Tuesday, July 21, 2009


Looks like they may have FINALLY agreed on a budget for California... I think I'll believe it when I actually see it put into place...

State Budget Deal Reached

"It was like a suspense movie," said California Governor Arnold Schwarzenegger. "Like I said, we accomplished a lot."

With that, California's governor and a bipartisan group of leaders from both the state Assembly and Senate (known as the "Big Five") came to an agreement on a budget framework.

The deal ends months of negotiations since the governor called a special session in February.

The deal does not raise taxes--which was a non-starter for Republicans. It focuses mostly on borrowing billions and cutting back more than $15 billion. Not all the details have been announced yet but here is what we know so far:

*Furloughs of state workers for three days a week will continue for at least a year. Leaders say that will save them $1.3 billion.
*More than $2 billion will be borrowed from local governments including San Diego. That money will not be repaid before 2013.
*The IOU's the state is currently sending out should stop; that could saving the state $25 million a day in interest.

Cuts include:
*$3 billion to CSU and UC programs
*$1.2 billion to state prisons
*$1.3 billion to Medical

The rest of the article here.

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