Nutter delays cuts in budget for a week

Mayor Nutter said yesterday that he would delay until next week announcing his budget cuts because the city needs more time to fine-tune the plan.

"It is more important that we do this right and do this well," Nutter said. "We're looking at all of our programs, all of our services, all of our facilities and the potential impact, of course, on citizens and our employee workforce."

Nutter will now announce the cuts on Nov. 6 instead of Oct. 30.

The city currently faces a budget shortfall of $841 million over the next five years - and a $100 million gap in this fiscal year. The gaps are largely due to lower-than-expected tax revenues and poor performance by the city's pension-fund investments.

Other cities across the country are facing similar financial hardships. And Nutter noted that the worst may not be over.

"We are trying to hit a moving target as we prepare our response," he said.

Nutter also stressed that although the city has a $4 billion annual budget, much of it is impossible to cut because so much of it is committed to fixed costs like debt service or pension payments. *