California:
California is facing a cash crisis this summer, putting pressure on elected officials to submit an on-time state budget or risk asking taxpayers to pay a premium on loans.
In the past, the state has been able to pay its bills despite projected deficits by borrowing money internally from some state special funds and by selling short-term notes on Wall Street.
But a lack of cash reserves this year combined with lagging revenues has led officials to predict that the state will run out of cash as early as August, giving lawmakers a smaller-than-expected window to strike a budget deal.
