City loses $1.5B in economic crisis

 
The economic crisis will cost the city about $1.5 billion in projected tax revenues over the next 20 months, Mayor Michael Bloomberg said yesterday. The city budget in the fiscal year ending June 31, 2009 is so far $500 million short, and next year’s projected deficit of $2.3 billion has increased by another $1 billion. Bloomberg has indicated he wants to end the city’s 7 percent property tax reduction in January, which would generate $600 million over six months and fill the new revenue gap.