He noted the City's early public outreach efforts to provide information through public forums and the City website as well as to assist citizens with questions and concerns. Mr. Van Allman also explained that there would be an appeal process, which has not yet begun but is expected to be later this spring and will last 90 days. Residents will be able to review the maps and submit technical appeals during that period. Prior to FEMA's final adoption, the City will need to update its floodplain Page 5 of 81 ordinance to reference the new maps and maintain compliance with the National Flood Insurance Program. The City will work closely with the City Attorney on this. After the appeal process and FEMA's responses, FEMA will issue a Letter of Final Determination, after which the updated maps will become effective approximately six months later, anticipated in winter 2026-2027. Mayor Turk explained that the purpose of presenting the flood map update at an open City Council meeting was to inform the public regarding the proposed changes. Additional public information sessions will be scheduled to explain the maps and answer questions from residents. She also noted that property owners who believe their property has been incorrectly included in or excluded from a flood hazard area would be able to file appeals once the formal appeal process begins. Mr. Van Allman emphasized that this was a transparent process and that his department was willing to present the information to other bodies, such as the Planning Commission, or at additional public meetings, if requested. He also noted that the City will coordinate closely with FEMA throughout the process, and that FEMA representatives may attend public meetings to assist in explaining the maps and responding to questions. Mr. Light clarified that the appeal process would be handled directly with the Federal Emergency Management Agency (FEMA), rather than through Community Development. He explained that the Community Development Department is conducting early outreach to help residents understand the process due to the complexity of the mapping information. He reiterated that two public open meetings were announced to provide both general explanations and individualized assistance regarding the preliminary flood maps. The sessions will be held in Council Chambers on March 17 at 2:00 p.m. and March 19 at 5:00 p.m. Residents will have the opportunity to review the maps and ask questions at those meetings. Mr. Light noted that the letters that were sent out to anyone that was potentially affected include how to obtain more detailed information. Mr. Van Allman added that they would have staff available to sit down with laptops to assist. He repeated that this was a complicated process, but that they were there to help answer questions and that they had resources, such as Virginia Department of Emergency Management (VDEM) and FEMA, to reach out to as well. Mayor Turk asked if there would be a description of the process that citizens need to follow in order to appeal, and where this information would be posted. Mr. Van Allman responded affirmatively and that this would be posted in the locations that they currently are posting information about this. He added that it was likely that further meetings would be held to assist with the appeal process. Vice-Mayor Green asked if there were any City or school facilities that were being impacted by the changes. Page 6 of 81 Mr. Van Allman responded that he would need to research this and that he would get back to her with an answer. Vice-Mayor Green noted that these maps were very difficult to read online. Mr. Van Allman agreed that there was a lot of information included , and that is why they wanted to provide support. He noted that, in his opinion, this study was well done for the magnitude and scope that was included. Mr. Holliday asked if letters were sent out to citizens who were going to be impacted by this change in the maps. Mr. Van Allman noted that approximately 1200 letters were sent out and that they attempted to blanket those in the hazard area or close. They made a special effort to include on the list properties that had been added. Mayor Turk thanked Mr. Van Allman for the presentation. Mr. Van Allman encouraged Council to let them know any information that they needed, and that they would do their best to get answers. C. Appropriation of Funds - Grants Contingency Consider request to appropriate additional funds for grants contingency. Audit-Finance Committee The budget for Fiscal Year 2026 includes $100,000 in grant contingency revenue and offsetting grant contingency expenditure accounts for smaller grants received by the City. When such grants are received, the City Manager can transfer the revenue and expenditure for the amount awarded. Any grant received by the City in excess of $75,000 is required to be individually accepted and appropriated by Council after review by the Audit Finance Committee. At this point in the fiscal year, the City has applied for and been awarded more than twice the budgeted amount in smaller grants and needs to appropriate additional revenue and matching expenditure funds. These funds will only be transferred out of the contingency accounts for eligible grants awarded. John Saunders motioned to appropriate $175,000 to Contingency for Grants Revenue and $175,000 to Contingency for Grants Expenditure. Hunter Holliday seconded the motion. Ayes: John Saunders, Hunter Holliday, Anne Marie Green, Renée Turk Absent: Randy Foley Nays: None Abstaining: None Page 7 of 81 D. Appropriation of Funds - School Operating Fund, School Grants Fund, and School Reserve Fund Consider request to amend the School Operating Fund, School Grants Fund, and School Reserve Fund budgets as approved by the School Board on February 10, 2026. Audit- Finance Committee At their February 10th meeting, the School Board amended the Fiscal Year 2026 School Operating Fund budget, School Grants Fund budget, and the School Reserve Fund budget to increase revenues and expenditures by $19,250, $1,060,760, and $20,000, respectively. The Audit Finance Committee reviewed these changes detailed in the report that was included in the agenda packet with School Division staff. John Saunders motioned to approve these School Board appropriation changes. Anne Marie Green seconded the motion. Ayes: John Saunders, Hunter Holliday, Anne Marie Green, Renée Turk Absent: Randy Foley Nays: None Abstaining: None E. Boards and Commissions Consider appointments to various boards and commissions. Anne Marie Green motioned to appoint Chris Yeakel as primary parent representative to CPMT. This appointment has been approved as necessary by CPMT. John Saunders seconded the motion. Ayes: John Saunders, Hunter Holliday, Anne Marie Green, Renée Turk Absent: Randy Foley Nays: None Abstaining: None 7. Adjournment Mayor Turk reminded those present to look at the website for information on upcoming events. She noted that the Civic Center has booked a large number of shows this year. Mr. Van Allman requested to address Vice-Mayor Green's earlier question. He reported that, based on a review of the preliminary flood map updates, few City- owned properties are affected by the proposed changes. The only school facility newly included is the Salem High School, which was noted to have already been partially located within the flood area. Additional City-owned properties identified include three parcels along Salem Industrial