California Declares Fiscal Emergency; Philadelphia Plans Massive Cuts
In California, Governor Arnold Schwarzenegger declared a fiscal emergency on Monday and warned that California could run out of cash within two months. Schwarzenegger said the state"s growing deficit could reach $28 billion by 2010. This comes as cities and states across the country are proposing sweeping cuts in services as they face record deficits. In Philadelphia, Mayor Michael Nutter has proposed closing 11 of the city"s libraries, disbanding seven fire companies, shutting down 68 city pools and eliminating 800 government positions. In San Diego the school department has slashed funding for teacher supplies. One high school teacher has begun selling ads on test papers to raise money to pay for the photocopying costs. Barack Obama is meeting with Democratic governors in Philadelphia today.