California Lawmakers, Gavin Newsom Hammer Out $311 Billion Budget — Without Major Water Project

California lawmakers and Gov. Gavin Newsom agreed on a $310.8 billion budget deal Monday, a compromise reached by dropping the governor’s proposal to move forward with a 45-mile Delta water tunnel that would pump water from the Sacramento River to other parts of the state.

Legislators released a series of bills Saturday and Sunday showing the broad outlines of a spending plan that includes more money for public transit, child care, prison reform and Medi-Cal. The measures also reflected the challenges of closing the state’s estimated $31.5 billion budget gap.