Drive, primarily easements, including one ingress/egress access area, and one property on Dixie Drive, which he noted has historically been a location of concern. No other City-owned properties were identified Page 8 of 81 as affected at this time. The meeting was adjourned at 7:27 p.m. Submitted by: Approved by: H. Robert Light Renée Ferris Turk Clerk of Council Mayor Page 9 of 81 Schedule A Current Year Current Year % of Prior Year Budget Year to Date Budget Year to Date Variance Revenues: Beginning Balance 7-1-25 7,231,368$ -$ 0%-$ -$ General Property Taxes 55,392,153 22,167,260 40%20,317,177 1,850,083 Other Local Taxes 29,773,315 8,932,746 30%8,705,670 227,076 Permits and Licenses 368,940 260,387 71%216,779 43,608 Fines and Forfeitures 120,000 37,249 31%52,642 (15,393) Revenues from Use of Money and Property 6,397,291 3,325,560 52%3,749,973 (424,413) Charges for Services 3,973,647 1,762,928 44%1,669,717 93,211 Payment in Lieu of Taxes from Electric Fund 3,160,000 1,580,000 50%1,580,000 - Payment in Lieu of Taxes from Water Fund 154,000 77,728 50%76,123 1,605 Miscellaneous revenues 425,713 337,515 79%263,302 74,213 Non-Categorical Aid 3,590,803 461,286 13%445,467 15,819 Shared Expenses 2,005,871 776,600 39%767,750 8,850 Categorical Aid 12,066,203 5,057,603 42%5,006,813 50,790 Non-revenues Receipts 13,742 13,742 100%59,785 (46,043) Proceeds from Indebtedness 54,000 - 0%- - Total Revenues 124,727,046 44,790,604 36%42,911,197 1,879,407 Expenditures: General Government 15,567,283 7,094,839 46%6,118,848 975,991 Judicial Administration 3,525,606 1,606,186 46%1,463,356 142,830 Public Safety 26,646,041 12,463,372 47%12,609,434 (146,062) Public Works 19,323,201 6,870,309 36%5,436,844 1,433,465 Health and Welfare 9,850,176 3,042,412 31%3,034,370 8,042 Education 26,948,396 14,403,595 53%14,204,165 199,430 Parks, Recreation and Cultural 9,395,392 4,233,199 45%4,453,268 (220,069) Community Development 4,665,498 1,683,582 36%2,230,309 (546,727) Interest on long-term debt 524,815 - 0%- - Transfers Out 6,956,743 2,978,254 43%2,476,651 501,603 Contingency 1,323,895 - 0%- - Total Expenditures 124,727,046 54,375,748 44%52,027,245 2,348,503 Revenues Over/(Under) Expenditures -$ (9,585,144)$ (9,116,048)$ (469,096)$ City of Salem, Virginia General Fund Statement of Revenue and Expenditures For Six Months Ending December 31, 2025 Item #4.C Date: 3/23/2026 Page 10 of 81 Schedule B - 50,000.00 100,000.00 150,000.00 200,000.00 250,000.00 300,000.00 350,000.00 400,000.00 450,000.00 500,000.00 550,000.00 600,000.00 650,000.00 700,000.00 750,000.00 800,000.00 850,000.00 900,000.00 950,000.00 1,000,000.00 1,050,000.00 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June City of Salem Sales Tax Summary For Fiscal Years 2023 -2026 FY 2023 FY 2024 FY 2025 FY 2026 Page 11 of 81 Schedule C 50,000.00 100,000.00 150,000.00 200,000.00 250,000.00 300,000.00 350,000.00 400,000.00 450,000.00 500,000.00 550,000.00 600,000.00 650,000.00 700,000.00 750,000.00 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June City of Salem Meals Tax Summary For Fiscal Years 2023 -2026 FY2023 FY2024 FY2025 FY2026 Page 12 of 81 Schedule D - 25,000.00 50,000.00 75,000.00 100,000.00 125,000.00 150,000.00 175,000.00 200,000.00 225,000.00 250,000.00 275,000.00 300,000.00 July Aug Sept Oct Nov Dec Jan Feb Mar Apr May June City of Salem Lodging Tax Summary For Fiscal Years 2023 -2026 FY2023 FY2024 FY2025 FY2026 Page 13 of 81 City of Salem, Virginia Debt Outstanding For Period Ending December 31, 2025 Schedule E Balance Principal Balance 7/1/2025 Issuances Payments 12/31/2025 City Debt Outstanding 2013 Public Improvement Bonds 798,700$ -$ (89,425)$ 709,275$ 2016B Public Improvement Bonds 150,694 - - 150,694 2019 Public Improvement Bonds 3,850,000 - - 3,850,000 2020 Public Improvement Bonds 1,450,000 - - 1,450,000 2020 Public Improvement Refunding Bonds 3,797,874 - - 3,797,874 2021 Public Improvement Refunding Bonds 799,000 - - 799,000 2022B Public Improvement Bonds 13,323,000 - - 13,323,000 Total City Debt Outstanding 24,169,268 - (89,425) 24,079,843 School Debt Outstanding 2012A Public Improvement Bonds 3,818,000 - (477,250) 3,340,750 2013 Public Improvement Bonds 2,461,300 - (275,575) 2,185,725 2020 Public Improvement Bonds 22,340,000 - -22,340,000 Total School Debt Outstanding 28,619,300 - (752,825) 27,866,475 Total Debt Outstanding Page 14 of 81 City of Salem, Virginia Capital Projects Fund Statement of Revenues and Expenditures For Period Ending December 31, 2025 Schedule F Project Total Available Year To Budget To Date Encumbrances Project Balance Date Fund Balance, July 1, 2025 11,843,156$ Revenues: Federal Grants 21,254,536$ 6,053,262$ -$ 6,053,262$ 15,201,274$ (641,557)$ State Grants 15,644,267 8,819,642 - 8,819,642 6,824,625 1,736,092 Proceeds From Debt Issuance - - - - - - Interest Income - - - - - - Transfer From General Fund 16,058,504 16,058,502 - 16,058,502 2 1,403,700 Total Revenues 52,957,307 30,931,406 - 30,931,406 22,025,901 2,498,235 Expenditures: Fire Station #2 Renovations & Storage Building 1,930,143 1,777,755 60,635 1,838,390 91,753 547,316 Fire Station #1 Renovations 654,000 8,826 - 8,826 645,174 - Fire Station #3 Renovations 454,000 7,051 - 7,051 446,949 - Fire Station Study 150,000 - - - 150,000 - Old Animal Shelter Refurbishment 75,000 - - - 75,000 - Colorado St Bridge Replacement 11,778,826 7,505,631 36,548 7,542,179 4,236,647 791,101 Apperson Drive Bridge Replacement 10,329,896 3,394,561 5,346,170 8,740,731 1,589,165 1,078,621 Valleydale Streetscape Improvements 1,500,000 552,909 - 552,909 947,091 - Upland Drive Storm Drain and Curb & Gutter 250,000 - - - 250,000 - 4th Street/Union Street Storm Sewer Upgrades 650,000 13,331 34,279 47,610 602,390 13,331 Roanoke Boulevard Storm Drain Upgrades 100,000 - - - 100,000 - Texas Street/Idaho Street Pond 100,000 - - - 100,000 - Bainbridge Drive Storm Drain Expansion 225,000 - - - 225,000 - Truck Storage Building 750,000 38,310 3,776 42,086 707,914 5,260 Pedestrian Crossings 469,464 29,842 30,958 60,800 408,664 29,842 Streambank Stabilization 241,200 - - - 241,200 - Courthouse Foundation Repairs 25,000 3,183 - 3,183 21,817 3,183 Western Roanoke River Greenway 50,000 1,500 - 1,500 48,500 - Elizabeth Campus Greenway 951,317 788,229 24,954 813,183 138,134 192,662 Moyer Sports Complex Renovation 229,344 219,520 - 219,520 9,824 62,454 Mason Creek Greenway Phase 3 3,119,430 395,628 113,966 509,594 2,609,836 18,555 Library Flooring Replacement 190,000 - - - 190,000 - Library Co-working Space 155,000 - - - 155,000 - Library Lawn Special Events Space 500,000 - - - 500,000 - Library Renovation 250,000 - - - 250,000 - Roanoke River Greenway - Apperson to Cook 2,121,155 - - - 2,121,155 - Concourse Public Restrooms Renovation 175,000 - - - 175,000 - Elizabeth Campus Greenway Phase 2 1,372,761 71,500 - 71,500 1,301,261 - Downtown Impr - E Main St/Market St 5,440,677 4,438,082 34,667 4,472,749 967,928 1,478 Downtown Impr - E Main St/White Oak 2,311,825 89,103 6,393 95,496 2,216,329 1,143 Downtown Impr - College Ave 3,256,307 - 196,200 196,200 3,060,107 - Page 15 of 81 City of Salem, Virginia Capital Projects Fund Statement of Revenues and Expenditures For Period Ending December 31, 2025 Schedule F Project Total Available Year To Budget To Date Encumbrances Project Balance Date Downtown Impr - Boulevard 250,000 - 185,000 185,000 65,000 - Capital Projects Local Reserve 1,132,513 - - - 1,132,513 - Downtown Improvements Reserve 443,090 - - - 443,090 - Excess Local