- The Washington Times - Wednesday, October 10, 2001

From combined dispatches
NEW YORK The mayor yesterday ordered a 15 percent spending cut for all city agencies except uniformed services and education, predicting that the World Trade Center attack would cost the city $1 billion in lost revenue.
Agencies "can't spend all the money they thought they could spend," Mayor Rudolph W. Giuliani said.
He said the $1 billion was a "soft" estimate of the loss to the city of revenue, including taxes from hotels, restaurants and retail sales. They all suffered business losses of more than 50 percent in about two weeks after the Sept. 11 terrorist attack that leveled the World Trade Center, Mr. Giuliani said.
The uniformed services, including the police and fire departments, and the education budget, will face cuts of 2.5 percent, he said.
The cost of repairing the damage caused by the terrorist attack on the World Trade Center will be around $34 billion dollars, Gov. George E. Pataki told reporters yesterday.
"The basic rescue, recovery and rebuilding effort, we estimate that is going to cost, as best as we can quantify it right now, about $34 billion," Mr. Pataki said.
He said the figure was worked out by the city and state governments with business leaders and labor groups and that it included the removal of debris, reconstruction of office space and rebuilding of damaged infrastructure.
Congress has already approved a $20 billion package to help with the rebuilding of the shattered downtown Manhattan area following the Sept. 11 terrorist attack that felled the twin towers of the World Trade Center.
Mr. Pataki said the city and state governments will urge President Bush to set aside an additional $20 billion for New York from the $60 billion to $75 billion economic stimulus package he announced last week.
Mr. Pataki said help was needed in four key areas: aiding small businesses devastated by the attack, boosting unemployment benefits, creating new transport infrastructure and paying for increased security around the region.
In a related development, the state's top Democrat said Monday the assembly won't allow Mr. Giuliani to remain in office for a 90-day transition period after Jan 1. "It's finished," said New York State Assembly Speaker Sheldon Silver, a Democrat from Manhattan whose home district includes the World Trade Center. "I've heard from enough of my [conference] members, and about 85 percent of my members are against it."
The Democratic conference controls two-thirds of the 150-member state assembly.
Mr. Giuliani is barred from a third term because of voter-imposed term limits, but after the primary on Sept. 25 he offered a "unity plan" to the candidates to extend the transition period that ends on Jan. 1 to April 1, 2002.
Yesterday, some of New York City's best students walked back into school for the first time since they looked out their classroom windows to see the nearby trade center under attack.
The reopening of Stuyvesant came as National Guard troops took their posts at bridges, tunnels and train hubs across the city. Officials said New Yorkers and all Americans should get used to living in an atmosphere of heightened security.
As the students walked back into Stuyvesant, they could see a transformed neighborhood: heavy police patrols, National Guard troops in camouflage gear, dump trucks filled with debris motoring past on West Street and the gap in the skyline where the Trade Center had been.

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