Community bemoans insufficient emergency relief in Phoenix budget

PHOENIX (CN) — The Phoenix City Council approved a $2.1 billion budget Tuesday despite objections from residents who say they need more emergency assistance for rising housing expenses.

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 children, youth and family programs. But they asked council members to double the $3.15 million addition to the crisis relief fund, intended to assist families with rent, utilities and other housing expenses that have been on the rise.

Despite more than two hours of public comment asking for more, the council returned on Tuesday with the same numbers it proposed before.

Residents told the council on Tuesday they were disappointed in the lack of action.

“We thank the city for working with us and listening to us to get us this far, but we continue to wait for more,” Phoenix resident Estella Varela said in Spanish.

Residents demanded the fund be doubled to $6.5 million. They also complained the emergency funds are only made available to those who are U.S. citizens.

“Immigrant families especially need the assistance for food, housing and other means while they’re working through the court system or while they’re detained,” a woman named Maria said 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 does find the funds to increase the budget for police funding by $59 million.”

As in previous years, Phoenix police take up nearly half of the city’s general fund budget. The city increased the police department’s budget by 6.6% from the previous fiscal year, now totaling $1.095 billion.

“We’re asking you to put people first,” said a woman named Michelle, representing the nonprofit Poder in Action. “The future is in your hands. If you want to build a better community or if you want to build a police state.”

Council member Betty Guardado responded to residents directly.

“We know this is not enough,” she said. “I wish there was more that could be done.”

Guardado said the city is doing all it can, having already doubled the fund from what was originally just $1.5 million.

“We understand there are so many families out there and they are one flat tire from being homeless,” she said. “We understand how hard it is. We are trying our very best to assist families.”

Council member and former state Senator Anna Hernandez said she asked city budget staff to double the fund again, but staff said it couldn’t be done.

“This ask is not a lot,” Hernandez said. “It only comes up to a half of a percent of the police’s total operating budget for this year.”

She said Phoenix residents are in even more need of help right now because of federal welfare cuts from the Trump Administration.

The city is also setting aside $5 million for childcare 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 to further limit SNAP benefits at the Legislature this year, but were thwarted by Democratic Governor Katie Hobbs’s veto stamp.

Lee Marino, who stood before the council with her six-month-old strapped to her chest, said daycare for her two children will cost her up to $45,000 next year.

“That number really makes you realize how hard it is for a lot of families to swing that,” Marino said. “I think this is a really important investment to make sure that especially women can still participate in the workforce.”

The budget allocates an additional $18.44 million toward homeless services, replacing American Rescue Plan Act dollars that expire at the end of this year. The addition includes $12.9 million for shelter services, $1.5 million for heat relief and $2.5 million for the city’s master leasing program, which contracts with local nonprofits to lift 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 in part support the Shade Phoenix Plan — a lofty goal to plant 27,000 trees and erect 550 shade structures by 2029. Since the program began in November 2024, Hondula said the city has planted 7,000 trees and built 155 shade 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 another $50 million to increase employee compensation.

City council members and Democratic Mayor Kate Gallego voted to approve the budget 9-0.

Next, the council will vote on June 3 to tentatively adopt the proposed budget and again on June 17 to finalize the adoption.

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