Company: SAIC Inc

Nearly half a billion dollars in settlement money that some advocates had hoped would turn into a windfall for struggling social services programs must instead be used to cover an unexpected budget shortfall in New York City, Mayor Michael Bloomberg's office said Wednesday.

(Reuters) - New York City expects a total budget gap of $495 million for the current and next fiscal years due to weaker profits on Wall Street than previously forecast, although funds from a legal settlement will largely fill the gap, an administration source said on Wednesday.

New York City Mayor Michael Bloomberg says nearly half a billion dollars in settlement money stemming from a massive fraud should go to fill an unexpected gap in next year's city budget.

(Reuters) - New York City collected $6.79 billion from personal income tax in the first 10 months of its fiscal year ending in April, up about $211 million from the same period in 2011, though Wall Street bonuses were a bit weaker than expected, a source familiar with the matter said on Wednesday.