Funding Reserve 1,326,359 - - - 1,326,359 - Total Expenditures 52,957,307$ 19,334,961$ 6,073,546$ 25,408,507$ 27,548,800$ 2,744,946 Fund Balance, December 31, 2025 11,596,445$ Page 16 of 81 City of Salem, Virginia Capital Reserve Fund Statement of Revenues and Expenditures For Period Ending December 31, 2025 Schedule G Project Total Available Year To Budget To Date Encumbrances Project Balance Date Fund Balance, July 1, 2025 21,945,583$ Revenues: Transfer From General Fund 22,192,716$ 22,192,716$ -$ 22,192,716$ 0$ -$ Total Revenues 22,192,716 22,192,716 - 22,192,716 0 - Expenditures: Capital Reserve 17,036,216 - - - 17,036,216 - Fire Equipment 2,400,000 47,521 2,282,747 2,330,268 69,732 47,521 Police Vehicle Replacement 548,100 433,034 70,825 503,859 44,241 433,034 Salem Stadium Scoreboard Replacement 200,000 200,000 - 200,000 - 121,382 Spartan Field - New LED Lights 518,400 - 462,177 462,177 56,223 - Salem Memorial Park Renovations 1,240,000 - 764,000 764,000 476,000 - Civic Center Scoreboard Replacement 250,000 225,907 - 225,907 24,093 57,392 Total Expenditures 22,192,716$ 906,462$ 3,579,749$ 4,486,211$ 17,706,505$ 659,329 Fund Balance, December 31, 2025 21,286,254$ Page 17 of 81 Schedule H Operating Revenues Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Sale of Power 52,914,865$ 26,806,111$ 51%26,689,552$ 116,559$ Other Electric Revenue 640,905 185,117 29%174,914 10,203 Gain on Sale of Assets - 210 0%- 210 Reserve for Encumbrances 1,160,962 - 0%- - Appropriated from Net Position 200,000 - 0%- - Total Operating Revenues 54,916,732 26,991,438 49%26,864,466 126,972 . Operating Expenses Other Power Generation - Operation 125,000 24,128 19%33,555 (9,427) Other Power Generation - Maintenance 112,024 53,792 48%55,010 (1,218) Purchased Power 29,730,000 14,205,291 48%14,487,908 (282,617) Transmission - Operation 9,705,233 4,603,189 47%4,760,165 (156,976) Transmission - Maintenance 47,902 2,229 5%6,413 (4,184) Distribution - Operations 1,248,983 626,791 50%582,450 44,341 Distribution - Maintenance 1,732,617 861,721 50%784,491 77,230 Customer Service 739,842 344,323 47%361,445 (17,122) Administration & General - Operation 2,592,211 374,856 14%427,812 (52,956) Administration & General - Maintenance 256,694 141,606 55%120,094 21,512 Depreciation - 875,219 0%878,798 (3,579) Capital 4,869,835 2,215,977 46%880,350 1,335,627 Contingency 596,391 - 0%- - Total Operating Expenses 51,756,732 24,329,122 47%23,378,491 950,631 Income (loss) Before Transfers 3,160,000 2,662,316 3,485,975 (823,659) Transfers (Payment in Lieu of Taxes)(3,160,000) (1,580,000) 50%(1,580,000) - Income (loss)-$ 1,082,316$ 1,905,975$ (823,659)$ Income (loss)-$ 2,164,632$ 3,811,950$ (1,647,318)$ City of Salem, Virginia Electric Fund Statement of Operations For Six Months Ending December 31, 2025 Page 18 of 81 Schedule I Operating Revenues Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Services 8,761,544$ 4,368,661$ 50%4,260,578$ 108,083$ Other Revenue 533,970 437,456 82%267,334 170,122 Water Federal Grants Revenue 12,000 - 0%11,780 (11,780) Interest Income - 29,656 0%6,819 22,837 Gain On Sale Of Assets - 2,385 0%- 2,385 Reserve for Encumbrances 287,256 - 0%- - Appropriated from Net Position 2,620,000 - 0%- - Total Operating Revenues 12,214,770 4,838,158 40%4,546,511 291,647 . Operating Expenses Salaries of Personnel 1,174,952 552,513 47%521,961 30,552 Fringe Benefits 517,726 232,355 45%239,371 (7,016) Contractual Services 694,706 287,222 41%295,853 (8,631) Printing and Binding 2,500 680 27%66 614 Advertising 1,000 175 17%- 175 Utilities 567,772 272,483 48%266,306 6,177 Communications 5,900 1,751 30%2,249 (498) Insurance 36,500 24,868 68%30,983 (6,115) Travel and Training 9,800 4,573 47%1,722 2,851 Miscellaneous 80,297 45,792 57%56,642 (10,850) Materials and Supplies 359,381 112,997 31%122,829 (9,832) Depreciation - 437,298 0%434,614 2,684 Capital 287,795 116,836 41%106,324 10,512 Interest Obligations - 41,313 0%64,045 (22,732) Contingency 264,676 - 0%- - Total Production Expenses 4,003,005 2,130,854 53%2,142,965 (12,111) Salaries of Personnel 883,400 419,595 47%429,004 (9,409) Fringe Benefits 407,397 179,608 44%201,767 (22,159) Contractual Services 1,241,688 636,864 51%547,960 88,904 Printing and Binding 500 75 15%66 9 Advertising - 175 0%- 175 Communications 4,850 1,592 33%2,725 (1,133) Insurance 37,500 28,549 76%36,204 (7,655) Lease/Rent of Equipment 2,000 1,141 57%626 515 Travel and Training 7,600 1,920 25%1,002 918 Miscellaneous 34,597 17,515 51%16,897 618 Miscellaneous Credits (290,000) (225,551) 78%(207,706) (17,845) Materials and Supplies 260,528 149,444 57%42,569 106,875 Depreciation - 145,068 0%115,822 29,246 Capital 176,857 104,790 59%1,315,220 (1,210,430) Interest Obligations 1,742,848 52,835 3%62,223 (9,388) Bond Costs - - 0%16,499 (16,499) Total Distribution Expenses 4,509,765 1,513,619 34%2,580,878 (1,067,259) Income (loss) Before Transfers 3,702,000 1,193,684 (177,332)1,371,016 Transfer to Water Capital Fund (3,548,000)- 0%- - Transfer (Payment in Lieu of Taxes)(154,000)(77,728) 50%(76,123) (1,605) Income (loss)-$ 1,115,957$ (253,455)$ 1,369,412$ - Distribution City of Salem, Virginia Water Fund Statement of Operations For Six Months Ending December 31, 2025 Production Page 19 of 81 Schedule J Operating Revenues Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Services 7,706,888$ 3,769,726$ 49%3,737,187$ 32,539$ Other Revenue 210,000 106,342 51%105,255 1,087 Reserve for Encumbrances 135,685 - 0%- - Total Operating Revenues 8,052,573 3,876,068 48%3,842,442 33,626 . Operating Expenses Salaries of Personnel 1,027,292 403,786 39%404,024 (238) Fringe Benefits 480,351 180,381 38%189,700 (9,319) Contractual Services 3,564,455 1,355,282 38%1,467,858 (112,576) Printing and Binding 1,500 75 5%133 (58) Advertising 1,500 350 23%- 350 Utilities 5,472 2,233 41%2,448 (215) Communications 14,850 8,271 56%7,054 1,217 Insurance 16,500 18,482 112%15,807 2,675 Lease/Rent of Equipment 1,800 380 21%626 (246) Travel and Training 12,000 4,697 39%3,072 1,625 Miscellaneous 44,516 22,093 50%21,105 988 Miscellaneous Credits (270,000) (97,664) 36%(120,681) 23,017 Materials and Supplies 88,220 29,303 33%37,377 (8,074) Depreciation - 746,885 0%720,121 26,764 Capital 166,161 41,098 25%241,345 (200,247) Interest Obligations 1,932,079 17,573 1%23,213 (5,640) Contingency 485,877 - 0%- - Total Operating Expenses 7,572,573 2,733,223 36%3,013,202 (279,979) Income (loss) before Transfers 480,000 1,142,845 829,240 313,605 Transfer to Sewer Capital Fund (480,000) - 0%- - Income (loss)-$ 1,142,845$ 829,240$ 313,605$ City of Salem, Virginia Sewer Fund Statement of Operations For Six Months Ending December 31, 2025 Page 20 of 81 Schedule K Operating Revenues Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Shows/rentals 405,023$ 186,796$ 46%188,965$ (2,169)$ Box office shows 1,887,681 2,542,658 135%273,255 2,269,403 Merchandise and commissions 310,800 243,208 78%138,966 104,242 Static advertising 60,000 47,050 78%21,250 25,800 Miscellaneous income 20,000 18,629 93%12,786 5,843 Interest Income 1,500 2,965 198%522 2,443 Salem Fair 690,000 601,869 87%672,481 (70,612) Reserve For Encumbrances 165,581 - 0%- - Appropriated from Net Position 206,325 - 0%- - Total Operating Revenues 3,746,910 3,643,175 97%1,308,225 2,334,950 Operating Expenses Salaries of personnel 1,472,247 797,138 54%735,553 61,585 Fringe benefits 554,190 260,264 47%253,809 6,455 Maintenance and contractual services 406,834 191,212 47%97,576 93,636 Printing and binding 