Aides to the leaders said it was important to quell any concern in financial markets that the political discord so common here would stymie efforts to pay back the short-term loans the state is poised to seek and right the state’s finances.

Chiang said the state is in danger of running out of money by the end of the month.
Schwarzenegger said he would try to create an action plan so the state can pay thousands of state employees, including California Highway Patrol Officers.

Henderson's order said the further proceedings would be needed "to determine the availability of, and the procedures for transferring to the receiver for the purpose of continuing his capital projects, $250 million" that had already been appropriated under last year's Assembly Bill 900.

State leaders Wednesday delayed immediate action to resolve California's latest budget woes as they approached Wall Street with some trepidation seeking a short-term loan.
Gov. Arnold Schwarzenegger and legislative leaders said they focused on the state's short-term cash needs in a Capitol meeting Wednesday but plan to deal with California's multibillion-dollar revenue gap in subsequent weekly discussions.