Capitol Alert

The latest on California politics and government

Both houses of the Legislature were to convene this evening to vote on a new Democratic budget plan that raises taxes without two-thirds votes but the sessions were delayed as legislative leaders negotiated for a signature from Republican Gov. Arnold Schwarzenegger.

Schwarzenegger reportedly was demanding concessions from Democrats on regulatory and labor laws that business groups have been demanding - changes that the Democrats' allies in labor and environmental groups strongly oppose.

Lawmakers plan to return at 9 a.m. tomorrow.

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Shane Goldmacher and The Bee Capitol Bureau report on the people and politics of California government. Get e-mail alerts for breaking news, as well as exclusive previews of Capitol happenings and stories in tomorrow's Bee.

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