Sure Doesn’t Sound Good.

I’m curious to hear from economists and/or state finance experts on the precise significance of this. But it does not sound good. According to the LA Times, Gov. Schwarzenegger has written to Secy. Paulson saying that the state of California may need to borrow as much as $7 billion from the feds within weeks because of the unavailability of short term loans it uses to finance state government in advance of tax monies coming in.