Tucson council debate budget cuts as city funding for PEAPS faces elimination

Mayor Regina Romero and Tucson city staff presented the city manager’s recommended FY2026 budget at the May 6 meeting and study session, drawing extended discussion about public-safety and early-childhood funding. The recommended plan preserves funding for some core services but would remove the city’s $750,000 PEAPS contribution, a move that drew sustained public comment and multiple council members’ pleas to retain at least a short-term allocation.

Why it matters: City-backed preschool scholarships help low-income families pay for center-based early education, which providers and parents told the council is crucial to school readiness and parents’ ability to work. Advocates said cutting the city’s share would force some children out of accredited classrooms and widen disparities for vulnerable families.

Council heard presentations from departments and outside stakeholders before public testimony. The city manager’s recommended budget reflects a projected shortfall and proposes retaining major priorities such as KidCo and much of the general fund’s existing commitments while trimming supplemental requests across departments. Staff said recent federal actions and grant uncertainties — and a $27 million projected gap that staff described during the study session — shaped the recommendation.

Public testimony included preschool teachers, center directors and families who said PEAPS scholarships enabled children to attend accredited classrooms. “The only reason we were able to attend this year was because we qualified for financial aid,” said parent Marissa Johnson, asking council to “please put your values into action and model … investments we hope the county, state and country will make.” Early-childhood directors reported enrollment, safety and quality standards PEAPS supports; preschool providers said the city’s contribution was often matched by county and federal programs.

Some council members pressed alternatives. Councilmember Lane Dahl proposed a one-time $375,000 allocation from unallocated funds to keep the program running for FY2026, arguing the city could bridge the gap while county partners pursued a sustainable solution. Councilmember Cunningham proposed a half‑year allocation. Both proposals were considered during the study session; a full-council roll-call on the Dahl motion failed.

Council members opposing continued city funding cited a county funding shift — county administrators told the council PEAPS would be supported primarily by a library-district tax that county officials said provides long-term funding — and said the city must prioritize other unfunded needs that lack a dedicated revenue stream. Mayor Romero and others noted the city and county had separately adopted the Prosperity Initiative and that local services often complement one another.

Decision points and next steps: The city will hold tentative budget adoption at the May 20 study session and final adoption on June 3. Council members and staff repeatedly emphasized that tentative adoption sets a spending cap; detailed line-item changes can still be made before the June 3 final vote. Advocates asked council to preserve the city contribution for one year while partners develop a sustained revenue plan.

Community reaction: More than a dozen early-education teachers, parents and nonprofit leaders spoke at the public hearing and study session. Providers warned that state-level subsidy waitlists are growing — increasing local demand for programs the city and county fund — and urged the council to avoid a funding gap that would force families to choose less stable care.

The council did not take a final appropriation on May 6. The public record on May 6 includes a defeated motion to allocate $375,000 of one-time funds to PEAPS; council members said additional proposals and outreach with county partners will continue before the city’s final budget vote in June.