Brown said he and the GOP were deadlocked over his plan to address the $26 billion gap with spending cuts and a voter referendum in June on extending temporary taxes on income. He said Republicans refused to budge on his proposal to put the plan up for a public vote.
"Each and every Republican legislator I've spoken to believes that voters should not have this right to vote unless I agree to an ever changing list of collateral demands," Brown said in a written statement.
"While we made significant progress on these reform issues, the Republicans continued to insist on including demands that would materially undermine any semblance of a balanced budget," he said.
Brown needs the votes of two Republican Senate and two Assembly representatives to put a measure before the voters. One Republicans, state Sen. Anthony Cannella, told the Sacramento Bee that unions, trial lawyers and other Democratic-leaning groups were resisting talks on major issues such as pensions and regulatory changes.
Brown said he supports "pension reform, regulatory reform and a spending cap and offered specific and detailed proposals for each of these during our discussions."
The Bee said Brown's decision virtually assured a ballot measure would not make it to the June ballot.