CINCINNATI (AP) - City officials in Cincinnati say income tax revenue estimates were so far off the mark that a $40 million deficit through 2010 is possible.

As a result, the officials say layoffs and cuts in services may be necessary.

The city's finance department says this year's revenue is already $8 million below expectations.

The city manager has told department heads to submit plans by the end of the week on how to cut spending by 5 percent for the remainder of this year.

Some members of the City Council said Tuesday that 5 percent is probably not enough, while others say cuts should not include essential services like police and fire protection.

Income taxes produce about 65 percent of the city's $375 million general fund budget.