Teachers rally against education budget cuts -- Thousands gather at Pershing Square in downtown L.A., speaking out against Schwarzenegger and the L.A. Unified superintendent. Howard Blume and Jason Song in the Los Angeles Times -- 1/29/09

California Supreme Court rules against 'preemptive' lawsuits in Sprint case -- The California Supreme Court ruled unanimously Thursday that consumers couldn't bring "preemptive" lawsuits against companies for violating a state consumer law. Only those who have suffered harm from a company's alleged illegal act can sue under the state Consumers Legal Remedies Act, the state's high court said. Maura Dolan in the Los Angeles Times -- 1/29/09

Civic activists in L.A. have growing appetite to curb medical marijuana clinics -- When residents in the Eagle Rock area found nearly a dozen facilities in a 2-mile radius, they petitioned City Hall for a say in how the shops are approved. Scott Gold in the Los Angeles Times -- 1/29/09

Fiorina Eyeing U.S. Senate? -- Former HP CEO Carly Fiorina is making some moves that strongly suggest she's got her eye on a political future in California -- and the buzz is that it may even have something to do with that 2010 race against Democratic U.S. Senator Barbara Boxer. Carla Marinucci in the San Francisco Chronicle -- 1/29/09

H2No: Calif officials urge water conservation -- State officials reported a smaller Sierra Nevada snowpack than normal on Thursday and said California may be at the beginning of its worst drought in modern history. Residents were immediately urged to conserve water. AP Mark Grossi in the Fresno Bee Paul Rogers in the San Jose Mercury Mike Taugher in the Oakland Tribune -- 1/29/09

Raise community college fees by 50 percent, state analyst says -- The nonpartisan Legislative Analyst's Office also said in its higher-education budget analysis that Gov. Arnold Schwarzenegger should not be proposing deep financial-aid cuts in a year when universities education costs are expected to rise sharply. Analysts criticized Schwarzenegger for his plan to end the state's commitment to offsetting fee hikes. Matt Krupnick in the Contra Costa Times -- 1/29/09

Former reporter files discrimination suit against KVIE -- Pat McConahay, a longtime KVIE reporter and show host, filed suit today in Sacramento Superior Court, claiming that the public television fired her illegally, discriminating against her on the basis of her age. Carlos Alcalá in the Sacramento Bee -- 1/29/09

California weighs tough TV energy standards -- Visit any electronics store and it's clear that flat-screen TVs are among their best sellers—and that they hope consumers continue a years-long tradition of upgrading their home entertainment systems for the Super Bowl. SAMANTHA YOUNG AP -- 1/29/09

Furlough of state workers must start now, court says -- A Sacramento judge orders officials to implement Schwarzenegger's plan to force 238,000 state employees to take two days off without pay each month. Patrick McGreevy and Evan Halper in the Los Angeles Times Andrew McIntosh in the Sacramento Bee JUDY LIN AP Mike Zapler in the San Jose Mercury BRIAN JOSEPH in the Orange County Register Wyatt Buchanan in the San Francisco Chronicle -- 1/29/09

Prop. 8 campaign can't hide donors' names -- Proposition 8 proponents' complaint that a California campaign-finance disclosure law has led to harassment of same-sex marriage opponents failed today to sway a federal judge, who refused to throw out the law or shield donors' names. Bob Egelko in the San Francisco Chronicle Aurelio Rojas in the Sacramento Bee Martin Wisckol in the Orange County Register -- 1/29/09

Poll Numbers No Map Out of the Budget Wilderness -- The Public Policy Institute of California poll results this morning don’t provide a clear map on leading the state out of the budget wilderness. Joel Fox Fox & Hounds weblog -- 1/29/09

What does California need? Reform, reform, reform -- They blamed — not in equal parts — term limits, the two-thirds voting threshhold for budgets and taxes, campaign finance reform, partisan primaries, polemic politics in Sacramento and the Legislature’s inability to focus on solutions that work. Lisa Vorderbrueggen Political Blotter weblog -- 1/29/09

