Preschool and daycare are not the same things, though daycares will often be called preschool. If you want daycare, then yes, it's EXPENSIVE for the 2 and under, and not so cheap for those less than 5. The price you quoted sounds to me like it would be full time care for a child, 5 days a week.
If you want a preschool, very often those are part time, 2-3 days a week. Those run $150-$300 a month where we live. Still not cheap, but affordable. Co-op preschools tend to be on the lower end.
If what you quoted was actual preschool (3 hours a day, 2-3 hours a week), then all I can say is that you live in an insanely expensive part of the country!