Crazy of the Day

California Assembly Speaker Karen Bass said Wednesday she sees stalled negotiations with Gov. Arnold Schwarzenegger over closing the state's $26.3 billion budget gap resuming by Friday.

California has been burning through its cash without a budget agreement and is issuing IOUs for tax refunds.

The legislature is being urged to consider taxing marijuana to help raise revenues.

Bass, a Democrat, and Schwarzenegger, a Republican, have been at odds in recent days over his demands for overhauling some state operations with new rules, including some to root out and prevent fraud in the state's welfare system, as part of a broader agreement for balancing the state's budget.