Environmentalists cry foul over GOP clean-air move -- Bugs have invaded state budget talks as debate heats up about clean-air rules farmers must follow when spraying for pests. E.J. Schultz in the Fresno Bee -- 1/29/09

California sees sharp drop in new car sales -- Sales of new cars and trucks in California plummeted by nearly one-fourth last year to the lowest level in 15 years, the California New Car Dealers Association reported today - adding that an additional decline is expected this year. Dan Walters SacBee Capitol Alert -- 1/29/09

Corruption cases against Carona’s wife, ex-mistress dropped -- A federal judge this morning granted prosecutors’ request to dismiss public corruption charges against Deborah Carona, the wife of ex-lawman Mike Carona, and his former mistress Debra Hoffman. Rachanee Srisavasdi in the Orange County Register -- 1/29/09

Disney-ABC Television Group lays off hundreds -- The Disney-ABC Television Group today laid off several hundred people, citing the weakening economy. Dawn C. Chmielewski in the Los Angeles Times -- 1/29/09

State to target untaxed goods -- State tax officials are targeting people – doctors, dentists and chiropractors are high on the list – who buy goods from out-of-state vendors and who, unlike retailers, aren’t registered with the state. The goal is to collect at least part of the annual $2 billion in sales and use taxes that slips through the crack – a goal intensified by the state’s budget problems. John Howard in Capitol Weekly -- 1/29/09

Stimulus would bring welcome relief to California -- The state could get as much as $63 billion in federal funds, most of which will go for shovel-ready projects and tax cuts. Richard Simon in the Los Angeles Times -- 1/29/09

California, Federal fiscal solutions joined at the hip -- Gov. Schwarzenegger has a lot in common with President Barack Obama. Both are in the throes of negotiations for multi-billion dollar economic deals. Both are professed champions of the environment and job creation. And both, eventually, are going to need two Republican votes in the Senate to get anything done. Anthony York in Capitol Weekly -- 1/29/09

Skelton: Californians aren't ready for the one-two budget punch -- The heavy shoe is about to drop. Sacramento on Monday intends to begin stiffing people owed tax refunds, vendors who sell goods to the state and recipients of many social services. George Skelton in the Los Angeles Times -- 1/29/09

State tax refund delay hurts low wage earners -- With California's budget quagmire forcing an indefinite delay to state income tax refunds, taxpayers on the lower end of the income scale are most likely to feel the pain. Dan Smith in the Sacramento Bee -- 1/29/09

Governor threatens layoffs if state workers balk at furloughs -- Gov. Arnold Schwarzenegger warned Wednesday that if state workers don't accept twice-monthly furloughs, he will pursue layoffs to reduce salary costs by more than a billion dollars. Kevin Yamamura in the Sacramento Bee Wyatt Buchanan, Matthew Yi in the San Francisco Chronicle -- 1/29/09

Today's furlough hearing won't ease the uncertainty -- State workers marked today on their calendars nearly four weeks ago when they learned that a Sacramento Superior Court judge would hear arguments about Gov. Arnold Schwarzenegger's December order to furlough them two days each month. Jon Ortiz in the Sacramento Bee -- 1/29/09

Schwarzenegger, other state officials want to dump prison health czar -- The state brought a new dimension Wednesday to the legal struggle over prison health care reform with a motion to get rid of the court-appointed receiver and his proposed $8 billion construction plan. Denny Walsh in the Sacramento Bee -- 1/29/09

The cost of a fix-it ticket — and others — just got quite a bit steeper -- Under a little-noted law that took effect Jan. 1, the cost of a fix-it ticket has nearly tripled, and drivers who are tardy taking care of a burned-out headlight or another mechanical problem could pay as much as $100 for an offense that a few years ago didn't cost a penny. Gary Richards in the San Jose Mercury -- 1/29/09

