KH&ttasyWy9"?;&;6i^t's^5dK^ Y - ' t ' * ■ • t : - ' \\ llanrhpHtpr Hrralb Tuesday, Dec. 27, 1988 Manchester, Conn. — A City of Village Charm 30 Cents Lawmakers ready for budget-balancing act By Judd Everhart Joseph H. Harper Jr., D-New Britain, and Rep. considered, according to Milano, are a state The Associated Press I State deficit threatens Paul Gionfriddo, D-Middletown, said the focus personal income tax, an increase in the sales tax school, housing plans would be to “maintain essentiai services and and state employee layoffs. HARTFORD — A budget crisis of unprece­ nothing else.” They underlined the words dented proportions awaits members of the 1989 "essential” and "nothing else.” He indicated that cities and towns, which have General Assembly when they convene next week. ■ ‘Expansion’ of taxes come to rely heavily on state aid during the past The administration of Gov. Wiiliam A. O’Neill is Gionfriddo said later that "the challenge before five years of huge budget surpluses, will be in fora estimating that the gap between spending needed anticipated next year us is going to be difficult.” rude awakening. Right there “on the table” are to maintain current services and income from “Anybody can go through the budget and the millions of dollars in state grants to cities and existing revenues wiil be $882 million for the fiscal — stories on page 5 eliminate $100 million to $200 million in programs. towns. year beginning July 1, 1989. The challenge will be to find a consensus on those items,” he said. Tax increases, the first in five years, are certain O’Neill administration officials say tax in­ and may even take effect April 1, three months creases and spending cuts are likely. Chairmen of and lobbyists that they can forget about any new or O’Neill’s budget chief, Anthony Miiano, said, before the next fiscal year begins, Milano said the budget-writing Appropriations Committee are expanded programs. "Everything is on the table’ ’ as officials attempt to making it clear to their colleagues, agency heads In a letter sent this month, the co-chairmen. Sen. solve the crisis. The only things that won't be See BUDGET, page 10 Blaze guts New tax food store; legacy lost forms in By Maureen Leavitt Manchester Herald COVENTRY — All Guido Giantonio could do this the mail morning was shrug and sigh after a blaze on Monday gutted the supermarket on Route 31 his WASHINGTON (AP) — The 101 million tax forms family had run for 20 years. being mailed out starting today wili contain a Except for two firefighters who were treated for surprise for some taxpayers. The forms they smoke inhalation, no one was injured in the blaze receive will be different and simpier than the ones that destroyed Guido’s Supermarket. But a family the Internal Revenue Service mailed to them last tradition went up in smoke. year. "It’s so damn upsetting you can’t even begin to Despite widespread grumbiing that the drive talk about it,” Giantonio said. “We’ve made a lot of toward tax simplification has instead produced a friends here over the years.” more compiicated system, the IRS is predicting that 3.5 million Americans will be able to switch to the Giantonio of Newington and his sons were at the simpler forms this year. family-owned market this morning. It burned for To help make that projection come true, the IRS is 7‘A hours Monday night and the early hours of making a greater effort this year to direct Tuesday morning. Fire officials said they had not taxpayers to the form that is best for their tax determined the cause of the blaze. situations. Giantonio said he couldn’t even begin to think The IRS formerly mailed taxpayers the type of about plans to rebuild this morning. form they had used in the previous year. However, "Maybe I should look fora new job.” he said as he for the first time this year, the IRS analyzed the stood in the parking lot of the market with his sons. returns taxpayers sent back April 15 and used those Fire officials said the market was completely findings to determine what type of package to send destroyed. for the new filing season. An unidentified man reported seeing smoke "Instead of routinely sending out the same form coming from the 4.600 square-foot building to police people used in the past, we are trying to send them around 7:46 p.m. Monday, officials said. the tax package that best suits their needs,” says Michael LaChappelle. chief of the South Coventry IRS spokesman Frank Keith. Volunteer Fire Association, said about 45 to 50 The landmark 1986 Tax Reform Act reduced tax firefighters from 10 area fire departments including rates, raised the standard deduction and eliminated Andover, Hebron, Willimantic and Tolland helped a variety of deductions. Those