City facing loss of revenue

A slowing economy fueled by the crisis in the housing market is forcing Los Angeles to deal with its first drop in revenue in more than a decade - with plans being developed to cut spending by some $75 million in midyear. Daily News.

"In some respects, we are facing an unprecedented situation," City Administrative Officer Karen Sisson said Friday.

"We have not had a loss of revenue to this extent ever - and the last time we saw revenue drop at all was during the recession of the 1990s."