Californians give thumbs-up to Obama, thumbs down to state officials -- The survey by the Public Policy Institute of California found that three in four Californians think the state is going in the wrong direction, a record high number. The budget problems have dragged the approval rating for Gov. Arnold Schwarzenegger to 40% -- the level it reached after his politically disastrous special election in 2005. The Legislature has sunk to a 21% approval rating. Evan Halper in the Los Angeles Times Dan Walters SacBee Capitol Alert Mike Zapler in the San Jose Mercury John Wildermuth in the San Francisco Chronicle John Myers Capitol Notes weblog -- 1/29/09

Funding guaranteed for Bay Area road projects -- Bay Area transportation officials plan to lend the state as much as $200 million to keep nine state-funded highway projects moving, under a strategy approved Wednesday. Michael Cabanatuan in the San Francisco Chronicle -- 1/29/09

Bill Ayres: 'Americans did not elect a monarch' -- Bill Ayres, the 1960s radical who was the subject of GOP accusations last year that Barack Obama was "palling around with terrorists," urged a student audience at St. Mary's College in Moraga to take up social activism, saying that in the recent election, Americans "did not elect a monarch or a king." Carla Marinucci in the San Francisco Chronicle Lisa Vorderbrueggen in the Contra Costa Times -- 1/29/09

Raucous protest greets William Ayers at Moraga speaking engagement -- The shouts of "Shame on you!" resounded across the small Saint Mary's College campus Wednesday night, where under the glare of television lights, a few hundred sign-carrying, flag-waving protesters gathered around a megaphone to object to an appearance by 1960s anti-war militant William Ayers. Paul Thissen in the Contra Costa Times -- 1/29/09

Charges against Carona's wife, ex-mistress to be dropped -- Prosecutors cite the 'interests of justice' and the former sheriff's acquittal on most counts in asking the court to end the cases against Deborah Carona and Debra Hoffman. Christopher Goffard and Stuart Pfeifer in the Los Angeles Times -- 1/29/09

Ousted UHW leaders form new union -- The new group, the National Union of Healthcare Workers, is collecting union cards from UHW members as fight over representation with SEIU escalates. Evelyn Larrubia in the Los Angeles Times -- 1/29/09

UC pensions: worker revolt -- A labor union is launching an initiative drive to shift control of the UC retirement system, the third largest public pension system in the state, from the UC regents to a new 13-member board with a majority of employee representatives. Ed Mendel Calpensions.com -- 1/29/09

UC service workers agree to contract -- The University of California has settled a bitter contract battle with nearly 8,500 service workers after a year and a half that included picketing and sit-ins. Matt Krupnick in the Contra Costa Times Patricia Yollin in the San Francisco Chronicle -- 1/29/09

El Dorado County refuses to collect state surcharge on building permits -- El Dorado County officials frequently complain of new fees thrust upon local government by the state, and this week they decided to push back. Cathy Locke in the Sacramento Bee -- 1/29/09

Johnson sets aside strong-mayor push to focus on budget -- Sacramento voters won't decide whether Mayor Kevin Johnson should be given more muscle until at least November. Ryan Lillis in the Sacramento Bee -- 1/29/09

Newspaper chain's staffers to be furloughed -- About 3,300 staffers who work at 29 daily newspapers in California run by the MediaNews Group must take an unpaid, one-week furlough in February and March as a possible alternative to layoffs, the company said Wednesday. Tom Abate in the San Francisco Chronicle -- 1/29/09

Strike threat looms over Southern California Gas labor talks -- Southern California Gas Co. and the union representing its workers are running out of negotiating time on a labor contract that expires this weekend. Ronald D. White in the Los Angeles Times -- 1/29/09

Wells Fargo's Missing Pieces -- Tangible common equity is a nasty piece of jargon, but it is hardly an expletive. But perhaps it is to Wells Fargo, since the bank made no mention of this closely watched indicator of capital strength when it reported fourth-quarter earnings on Wednesday. PETER EAVIS in the Wall Street Journal -- 1/29/09

From Yachts to Textiles, Perks for Special Interests -- The economic stimulus plan could include dozens of special-interest provisions pushed by lawmakers to help constituents such as the South Florida yacht-repair industry, Manhattan subway riders and California wine makers. BRODY MULLINS and ELIZABETH WILLIAMSON in the Wall Street Journal -- 1/29/09

