California budget deadline passes without a budget

The L.A. Times reports:

California begins a new budget year Thursday without a spending plan in place and with no agreement imminent between state legislators and Gov. Arnold Schwarzenegger on how to close a $19.1-billion deficit.

State employees and others who depend on government money were bracing Wednesday for the possible fallout. Thousands of state workers took to the Capitol steps, protesting spending cuts and the governor's threat to slash their pay.

Great moments in big government.