REFILE-California governor signals key budget concession - Reuters

Schwarzenegger sees possible compromise * Says budget talks moving fast (Refiles to insert dropped word "deficit" in 3rd paragraph) By Jim Christie SAN FRANCISCO, July 4 (Reuters) - Governor Arnold Schwarzenegger, optimistic California can finish its budget negotiations in a few days, is willing to reconsider his proposed cuts to education in hopes of averting a cash crisis, the San Francisco Chronicle said on Saturday. A compromise between the Republican governor and Democratic lawmakers may help clear the way for an agreement on an overdue state budget and avert a cash crisis for the government of the most populous U.S. state. California already is issuing billions of dollars in "IOUs" and, without a deal, is on track to run out of cash this month. The San Francisco Chronicle reported that Schwarzenegger, in a Friday... [read full story]                    

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