No State Budget Yet
Today´s start of a new fiscal year for the state of California finds it without a budget. For the 14th time in the last 25 years, the Legislature could not agree on a budget before July first. A budget plan approved by the State Senate on Saturday fell five votes short of a two-thirds majority in the Assembly last night. Republicans in the Assembly voted in a block against the budget and its three-point-six billion dollars in tax increases. Majority Democrats accused the Republicans of holding up the budget to try to defeat Democratic Governor Gray Davis in November. The Assembly Republicans contend the state could erase a $23.6 billion revenue shortfall with more spending cuts. Democratic Assemblyman Darrel Steinberg says the Republicans have offered no credible proposals for cuts of the magnitude needed.