Allegheny County Council members yesterday approved a draft of the budget they will consider on Tuesday, but their sharp disagreements highlighted the differences among them about how to balance the budget.

In a 5-3 vote, council's budget and finance committee approved three budget bills-- operating, capital improvement, and grants and special accounts -- which comprise the 2008 budget of $727.5 million.

The finance committee's recommendation includes a proposal to impose a 10 percent tax on poured drinks and a $2 a day tax on car rentals.

County Chief Executive Dan Onorato included the two taxes in order to fund the county's $30 million subsidy of the Allegheny County Port Authority.

Voting against the proposed budget were council members Matt Drozd, R-Ross, Vince Gastgeb, R-Bethel Park and Jan Rea, R-McCandless, who said they opposed the new tax proposals.

If they don't approve the new taxes on Tuesday, council members will be faced with either raising the county property tax rate or laying off 800 or so county employees. Mr. Onorato has vowed to veto any budget with a property tax increase.

Yesterday, Councilman Dave Fawcett, R-Oakmont, presented his colleagues with an alternative taxing proposal, which he plans to introduce to council on Tuesday.

His plan would balance the budget by reducing the proposed drink tax to 5 percent, and raising the county real estate tax by $29 for every $100,000 of assessed value on property.

The county's tax rate, currently 4.69 mills, would increase by 0.29 mills to 4.98 mills.

"There are situations where flexibility is necessary. No one is happy here, but there are times when compromise is called for," said Mr. Fawcett, who is not a member of the finance committee.

Presenting his plan as a middle-ground between members who oppose the new taxes, and members concerned about new revenue streams for the county, Mr. Fawcett asked his colleagues to consider it as an additional option.

"It's obvious the drink tax targets a certain group, and yet we don't want to increase the millage rate either. My plan will tax more people, less," he said.

Leading the charge against the proposed taxes was Mr. Drozd, who voted against the capital improvements budget bill and said he opposed any budget scenario that would include a new tax.

"I resent the fact that we're talking about this now. [Revenue problems] should have been forecasted a year or two ago," Mr. Drozd said. "People tell me that they don't want new taxes and these are new taxes."

Council President Rich Fitzgerald, D-Squirrel Hill and Councilman John DeFazio, D-Shaler, who led a delegation of council members to Harrisburg this week to talk to state legislators about revenue-raising options, challenged their colleagues to present alternatives they would implement instead of the taxes.

"People that are against these taxes should have some alternatives," said Mr. Fitzgerald. "We need revenue. If these taxes fail we will have a spending resolution without new revenues. We won't balance the budget."

But Mr. Gastgeb urged his colleagues not rush to embrace the taxes and to consider options that council members may have not considered because of the pressure of a deadline to approve a budget.

"Some of us don't think that Tuesday is the drop dead date on approving this budget. We have time to consider all our options," Mr. Gastgeb said, alluding to a continuing spending resolution that would allow the county to function without a budget.

The county's Home Rule charter requires County Council to adopt a balanced budget 25 days before the end of the year. Mr. Onorato not only opposes a continuing spending resolution, he believes it is illegal.

Mr. DeFazio, council members Brenda Frazier, D-Stanton Heights, James Burn Jr., D-Millvale, Mike Finnerty, D-Scott, and Bill Robinson, D-Hill District voted to send the draft budget to the full council.