The purpose of this study was to determine the long-term response of understory vegetation in the desert grassland of southeastern Arizona, USA, to removal and regrowth of mesquite Prosopis juliflora (Swartz) DC. var. velutina (Wooton) Sarg. trees. The study involved 3 treatments applied to mesquite in 1966; mesquite left intact (MI), mesquite removed (MR), and mesquite removed, sprouted, and regrown (MRS). Vegetation responses to 2 litter treatments, litter intact (LI) and litter removed (LR), also were examined. Cover of understory vegetation and juvenile mesquite (< 1.5 m height) were measured in canopy and open (intercanopy) locations. Major changes between 1967 and 1991 were increased cover of juvenile mesquite, shrubs, halfshrubs, bush muhly Muhlenbergia porteri Scribn., and Lehmann lovegrass Eragrostis lehmanniana Nees., and a decline in cover of Arizona cottontop Digitaria californica (Benth.) Chase, and plains bristlegrass Setaria macrostachya H.B.K. Arizona cottontop, plains bristlegrass, and bush muhly were more abundant in canopy locations; black grama Bouteloua eriopoda Torr. and Lehmann lovegrass were more abundant in open locations. Lehmann lovegrass cover was lowest in canopy locations of the mesquite intact treatment. Combination of the mesquite removed and sprouted and litter intact treatments favored increased cover development of native perennial grasses. Litter removal enhanced cover development of Lehmann lovegrass, most likely through increased amount of red light and increased soil temperature fluctuations. Low levels of understory cover (22% average) probably facilitated recruitment of mesquite and other woody plants. Our observation that the greatest cover of Arizona cottontop, plains bristlegrass, and bush muhly occurred in the canopy location of the mesquite intact treatment suggests a potential strategy for maintaining diversity of native perennial grasses. Mature mesquite should be examined as a refuge for native species.