Chip maker Qualcomm's 1Q profit plunges 56 percent -- Chip maker Qualcomm Inc. slashed its forecasts for revenue and operating income Wednesday as it reported its fiscal first-quarter income plunged 56 percent. ELLIOT SPAGAT AP Mike Freeman in the San Diego Union-Trib -- 1/29/09

Valley wine-grape growers look to expand -- After a years-long wine glut, grapes are scarce again in California. Jim Downing in the Sacramento Bee Reed Fujii in the Stockton Record -- 1/29/09

New study touts housing role played by Nehemiah -- Down payment assistance programs pioneered by Sacramento-based Nehemiah Corp. of America helped sell more than 200,000 homes last year, according to a new study supporting a bid to reinstate the programs. Jim Wasserman in the Sacramento Bee -- 1/29/09

House - minus GOP - passes economic stimulus -- President Obama scored his first legislative victory as the House passed a $819 billion economic stimulus package tonight, but his bipartisan outreach failed to net even one Republican vote. Zachary Coile in the San Francisco Chronicle -- 1/29/09

Obama-Limbaugh battle a sign of GOP leadership vacuum -- President Obama has made his first tactical error of his young presidency: He called out conservative talk show host Rush Limbaugh. Joe Garofoli in the San Francisco Chronicle -- 1/29/09

Google's Schmidt urges quick passage of stimulus plan -- Google Chief Executive Eric Schmidt called on President Barack Obama to get a stimulus plan passed quickly, citing concerns that the economy will worsen before it improves. Deirdre Bolton and Dina Bass Bloomberg -- 1/29/09

Former Secretary of State Condoleezza Rice is returning to Stanford University -- Former Secretary of State Condoleezza Rice is returning to Stanford University to teach political science and write books as a member of the Hoover Institution, according to an interview published in the campus newsletter Stanford Report. Lisa M. Krieger in the San Jose Mercury -- 1/29/09

Cal State students speak up over proposed slashes to financial aid -- Students -- some with full course loads and multiple jobs -- address the Board of Trustees, protesting Gov. Schwarzenegger's proposed cuts and delays of Cal Grants. Gale Holland in the Los Angeles Times -- 1/29/09

San Joaquin County educators say federal funds won't fix cash crisis -- The economic stimulus package approved by the House of Representatives would bring more than $10 billion to cash-strapped California schools. But even though millions of dollars would flow to San Joaquin County districts, education officials Wednesday were far from declaring an end to the fiscal crisis. Roger Phillips in the Stockton Record -- 1/29/09

Manteca educators asked to take 8% pay cut in effort to avoid layoffs -- Negotiations are under way between Manteca Unified School District administrators and the district's unions over a proposed 8 percent pay cut. Harley Becker in the Stockton Record -- 1/29/09

Stanford receives record number of applications -- Stanford University received a record number of undergraduate applications this year, but might admit only 7.5 percent of the applicants to the class of 2013, campus officials announced Wednesday. Diana Samuels in the San Jose Mercury -- 1/29/09

Native flower clings to life at fringe of Laguna Beach development -- Big-leaved crownbeard endures despite controversial clearing and plans for homes. Susannah Rosenblatt in the Los Angeles Times -- 1/29/09

Insect poses dire threat to citrus -- An apocalyptically dangerous citrus pest, advancing northward from Mexico into the Southland, is causing such alarm here that agriculture officials and commercial growers are asking for the public's health in watching out for it. John Weeks in the San Bernardino Sun -- 1/29/09

North Coast on track to meet AB32 levels long before 2020 -- California’s north coast, long cherished for its majestic redwoods, rivers and sweeping coastline, is becoming known for something else: It is expected to cut its greenhouse gases to 1990 levels long before the deadline – still 11 years away - imposed by California’s law to reduce carbon emissions, AB 32. In fact, it may already have done so. John Howard in Capitol Weekly -- 1/29/09

