BUDGET BOMBSHELL ~ Governor boosts deficit forecast to $20 billion as he bids to change State's spending system

Sacramento, CA


Article by: Matthew Yi, San Francisco Chronicle, April 30, 2008
Sacramento Bureau

Excerpt;

"In a startling revelation, Gov. Arnold Schwarzenegger said this week that the state's budget deficit could grow to as much as $20 billion as he prepared to unveil a revised spending plan for the coming year that is likely to include deep cuts in education, health services and prisons.

The new deficit figure - 30 percent higher than the latest estimates by lawmakers - reflects a deepening fiscal crisis that has polarized the budget debate in the Legislature as Republicans vow to fight tax increases and Democrats say they won't settle for cuts alone..."

To discuss the entire startling revelation about the state budget crisis as reported by Matthew Yi of the San Francisco Chronicle covering public affairs in Sacramento, CA E-mail: Matthew Yi at myi@sfchronicle.com