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O.C. Tax Hike’s Chances Are Fading, CEO Says : Bankruptcy: Voter outrage may doom Measure R--a linchpin of county’s fiscal recovery plan--says William Popejoy. Polls show support dropping as June 27 vote nears.

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TIMES STAFF WRITER

Orange County’s top executive offered his gloomiest assessment yet Tuesday of the fate of a proposed sales tax increase, saying he fears that backers cannot overcome voter outrage about the county’s bankruptcy and flagging support for Measure R.

County Chief Executive Officer William J. Popejoy said polls show that support for Measure R continues to slip as a June 27 vote approaches on the half-cent sales tax hike, which some county officials say is desperately needed for fiscal recovery.

Just a few weeks ago, the polls indicated a dead heat between backers and foes of the measure. Now, polling by the measure’s backers shows “yes” votes trailing the “noes” by 5% to 8%. The measure must garner a simple majority vote to pass.

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Some voters, Popejoy said, are so angry about Orange County’s financial mess that they are willing to reject a higher sales tax in spite of their own best interests.

“The anger is huge,” said Popejoy. “They’re saying, ‘We’re probably going to hurt ourselves more than anyone else.’ How do you overcome that? I don’t know.”

Measure R would increase the sales tax rate in Orange County from 7.75% to 8.25%--the same as Los Angeles County--for 10 years. The measure would raise an estimated $130 million a year against which the county could borrow to help bail itself out of the largest municipal bankruptcy in U.S. history.

Popejoy and other supporters of Measure R are striving to persuade Orange County voters that the sales tax is critical for maintaining health and safety services and paying nearly $2 billion in debt. Opponents, including one of the county’s supervisors, contend that the county has not exhausted all its alternatives before turning to a tax increase.

“If anything, we seem to be slipping,” said Popejoy.

Polls, though, show that a large number of people remain undecided, and they are likely to be targeted for attention over the next few weeks.

The gap, Popejoy said, is even worse when it comes to absentee ballot voters, who are expected to play a key role if, as expected, voter turnout is low for the single-issue election. As of Tuesday, nearly 128,000 voters had requested absentee ballots, officials said.

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Popejoy’s remarks came after a Board of Supervisors meeting at which an anti-tax activist drew laughs when she offered Popejoy--who is blamed for getting the tax on the ballot--two crisp dollar bills to leave his county post. Another audience member quickly jumped up, waving $100 for the same purpose.

Afterward, Popejoy joked about raising money by selling “Popejoy Departure Bonds” to help bail out the county. “If I thought it would get the job done, it would be the least I would do,” Popejoy said, shaking his head.

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