Governor Schwarzenegger is addressing rumors about lawmakers borrowing to balance the overdue state budget.
The governor said raiding funds earmarked for other purposes -- such as transportation and local government needs -- would make the state's fiscal problems worse.
Schwarzenegger: It is a disaster. It is not fair to local government, it is not fair to the people of the cities and the counties, it is not fair to transportation to go in that direction once again.
Sacramento Mayor Heather Fargo is the incoming President of the League of California Cities.
She says lawmakers should find another way to balance the budget.
Fargo: You know they're looking at borrowing now and it could be a significant amount and we've already been through our budget, we've already met our cuts, and we think they need to stop borrowing, cut up the credit card for our money and solve it themselves.
Democrats and Republicans in the state legislature remain at odds over how to balance a fifteen-billion-dollar budget shortfall.