Shane Goldmacher | L.A. Times | June 16, 2010
State lawmakers blew past a constitutional deadline to pass a budget Tuesday, as Gov. Arnold Schwarzenegger and the Democrats who control the Legislature remain far apart on how to solve California's estimated $19.1-billion deficit.
With two weeks left until the new fiscal year begins, the prospect of yet another late budget could again harm California's standing with Wall Street ratings agencies, costing the state millions. A lame-duck governor demanding a major pension overhaul, an enormous shortfall and an already heated campaign season could prove to be a recipe for a prolonged stalemate.