The City of Phoenix has approved $27 million in cuts to its 2020-21 fiscal year budget for revenue shortfalls due to COVID-19’s anticipated effect on local sales taxes. The next step in the process is for the City Manager to propose a new 20-21 budget by May 5th, with a budget decision from the council needed by May 19th, tentative budget ordinance adoption by June 3rd, a funding plan and final budget ordinance adoption by June 17th and property tax levy ordinance adoption by July 1st.

In addition to moving forward with the budget, the City Council has approved using $26 million in funding from federal grants to combat homelessness, increase housing and rental assistance, and support small-businesses/non-profits with grants or loans. The plan will provide shelter in a hotel to 100 homeless seniors and immuno-compromised individuals to minimize their exposure to COVID-19 as well as provide additional services (including expanded shelter space and assistance in finding and paying for permanent housing) to 200 homeless families and 455 additional individuals.