changes mean many Coventry firefighters for several hours. taxpayers who once found it beneficiai to itemize LaChappelle declared the fire under control deductions and file the long Form 1040 can now use the simpler Form 1040A or the simplest form of all, around 3 this morning, but about eight firefighters the 1040EZ, without being forced to pay higher remained on the scene as of early this morning to taxes. guard for flare ups. Two firefighters were treated for minor smoke See TAXES, page 10 inhalation last night. LaChappelle said. Investigators from the state Fire Marshall’s Office were on the scene last night, but returned early this morning to begin to investigate the cause Fuselage crack of the blaze, said Donald Barry, an investigator from the state. An estimate of the damage to the supermarket found in 1986 could not be determined as of this morning, officials said. Guy, Giantonio’s son, said his father closed the forces jet down supermarket at 6 p.m. Monday night as usual. The 9 Giantonios would not comment on whether there CHARLESTON, W.Va. (AP) - A 1986 federal was insurance to cover the loss. inspection found a fuselage crack in an aging Boeing "Right now. I’m so distraught with the thing.” the 727 that tore open at 31,000 feet, forcing the airliner elder Giantonio said. He thanked the Coventry Fire to make an emergency landing with 110 people Department for their actions and concern for his aboard. It was the plane’s sixth emergency landing business. in five years. His son, Guy, said, "They really pulled together, Eastern Airlines Flight 251 from Rochester, N. Y., it’s a hell of a town.” to Atlanta landed safely Monday at Yeager Airport here after a 14-inch hole in the fuselage caused the 8 Officials said none of the adjacent buildings were Patrick Flynn/Manchaatar Harald plane to lose cabin pressure, authorities said. damaged by the fire. Those buildings include the PEERING INTO THE RUBBLE — An teer views the damage today at Guido's Coventry Post Office and Village Pharmacy. Two passengers were treated at Charleston Area unidentified emergency medical volun- Supermarket on Route 31 in Coventry. Medical Center for nosebleeds and headaches as a result of the decompression, said Gary Chernenko, a hospital spokesman. Two representatives of the National Transporta­ Existing home saies up 1.1 percent in November tion Safety Board inspected the aircraft Monday night, said Richard Maddan, manager of the FAA WASHINGTON (AP) — Sales of of $88,100. 8 somewhat in the coming year, drop­ with the gain attributed to a rebound office in Charleston. existing homes rose l.l percent in Analysts said the strength in ping by about 4.2 percent from an in the manufacturing economy of the “They had a preliminary look last night and they November, the biggest increase since November reflected the fact that the expected 3.53 million sales this year, region. are going to do a more thorough check today,” August, a real estate trade group generation bom after World War II with the 1989 pace depressed some­ Saies were unchanged in the South Maddan said. The two representatives and an FAA reported today. was moving into its peak period of what by higher mortgage rates. official planned to talk to witnesses today. The National Association of Real­ home purchases. The November rise in sales, which at an annual rate of 1.40 million units tors said existing single-family homes "We’re seeing more people buying was the largest since a 2.2 percent but this was 11.1 percent higher than a Passenger Sam Piazza, 55, a former pilot from were sold at a seasonally adjusted in markets nationwide than we had year ago, reflecting the fact that the Boca Raton, Fla., said he and his wife at first increase in August, was led by a 4.6 region has begun to recover some­ annual rate of 3.71 million units in expected earlier this year,” said Ira percent jump in the Northeast where thought a bomb had expioded, a possibie cause of November. Gribin, president of the Realtors sales climbed to a seasonally adj usted what from depressed conditions last week’s crash of Pan Am Flight 103 with 258 Sales had shown no improvement at group. ‘"The volume of people in their annual rate of 680,000 units. caused by a slump in the oil patch. aboard in Scotland. all in October after having fallen 1.1 30s and 40s who can afford to buy is Sales also climbed in the Midwest, The West was the only region of the “We were cruising along and you could hear the percent In September. keeping the sales pace up.” rising by 4.3 percent when compared country reporting a month-to-month rush of the wind and the pitch of the wind and all of a The price of an existing home edged John Tuccillo, chief economist of to October.