Mayor Bloomberg has agreed to a compromise budget deal with the City Council that will raise property taxes 18 percent and create a blue-ribbon panel that will decide whether to close eight fire companies.
The deal, reached late yesterday, was announced by City Council Speaker Gifford Miller after hours of deliberation.
“The mayor sent us some very difficult and aggressive proposals,” he said. “We take these steps having taken a great deal of time, energy and thought to them and we are committed to continue to work together.”
Bloomberg, who wanted a 25 percent hike, said late yesterday that he was happy with the deal.
“We are pleased that the City Council recognizes the severity of the city’s fiscal situation and is willing to take the actions necessary to close the budget deficit,” he said. “We will continue to work with the council to finalize this agreement as soon as possible.”
The deal is expected to be finalized early next week.
These are the major points of the agreement:
* A promise not to close firehouses without further deliberation.
* An 18 percent property tax hike.
* A tax on absentee landlords.
* Spending cuts totaling $844 million.
The council found a way to restore nearly $50 million to several agencies, though cuts were found to make up for that in other areas.
The council dropped Bloomberg’s plan to cut 37 ambulance tours, close 2,500 day care centers and discontinue weekend meals at senior centers.