No matter how bad it seems in Illinois right now, at least we have a functioning state government. California, on the other hand...
A state budget deal to close a $41 billion shortfall has been put further into question early this morning after Senate Republicans ousted their leader who had helped negotiate the long-awaited plan with other top lawmakers in California.
...[T]he ousted Minority Leader Dave Cogdill, R-Modesto, ...was one of the four legislative leaders who negotiated the emergency budget deal with the governor. Their compromise budget package, reached after three months of negotiations, contained nearly $16 billion in program cuts, $11 billion in borrowing and $14.4 billion in tax increases. The most contentious debate has been over the proposed tax hikes.
Republicans selected Sen. Dennis Hollingsworth, R-Murrieta (Riverside County) as their new Minority leader. Hollingsworth is part of the conservative wing of the Senate Republican caucus and he has been adamantly against raising any taxes.
The New York Times has more:
The state, nearly out of cash, has laid off scores of workers and put hundreds more on unpaid furloughs. It has stopped paying counties and issuing income tax refunds and halted thousands of infrastructure projects.
Twenty-thousand layoff notices [went] out on Tuesday morning, Matt David, the communications director for Gov. Arnold Schwarzenegger, said Monday night. "In the absence of a budget we need to realize this savings and the process takes six months," Mr. David said.
When you're talking about the 7th largest economy in the world, this is somewhat disturbing.