Philadelphia’s broken record: more budget cuts

    May and June again bring fewer tax dollars than expected. Budget officials know one thing: it doesn’t look good.

    Disappointing Philadelphia tax revenues could force Mayor Nutter to make even deeper spending cuts than those already announced.

    Mayor Nutter has already postponed hiring police and trimmed library hours. Nearly a month ago he told city managers to identify further cuts. With city tax revenues in May and June sagging, there’s a new gloom spreading through city departments.

    James Eisenhower, who heads the state board overseeing the city’s finances says since City Council has already finished with tax and spending bills for the coming year, Nutter would have only one way to plug a new budget hole:

    “The ability to raise revenue has really passed, so he’s really left with the only way to cover these deficits, if they hold true, would be cuts.”

    City budget chief Steven Agostini says he won’t know for a few weeks whether slow tax receipts will force further cuts. Even if they don’t, he says, federal and state budget cuts could have the same effect.

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