TUCSON, Ariz. (13 News) - Sierra Vista’s recently approved budget is 25% smaller than last year’s as the city grapples with slower tax growth and decreases in state revenue.

City Manager Chuck Potucek said ongoing economic uncertainty and changes in state budget policy have prompted officials to be cautious with their estimates.

“The biggest anticipated variables of FY26 that helped shape the development of the budget include facing economic uncertainty, current changes in federal spending, and a lack of consumer confidence,” according to budget documents.

Sierra Vista has struggled to grow since the pandemic, as inflation and interest rates have risen.

Inflation and interest rates stopped the flow of people moving in, with the city not seeing construction numbers go up as much as offi

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