Governor declares fiscal emergency : North County Times - Californian Unless budget corrections are made quickly, the state is likely to run out of cash in February and see its revenue gap widen to $28 billion over the next 19 months. Schwarzenegger said legislators so far have failed to grasp the seriousness of the crisis, which is growing worse by the day. "Without immediate action, our state is headed for a fiscal disaster where everyone will be hurt," Schwarzenegger said during a news conference in Los Angeles, where he signed three budget-related orders.
I just heard on this evenings news, that so many parents are out of work, they are sending a measure to Gov. Arnold for 31 million dollars for free school lunches.
California running out of money - Yahoo! News "Because California does have a perennial budget crisis, it's very easy to fall into the 'boy who cried wolf' syndrome," says Dan Schnur, director of the Jesse M. Unruh Institute of Politics at the University of Southern California. "This time the sky is really falling." The state faces a $28 billion budget shortfall over the next two years. If nothing is done, nearly $5 billion in public-works projects could be halted in little more than a week for lack of bond sales – everything from bridge replacements to a new highway tunnel and billions of dollars' worth of school construction, according to state Treasurer Bill Lockyer.
