Phoenix Spending 25 Percent of COVID Relief on Homelessness, Affordable Housing

Phoenix Spending 25 Percent of COVID Relief on Homelessness, Affordable Housing

By Corinne Murdock |

The city of Phoenix plans to spend over 25 percent of its $396 million in COVID-19 relief funds on homelessness and affordable housing initiatives. It is the city’s second-highest expenditure of relief funds after city operations. 

According to the city’s American Rescue Plan Act (ARPA) plan for this year, over $99.5 million will be spent on homelessness and affordable housing. The majority of this, around $75.5 million, is slated to address the homelessness crisis. 

Even with tens of millions allocated to mitigate the homeless crisis, notorious encampments like “The Zone” continue to worsen. City spokespersons informed reporters in September that the city is working to approve contracts and allocate the funds, which expire in 2024.

Earlier this week, the state’s largest homeless shelter told 12 News that they lacked enough resources to meet community needs, though they receive city funding. The city announced on Wednesday that it allocated $8 million to expand shelters for homeless families.

Comparatively, the city’s allocation of relief funds for other initiatives amounted to far less. 

Financial, utility, and rent assistance for low-income families totaled $26 million altogether — about one-fourth of what’s slated for homelessness and affordable housing. Funds to advance the city’s workforce training facility and program, as well as establish workforce tuition and apprenticeship programs, totaled $28.5 million. 

Concerning COVID-19 mitigation, the city allocated $28.9 million for testing and vaccines. From last July until the end of June, the city provided nearly 120,000 tests and 15,700 vaccines.

The city also allocated $28 million for COVID-19 health care expenses for its workers, and another $22 million to give premium pay for its essential workers. The city’s revenue replacement totaled $20 million. It set aside $23 million to rehabilitate a recycling facility and manage stormwater projects with the county’s flood control district.

$6 million went to tuition assistance and college prep for high school students, with another $3 million to update the Mesquite Library. $5.9 million went toward public Wi-Fi, with a small portion of that allocated for laptops and hotspots for the community, and $22 million to improve internet connectivity in certain neighborhoods. 

$8.3 million went to refugees. $10.5 million went to climate-related initiatives: $6 million to plant trees, and $4.5 million to make 200 homes energy efficient. 

Child care-related initiatives received $14.8 million, with the majority slated for airport employee child care and establishing an early childhood education program for 300 children. 

Corinne Murdock is a reporter for AZ Free News. Follow her latest on Twitter, or email tips to corinne@azfreenews.com.

Public School Spending Surged During COVID But Teacher Pay Didn’t Follow Despite Funding

Public School Spending Surged During COVID But Teacher Pay Didn’t Follow Despite Funding

By Terri Jo Neff |

If state lawmakers provided nearly 28 percent more funding to increase the salaries of Arizona’s public school teachers between 2018 and 2021, why did those teachers’ pay only go up 16.5 percent? And how did Arizona’s public schools spend billions of federal COVID funds?

Those are among the questions related to public school expenditures addressed in a policy report released this week by the Goldwater Institute which uses Arizona as a case study to delve into how school districts allocated COVID funds and why teachers have not seen meaningful pay increases dispute funding being made available to their district boards.

The report, “The COVID Funding Flood: How Spending Surged in Arizona’s Public School System Amid the Pandemic Era” by Matt Beienburg contains information which lawmakers, school district stakeholders, and the public can learn from when addressing future school funding issues.

Beienburg, Goldwater’s Director of Education Policy, provides data showing that the flood of taxpayer spending in response to COVID was “ostensibly meant to address the harms of the pandemic” but actually led to a massive overspending of federal funds, triggered a costly cycle of fiscal irresponsibility within K-12 public schools, and prioritized the interests of teachers’ unions “over student wellbeing.”

And during that time, the long-running pattern of public school districts increasing overall spending without meaningfully raising teacher salaries continued, according to Beienburg’s report. It should not be surprising then that district boards and administrations engaged in the same type of redirection when it came to COVID funds, the report notes.

Some key findings of the policy report are:

· Between fiscal years 2018 and 2021, Arizona lawmakers increased funding for teacher pay by 27.9 percent. But district schools provided only a 16.5 percent average teacher pay raise during that time, showing many district boards chose to use the funds for other expenditures and not what the legislators, teachers, and parents understood those funds were being used for.

· Arizona public school districts triggered a massive statewide enrollment decline of nearly 50,000 students as a result of their COVID mitigation protocols (i.e. closures, mask mandates) even as charter school enrollment rose and state and federal taxpayer funding for all public schools surged during the pandemic;

· Arizona school districts spent a significantly smaller proportion of their federal COVID funds (23.6 percent) compared to charter schools (31.3 percent) during the peak of the pandemic through June 2021. This was primarily due to a disproportionately high level of funding that districts have received from legislation but accumulated instead of spending at that time.

· The vast majority of public school districts’ expenditures of federal COVID funds for technology and school facilities upgrades occurred more than a full year after most public schools reopened for in-person learning. This suggests the funds are being primarily used for a non-COVID-related purpose. According to Beienburg’s report, the “COVID-19 pandemic ushered in an era of unprecedented spending on public K-12 schools, yet available evidence suggests that the bonanza of federal spending was almost entirely avoidable and that much of it will likely serve a very different purpose than the one originally sold to policymakers and the public.”

The report recommends that to avoid this sort of institutional failure in the future, policymakers in other states should seek to replicate the steps taken by the Arizona legislature to mandate reporting requirements on the use of all federal COVID stimulus funds.

Beienburg’s full report can be read here.