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County Orders Study of Ways to Cut Budget : Finances: The Board of Supervisors takes early action to develop a plan for reducing services by 10% to 15% to cope with an anticipated deficit of $845 million.

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TIMES STAFF WRITER

Taking early action to cope with a possible $845-million budget deficit in the upcoming fiscal year, the Board of Supervisors on Tuesday ordered drafting of a plan to cut Los Angeles County services by 10% to 15%, a move that could mean up to 12,000 layoffs.

The measure is the latest in a series of actions designed to ease the county’s fiscal malaise. More than 1,900 employees--about 2% of its work force--have taken early retirement in recent weeks, and officials complain that public services are already at a minimum in many areas.

Tuesday’s motion, put forward by Supervisor Gloria Molina, comes in response to the state budget proposals submitted this month by Gov. Pete Wilson. The board approved the measure 4 to 1, with Supervisor Ed Edelman dissenting.

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Molina and other supervisors emphasized that they were requesting only preliminary recommendations for service cuts, pending the outcome of the final state budget. The county is not scheduled to adopt its 1993-94 budget until this summer. Still, the drafting of the budget reduction plan is testimony to the severity of the county’s fiscal outlook.

“We may see the reality of breaking down traditional services people need, services like libraries and parks,” Molina said. “We cannot avoid the fact that we have almost a billion bucks to come up with.”

Supervisors agreed to convene a labor-management committee that will review potential salary reductions for all 80,000 county employees. Chief Administrative Officer Richard Dixon has recommended an 8.5% wage cut.

The board voted to launch a “public information campaign” on the budget and the proposed cuts, with public hearings throughout the county beginning in March. Supervisors also agreed to convene a meeting of the county’s legislative delegations.

The motion appeared to be an attempt--led by Molina with support from Supervisors Michael Antonovich and Deane Dana--to take greater control of the details of budgetary deliberations, a process dominated in recent years by the chief administrative officer.

“We need to take a leadership role,” Molina told her fellow supervisors. “The board needs to be in control of this budget.”

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Representatives of county worker unions had mixed reactions to the plan. “I think it’s positive that the supervisors want to play a more significant role (in the budget deliberations) than last year,” said Dan Savage, spokesman for Service Employees International Union, Local 660, which represents about half of the county work force.

However, Savage and other union representatives said they would strongly resist service and wage cuts. “You can’t reduce county services without reducing county employees,” Savage said. “And that’s not acceptable.”

Edelman opposed the budget plan, saying the board should wait until interim Chief Administrative Officer Harry Hufford assumes office next month.

“My colleagues don’t want to wait,” Edelman said. “I think it’s a mistake, a big mistake.”

Antonovich countered: “The problem is now, let’s move forward.”

In a separate but related matter, the board voted to seek new statutory authority to raise revenue by creating additional taxes and fines. Such authority would have to be granted by the state Legislature.

The new taxing authority sought by the board includes the ability to collect “benefit assessments” from property owners throughout the county for law enforcement, public safety and emergency medical services. The board will also seek authority to levy a countywide utility and business-license tax. Antonovich opposed the proposals. Dana voted for the county benefit assessments but against the others.

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