California News Roundup - January 9, 2009

Working overtime on red ink -- While debate in Sacramento focuses on tax increases versus spending cuts, Gov. Arnold Schwarzenegger has resurrected an issue that's received less attention than it should. In calling for a comprehensive budget fix including more taxes, which we oppose, and more cuts and economic stimulus, which we favor, the governor also returned to a theme he championed six years ago.

Dan Walters: Voters could help solve the tax battle -- Five years ago, a newly inaugurated Gov. Arnold Schwarzenegger beseeched California voters to pass a $15 billion bond issue to refinance the state's burgeoning budget deficit and "cut up the credit cards" with another measure that prohibited any budget that spends more than its revenues.

Borrowing $23.3 billion for state budget won't be easy, analyst says -- Shaky credit markets will make it difficult for the state to access capital for Gov. Arnold Schwarzenegger's proposal, which he intends to submit to the Legislature on Friday.

Let voters weigh in on budget, legislative analyst says -- Legislative Analyst Mac Taylor may have a fallback solution to the political paralysis that has thwarted a state budget solution – let the people decide.

Relaxed laws part of state budget drama -- California's budget fight is about more than the usual disagreements over spending cuts or higher taxes. This year, another big hang-up is over contentious proposals to change rules governing environmental review and lunch breaks, among other laws.

Furlough fight gets its day in court -- The governor's furlough plan heads to court today. A lawsuit filed by the Professional Engineers in California Government and the California Association of Professional Scientists seeks to block Gov. Arnold Schwarzenegger's executive order, arguing he needs legislative approval to force furloughs.

California's Plans to Close Gap Become More Drastic -- 's school year could be shortened by a week under increasingly Draconian proposals being considered by state lawmakers seeking to close a projected $42 billion budget shortfall by the middle of next year.

Brown's switch on Prop. 8 reflects times -- California Attorney General Jerry Brown has become a hero to gay rights advocates - and a potential leader in the 2010 Democratic gubernatorial field - with his recent controversial decision to mount a legal challenge to overturn Proposition 8, the initiative approved by voters that banned-same sex marriage in California.

Prop. 8 supporters sue to abolish campaign financing disclosure law -- The Proposition 8 campaign has filed a federal lawsuit challenging the constitutionality of California laws that require campaign contributors to disclose personal information, claiming donors to the campaign have been threatened.

Prison receiver's lawyers slam state's refusal to fund health care -- For political expediency, the state is trying to weasel out of continued cooperation with a court-appointed receiver's effort to bring prison health care up to constitutional standards.

Steinberg wants to limit members to 15 bills -- Senate President Pro Tem Darrell Steinberg wants to limit the amount of legislation members can introduce in 2009 in an effort to keep lawmakers focused on the state's budget.

Villaraigosa defends his support of Israel -- L.A. mayor comes under criticism from Muslim groups after he says the nation has a 'right and responsibility to defend itself' from Hamas rockets.

Feinstein Hunts Alone -- Depending on which Democrat you talk with, California Senator Dianne Feinstein is either becoming the conscience of the Senate or Majority Leader Harry Reid's biggest headache.

Hilda Solis' belief in unions runs deep -- President-elect Barack Obama's nominee to head the U.S. Labor Department sees her parents' membership as key to the success she and her siblings have achieved.

Decorated veterans could park free under new law -- Jim Foutz doesn't drive much anymore at 87, but the license plate on his car tells his story: The North Highlands man survived the attack on Pearl Harbor.

Teeing off on taxes -- Golden State golfers are mobilizing to fight the governor's proposal to slap the state sales tax on the game/sport/religion.

Property tax assessments could plunge across California, worsening fiscal crisis -- California's plunging property values have already clobbered homeowners, but now the trend is promising pain for struggling counties, cities and schools that rely upon property taxes — a downward shift unseen in decades.

Multimillion-dollar error found in San Jose pension system -- Though San Jose's employee pension system cannot fully cover the costs of future benefits, many retired city workers are still expecting bonus checks for high earnings reaped before the recent market crash.

Sacramento region's churches struggle in the recession -- Sanctuary from the economic downturn is tough to find, even in houses of worship.

California literacy at bottom -- Almost 1 in 4 adults in California have such poor literacy skills they cannot follow a simple newspaper article, a federal study released Thursday said.

Panel to explore why black students lag peers -- As the upcoming inauguration of the nation's first black president reshapes America's debate on race, the state Board of Education voted unanimously Wednesday to create an "African American Advisory Committee" to ask why black students lag so far behind their peers.

Cash crunch slows high-speed rail project -- Just months after Californians voted to invest nearly $10 billion in a statewide high-speed rail system, the agency charged with getting it built is running out of money.

Oakland protest organizer watched in horror -- The man who organized Wednesday's BART police protest said he broke down in tears when he saw his peaceful march turn violent as some participants began throwing bottles, spitting on police cars and setting small fires.

Family of victim in BART shooting pleads for peace -- As family and friends of Oscar Grant III pleaded for peace Thursday afternoon, broken glass was being cleaned up from the previous night's disturbances in downtown Oakland, burned cars were towed away, and some business owners — fearing a repeat of the violence — made plans for nightfall, closing early and sending employees home.