The six major candidates to lead Los Angeles answer a few questions The first round of campaigning in the Los Angeles mayor’s race will be over in a week. Although most of the six major candidates have been working precincts and making appearances, the San Fernando Valley Business Journal wanted to take one last opportunity to ask them about a few specific concerns of the Valley business community. Reporter Jacqueline Fox asked each of the six candidates three identical questions. The questions are: 1. Valley business owners feel there are inequities in the taxes they pay on their businesses. What would you do to level the playing field? 2. With LAX expansion plans apparently grounded for now, what role should the Burbank and Van Nuys airports play to alleviate overcrowding? 3. Should Valley secession be approved, would you favor contracting out large municipal services, such as DWP, over the establishment of a new Valley-based provider? James Hahn, San Pedro (Democrat): 1. I would endorse the common sense efforts of the business tax advisory committee and reduce the number of categories. There are 64 (categories) and we want to reduce those to eight. I would also eliminate multiple categories, which is very confusing. I would also like to increase compliance with the business tax for those who don’t pay at all, but use every dollar that we get from compliance to provide tax relief for existing businesses. I’m also proposing that for two full years there be no business taxes on start-up companies. 2. I would like to see the regional solution expand traffic to places such as Ontario airport, which has surpassed Burbank in terms of annual passengers. I think we could double the capacity there, and I’d also like to see Orange County be involved in a regional plan. But I’m not interested at all in seeing Burbank take on additional passenger traffic. 3. First of all, I hope I can convince the folks in the Valley to stay and work with us to solve problems, rather than create more with a breakup. But I’d certainly be interested in discussing the issue (of contracting services with Los Angeles) with anyone (who might break away) that had previously been served by Los Angeles. Joel Wachs, Studio City (No party preference): 1. First of all, we need business tax reform for the entire city. But the second issue (fair share) is something I’ve complained about for a long time. I’m a Valley guy and I’m committed to making sure that Valley business leaders do get their fair share because that’s the only way we are going to make sure we address their concerns. 2. Burbank is already an over-utilized airport, just like LAX. What we really need to be looking at is a broader regional solution that involves Palmdale, Long Beach and Ontario. What LAX needs to be doing is (raising) landing fees, while we lower fees at Ontario and others to give incentives to airlines to land there. There is also a need to emphasize high-speed rail from downtown Los Angeles to San Francisco or Sacramento or San Jose as an alternative to commuter flights. 3. I think it should be left to the area. If the Valley were to become its own city, it should be able to choose whether it wanted its own municipal services or to contract out. But they should have the right to decide what they want and I would support whatever they asked for. Steve Soboroff, West L.A. (Republican): 1. When people open a business in the San Fernando Valley, instead of the welcome wagon coming to them, they get hit with a whole lineup of tax requirements. It is discouraging. I want the tax structure and business entitlement process in the San Fernando Valley to be easier and more competitive and more predictable than the surrounding cities. By virtue of the new charter, the mayor has the power and the ability to take what Mayor Riordan set out to do with reforms and take it to the next level. 2. I think Burbank and Van Nuys are overcrowded themselves. I support taking a regional approach to solving overcrowding at LAX, and that should include Ontario, Palmdale and El Toro. And, in addition to that, we need to have mitigation of existing problems at LAX. I think we should construct an off-ramp from the (San Diego/405) freeway directly to the airport and put a ring road around the airport to disperse traffic which backs up (to) the Valley. 3. Yes, I’d support a contracted arrangement, but only if we have the capacity to contract them out to neighboring communities and be efficient with them. I also believe in competition. I think that the private sector should compete for those contracts. Antonio Villaraigosa, Mt. Washington (Democrat): 1. First of all, I was the joint author with Assembly members who drafted legislation to go after people who aren’t paying their business taxes. That measure allows us to go after the $58 million in uncollected business taxes now outstanding. I also support reducing taxes and limiting taxes for new small businesses in the first two years. I also want to work to augment the business teams and focus on cutting red tape for small companies. 2. I support a regional approach to alleviating overcrowding. Why should we put all our capacity at LAX? We have direct responsibility and oversight for Ontario. The city of Ontario and the surrounding communities support expansion there, and I want to support expansion there. We also know that (Palmdale) can support capacity growth there in the next decade. I want to be a regional partner to advocate the need for all of our airports to support capacity building. I also want to appoint members to the LAX commission who actually come from the neighborhoods surrounding (the airport). I think that’s the only way for us to properly coexist at those airports. 3. I’m not ready to give up on Los Angeles yet, because I just don’t buy the reasons for breaking up. But if they decide to break up, then I would cooperate with the Valley and any party of the city to provide the services in the most efficient and cost-effective way possible. Xavier Becerra, Eagle Rock (Democrat): 1. I think it’s important to have an independent audit to find out where our tax dollars are going. I announced that I would develop a small business team to provide one-stop shopping opportunities for those small businesses that are looking to set up shop here and give them the same red carpet treatment that right now we are providing to larger businesses. I also think it’s important to reform our business tax code, and that it would be fair to have a six-to 12-month amnesty for those who have not been paying their taxes so they can come forward. And once those people started paying, I’d want to see that we use that money we collect to help provide incentives for existing businesses. 2. I think we have to be careful because (Burbank and Van Nuys) already have a greater load than was ever anticipated. I’m more in favor of creating a regional system that includes Long Beach, El Toro and Palmdale. We are a region and we have to take a look at our entire service area, not just think of LAX as the only international airport that can serve our needs. 3. I don’t support a Valley secession but, if the people wish to secede, I think you’d either have to create a joint powers authority or look at contracting the services out. But I’m going to have a year and a half to prove to people that we don’t have to have a breakup to have quality services (in) the region. Kathleen Connell, West L.A. (Democrat): 1. First, I would reduce the taxes on all businesses by simplifying the tax code to allow one category from one business activity. I’d also create a business (committee) in the mayor’s office to help business owners navigate the system. And I’d work to find a way to reduce the double taxation issues. I think we also need to have an appeal system for those who think they are unfairly being taxed. 2. I don’t see either Burbank or Van Nuys increasing their capacity. I do see a regional expansion and development out at places like March, Norton and El Toro bases. And I want to move air cargo out of LAX and shift a lot of that out to Palmdale and Lancaster. I also think we need to coordinate more shuttle flights to Los Angeles and a regional system of airports that can provide interconnecting ground transportation to help them get between airports more efficiently. 3. I’ve been working with LAFCO to review the accuracy and completeness of the study. I think there are a variety of different structures they can utilize, but I would suggest that we look at a joint powers agreement and, secondly, a contract between the DWP and Valley representatives. The third thing I would do is push for a restructuring of the DWP to reflect new ownership. The board would have to reflect the Valley and, if Hollywood seceded, it would have to have a representative from there as well.