Work Continues on Missed Budget
State lawmakers are back at work today trying to agree on a budget.
They missed the July 1 beginning of the fiscal year. Republicans say they want to close the state's chronic operating deficit without raising taxes. But that would require Democrats to approve $2 billion more in cuts than Governor Schwarzenegger has proposed.
Friday, the four Democrats on the budget committee voted for a $140 billion state spending plan that is similar to the one Schwarzenegger released last month. It balances revenue and expenses in part with the help of billions of dollars from a tax windfall from previous years.
The two Republicans on the committee voted against it, leaving it up to party leaders and Schwarzenegger to hash out a deal.
With the deadlock, the state began the new fiscal year Sunday without a budget for the 17th time in 21 years.
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