With a majority vote in the legislature, Democrats can pass a budget, but Republicans can prevent the two-thirds required to raise taxes. The failure to come up with a balanced plan by last week's constitutional deadline means that Senators and Assembly members are not being paid. Now the Democrats and Governor Brown have agreed on a plan based in part on revenues that might never materialize. Most of the cuts to social services were made a couple of months ago. But they could go deeper. If the economy doesn't provide the new revenues the budget depends on, K-12 education will be allowed to drop one week of school. Is this really a state too poor to pay its bills, or is this all about politics? We hear more about what the new budget could mean for the quality of life in California.
Politics and Finance in a World-Class Economy
Dan Walters - Sacramento Bee - @WaltersBee, Stephen Levy - Center for Continuing Study of the California Economy, Bill Habermehl - Orange County Department of Education, Jean Ross - California Budget Project