The Legislature's Democrats, using new voter-approved powers to act by a simple majority, passed the $131 billion budget earlier in the week, closing a $26.6 billion deficit, and Brown wielded his line-item veto to cut $258 million more when he signed it Thursday, the San Francisco Chronicle reported.
The final $4 billion gap was bridged using optimistic revenue forecasts and if it proves too rosy, spending on prisons, universities and courts will be cut further and the school year shortened, the Los Angeles Times reported.
Republicans, whose support was needed to get a supermajority for taxes, refused to extend temporary sales taxes that expired Friday, the first day of the 2012 fiscal year.
The budget also slashes nearly a quarter of the state university system's funding, raises community college fees and cuts aid to the elderly, disabled and mentally ill.
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