Legislature offers up $2 billion in budget cuts
February 23, 2010
State legislators, trying to deal with at least part of California’s $19.9 billion deficit, sent Gov. Schwarzenegger more than $2 billion in cuts. [San Jose Mercury News]
At the top of the list: nearly $1 billion slashed from the state prison system, mainly in reduction of inmate medical care, and another $540 million reduction in paychecks for state workers. The cuts were approved by both the Senate and the Assembly.
This week, Sacramento also considers controversial measures including forcing online businesses like Amazon to collect state sales tax, and a $1.8 billion fuel tax overhaul.
One ray of hope is the decision by the Obama administration to give California $3 billion in federal relief.