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Californians vote on budget woes Californians vote on budget woes
(about 4 hours later)
California residents are heading to the polls for a special election on a series of budget measures to tackle the state's multi-billion dollar deficit.California residents are heading to the polls for a special election on a series of budget measures to tackle the state's multi-billion dollar deficit.
Gov Arnold Schwarzenegger says the steps are vital and has warned of deep spending cuts and the sale of state property even if the measures pass.Gov Arnold Schwarzenegger says the steps are vital and has warned of deep spending cuts and the sale of state property even if the measures pass.
California is facing a shortfall of at least $15.4bn (£9.9bn).California is facing a shortfall of at least $15.4bn (£9.9bn).
But opinion polls suggest voters are either unconvinced or confused by most of the proposed measures.But opinion polls suggest voters are either unconvinced or confused by most of the proposed measures.
California's budget woes show little signs of easing. Earlier this year, the state raised taxes and cut spending to tackle a shortfall of $42bn but amid the global economic slowdown, tax revenues are down and the state is still in the red.California's budget woes show little signs of easing. Earlier this year, the state raised taxes and cut spending to tackle a shortfall of $42bn but amid the global economic slowdown, tax revenues are down and the state is still in the red.
Voters are being asked to consider six measures - five specifically targeted at shoring up the state's shaky finances.Voters are being asked to consider six measures - five specifically targeted at shoring up the state's shaky finances.
They are:They are:
  • Proposition 1A: increases the state's rainy-day reserves, puts a cap on spending and extends recent increases in sales, income and vehicle taxes for up to two additional years
  • Proposition 1B: guarantees education funding but only if 1A passes as well
  • Proposition 1C: allows the state to borrow $5bn against future lottery revenue
  • Propositions 1D and 1E: shift money from child development and mental health programmes to the general fund.
  • Proposition 1A: increases the state's rainy-day reserves, puts a cap on spending and extends recent increases in sales, income and vehicle taxes for up to two additional years
  • Proposition 1B: guarantees education funding but only if 1A passes as well
  • Proposition 1C: allows the state to borrow $5bn against future lottery revenue
  • Propositions 1D and 1E: shift money from child development and mental health programmes to the general fund.
Opinion polls suggest voters are either not persuaded or are confused by these ballot measures.Opinion polls suggest voters are either not persuaded or are confused by these ballot measures.
The only one that seems to enjoy general support is the additional measure, Proposition 1F, which would freeze elected officials' pay in years when there is a budget deficit.The only one that seems to enjoy general support is the additional measure, Proposition 1F, which would freeze elected officials' pay in years when there is a budget deficit.
Last week, Gov Schwarzenegger warned that tough measures would be needed whatever the outcome of the election.Last week, Gov Schwarzenegger warned that tough measures would be needed whatever the outcome of the election.
Gov Schwarzenegger says California must sort out its "budget madness"Gov Schwarzenegger says California must sort out its "budget madness"
"To solve our immediate and painful cash crisis, we simply cannot avoid deep and painful cuts in spending," he said."To solve our immediate and painful cash crisis, we simply cannot avoid deep and painful cuts in spending," he said.
These included laying off 5,000 state employees and selling off buildings including the Los Angeles Memorial Coliseum, where the 1932 and 1980 Summer Olympics were held.These included laying off 5,000 state employees and selling off buildings including the Los Angeles Memorial Coliseum, where the 1932 and 1980 Summer Olympics were held.
But if the budget proposals failed, California's deficit would swell to $21bn, Gov Schwarzenegger warned.But if the budget proposals failed, California's deficit would swell to $21bn, Gov Schwarzenegger warned.
If that happened, deeper cuts would mean the school year being shortened by 7.5 days and an end to health care for 225,000 low-income children.If that happened, deeper cuts would mean the school year being shortened by 7.5 days and an end to health care for 225,000 low-income children.
The state government would take $2bn from local governments, which could have an effect on local police and fire departments, while thousands of undocumented illegal immigrants held in state facilities would be released into federal custody.The state government would take $2bn from local governments, which could have an effect on local police and fire departments, while thousands of undocumented illegal immigrants held in state facilities would be released into federal custody.
Californians have already been voting in a postal ballot. Polling stations will be open on Tuesday from 0700 to 2000 (1400 to 0300 GMT). Californians have already been voting in a postal ballot. Polling stations opened at 0700 and will close at 2000 (0300 GMT Wednesday).