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Schwarzenegger: Calif. Lawmakers Protecting Unions

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Jul 2, 2009 5:52 pm US/Pacific

Schwarzenegger: Calif. Lawmakers Protecting Unions

Governor Declares California Fiscal Emergency

SACRAMENTO, Calif. (AP) ― Gov. Arnold Schwarzenegger said California's Democratic-led Legislature is putting union interests over taxpayers' well-being.

The governor made cutting remarks in Los Angeles on Thursday as the state prepared to issue its first IOUs instead of payments since 1992.

Schwarzenegger said Democrats have resisted reforms he said must be part of solving the state's $26.3 billion shortfall. He said the state must cut out waste.

The governor recently proposed changes to cut state employees' pensions and adopt fraud-prevention measures for in-home caregivers. Democrats don't want policy changes to be part of budget negotiations.

Schwarzenegger said the Legislature's failure to pass a balanced budget revision sent a message that they expect Californians to make sacrifices but won't do the same.

(© 2009 The Associated Press. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed.)

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