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Calif. Lawmakers Make Cuts As Tough Choices Await

SACRAMENTO, Calif. (AP) -- Democratic lawmakers on Thursday continued to chip away at California's $26.6 billion budget shortfall as Gov. Jerry Brown tried to persuade Republicans to support his plans to eliminate redevelopment agencies and call a special election for extending tax hikes.

The Legislature began taking up additional spending cuts, loans and transfers, which were being passed mostly by Democrats on a majority vote. Lawmakers in both houses began addressing the deficit Wednesday and hope to act on nearly $14 billion in solutions by the end of Thursday.

"We are going to just keep moving and denting and reducing the deficit," said Senate President Pro Tem Darrell Steinberg, D-Sacramento, before voting began in his house.

The Legislature continues to stall over Brown's plan to eliminate the 400 redevelopment agencies throughout the state. It fell short by one Republican vote in the Assembly on Wednesday. Democrats did not plan to take up those difficult votes Thursday, leaving the toughest choices ahead.

Steinberg said he would instruct his house to remain close to the Capitol through the weekend while Brown and Democratic leaders negotiate with whichever Republicans are willing to talk.

"We certainly won't be finished because the most significant pieces are remaining, namely, giving the people the right to choose not to cut education and public safety in ways that I don't think even most Republicans will stand by," Steinberg said. "At least give people a choice."

The Legislature on Wednesday agreed to cut health care services for the poor and elderly, among other spending cuts totaling an estimated $7.4 billion. Those bills were passed on a two-thirds majority vote with bipartisan support.

But in a sign of how difficult it has become to navigate through the state budget process, Brown's proposal to eliminate redevelopment agencies to save the state an estimated $1.7 billion fell one Republican vote short in the Assembly.

The Legislature also had to invoke Proposition 25 for the first time Thursday after Republicans would not assure support of bills that tackled giving counties more responsibility over inmates and parolees and making education funding changes. Proposition 25 was approved by voters last fall and changed the legislative vote requirement to pass a budget from two-thirds to a simple majority.

Republicans also objected to improving state tax collections by making sure more taxpayers are complying with the law.

Assuming he has the backing of all Democrats, Brown needs two Republican votes in each house in order to call a special election in June. The Democratic governor wants to ask voters to extend higher sales, income and vehicle taxes for five years. Those temporary taxes passed under former Gov. Arnold Schwarzenegger have begun to expire and the last of them are set to expire June 30.

(Copyright 2011 by The Associated Press. All Rights Reserved.)

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