Wilson Rules Out Tax Hike in 1993 : Budget: But governor declines to discuss the future of a temporary 1/2-cent sales tax increase due to end July 1.

Gov. Pete Wilson on Monday rejected the idea of raising taxes in 1993 to help erase a growing budget shortfall but did not rule out extending a 1/2-cent sales tax that is supposed to expire in June.

Wilson, in an interview with The Times, said a tax increase would stymie economic growth just when California needs it most.

“Given the economic climate, we can’t afford to lose more jobs. Therefore, we can’t afford tax increases,” Wilson said. “We can’t afford the kind of deficit spending that simply delays that tax increase and makes it inevitable.”

Wilson declined to discuss his position on the 1/2-cent sales tax, which was put in place with his support in 1991 as a temporary measure to help the state get through the recession.

The base sales tax charged throughout California is 7 1/4 cents. On July 1 it is slated to go down to 6 3/4 cents with the expiration of the increase. Many counties, including Los Angeles, have levied sales taxes on top of the state base.

Although the tax hike was temporary, the recession persists, with employment continuing to drop and tax receipts falling short of projections.

The governor earlier said he opposed extending the sales tax unless two-thirds majorities in each house of the Legislature vote to continue it. An aide said his position has not changed.

But Monday, with his 1993-94 budget being prepared, Wilson said he did not want to reveal which way he intends to come down on the sales tax, which would raise $1.5 billion if it is reinstated for another year.

Without the extra sales tax money, the state is expected to be $7.5 billion short of what it would take to pay off a deficit in this fiscal year’s budget and continue all programs for another year at their current levels, plus growth for inflation and population increases.

Wilson is scheduled to make his budget proposal public Jan. 8. If he keeps his pledge not to raise taxes, allows the sales tax to expire and lives up to his promise to keep per-student funding at $4,185 for the state’s kindergarten through 12th-grade schools, he will have to propose deep spending cuts elsewhere to balance the budget.

The most likely victims would be higher education and health and welfare programs, which account for almost all spending outside of public schools and prisons, which Wilson has been reluctant to cut in his first two years in office. The state also could force another round of local budget cutting by redistributing local property tax revenue.

The Democratic leaders of the Legislature--Assembly Speaker Willie Brown of San Francisco and Senate President Pro Tem David A. Roberti of Van Nuys--could not be reached for comment. Roberti, in an earlier interview with The Times, also ruled out a general tax increase but called for a continuation of the sales tax.

Lenny Goldberg, executive director of the California Tax Reform Assn., said Wilson probably will have to face the tax issue again even if he rules it out as an option.

“The conventional wisdom is always no new taxes,” said Goldberg, author of Proposition 167, a tax increase initiative rejected by voters in November. “Virtually never does anyone say we’re going to start off by looking at new taxes. But from my perspective, the tax issue will be very much before the Legislature next year.”