California Budget Deficit | featured news

As the Terminator, Arnold Schwarzenegger was the technology of the future, feared by humans. As governor, he's being foiled by the technology of the past.

For the second time in two years, Schwarzenegger has ordered most state workers' pay cut to the federal minimum wage because lawmakers missed their deadline to fix the state's $19 billion budget deficit. The Legislature's failure to act has left the state without a spending plan as the new fiscal year begins.

Two more public employee unions -- representing doctors, dentists and engineers -- have agreed to tentative contracts with Gov. Arnold Schwarzenegger, expanding to six the number of labor unions the governor has convinced to accept pay cuts and pension rollbacks.

Gov. Arnold Schwarzenegger of California called for eliminating California’s welfare-to-work program, one of the deep cuts he proposed to close a $19 billion budget deficit in the coming fiscal year.

California's budget crisis and overcrowded prisons have led to a new reality for thousands of convicted felons: parole is getting ...

Facing another huge deficit, the governor wants $8 billion or threatens massive cuts in social services. He also plans to renew push for offshore oil drilling.

California faces a nearly $21 billion budget gap over the next year and a half, extending a fiscal crisis that already has led to steep cuts to public schools, social services and health programs.

After several days of debate, half of California lawmakers signed off on a budget deal that closes a $24 billion gap and shores up state finances, for now.

California's Senate approved a package of bills early on Friday morning that would balance the state budget by closing a $26.3 billion shortfall threatening the finances of the government of the most populous U.S. state.

California lawmakers finally sealed a deal with the governor on a plan to close a $26 billion budget gap.

Gov. Arnold Schwarzenegger and the state's top legislators who are trying to close out a budget deal have canceled their planned meeting tonight because of an apparent scheduling snafu and will instead aim to meet...