California lawmakers close deficit on rosy projections

June 28, 2011 12:00:00 AM PDT
California Democrats have closed the remainder of what had been a gaping budget deficit, relying on a combination of deep spending cuts, optimistic revenue projections and new fees that are sure to be challenged in court.

The Legislature late Tuesday sent a nearly $86 billion spending plan for the fiscal year that begins Friday to Gov. Jerry Brown.

He is certain to sign it because he struck the compromise with his fellow Democrats days earlier, after failing to get Republican support for tax increases.

The package closes the remaining $9.6 billion deficit.

The Legislature acted with unusual haste, under a new law that allows Democrats to pass a budget with a simple majority vote but also halts lawmakers' pay if they miss their deadline to pass a balanced budget.

The Associated Press contributed to this report.