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Schwarzenegger Vetoes Budget Proposal

Sacramento, CA (AP) — Gov. Schwarzenegger has vetoed an $18 billion deficit-cutting package legislative Democrats have characterized as the only “game in town.”

Schwarzenegger spokesman Aaron McLear says the Democratic package approved last month did not meet his demands for making more cuts, streamlining government or creating economic stimulus. Lawmakers are now back where they started after the November election, when they began meeting in the first of three successive special sessions.