500 694 139%180 514 Advertising 25,000 12,005 48%19,443 (7,438) Utilities 427,363 218,711 51%214,885 3,826 Communications 11,400 5,619 49%5,604 15 Insurance 32,000 37,436 117%30,570 6,866 Leases and Rentals 3,200 2,639 82%2,639 0 Travel and training 53,700 26,528 49%1,715 24,813 Miscellaneous 108,260 76,729 71%69,154 7,575 Show expense 1,800,000 2,933,071 163%371,798 2,561,273 Fair expense 646,681 565,435 87%547,197 18,238 Materials and supplies 50,000 21,789 44%18,825 2,964 Capital 808,891 187,094 23%295,528 (108,434) Depreciation - 167,740 0%155,113 12,627 Total Operating Expenses 6,400,266 5,504,104 86%2,819,589 2,684,515 Income (loss) Before Transfers (2,653,356)(1,860,929) (1,511,364)(349,565) Transfers 2,653,356 1,017,928 38%983,822 34,106 Income (loss)-$ (843,001)$ (527,542)$ (315,459)$ 0.00 City of Salem, Virginia Salem Civic Center Statement of Operations For Six Months Ending December 31, 2025 Page 21 of 81 Schedule L Operating Revenues: Current Year Budget Current Year Year to Date % of Budget Prior Year Year to Date Variance Catering 764,000$ 609,995$ 80%307,680$ 302,315$ Concessions 177,500 111,191 63%55,999 55,192 Moyer Concessions 100,000 76,580 77%51,538 25,042 Salem High Concessions 14,000 8,308 59%6,387 1,921 Reserve For Encumbrances 74,210 - 0%- - Total Operating Revenues 1,129,710 806,074 71%421,604 384,470 Operating Expenses: Salaries of personnel 354,775 172,736 49%162,202 10,534 Fringe benefits 108,831 44,254 41%51,160 (6,906) Contractual services 33,465 13,367 40%20,236 (6,869) Printing and binding 300 - 0%- - Advertising 2,000 - 0%- - Laundry and Cleaning 1,500 - 0%- - Communications 200 96 48%97 (1) Insurance 2,000 1,408 70%1,522 (114) Miscellaneous 40,612 52,769 130%12,046 40,723 Materials and supplies 247,500 181,296 73%114,039 67,257 Capital 74,210 74,483 100%- 74,483 Depreciation - 1,784 0%1,764 20 Contingency 36,261 - 0%- - Total Catering Expenses 901,654 542,191 60%363,066 179,125 Salaries of Personnel 65,183 35,450 54%34,488 962 Fringe Benefits 13,001 6,483 50%7,046 (563) Contractual services 25,000 21,588 86%3,019 18,569 Miscellaneous 150 76 51%(327) 402 Materials and Supplies 54,500 37,419 69%16,249 21,170 Total Concessions Expenses 157,834 101,016 64%60,476 40,540 Salaries of Personnel 37,740 20,729 55%14,225 6,504 Fringe Benefits 11,713 4,035 34%4,205 (170) Contractual services 22,500 6,552 29%12,023 (5,471) Miscellaneous - (58) 0%(18) (40) Materials and Supplies 33,000 24,795 75%21,196 3,599 Total Moyer Expenses 104,953 56,051 53%51,631 4,420 Salaries of Personnel 10,818 1,910 18%3,367 (1,457) Fringe Benefits 2,679 410 15%630 (220) Contractual 1,500 - 0%- - Miscellaneous - (18) 0%2 (20) Materials and Supplies 3,400 1,874 55%1,681 193 Total Salem High Expenses 18,397 4,176 23%5,680 (1,504) Income (loss) Before Transfers (53,128)102,640 (59,249)161,889 Transfers 53,128 - 0%- - Income (loss)-$ 102,640$ (59,249)$ 161,889$ Moyer Concessions Salem High Concessions City of Salem, Virginia Salem Catering and Concessions Statement of Operations For Six Months Ending December 31, 2025 Catering Concessions Page 22 of 81 City of Salem, Virginia Water and Sewer Capital Funds Statement of Revenues and Expenditures For Period Ending December 31, 2025 Schedule M Project Total Available Year To Budget To Date Encumbrances Project Balance Date Water Capital Fund Expenditures: North Salem Water Improvements 7,650,000$ 46,555$ 14,334$ 60,889$ 7,589,111$ 30,510$ Well Construction 2,792,843 2,367,249 422,843 2,790,092 2,751 826,946 Franklin St Water Tank Replacement 677,432 605,236 - 605,236 72,196 25,659 Blackwood Tank Rehab and Replacement 820,000 - 5,750 5,750 814,250 - Litchell/Wildwood Pump Station Replace 350,000 - 23,570 23,570 326,430 - Waterline - Howard Dr and Jackson Dr 170,880 23,263 147,617 170,880 - 23,263 Waterline Design and Replacement 1,225,566 - - - 1,225,566 - Contingency 50,000 - - - 50,000 - Total Expenditures 13,736,721$ 3,042,303$ 614,114$ 3,656,417$ 10,080,304$ 906,378$ Sewer Capital Fund Expenditures: Roanoke River Upper Sewer Rehab 7,154,710$ -$ -$ -$ 7,154,710$ -$ Wiley Ct Sewer Improvements 375,000 - - - 375,000 - Pomeroy Sewer System Upgrade 1,860,000 48,600 14,400 63,000 1,797,000 48,600 Mason Creek Interceptor Upgrade 740,000 231,792 478,751 710,543 29,457 205,020 Contingency 50,000 - - - 50,000 - Total Expenditures 10,179,710$ 280,392$ 493,151$ 773,543$ 9,406,167$ 253,620$ Page 23 of 81 Schedule N Budget Current Year Year to Date Percent to Date Prior Year Year to Date Variance Beginning Net Position -$ 8,144,763$ 9,399,213$ (1,254,450)$ Revenue Premiums Paid - City 6,153,355 2,536,406 41% 2,478,084 58,322 Premiums Paid - School 5,175,000 2,028,549 39% 2,103,261 (74,712) Premiums Paid - Retirees 830,000 489,457 59% 389,806 99,651 Dental Premiums Paid 597,000 250,981 42% 252,794 (1,813) Interest Earnings 470,000 135,515 29% 183,754 (48,239) Miscellaneous 40,000 - 0% 27,091 (27,091) Total Year to Date Revenues 13,265,355 5,440,908 41% 5,434,790 6,118 Expenses Health Claims 12,025,936 3,566,083 30% 5,367,671 (1,801,588) Dental Claims 597,000 243,411 41% 211,443 31,968 Employee Health Clinic 546,469 209,627 38% 184,222 25,405 Consulting Services 91,050 24,909 27% 36,096 (11,187) Miscellaneous 4,900 4,764 97% 4,408 356 Total Year to Date Expenses 13,265,355 4,048,794 31% 5,803,840 (1,755,046) Ending Net Position -$ 9,536,877$ 9,030,163$ 506,714$ City of Salem, Virginia Health Insurance Fund Statement of Revenues and Expenses For Five Months Ending November 30, 2025 Page 24 of 81 City of Salem, Virginia Schedule of Deposits and Investments For Period Ending December 31, 2025 Schedule O Demand & Time Deposits Total Demand & Time Deposits Investments Total Investments Total Deposits and Investments Page 25 of 81 Item #: 6.A. AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: March 23, 2026 AGENDA ITEM: Taxicabs Hold public hearing in accordance with Section 98-94 of THE CODE OF THE CITY OF SALEM, VIRGINIA, and award Certificates of Public Convenience and Necessity for the next twelve (12) months, beginning April 1, 2026. Date set for public hearing at February 9, 2026, meeting. (Advertised in the March 5, 2026, issue of the Salem Times- Register.) SUBMITTED BY: Rob Light, Assistant City Manager/Clerk of Council SUMMARY OF INFORMATION: As prescribed in section 98-94 of the Code of the City of Salem: The council shall conduct a hearing each year between January 1 and March 31 for the purpose of determining the number of taxicabs for which certificates shall be issued during the next year and for the purpose of determining to which persons such certificates shall be issued, after a consideration of the factors prescribed in section 98-87. No certificate shall be renewable as a matter of right, but the council shall decide in the exercise of its sound discretion and after consideration of the factors prescribed in section 98-87 to which persons such certificates shall be issued for the next certificate year. Such hearing shall be public, after notice thereof has been given by mail to all holders of certificates and applicants for certificates, at the address shown on such certificates and applications and after notice thereof by publication at least once and not less than ten days prior to the hearing in some newspaper published or having a general circulation in the city. Any such hearing may be continued from time to time without further notice. FISCAL IMPACT: None STAFF RECOMMENDATION: Staff recommends Council conduct