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Duarte Group Begins Campaign to Recall Mayor Over Tax Plan : Government: Backers must gather 2,100 signatures to force an election. The action culminates a heated debate over proposed 3% levy on utilities.

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SPECIAL TO THE TIMES

The Duarte Taxpayers Group served Mayor Margaret F. Finlay with papers Tuesday initiating a recall drive against her after the City Council reaffirmed its decision to implement a 3% utility tax.

“They’ve still got to gather 2,100 signatures for a recall election,” Finlay said. “They can do whatever they like. Regrettably, they don’t understand the budget.”

For the record:

12:00 a.m. June 9, 1994 For the Record
Los Angeles Times Thursday June 9, 1994 Home Edition San Gabriel Valley Part J Page 4 Zones Desk 1 inches; 23 words Type of Material: Correction
Utility tax--A June 2 story on Duarte’s proposed utility tax should have quoted John Mack, a Duarte resident, as saying his utility tax bill would be $5 a month, not $15.

The council voted 3 to 2 to reject a proposal by Councilman James D. Kirchner to use city reserves rather than impose the new tax. Council members Finlay, John R. Fasana and Ginny Joyce opposed Kirchner’s motion; Councilman Philip R. Reyes supported it.

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Last week, the council directed staff members to draw up a budget for the fiscal year beginning July 1 that includes a tax on water, gas, electricity, telephone and cable bills. During May, under pressure from residents, the council gradually cut the rate from 5% to 3%, a cost to the average household of about $15 a month.

Members of the taxpayers group said they would proceed with the recall petition drive unless the tax was abandoned or put on the ballot.

“We are targeting Margaret Finlay because she is the leader of the tax proponents on the council,” said Lino Paras, a member of the group that filed the notice of intent to circulate a recall petition.

Finlay said opponents of the tax had opportunities through the last year to speak to a citizen’s committee that recommended the utility tax, along with cuts, as a way to deal with a $1.5-million budget shortfall.

Under the existing proposal, the shortfall would be made up by $880,000 in cuts, including the elimination of two jobs, $194,000 in fee increases and $480,000 a year generated by the tax.

At Tuesday’s meeting, Finlay, supported by Joyce and Fasana, argued with Kirchner, accusing him of threatening the future of the city by depleting the $2.8-million reserves.

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“It’s poor taste to paint me in that light,” said Kirchner, who suggested that the city should look into asking neighboring cities about hiring their police departments rather than the Sheriff’s Department at an annual cost of $2 million. He and Reyes say recession-ravaged businesses and residents cannot readily absorb another tax.

Supporters of the tax, including some residents, city commissioners and employees, argued with its opponents Tuesday, accusing them of being willing to sacrifice public safety and recreation.

John Mack, a resident and city code enforcement officer, said: “Roughly $15 a month is a small price to pay for the quality of life in our town.”

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