The Parliament of the semi-autonomous region of Kurdistan convened for the first time after two years of suspension, and is scheduled to discuss referendum on independence of the Kurdish region.
"The United States has repeatedly emphasized to the leaders of the Kurdistan Regional Government that the referendum is distracting from efforts to defeat ISIS and stabilize the liberated areas".
The United States has proposed unspecified "alternatives" to the poll. Barzani said the national anthem and flag could be altered to reflect the diverse ethnic groups.
Last Thursday, Iraqi lawmakers voted to remove Kirkuk Governor Najmiddin Karim from his post based on a request by Iraqi Prime Minister Haider al-Abadi.
Urging new talks between Iraq's central Baghdad government and the KRG, the office in a statement said the referendum would risk stability in the region.
"We refuse to be their servants", he told cheering independence supporters.
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McGurk said at a news conference in Irbil that Brussels, Washington, Paris, London and Baghdad had cooperatively developed an alternative plan to the contentious referendum.
Earlier, Barzani shrugged off requests from the United States and other Western powers to put off the referendum.
On Friday, however, Mr Barzani dismissed alternatives offered by the U.S. to avert the referendum.
The planned vote has escalated tensions with Baghdad as well as neighboring Turkey and Iran countries home to sizeable Kurdish populations.
Lawmakers from a third party, the Patriotic Union of Kurdistan (PUK), ensured the required quorum. It is also clear that the Kurdish region will not become independent on the day following the referendum.
"Holding the referendum in disputed areas is particularly provocative and destabilising", the White House added, referring to areas that are controlled by Kurdish forces but claimed by Baghdad, including the oil-rich province of Kirkuk. Supporters of the referendum argue Kurds deserve their own state after fighting IS and facing years of oppression at the hands of governments in Baghdad, including gassing and ethnic cleansing under former dictator Saddam Hussein.