Tucson council hears budget update, advances zoning tool and median ban; homelessness, opioid plans and flood concerns draw debate

Tucson’s mayor and council on March 18 heard a budget progress report that included a $17,800,000 placeholder for compensation changes in the draft fiscal year 2026 budget, advanced a zoning tool intended to spur infill housing along arterials, and approved an ordinance that bans occupying traffic medians. The council continued a contested rezoning proposal for the La Mariposa area after neighbors and independent hydrology experts raised flood and sedimentation concerns, and split over new ordinances aimed at prohibiting camping in washes and parks.

City Manager Mr. Tamir told the council the administration is “still working on a comprehensive compensation plan” and that April 8 will bring additional details. The budget working papers shown to the council include $17,800,000 “programmed into the FY26 budget” to address compensation through three tracks: in‑range pay placement, market adjustments and pay progression. Staff said some of the work will be phased, with portions effective July 1 and other market adjustments implemented later in the year.

The compensation discussion came in a broader update on the FY26 financial plan. Director Angel Ozomolam and other staff reviewed a draft five‑year capital improvement program totaling $2,100,000,000 (FY26–30) with $683,300,000 proposed for FY26. Major proposed expenditures in the FY26 CIP briefing included $145,600,000 for water utility projects (the northwest well treatment project and the Tucson Airport remediation program were highlighted), $94,300,000 anticipated from the Better Streets, Better Streets program (Prop 411) for street improvements, and parks and public safety projects including an $18,400,000 South Side police and fire complex. The presentation noted a $33,500,000 estimated cost for a northwest wells treatment system and an approximately $27,000,000 cost for airport remediation; staff said the Arizona Department of Environmental Quality has provided $25,000,000 for the airport project’s design and construction.

Budget director comments repeatedly returned to the FY27 structural challenge if anticipated state revenue changes and the failure of a local ballot measure leave gaps. The manager said the immediate FY26 impacts are manageable but that FY27 will be “much harder” and urged “very strategic” review of new spending requests.

Homelessness response and opioid settlement

The council received an update on unsheltered homelessness and on steps to coordinate a regional opioid response. Community Safety program director Brandy Champion told the council the city’s encampment assessment and outreach teams track cases through a tier system and reported ongoing shelter operations: a city temporary extreme weather and respite shelter operating in a partner hotel with 137 people (93 adults and 44 children) and several partner‑operated sites. Champion said coordinated efforts using the HUD rapid‑housing grant have assessed thousands of people since October 2022 and reported that “since January of 2024 ... 2,405 participants have been assessed and 119 successfully housed.”

Council members and staff also discussed proposals to use opioid settlement funds to support a sobering or safer center and a possible detox facility; the city manager said meetings with Pima County leadership were planned and that the city would ask the county and the local task force that allocates opioid settlement money to evaluate such options. Several council members, the manager and Brandy Champion urged a multi‑partner approach that adds low‑barrier shelter and treatment capacity while considering court, law‑enforcement and health partners’ roles.

Ordinances and votes at a glance

- Median occupancy ordinance (Ordinance 12149): adopted. The revised text prohibits occupying medians in certain locations for purposes other than lawfully crossing the street; staff and public safety chiefs said medians are not designed for pedestrian occupancy and that a share of pedestrian injuries occurred at or immediately adjacent to medians.

- Washes and parks camping ordinances (Ordinance 12150 and related revisions): failed to secure a majority vote. Council discussion emphasized competing priorities — pedestrian and wildfire/flood safety cited by proponents, and concerns about where people would go if camping locations were restricted cited by opponents. Because votes split, the proposed wash/park camping restrictions did not pass at this meeting.

- Community Corridors Tool amendment to the Unified Development Code (Ordinance 12152): passed. The zoning amendment creates an optional “community corridors” overlay that aims to encourage mixed‑use and transit‑oriented infill on arterials and collectors by offering alternative development standards (height/density/parking incentives) and incentives for affordable housing; planning staff and the planning commission recommended adoption with a two‑year review and several technical clarifications. The mayor and council adopted a motion that also requires notice to nearby neighborhood associations, property owners within 400 feet and the ward office prior to filing certain CCT applications.

- Rezoning / development votes: the council adopted Ordinance 12147 (Circle K at Valencia & Nogales, rezoning and site changes), and Ordinance 12146 (Kolbe at Irvington, a 17‑acre planned area development rezoning). The council continued action on the Casita Village at La Mariposa rezoning (staff and applicant agreed to return with further technical work after neighbors and independent experts flagged floodplain, sediment and drainage uncertainties).

- Executive‑session settlement direction: the council voted to authorize the city attorney to settle an executive‑session claim for $55,000 and directed staff to proceed “as discussed in executive session.”

Why the median ban and camping proposals split the council

Council discussion showed sharp differences in approach. Supporters of median and wash/park restrictions framed the measures as public‑safety tools that provide clearer, more enforceable local rules; staff said the revised median language removes references to constitutionally protected expressive conduct and instead focuses on pedestrian safety in medians, limiting the rule to medians on streets with certain posted speeds. Opponents of the wash/park prohibitions cautioned that restricting places where people sleep without immediately available alternatives risks pushing people into alleys or private property, or worsening life‑safety hazards. Several council members asked for clearer transitional plans and more shelter capacity before adopting broad prohibitions.

Casita Village at La Mariposa: zoning continued after flood concerns

A large public turnout opposed a rezoning application near La Mariposa (the “Casita Village” proposal). Neighbors and independent hydrology consultants raised concerns about floodplain mapping, sediment flows, basin capacity, and model uncertainty; speakers described repeated historic flooding on Bonanza and Agua Caliente washes and presented first‑hand accounts. The applicant said it had received a CLOMA/FEMA review for its current plan and that much of the project was revised to remove housing from the 100‑year floodplain. After a lengthy public hearing and technical presentations from independent hydrologists, the council voted to continue the item to allow additional technical work and stakeholder discussions.

Context and next steps

City staff emphasized that many items remain in discussion: the FY26 budget work will continue through April meetings (Council will receive another compensation briefing on April 8 and the recommended budget on April 22), the city will pursue additional meetings with county partners on shelters, opioid settlement spending and a possible safer/sobering center, and planning staff will implement the community corridors tool while monitoring outcomes and returning with a review in two years.

Ending

Council members said they intend to keep working on cross‑departmental solutions for housing, public safety and infrastructure while continuing to brief the public and neighborhood groups. Several council members urged residents to follow upcoming study sessions and budget briefings for more technical detail and to track how the city proposes to translate the new zoning tool and the budget items into contracts and projects.