Budget Fix Fails; IOUs Expected Next Week 6/25/09

State lawmakers have rejected a budget plan intended to tame California's $24-billion deficit. In response, Controller John Chiang announced that he would have to start paying many of the state's bills with IOUs on July 2 if a budget package is not passed by then. Details: http://www.latimes.com/news/local/la-me-budget25-2009jun25,0,1060005.story