July first is Sunday -- the start of the new fiscal year-and there's no state budget agreement in sight. Jenny O'Mara brings us up to date on what's happening as the deadline approaches.
State lawmakers -- from both the Assembly and the Senate -- who have been working on a joint budget proposal are wrapping up their work. As usual, it will take negotiations among legislative leaders to reach a compromise.
Republican lawmakers say more must be done to curb spending to reign in an ongoing deficit. Democrats have already criticized the governor's budget plan. They say it cuts needed transit dollars and aid to the poor.
Legislative leaders met this week and Governor Schwarzenegger was scheduled to talk one-on-one with them. But it's unlikely any sort of deal can be put together before the start of the new fiscal year on Sunday.
