SAN FRANCISCO - California legislative analyst Mac Taylor said Gov. Arnold Schwarzenegger's 2009-2010 budget shows that the state's fiscal options are narrowing, and he called the governor's deficit borrowing plans "risky."

Taylor, who took over as head of the nonpartisan Legislative Analyst's Office last year, said the budget gap has grown by $12 billion since Schwarzenegger proposed a package of budget cuts and tax hikes in November. The deficit now stands at about $40 billion.

Subscribe Now

Independent and authoritative analysis and perspective for the bond buying industry.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.