PHILADELPHIA (CBS) – The Philadelphia Housing Authority (PHA) says it has been forced to cut 82 jobs due to sequestration cuts.

The agency says it is facing a $32 million cut in federal funding, and since it relies on the Department of Housing and Urban Development for over 90 percent of its funding, it must lay off the 82 employees.

“Our hands are tied. This agency cannot continue serving the city most vulnerable without federal dollars,” said Kelvin A. Jeremiah, President & CEO of the Philadelphia Housing Authority said in a press release, “These cuts were necessary in order to prevent any resident from becoming homeless. PHA will continue to find ways to cut cost without compromising services to residents.”

The employees will be given a one week severance package. PHA says it is also providing a confidential employee assistance hotline to help those laid off through the difficult time.