Bloomberg won't vow no '08 tax hikes
Saturday, January 12th 2008, 4:00 AM
The city budget crunch could soon hit taxpayers in the wallet.
Struggling to close a $3 billion budget gap after several flush years, Mayor Bloomberg is leaving open the possibility of a property tax increase this year.
"We'll see," Bloomberg said Friday on his WABC radio show when asked by host John Gambling if taxes are going up.
Bloomberg already has ordered city agencies to slice 2.5% from this year's budget, which ends in June, and another 5% to get ready for the next budget.
It's not yet clear whether the cuts will be enough to balance the books, the mayor said.
"That'll be a little tougher," he said. "My hope is we'll be in decent shape. It's certainly going to be a struggle."
Bloomberg will introduce his spending plan at the end of the month. Last year, City Hall cut property taxes 7% and sent homeowners a $400 rebate - two luxuries the administration might not be able to afford now that the economy has worsened.
The Independent Budget Office has projected a $3.1 billion shortfall for the upcoming budget, which begins July 1.
Council Speaker Christine Quinn, a potential 2009 mayoral candidate, will negotiate the budget with the mayor. Quinn (D-Manhattan) refused to say whether she would support a tax increase.
Another Council member, who asked not to be named, said the mayor's doom-and-gloom talk may be a way to keep politicians and the public from complaining about inevitable service cuts.
"He's trying to reduce the squawking by putting out there the alternative," the Council member said.
Any tax increase would have to be approved by the Council, and it would be a tough decision for several term-limited members vying for higher office.
Councilwoman Melinda Katz (D-Queens), who is running for controller, said she did not support a tax increase. Her rival, Councilman David Yassky (D-Brooklyn), said he would rather see city agencies find ways to save money and avoid a tax hike.
Another potential controller candidate, John Liu (D-Queens), would not rule anything out.
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