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United States

Sacramento

A budget at last: Facing a $42 billion deficit and looming bankruptcy, California lawmakers last week ended a four-month impasse and passed a budget requiring severe reductions in state services. The $130 billion budget includes $15.1 billion in spending cuts and $12.8 billion in tax increases and fee hikes. Half the cuts are to come from the education budget, and officials from the state’s 23-campus university system said they would have to dramatically shrink enrollment. The cuts also will force changes in the prison system, already under a federal court order to reduce the inmate population. Authorities say they’ll likely give many prisoners time off for good behavior and curtail supervision of paroled inmates.

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