Proposition 424, which would have raised an estimated $50 million annually, was trailing with more than 59% of voters opposed — 26,535 ballots — compared with nearly 41%, or 18,190, in support, as of Thursday evening. The results remain unofficial pending final tabulation.

The measure had asked voters to approve a tax increase that would generate roughly twice the size of the budget hole it was meant to fill, a point seized on by the No on 424 campaign, which argued the tax was regressive and would burden working families already struggling with rising costs.

Gabe Hagen, owner of Tempe-based Brick Road Coffee, said he opposed the proposition because it lacked specificity about how the money would be spent.

"We don't want to just write a blank check to people anymore, and that's what this somewhat felt like," Hagen said. "It felt a little rushed, and I think it's time to go back to the drawing board."

Hagen noted that Tempe voters have approved past sales tax measures, in 2010 and 2018, by wide margins — but only when the purpose was clear.

"Tempe voters are not afraid to pass tax increases when we know what it's funding, and it's funding something that we feel is worth it," he said.

Campaign finance filings showed deep institutional backing for the measure. Tempe's police and firefighters unions each contributed $30,000 to the Tempe Forward political action committee in June, and United Phoenix Firefighters added $15,000 in early September. The Yes on 424 campaign had warned that public safety and city services would suffer if the tax failed.

Some voters found that messaging too broad. Hagen said he worried the tax would fall hardest on workers and customers.

"There's a lot of people that are struggling to put food on the table," he said. "At the end of the day, when you come asking for more money for these things that just are not the priority right now — the priority is, can I pay my rent? Can I feed my family?"

The vote comes as affordability concerns are shaping races across the country this midterm cycle. A national voter poll found roughly six in 10 U.S. House voters expressed frustration with fuel and food prices.

In a statement, the Tempe Officers Association reiterated its warning about potential cuts.

"We stand by our warning in the strongest possible terms: The defeat of Proposition 424, if followed by cuts to public safety, absolutely will mean longer emergency response times," the association said. "Tempe officers will continue doing everything they can, but dedication cannot replace the resources needed to respond quickly when people need help."

The Yes on 424 campaign said in a social media post that it respects the voters' decision but warned the underlying problems remain.

"The challenges that inspired Proposition 424 remain," the campaign wrote. "Tempe faces significant financial pressures, and difficult choices lie ahead as our city works to preserve essential services, protect public safety and meet the needs of a growing community."

Mayor Corey Woods, speaking at Thursday's regular council meeting, acknowledged the road ahead.

"We're going to need to get creative, roll up our sleeves and figure out how to do more with less," Woods said, adding that budget discussions will begin next week.

The rejection leaves the city to close its $24 million gap through cuts, efficiencies or alternative revenue sources — a debate that will play out in public in the coming weeks as residents watch which services, including police and fire, are affected.