Budget Watch

On the state’s 16th day without a budget, here were the key developments in Sacramento:

THE PROBLEM

Legislators and Gov. Pete Wilson need to bridge a $10.7-billion gap between anticipated revenues and the amount it would take to continue all programs at their current levels, rebuild a reserve for emergencies and erase last year’s deficit. Without a budget for the fiscal year that began July 1, the state is out of cash and cannot borrow money to pay its bills. Instead, claims are being paid with IOUs, known as registered warrants.

IOUs

Issued Wednesday: 97,708, valued at $159.2 million, including 86,636 sent to Medi-Cal providers.

Since July 1: 455,804 with a total value of $787.7 million.

THE LEGISLATURE

The Assembly and Senate met, but did not take up budget-related matters.

GOV. PETE WILSON

In Los Angeles and Riverside counties on state business unrelated to the budget.

KEY DEVELOPMENTS

Assemblyman Phillip Isenberg (D-Sacramento) and Sen. Frank Hill (R-Whittier) unveiled a compromise budget-balancing plan. Wilson said the plan “moves somewhat closer to a framework which can be used to negotiate a real budget solution.” But the governor added: “Major differences still exist between the proposal and an acceptable budget solution.”