the required public hearing and subsequently award Certificates of Public Convenience to the number of applicants deemed appropriate. Page 26 of 81 ATTACHMENTS: 1. Item 6A 3-23-26 Code Section Taxicabs 2. Memo from Deputy ChiefCrouse 3. Bennett Early Application 2026 4. Reid Taxi Application 2026 5. Item 6A 3-23-26 Legal Notice - 3.05 Page 27 of 81 Salem, VA Code of Ordinances Sec. 98-94. -Council's annual hearing. The council shall conduct a hearing each year between January 1 and March 31 for the purpose of determining the number of taxicabs for which certificates shall be issued during the next year and for the purpose of determining to which persons such certificates shall be issued, after a consideration of the factors prescribed in.section 98-87. No certificate shall be renewable as a matter of right, but the council shall decide in the exercise of its sound discretion and after consideration of the factors prescribed in section 98-87 to which persons such certificates shall be issued for the next certificate year. Such hearing shall be public, after notice thereof has been given by mail to all holders of certificates and applicants for certificates, at the address shown on such certificates and applications and after notice thereof by publication at least once and not less than ten days prior to the hearing in some newspaper published or having a general circulation in the city. Any such hearing may be continued from time to time without further notice. (Code 1969, § 28-37) about:blank 2/5/2020 Page 28 of 81 Page 29 of 81 Page 30 of 81 Page 31 of 81 Page 32 of 81 Page 33 of 81 Page 34 of 81 Page 35 of 81 Page 36 of 81 Page 37 of 81 Page 38 of 81 Page 39 of 81 Item #: 6.B. AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: March 23, 2026 AGENDA ITEM: Roanoke Valley-Alleghany Regional Commission Annual Presentation Council will receive the annual presentation from the Roanoke Valley-Alleghany Regional Commission by Jeremy Holmes, Executive Director of the Roanoke Valley-Alleghany Regional Commission. SUBMITTED BY: Chris Dorsey, City Manager SUMMARY OF INFORMATION: Annually, the Roanoke Valley-Alleghany Regional Commission provides an update and overview for Council of the Roanoke Valley-Alleghany Regional Commission's projects and accomplishments during the preceding year. FISCAL IMPACT: STAFF RECOMMENDATION: Staff recommends that Council receive the report. ATTACHMENTS: None Page 40 of 81 Item #: 6.C. AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: March 23, 2026 AGENDA ITEM: 2025 Planning Commission Annual Report Presentation and receipt by Council of the 2025 Planning Commission Annual Report. SUBMITTED BY: Denise P. King, Planning Commission Chair SUMMARY OF INFORMATION: The Planning Commission respectfully submits its 2025 Annual Report in accordance with §15.2-2221(5) of the Code of Virginia. The report highlights a year of significant planning activity, including the adoption of the City’s new comprehensive plan, ongoing development review, and implementation of land use policies supporting economic growth and community development. The Planning Commission serves as an advisory body to City Council on land use, zoning, and long-range planning matters. In 2025, the Commission held 12 meetings, including a joint work session, to review development proposals, policy amendments, and planning initiatives. Key Activities in 2025: Adoption of Salem’s Comprehensive Plan, Plan 2045: Back to Salem’s Future o Extensive public engagement through open houses o Coordination with the Virginia Department of Transportation to ensure regional consistency o Focus on housing, transportation, parks, and redevelopment o Establishes a long-term vision with ongoing monitoring and updates • Review of Land Use Applications: o 11 special exception permits o 3 rezoning requests o Regional hazard mitigation plan o Approval of the City’s first energy storage project o 5 code text amendments recommended to Council Page 41 of 81 o As a result of a 2025 state code change, subdivision site plans and plats are now approved administratively rather than by the Commission. Despite this, there has been steady activity in subdivisions, including new residential developments, lot line adjustments and combinations, and resubdivisions. Permits Issued by Staff in 2025: • 404 zoning permits • 96 home occupation permits • 47 sign permits • Additional permits for urban agriculture, encroachments, telecommunications, and energy storage • Total permits issued: 553 The report meets the requirements of 15.2-2221(5) of the Code of Virginia. FISCAL IMPACT: STAFF RECOMMENDATION: Staff recommends Council receive and file this report. ATTACHMENTS: 1. Planning Commission Annual Report 2025 Page 42 of 81 2025 Page 43 of 81 Current Members Chair: Mrs. Denise P. King Vice-Chair: Mr. Reid A. Garst Commissioner: Mr. N. Jackson Beamer Commissioner: Mr. Mark W. Henrickson Commissioner: Mr. Nathan A. Routt 2025 Christopher J. Dorsey - Executive Secretary, City Manager H. Robert Light – Deputy Executive Secretary, Assistant City Manager Charles E. Van Allman, Jr. - Community Development Director Mary Ellen Wines – Planning and Zoning Administrator Maxwell S. Dillon – Planner Jim H. Guynn, Jr. - City Attorney Staff Page 44 of 81 Planning Commission held one Joint Work Session in addition to their regular meetings for a total of 12 meetings in 2025. 2025 Action Approved Denied Code Text Amendment 5 0 Plan Approval (HMP & Comp Plan)2 0 Energy Storage Project 1 0 Home Occupations 0 0 Special Exception Permits 9 2 Rezonings 1 2 Landmark Signs 0 0 Historic Registry 0 0 Page 45 of 81 0 1 2 3 4 5 6 7 8 9 10 11 12 13 Text Amdmt Major Sub SEP REZ Hist Reg Land Sign CHART TITLE 2021 2022 2023 2024 2025 2025 Page 46 of 81 2025 Site Plan Review Wings Etc.260 Wildwood Road Approved Sherwood Memorial Cemetery Expansion 1221 Lynchburg Turnpike Approved Cookout 1251 West Main Street Approved Wawa 1941 West Main Street Approved Garcia's Bistro 349 Wildwood Road Approved Gravel Lot 1371 Southside Drive Approved Gravel Lot 1383 Southside Drive Approved Integer Parking Lot Expansion 200 South Yorkshire Street Approved VICE display area 200 blk Apperson Drive Approved Qualichem renovation 616 Idaho Street Approved Tidy Services grading 2011 Cook Drive Approved Roanoke College container housing Hawthorn Road Approved 7 Brew 1229 West Main Street Approved Savory Ventures 602 West 4th Street Approved Street Department maintenance shed 1228 Indiana Street Approved Carter Machinery Couverette Auxiliary Building 565 Electric Road Approved Panda Express 816 West Main Street Approved Salem Battery Storage 407 Electric Road Approved Union Street Plaza 630 Union Street In Review Industrial Development - New Buildings 416 Electric Road In Review Steelton Mill Subdivision 1401 Penley Boulevard Approved New Cell Tower 319 Rowan Street Approved Storage Building 730 Kessler Mill Approved Carter Machinery Access Road Extension 444 Glenmore Drive Approved Virginia Varsity Fuel Tanks 2087 Apperson Drive Approved Carter Machinery Tractor Bay Expansion 1330 Lynchburg Turnpike Approved Phoenix Warehouse Renovation 1501 Roanoke Boulevard Approved Parking Improvements 2245-2259 West Main Street Approved McDonald's renovation 101 Electric Road In Review Gravel Lot 1357 Southside Drive In Review Domino's Upfit 105 East 4th Street Approved Page 47 of 81 2025 Subdivision Plats - Approved Administratively Street Type of Plat Mabes Pulaski Street