County Won’t Defy State’s Shift of Revenue to Schools : Government: Decision by Board Chairman Wieder ends opposition to Legislature’s plan that takes $2.6 billion from local governments.

Board of Supervisors Chairman Harriett M. Wieder said Wednesday that the county will not defy a state-mandated shift of local property tax revenue to fund California public schools.

Wieder’s decision effectively ends Orange County’s opposition to the Legislature’s controversial budget plan, which takes $2.6 billion in property taxes from local governments.

Only last month, Orange County joined a coalition of at least 45 California counties protesting the shift, which was enacted by the Legislature as part of its effort to balance the state budget. The county’s resolution was seen largely as a symbolic gesture of protest but county officials also threatened, at that time, to challenge the budget plan in court.

In passing the June resolution, approved 4-0 by the supervisors, with Wieder absent, the board authorized county officials to refuse a state order to transfer the property tax revenue.

Although Orange County is expected to lose more than $150 million as a result of the tax shift, officials said the state budget formula actually leaves Orange County in a better fiscal position than other urban California governments, which depend on larger shares of property taxes to fund local services.

Wieder said she has authority, as chairman, “not to act” on the resolution. Supervisor Thomas F. Riley, one of the four supervisors who voted last month to support the county resolution, said he supports Wieder’s position.

Supervisor Roger R. Stanton declined to comment. Supervisors Gaddi H. Vasquez and William G. Steiner could not be reached for comment.

The Orange County decision comes at a time when Los Angeles County is planning legal action to derail the tax shift and lessen that county’s financial liability under the plan.

“Any revision in the tax shift formulas which improve the situation for Los Angeles, Alameda and San Francisco will in all likelihood be at Orange County’s expense,” Wieder said Wednesday in a written statement.

Wieder said the county was advised by members of its legislative delegation that the newly approved budget plan “is the best deal Orange County will receive.”

“The Legislature has a very negative attitude about counties and their ‘lack of cooperation’ in dealing with the state’s fiscal crisis,” Wieder’s statement said. Assembly Speaker “Willie Brown has publicly stated, ‘The Legislature will retaliate if counties continue to fight on this issue.’ ”

Riley said last month’s resolution represented local “frustration” with the governor’s plan, but was done “tongue in cheek.”

As a result, Riley said Wednesday that he would follow the advice provided Wieder by the local delegation in not acting on the county’s June resolution.

“We felt frustrated and felt we had to indicate as best we could our unhappiness,” Riley said.