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Democratic Budget Plan Vetoed By Jerry Brown

AP Photo/Russel A. Daniels
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The budget package passed Wednesday by Democratic legislators has been vetoed by Gov. Jerry Brown, sources say, according to the L.A. Times.

The plan contains higher taxes, billions of dollars in delayed payments to schools, and various accounting maneuvers to balance the books. Brown had previously warned that he would not sign a budget containing such accounting gimmicks.

Legislators could stop being paid if they fail to send a budget to the governor by June 15, under a new law passed last year. "It is unclear whether state lawmakers will receive their paychecks in the wake of the veto." It's up to CA's chief financial officer, Controller John Chiang, to decide whether or not to issue them.

Senate Republicans had been negotiating with Brown on his preferred plan, which would include a fall election on higher taxes. They want pension changes and a limit on future state spending in return for their support, and Brown has said he is willing to go along. But the Republicans say they have not met with the governor for more than a week.
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A news conference is scheduled around noon at his office here in Los Angeles.