California Faces 42 Billion Dollar Deficit

From the WSJ:

"The Republican governor is facing his biggest challenge since voters chose him to replace Democrat Gray Davis in a 2003 recall election. Over the next 18 months, California faces a $42 billion budget deficit, due in part to declining tax revenues in a state hit especially hard by the economic downturn."

It can be argued that entitlement spending is way too high in CA already. This is a problem that will get much worse.