Mayor and City Council Reach Budget Deal

Twenty New York City fire engine companies that were in danger of being eliminated have been saved under a new budget deal for the next fiscal year.

Mayor Michael Bloomberg and City Council Speaker Christine Quinn reached an agreement late Thursday on a $63 billion budget for the fiscal year beginning July 1.

The city's spending plan restores about $300 million in funding Bloomberg had proposed cutting to plug budget gaps.

Part of that is due to expected cuts in state funding. The state is nearly three months late on its budget. Early proposals in January envisioned cutting aid to New York City by as much as $1.3 billion.

The city still had to make about $1 billion in cuts. Those include closing some senior centers and eliminating thousands of jobs.