. >> item six, reprot anort and a discussion regarding the 2012- 2013 and 2013-2014 budget, possible action to approve or take other action. >> john goldberg from the office of administrative services. we are asking you to adopt the proposed budget for fiscal year 12-13. and this is the first time we will have a proposed two-year budget cycle 413-14. -- for 13-14. we have to submit budgets for two fiscal years. the news on the budget is not good despite the monumental effort to get the mayor's office to compromise. they asked us to hold to the 5% cuts for the coming fiscal year and for the development. those cuts are substantially taken away -- taking away proposed academy classes. it has no academy classes for the coming fiscal years. this is the impact on staffing. with officers having been hired and completing a 30-year career, the 1971 charter mandate -- with anticipated attrition, this is what the staff looks like. in april, we have done 1700 -- if it follows through and there are no changes to the budget, it will be down about 400 officers below the charter mandate. this tells