Vacation/Combination Upland/Baier Drive Vacation/Combination Tara Lane Lot Line Adjustment Kimball Avenue Subdivision 4th Street Vacation/Combination Butt Hollow Road Survey Upland/Baier Drive Vacation/Combination Upland Drive Subdivision West Main Street Combination/Resubdivision Thompson Memorial Drive Combination/Vacation 12 O'clock Knob Road Survey Indiana Street Vacation/Combination West Main Street Vacation/Combination East Main Street Vacation/Combination Fairview Avenue Vacation/Combination West Calhoun Street Vacation/Combination West Main Street Survey Craig Avenue Combination/Resubdivision Penguin/Mountainview Drive Combination/Resubdivision Page 48 of 81 2025 0 50 100 150 200 250 300 350 400 450 Permits Issued - 553 Zoning - 404 ROW - 1 HOP - 96 Energy Storage-1 Urb Ag - 3 Signs-47 Telecomm-1 Page 49 of 81 2025 2025 was an eventful year for the Back to Salem’s Future comprehensive planning effort. During the first quarter, open houses were held to provide the community with an opportunity to review and comment on details related to the document’s primary content - major themes and strategies. After a thorough review of public feedback and final drafting/organizing of complementary chapters, the final draft of Back to Salem’s Future: Plan 2045 was released publicly for review and input. The plan touches on a litany of topics, including transportation, housing, parks, commercial redevelopment, and much more. With the understanding that these topics rarely operate independently from one another, the plan is thoughtfully organized into themes and strategies specifically designed to capture that natural overlap. Prior to the plan’s presentation to Planning Commission in September, the Virginia Department of Transportation issued a memo confirming the plan’s consistency with broader regional and state transportation plans. Planning Commission unanimously recommended approval of the plan in September, and after a series of subsequent textual tweaks, the plan was ultimately adopted by City Council in December of 2025. Perhaps the most important element embedded in the planning process and the document’s presentation is a commitment to regularly review the plan and its progress to ensure it remains relevant and actionable for years to come. Page 50 of 81 This report is respectfully submitted pursuant to Section 15.2-2221(5) of the Code of Virginia. 2025 Page 51 of 81 Item #: 6.D. AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: March 23, 2026 AGENDA ITEM: Delegation of Authority to Staff for Electric Energy Supply Congestion Risk Management Actions - Resolution 1521 Consider delegating authority to the Electric Utility Director, Interim Electric Utility Director, or Finance Director to execute actions necessary to manage congestion risk for the City's energy supply. SUBMITTED BY: Rob Light, Assistant City Manager/Clerk of Council SUMMARY OF INFORMATION: The City of Salem incurs transmission congestion costs associated with the delivery of its fixed energy shape delivered to its wholesale supply points, with congestion exposure from AEP Dayton Hub to Blue Ridge Aggregate. Effective management of congestion risk is necessary to mitigate pricing exposure during the transportation of energy and supports the City of Salem’s electric goals of rate stability, budget predictability, and risk management. The City obtains congestion hedges through Financial Transmission Rights (FTRs) and purchases through existing and new EEI Agreements to mitigate congestion risk. The City finds it in the best interest of the City of Salem to delegate authority to designated officials to take timely and necessary actions to manage transmission congestion risk within defined financial parameters from the period of June 1, 2026, through December 31, 2028. The not-to-exceed cost requirement for congestion hedges is set at seventy-five percent (75%) of the City’s previous congestion estimate received from suppliers, a value of $2.4 million over the 31 month authorization period. Advisory support from GDS Associates, Inc. may be used to identify, evaluate and recommend congestion management opportunities within the approved not-to-exceed parameters, including coordinating FTR bids with AEP Energy Partners and pursuing congestion hedging agreements with qualified counterparties. Staff is requesting that City Council authorize the delegation of authority to the Electric Utility Director, Interim Electric Utility Director, or Finance Director to execute the following on behalf of the City of Salem: Page 52 of 81 1. Convert awarded congestion hedges to financial instruments that, as appropriate, provide appropriate protection of risk for congestion hedge values (Financial Transmission Rights, FTRs), 2. Bid on and purchase Financial Transmission Rights, as appropriate, to provide appropriate protection of risk for congestion hedge values (Financial Transmission Rights, FTRs), 3. Negotiate and execute congestion hedging agreements with City counterparties to provide appropriate protection of risk for congestion hedge values, 4. Negotiate and amend agreement with AEP Energy Partners for scheduling services, as appropriate, to accommodate any adjusted requirements from such congestion hedges. FISCAL IMPACT: STAFF RECOMMENDATION: Staff recommends Council consideration of Resolution 1521. ATTACHMENTS: 1. Resolution 1521 Delegation of Authority - Managing Transmission Congestion Risk (Salem Draft) Page 53 of 81 IN THE COUNCIL OF THE CITY OF SALEM, VIRGINIA, MARCH 23, 2026 RESOLUTION #1521 A RESOLUTION DELEGATING AUTHORITY TO THE ELECTRIC UTILITY DIRECTOR, INTERIM ELECTRIC UTILITY DIRECTOR, OR FINANCE DIRECTOR TO EXECUTE ACTIONS NECESSARY TO MANAGE CONGESTION RISK FOR THE CITY’S ENERGY SUPPLY Page 54 of 81 2. Bid on and purchase Financial Transmission Rights, as appropriate, to provide appropriate protection of risk for congestion hedge values (Financial Transmission Rights, FTRs), 3. Negotiate and execute congestion hedging agreements with City counterparties to provide appropriate protection of risk for congestion hedge values, 4. Negotiate and amend agreement with AEP Energy Partners for scheduling services, as appropriate, to accommodate any adjusted requirements from such congestion hedges. BE IT FURTHER RESOLVED, that the Electric Utility Director, Interim Electric Utility Director, or Finance Director, must provide verbal or written approvals during the period of June 1, 2026 – December 31, 2028; and BE IT FURTHER RESOLVED, that the not-to-exceed cost requirement is established at 75% of previous congestion estimates received from suppliers, valued at $2.4 million over the total period of 31 months; and BE IT FURTHER RESOLVED, that GDS Associates, Inc. (GDS) will provide recommendations to Salem staff for appropriate congestion management opportunities and their estimated costs within approved not-to-exceed parameters; and BE IT FURTHER RESOLVED, that GDS will coordinate FTR bids with AEP Energy Partners and/or develop congestion agreement with counterparties willing to sell the congestion hedge to Salem. Upon a call for an aye and a nay vote, the same stood as follows: John Saunders – H. Hunter Holliday – Byron Randolph Foley – Anne Marie Green – Renée F. Turk – ATTEST: H. Robert Light Clerk of Council Page 55 of 81 Item #: 6.E. AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: March 23, 2026 AGENDA ITEM: Opioid Settlement - Resolution 1522 Adopt Resolution 1522 approving the City's participation