I disagree with your premise. However, if you know anything about New York City politics, Rudy was a lame duck at the time and was deferring the next mayor to make the cuts to balance the budget.
During Rudy's whole tenure, they'd use a "projected budget defecit" as the impetus to get the loonies in the city council and the union bigwigs to CUT spending. OUTSOURCE government jobs to the private sector. Move people from WELFARE to work, etc. All good CONSERVATIVE values.