The scheduled release of a preliminary 2009 city budget today has been put off in the face of worsening projections for a budget shortfall that has city officials scrambling for ways to cut costs.

"We just need some more time to get the data, to get the revenues in," said Budget Director Bennett Johnson. "(We need) to really get a solid accurate number where we can begin to process, to really start figuring out how to close that gap."

The decision, announced Wednesday, came on the heels of the second round of budget cuts within a week.

"Unfortunately, things are predicted to get worse before they get better," said Mayor Richard M. Daley in a press release.

"Even with the management improvements we've already mandated this year, there is likely to be a major shortfall in our budget next year."

The budget was scheduled for release in keeping with an executive order that requires submission of a preliminary budget by July 31 each year. This is the first time Daley's administration has delayed the budget's release since the mayor took office in 1989.

Wendy Abrams, a spokesperson for the city's budget office, acknowledged that officials expect the shortfall to be "significant," but declined to confirm news reports that it could exceed $400,000.

"We don't have a number," Abrams said. "That's something we're still working on."

City officials also announced a new round of cuts expected  to save $6 million in personnel costs, including the cancellation of two pay raises for non-union employees.

The city is also offering voluntary, one-time severance payments between $12,000 and $20,000 to non-union employees who resign between Aug. 15 and Aug. 31.

The severance package is hoped to avert more expensive unemployment compensation payments. Most of the vacated positions will not be refilled, according to the budget office.

The cuts come on the heels of Tuesday's announcement that the city will shave $3.3 million off its budget by requiring non-union employees to take two to three unpaid furlough days over the next five months.

Johnson says the measures should strengthen the city's position as it negotiates with union employees.

"We believe this is a good first step to show what the non-union side is doing to help resolve the situation we're in," said Johnson. "This is a cooperative situation. They [the unions] have good ideas. We want to hear them so we can work together."

Johnson said the city will not be pinning its hopes for plugging the revenue gap on what he termed the "silver-bullet" solutions of windfalls from Midway Airport, increased parking meter fees or future casino projects.

"We have to focus internally, both management and union, both processes, services, facilities - we have to look at all of them."

He said last year's $400 million package of increased fines, fees and property taxes had balanced the budget, but dismal economic trends, in particular the housing crisis, has Chicago in the same economic straits that are forcing budget cuts in L.A., Atlanta and New York City.

But at least one alderman was willing to place some of the blame closer to home.

"The fact that some members of the City Council have not been as vigilant in monitoring the decisions of the mayor's administration has led us to the situation we're in today," said Alderman Joe Moore (D-49).

"I think we need to demand more accountability. We need to really challenge some of these legal actions that the city has taken that have resulted in tens of millions of dollars in attorney's fees being paid to private firms."

The majority of the council's tendency to act as a "rubber stamp" for the mayor's proposals is a factor in the budget shortfall, Moore argued.

"There are a lot of ways that we can trim the budget without resorting to more tax increases or painful budget cuts," he added.

Johnson, however, indicated that more belt-tightening is likely, including the possibility of layoffs. "Right now, all I can say is we are looking at everything."

Daley, however, has pledged not to raise property taxes this year, after enacting the largest property tax increase of his tenure last year.

Alderman Billy Ocasio (D-26) said it was unlikely that furloughs alone would close the budget gap.

"We've never wanted to look into the police or fire departments, but we have to, said Ocasio. "They're actually the biggest part of this whole budget and we're really going to have to take a look at their budget."

In other news, the City Council:

• Enacted a licensing requirement for expediters, who obtain city permits for architects, engineers, contractors and homeowners. The measure will require expediters to undergo criminal background checks and post their licenses in their places of business. The license will cost $600 every two years for companies and $300 every two years for individuals. Expediters who engage in acts of dishonesty, including bribery or falsification of documents, may have their license suspended or revoked. The council also strengthened the penalties for such conduct on the part of residential real estate developers and general contractors. The licensing law comes in response to a recent scandal involving the exchange of gifts and favors between expediters, contractors and buildings department employees

*Approved a pilot program between the CTA and the Office of Emergency Management and Communications (OEMC) that will speed bus traffic through 10 intersections along Western Avenue using a system of sensors to detect approaching CTA buses and adjust traffic lights. The TSP system will be installed at five intersections between Armitage and Diversey and five intersections between 59th and 63rd streets. Up to 30 buses on the X49 Western Express route will be equipped with optical emitters to activate the system. The Regional Transportation Authority is funding the program at an estimated cost of $652,743.

*Approved the appointment of Raymond Orozco as executive director for the OEMC.  Orozco, a 29-year veteran of the fire department who has served as fire commissioner since 2006, takes over the agency that operates the city's public safety communications and emergency management systems. "Orozco has given a lifetime of service to the Fire Department and to the residents of Chicago," said Daley in a press release.

*Confirmed the appointment of First Deputy Fire Commissioner John Brooks to replace Orozco as fire commissioner. Brooks, 50, joined the fire department in 1980, became a battalion chief in 1998, a deputy district chief in 2000 and district chief of the 4th district in 2004.