California Politics

SACRAMENTO , California ( Reuters ) - California will enter the fourth month of its fiscal year on Friday without a state budget in place after Governor Arnold Schwarzenegger and top lawmakers failed to agree on Thursday on a spending plan. A spokesman for the governor told reporters in the state capital of Sacramento that Schwarzenegger and top lawmakers did not reach a budget agreement after meeting throughout Thursday but that they were inching toward a deal. "Every day they meet they get...Read Full Story

Gov. Arnold Schwarzenegger and legislative leaders abruptly canceled their scheduled budget talks Tuesday, hours after Schwarzenegger's press secretary blamed "union bosses" for blocking pension reforms the governor insists are needed to solve the state's long-term financial problems. Closed-door negotiations aimed at breaking the state's record-long budget impasse had been scheduled for Tuesday afternoon until the governor's office released a message saying that no such meeting would take...Read Full Story

SACRAMENTO , California ( Reuters ) - California's leaders failed to reach a final budget agreement to close a $19.1 billion deficit on Monday, the 89th day of their stalemate over a spending plan, top lawmakers said. California's budget has suffered massive shortfalls in recent years as a result of plunging revenue caused by the mortgage crisis, housing downturn, financial market turmoil and double-digit unemployment in the most populous U.S. state. "We've got a little bit more work to do...Read Full Story

The head of California's senate announced late Friday that the legislature reached an agreement with Governor Arnold Schwarzenegger over the state budget and closing its 19.1 billion dollar deficit. Senate President Pro Tem Darrell Steinberg made the announcement to reporters in Sacramento surrounded by three other senior California legislators. California has been without a spending plan since the new budget year began on July 1. Steinberg said that legislators will return next week to...Read Full Story

The California Supreme Court on Monday upheld Gov. Arnold Schwarzenegger 's order to furlough state workers, dealing a major victory to part of the governor's budgeting plans. In its unanimous ruling, the court concluded that the state Legislature's 2009 budget legislation "validated the governor's furlough program." State employee unions have been challenging Schwarzenegger's order since he implemented two-day-a-month furloughs for more than 200,000 state workers in February 2009. He later...Read Full Story