State court won't halt Bayview redevelopment -- The state Supreme Court gave a green light Wednesday to San Francisco's large-scale redevelopment plan for Bayview-Hunters Point, rejecting an appeal by a local group that tried to give voters a chance to veto the project. Bob Egelko in the San Francisco Chronicle -- 1/29/09

Solar panel installations in California through the roof in '08 -- Homeowners and businesses had a record 158 megawatts of photovoltaic panels put on despite the recession. Marla Dickerson in the Los Angeles Times -- 1/29/09

Hiltzik: Pushing Detroit onto a greener road -- I was listening the other day to a couple of American automobile executives complain to the president of the United States about emission regulations and all their other burdens -- high wages, government safety mandates, unfair foreign competition. You know the list. Michael Hiltzik in the Los Angeles Times -- 1/29/09

Peanut butter products sold at local school fundraisers recalled -- Peanut butter cookies and dough sold by fundraising groups at more than two dozen Bay Area schools may have been tainted with salmonella bacteria, public health officials reported Wednesday. Hadley Leggett in the San Jose Mercury -- 1/29/09

Cookies and dough sold by schools in Placer, Sacramento counties could be tainted -- Fourteen schools in Placer and Sacramento counties may have used potentially contaminated frozen peanut butter cookies and cookie dough produced by Dough-To-Go Inc. of Santa Clara as part of school fundraising activities, the California Department of Health announced today. Melissa Nix in the Sacramento Bee -- 1/29/09

Senate Likely to Pass Bill on Kids' Health Insurance -- The Senate is expected to approve a bill today that provides health insurance to about 11 million low-income children, paving the way for President Obama to claim an early legislative victory and collect a quick down payment on his campaign pledge to guarantee care to every American child. Ceci Connolly in the Washington Post -- 1/29/09

SDG&E might sue burned-out residents over fires' spread -- San Diego Gas & Electric is threatening to sue people who were burned out in the 2007 wildfires, saying they didn't take care of their properties properly and, as a result, contributed to the damage. Onell R. Soto in the San Diego Union-Trib -- 1/29/09

Fletcher ready for tough choices -- While Assemblyman Nathan Fletcher, R-San Diego, can seem at times like a graduate of the Crash Davis School of Media Relations, there is no doubting his sincerity in his answers, or the political animal that lurks just below the surface. It’s hard to quantify what makes someone a rising star. But since before his election to the Assembly in November, the tag was already hung on Nathan Fletcher. Anthony York in Capitol Weekly -- 1/29/09

Orange County Sheriff's Department urged to limit Taser use -- ACLU says the weapons should be fired only if there is a threat of death or serious bodily injury. The group says policy shifts last year weren't enough and lists 12 specific changes it seeks. Tami Abdollah in the Los Angeles Times Tony Saavedra in the Orange County Register -- 1/29/09

JetBlue Airways to begin flying out of LAX -- The carrier, which has drawn a loyal following at Long Beach Airport, will offer daily nonstop service from Los Angeles to Boston and New York's JFK airport. Peter Pae in the Los Angeles Times -- 1/29/09

San Diego dreaming -- Water rationing might be in the offing for San Diego, but people all across America still think the grass is greener here. John Wilkens in the San Diego Union-Trib -- 1/29/09

Los Angeles City Council OKs $20.5-million settlement in Rampart suits -- Four LAPD officers charged that they were falsely arrested during corruption scandal. Maeve Reston in the Los Angeles Times -- 1/29/09

Documents point to police cover-up -- There is "strong circumstantial evidence" that police covered up the 2000 beating of drug suspect Jerry Amaro III, who died a month after suffering broken ribs, according to confidential city documents obtained late Wednesday. Thomas Peele and Kelly Rayburn in the Oakland Tribune -- 1/29/09

Former capitol staffer heads across the Pacific -- Most Capitol staffers are kept more than busy enough by their day jobs. But last year, while serving as legislative director for Assemblyman Guy Houston, Keith Ochwat moonlighted managing a documentary project being filmed in China. Malcolm Maclachlan in Capitol Weekly -- 1/29/09