The 1050 probably isn't loading anything anymore because U1 LM3086 is fried (Easily happens) or the heads are dirty from reading your old disks (often happens).
Make sure your cartridge socket teeth are not bent and shorting.
You should be able to get into diags with option, that button goes right to the GTIA. Ground pin 12 of the GTIA should do the same thing.
Part of me thinks the BASIC ROM is toast. You could remove that, and it should boot w/o it.
Remember to give time during power cycles, at least 5 seconds.
If you can turn it on now with start down and hear the buzz, that at least signals part of the OS is still working.
Turn on the 1050, then the 800XL, do you still get boot errors? - again signs the OS is working.
StarRaiders doesn't have any diagnostic code (the self test is in the OS ROM). Star Raiders is considered a "diagnostic cartridge" because it has bit set in its own ROM (the diagnostic cart bit) that bypasses much of the OS initialization. SALT probably does too (but I'm not sure).