The city invested more than $18 million in homeless services, including $1.5 million for heat relief, but residents were also asking for more funding for rising housing costs.
PHOENIX (CN) – The Phoenix City Council on Tuesday approved a $2.1 billion budget, despite objections from residents who say they need more emergency help for rising housing costs.
Earlier this month, residents applauded a budget proposal that added $6.6 million to the general fund for the city’s affordable housing trust fund and $9.4 million for child, youth and family programs. But they asked council members to double an additional $3.15 million in the crisis relief fund, which aims to help families with rent, utilities and other housing costs that have been on the rise.
Despite more than two hours of public comment asking for more, the council returned Tuesday with the same numbers he proposed before.
Residents told council on Tuesday they were disappointed by the lack of action.
“We thank the city for working with us and listening to us to get this far, but we continue to wait for more,” Phoenix resident Estella Varela said in Spanish.
Residents asked that the fund be doubled to $6.5 million. They also complained that emergency funds are only made available to those who are US citizens.
“Immigrant families especially need help with food, shelter and other means while they are working in the court system or while they are detained,” said a woman named Maria in Spanish. “The city says it doesn’t have the funds during this time when people are under attack in unprecedented ways by the federal government. But the city somehow finds the funds to increase the budget for police funding by $59 million.”
As in previous yearsPhoenix police receive nearly half of the city’s general fund budget. The city increased its police department budget by 6.6% from the previous fiscal year, now reaching $1.095 billion.
“We’re asking you to put people first,” said a woman named Michelle, who represents the nonprofit Poder in Action. “The future is in your hands. Whether you want to build a better community or whether you want to build a police state.”
Council member Betty Guardado responded directly to residents.
“We know this is not enough,” she said. “I wish there was more that could be done.”
Guardado said the city is doing everything it can, having already doubled the fund from what was originally just $1.5 million.
“We understand that there are so many families out there and they are one tire away from being homeless,” she said. “We understand how difficult it is. We are doing our best to help the families.”
Council member and former state senator Anna Hernandez said she asked the city’s budget staff to double the funding again, but staff said it couldn’t be done.
“That’s not much of a question,” Hernandez said. “This only comes to half of one percent of the total police operating budget for this year.”
She said Phoenix residents need help even more now because of federal welfare cuts by the Trump administration.
The city is also setting aside $5 million in child care funding for next year to help families who have lost or may soon lose SNAP benefits thanks to the Trump administration. Arizona Republicans tried again further limit SNAP benefits in the Legislature this year, but were stymied by Democratic Gov. Katie Hobbs’ veto stamp.
Lee Marino, who appeared before the council with her six-month-old baby strapped to her chest, said day care for her two children will cost her up to $45,000 next year.
“That number really makes you realize how difficult it is for many families to turn it around,” Marino said. “I think this is a really important investment to make sure that women in particular can still participate in the workforce.”
The budget allocates an additional $18.44 million for this services for the homelessreplacing the American Rescue Plan Act dollars that expire at the end of this year. The addition includes $12.9 million for housing services, $1.5 million for heat relief and $2.5 million for the city’s master rental program, which contracts with local nonprofits to get people out of homelessness and into private apartments.
David Hondula, director of the Office of Heat Response and Mitigation, said the $1.5 million for heat relief will partially support the Phoenix Shade Plan — a lofty goal to plant 27,000 trees and erect 550 shade structures by 2029. Since the program’s inception in November 2024, the city has built 10 trees55, Hondula5 said. shadow structures.
If all goes as planned, the city will end the year with a surplus of more than $160 million. The city is setting aside $75 million to help balance the budget for the next two years and setting aside another $50 to increase employee compensation.
City councilors and Democratic Mayor Kate Gallego voted to approve the budget 9-0.
The council will then vote on June 3 to preliminarily approve the proposed budget and again on June 17 to finalize approval.
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