in the proposed combined settlement agreement resolving opioid-related claims against Associated Pharmacies, Inc. (and American Associated Pharmacies); J.M. Smith Corporation; Louisiana Wholesale Drug Company, Inc.; Morris and Dickson Co.; North Carolina Mutual Wholesale Drug Company, Inc.; and United Natural Foods, Inc. (Including its subsidiaries Supervalue and Advantage Logistics). SUBMITTED BY: Jim Guynn, City Attorney SUMMARY OF INFORMATION: In 2021, national settlements were reached with multiple opioid distributors to bring needed resources to communities harmed by the opioid epidemic. A framework was established in each state to effectuate the allocation and utilization of funds from these initial settlements, as well as future settlements. The Commonwealth of Virginia established the Opioid Abatement Authority (OAA) for this purpose. The City opted to participate in the consolidated legal opioid settlements in order to receive a share of the available funds. In addition to addressing impacts of the opioid epidemic, the funds may be utilized for overall substance abuse prevention and recovery related programs. Additionally, the City applied for and received a direct grant from the OAA in the amount of $45,000 for use in engaging a consultant to assist in developing a plan to most effectively utilize and leverage opioid settlement funds. The City has contracted with Rulo Strategies for this purpose. A settlement proposal has been negotiated that will cause six opioids defendants, Associated Pharmacies, Inc (and American Associated Pharmacies); J M Smith Corporation; Louisiana Wholesale Drug Company, Inc.; Morris and Dickson Co.; North Carolina Mutual Wholesale Drug Company, Inc.; and United Natural Foods, Inc. (including its subsidiaries SuperValu and Advantage Logistics) (“Six Remnant Page 56 of 81 Defendants”) to pay approximately $97,625,000 nationwide to resolve opioid-related claims by state subdivisions against it. The City will be entitled to a portion of the settlement proceeds despite not having filed suit against any of the Six Remnant Defendants. The City seeks recovery of the public funds previously expended and to be expended in the future to abate the consequences and harms of the opioid epidemic. The City's outside opioid litigation counsel has recommended that the City participate in the Six Remnant Defendants settlement in order to recover its share of the funds that the settlement would provide. The City Attorney has reviewed the available information about the proposed settlement and concurs with the recommendation of outside Counsel. FISCAL IMPACT: The City will recover its share of the funds that the settlement would provide. STAFF RECOMMENDATION: Staff recommends Council consideration of Resolution 1522. ATTACHMENTS: 1. Resolution 1522 - Approval of Settlement with Group of Six Remnant Defendants - Salem Page 57 of 81 IN THE COUNCIL OF THE CITY OF SALEM, VIRGINIA, MARCH 23, 2026: RESOLUTION 1522 Page 58 of 81 NOW THEREFORE BE IT RESOLVED that the City Council for the City of Salem, this _____ day of ___________, 2026, approves of the City’s participation in the proposed settlement of opioid-related claims against the Six Remnant Defendants and their related corporate entities, and directs the City Attorney and/or the City Manager to execute the documents necessary to effectuate the City’s participation in the settlement, including the required release of claims against the Six Remnant Defendants. Page 59 of 81 Item #: 6.F. AT A REGULAR MEETING OF THE CITY COUNCIL OF THE CITY OF SALEM, VIRGINIA HELD AT CITY HALL MEETING DATE: March 23, 2026 AGENDA ITEM: Approval of Donation to The Preston Place Preservation Foundation, Inc. - Resolution 1523 Consider approval of a donation to The Preston Place Preservation Foundation, Inc. in the amount of $35,000 in order to provide support for initial basic expenditures. SUBMITTED BY: Chris Dorsey, City Manager SUMMARY OF INFORMATION: Preston Place, located at 1936 East Main Street, was built in 1821, is the oldest home in the City of Salem, and was donated to the Salem Historical Society in 2014 by the Brown family. The Salem Historical Society invested significantly in maintaining the property and worked to generate revenue to support continued preservation by leasing the property for compatible uses. They have now determined that seeking new ownership to provide for the long-term preservation was in the best interest of Preston Place. A group of engaged citizens formed the Preston Place Preservation Foundation, Inc., a 501(c) (3) non-profit organization to preserve, protect, maintain, and interpret Preston House as stated in their Articles of Incorporation. Preston Place has been conveyed to the Preston Place Preservation Foundation, Inc. for this purpose. The Preston Place Preservation Foundation, Inc. has formally requested $35,000 in support from the City for initial basic expenditures as per the provided budget which is included in this agenda packet. FISCAL IMPACT: The fiscal impact is $35,000. Funding is available in the General Fund Contingency Account. STAFF RECOMMENDATION: Staff recommends Council consideration of Resolution 1523. Page 60 of 81 ATTACHMENTS: 1. Preston Place Letter of Request 2. Preston Place Articles of Incorporation 3. BYLAWS 4. Resolution 1523 Preston Place Page 61 of 81 Page 62 of 81 Page 63 of 81 Page 64 of 81 Page 65 of 81 Page 66 of 81 Page 67 of 81 Page 68 of 81 Page 69 of 81 Page 70 of 81 Page 71 of 81 Page 72 of 81 BYLAWS Article I NAME 1. The name of this Corporation is The Preston Place Preservation Foundation, Inc. 2. Its object is to administer the Corporation known as The Preston Place Preservation Foundation (PPPF), Inc. Article II OFFICERS 1. The officers of this Corporation shall consist of a President, a Vice-President, a Secretary and a Treasurer and such officers as the Board of Trustees may from time to time determine. The President and Vice-President must be Trustees; other officers need not be Trustees. All officers shall be elected at the annual meeting of the corporation and shall serve until the next annual meeting or at the pleasure of the Corporation but in no event beyond the time when other officers shall be elected. 2. Any individual may hold two offices by vote of the Board of Trustees, providing such dual office holding is not in conflict with any state law. Page 73 of 81 ARTICLE III DUTIES OF OFFICERS 1. The president shall sustain an executive and advisory relation to the work and policies of this Corporation. They shall preside at all meetings at which they are present. They shall discharge such other duties as may be required of them by the Trustees. 2. In the absence or disability of the president, the vice-president shall exercise all their functions. 3. The secretary shall have custody of the corporate seal, issue notices of all meetings of the Board of Trustees and keep minutes thereof in books provided for that purpose. The Secretary shall keep proper records of all appropriations and authorizations of expenditures and pledges made. The Secretary shall keep a record of the securities, contracts, mortgages, deeds of trust, leases, deeds, records, publications and other property belonging to the corporation. They shall sign or countersign all instruments that require their signature. They shall make such reports as the Board of Trustees may require. The Secretary shall discharge such other duties as the Board of Trustees may impose. The duties of the secretary may be discharged by assistants or employees acting under their supervision and direction. 