New York City Housing Authority:

The New York City Housing Authority plans to cut its workforce by 500 positions, marking the largest round of layoffs since its founding nearly 75 years ago. Faced with a $225 million deficit, the agency also plans to use $100 million in federal funds earmarked for capital projects to pay for day-to-day expenses, which flies in the face of prudent fiscal planning. Officials blamed the budget crisis squarely on the federal and state governments. During the past two years, the feds and the state have failed to provide $594 million in requested aid. The 500-person staff reduction, to be implemented Oct. 1, represents about 4% of the authority's 12,700-person workforce. The layoffs are expected to hit employees throughout the authority, from senior management to the lowest levels.