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Facing a deficit that he himself has estimated at $35 billion, Governor Gray Davis gave his first State of the State address of his second term, telling the Legislature that California is in trouble, facing what he called -a challenge as great as any in history.- Though he never used the word -taxes,- Davis said he plans to solve the state-s -fiscal structure,- with a plan that will include massive program cuts and require changes in California-s tax structure. Vowing that education, public safety and children-s health insurance will be protected from cuts -to the extent possible, Davis insisted that California must end what he called -the budget roller-coaster ride.- Although the details of Davis- plan won-t be revealed until Friday when the budget is formally presented, we ask leaders of both parties if the Legislature will give Davis- plan a chance.

State-of-the-State Address

Producers:
Frances Anderton

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