Daily News Channel
California Gov. Arnold Schwarzenegger said the state budget plan passed by state lawmakers early Thursday is "the perfect medicine for our ailing economy." The measure, which awaits the governor’s signature, includes tax increases, spending cuts and borrowing to close a $42 billion deficit.
It’s becoming a cliché: California lawmakers again fail to reach agreement on a budget. As California engages in a budget battle that has left the government of the world’s eighth largest economy slipping toward insolvency, Republican Governor Arnold Schwarzenegger and the Democratic legislative majority continue to search for one last Republican vote to pass a budget
Federal judges tentatively ruled on Monday that California must reduce the number of inmates in its overcrowded prison system by up to 40 percent to stop a constitutional violation of prisoners’ rights. “Overcrowding is the primary cause of the unconstitutional conditions that have been found to exist in the California prisons,” the court concluded