If the May 19 special election scared Gov. Arnold Schwarzenegger and state lawmakers into action, they aren't showing it.

Fifty days after voters rejected a Capitol driven ballot package in a rebuke of Sacramento politics, California lacks a budget-balancing agreement and is paying bills with IOUs for the second time since the Great Depression.

Democrats and Republicans continue to squabble over how deep to cut state services and whether to use the crisis as an opportunity to enact permanent changes that shrink state government. They have shifted back to closed door meetings after reaching few deals in public. In public, they blame each other.

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