4. The Treasurer shall be an elected individual. The Trustees may contract with a financial institution of recognized standing to act as fiscal agent and to perform all or part of the duties of the treasurer. Subject to such provisions as may be made from time to time by the Board of Trustees, the treasurer or fiscal agent shall have the custody of all moneys, funds, securities, contracts, mortgages, deeds of trust, leases and deeds of the Corporation and shall keep proper books of account thereof, which books shall at all times be open to inspection by any Trustee. The treasurer or fiscal agent shall deposit the moneys and securities of the Corporation in such depositories on such terms and conditions as the Board of Directors may Page 74 of 81 direct and when so deposited the treasurer shall not be personally responsible for their safekeeping. The treasurer shall render such reports relating to the moneys, funds, securities, investments and financial affairs of the Corporation as may be required of the Treasurer from time to time by the Board of Trustees. The Treasurer shall sign or counter-sign checks, stocks, securities, contracts, mortgages, deeds of trust, leases, deeds and such other instruments as shall require the treasurer’s signature and shall perform all duties incident to their office or that are required of the treasurer by the Board of Trustees. The treasurer shall not pay out any money, invest funds, transfer or transfer or dispose of any securities or other property except on the authorization of the Board of Trustees and only with such conditions as they may impose. The duties of the treasurer may be discharged and the treasurer’s books and records kept, by assistant treasurers acting under the treasurer’s direction. All financial accounts will require two signatories to establish an account: The Treasurer and one other officer as designated by the Board. Only one signature will be required except in the event any amount over $500 shall require the two authorized signatories. 5. Assistant secretaries, assistant treasurers and other officers which the Board of Trustees may from time to time create and appoint shall perform such duties as may be required of them by the Board of Trustees. ARTICLE IV MEETINGS 1. The annual meeting of the Board of Trustees shall be held on the first Thursday of November of each year, at such time and place as may be determined by the President. 2. Special meetings of the Board of Trustees may be convened at any time upon the request of the president, vice-president or any three members Page 75 of 81 of the Board of Trustees, provided that a notice of at least three days is given by the officers or Trustees calling same. 3. A fifteen-day notice of all annual meetings and a three- day notice of all special called meetings will be sent by mail, electronic mail or text message to each trustee to their address, electronic mail or phone number on file in the office of the secretary. 4. Trustees may attend remotely by virtual meetings at the discretion of the President. 5. Actual presence of a trustee at any meeting shall constitute a waiver of any notice above provided as to such trustee. ARTICLE V QUORUM 1. A quorum at any annual, regular or special meeting shall consist of a majority of the elected trustees as provided in the Articles of Incorporation establishing this Corporation. 2. Annual or Special meetings at which a majority of the elected trustees are not present and at which there is no quorum, may be held and business transacted; but no action shall be valid unless approved at a meeting in which a quorum is present. ARTICLE VI COMMITTEES 1. The Board of Trustees may create standing and/or special committees with such powers and duties as the said Board may determine. Page 76 of 81 ARTICLE VII 1. These bylaws may be amended at any annual or special meetings of the Board of Trustees, provided that notice of the proposed amendment be given in writing to all the Trustees at least ten days before such a meeting. A simple majority of Trustees present at such a meeting shall be sufficient to amend these bylaws. ADOPTED: November 6, 2025 Revised January 8, 2026 Page 77 of 81 IN THE COUNCIL OF THE CITY OF SALEM, VIRGINIA, MARCH 23, 2026: RESOLUTION 1523 RESOLUTION SUPPORTING A DONATION TO THE PRESTON PLACE PRESERVATION FOUNDATION, INC. WHEREAS, Preston Place, located at 1936 East Main Street was built in 1821 and is the oldest h ome in the City of Salem; WHEREAS, Preston Place was donated to the Salem Historical Society in 2014 by the Brown family; WHEREAS, the Salem Historical Society invested significantly in maintaining the property and worked to generate revenue to support continued preservation by leasing the property for compatible uses; WHEREAS, the Salem Historical Society determined that seeking new ownership to provide for the long-term preservation was in the best interest of Preston Place; WHEREAS, a group of engaged citizens formed the Preston Place Preservation Foundation, Inc., a 501 (c) (3) non-profit organization to preserve, protect, maintain, and interpret Preston House as stated in their Articles of Incorporation; WHEREAS, Preston Place has been conveyed to the Preston Place Preservation Foundation, Inc. for this purpose; WHEREAS, the Preston Place Preservation Foundation, Inc. has formally requested support from the City for initial basic expenditures as per the provided budget which is attached; WHEREAS, the City of Salem recognizes the important historical significance of Preston Place and wishes to provide support to the Preston Place Preservation Foundation, Inc. for their established purpose; NOW, THEREFORE IT BE RESOLVED by the Council of the City of Salem, Virginia that Council provide $35,000 for initial basic expenditures as outlined and provided for per the attached provided budget to the Preston Place Preservation Foundation, Inc. Page 78 of 81 Upon a call for an aye and a nay vote, the same stood as follows: ATTEST: H.Robert Light Clerk of Council John Saunders - H.Hunter Holliday Byron Randolph Foley Anne Marie Green - Renee F. Turk- Page 79 of 81 Nonprofit Name: The Preston Place Preservation Foundation. Inc. Fiscal Year: 2026 Budget Approved by: Board of Directors -March 4. 2026 Anticipated Income Revenue Source: City of Salem seed money Matchingfuncls donations Total Anticipated Expenses Expense category: Insurance Basic Insurance Umbrella Lawn care/mowing Internet/phone Office Supplies l(itchen equip/water l1eatcr CompL1ter & monitor Security Monitoring System Maintenance/repairs Part time staff P.O. Box Website/MarketingNol Mgt Lawn Furniture Utilities lndoo r furnishings Licenses Events Fireproof Safe Housekeeping & supplies Total Page 1 of 2 ProJectecl Amount: $35,000 S._35.000 $70,000 ProJectecl Amount: $3,678 $1,610 $4,500 $1.020 $ 500 $3,750 $ 750 $ 540 $10,000 $15.000 $ 300 $ 600 $ 750 $12.000 $1,000 $ 300 $1,000 $1,250 $ 750 $59,298 Page 80 of 81 Projected Surplus/Reserve S10, 702 (to be allocated to emergency reserve fund} Board Approval Statement The Board of Directors has reviewed and approved the above budget for the fiscal year 2026, affirming that it aligns 'Ntth the organization's mission, strategic goals and financial policies. Signatures: r'/ ·� )-7 /A/� "'L ✓-'-12�--ry��-- oave Robbins. President Susan Garrison, Treasure, Page 2 of 2 Date: Page 81 of 81