City agencies asked to outline spending cuts

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City agencies, including the NYPD and FDNY, could face job cuts as City Hall asks for budgets to be trimmed by as much as 8 percent over the next 21 months because of looming revenue shortfalls.

In a letter sent out Friday, budget director Mark Page asked agency heads to curtail spending and come up with plans to trim $2 billion through June 2014.

Nonuniform agencies need to cut spending by 5.4 percent in the current fiscal year ending June 30, 2013, and another 8 percent the following year, Page said.

Uniform services are being asked to reduce spending by 2.7 percent in fiscal 2013 and 4 percent the following year. The Department of Education is being asked to cut 1.6 percent and 4 percent, respectively.

"Targets may be met by reductions in personal services costs," said Page, noting that the size of the cuts could increase or decrease, depending on further revenue fluctuations.

Agency heads have until Oct. 4 to come up with plans to achieve the cuts.

Marc LaVorgna, spokesman for Mayor Michael Bloomberg, said that while the budget for the current fiscal year is balanced, estimates show that a gap of $2.5 billion is projected for next year.

The shortfall could grow to $3 billion in 2015, LaVorgna warned.

The city had counted on additional revenue of up to $1 billion from a plan to expand the sale of taxi medallions, but that move has recently been stopped by the courts.

If implemented, the latest round of budget cuts to close the gap would be the 12th such action taken by the Bloomberg administration since 2007.

Earlier rounds of cuts saved an estimated $6 billion, LaVorgna said.

The city's budget is just more than $69 billion and by law must be balanced.

NYPD spokesman Paul Browne said the department is examining the latest budget cut request and could not say immediately how it would proceed.

The city has about 35,000 officers on the force, about 6,000 fewer than in 2011.

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