NEW YORK, NY July 06, 2009 —Mayor Bloomberg has ordered an immediate hiring freeze, and a review of all city contracts, as the ongoing stalemate in New York's State Senate threatens the city's spending plans.

REPORTER: The city stands to lose $60 million in extra revenue this month, and every month thereafter, if the Senate continues to take no action on the city's request for a sales tax hike. On the list of frozen new positions -- 150 firefighters, 34 emergency 911 operators, and 250 police recruits who were to enter the Police Academy this Wednesday.

BLOOMBERG: Does it mean that everything on it is going to get done? it doesn't mean we have to implement any of those things. it depends on what happens in Albany.

REPORTER: Bloomberg says if the Senate inaction continues much longer, he will have to make more cuts to city spending, to keep the budget balanced. State Senators held another special session today. They did not take up any legislation.