City Projects $800M Sequester Hit

City officials are sizing up the impact of the federal government's sequestration cuts. At a city council hearing on the Mayor Bloomberg's preliminary budget proposal Monday, Mark Page, the director of the city's Office of Management and Budget, said the city faced a potential $800 million loss of funds.

But Page said it's hard to know when those cuts will actually start impacting city services given the overlap between the city and federal governments' fiscal years.

He also said he's hopeful federal lawmakers are not done negotiating.

"When the feds are cutting, are they actually applying judgement, or they just running a formula?" Page said. "We would hope that sooner or later they would apply judgement and this program isn't ultimately what we're going to live with."

The cuts would impact New York City's operating expenses, Medicaid, NYCHA, the Health and Hospitals Corporation and Sandy related expenses.