Schwarzenegger to veto Democrats’ deficit cuts, back to square one

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Gov. Arnold Schwarzenegger, taking aim at what remained of a deficit-cutting package drafted by Democrats, said Tuesday he planned to veto $1.1 billion in projected savings realized largely through cuts to public transit.

Democratic lawmakers had approved the measure as part of a package they said would have addressed $4 billion of California’s estimated $20-billion deficit.

Combined with Schwarzenegger’s veto last week of a larger component of the plan, the announcement puts Capitol politicians back at square one on the deficit.

Full story: Schwarzenegger to veto Democrats’ public transit cuts –