Among the changes McDonnell said he is considering are lowering the overall sales and use tax and expanding it to cover services as varied as car repair, tax preparation and pedicures now exempt from the tax. The sales tax is paid now only on retail merchandise.

The so-called short session is designed to tweak the two-year state budget approved in 2011

Gov. Christie's pension reform did little to stop the age-old New Jersey practice of double-dipping, in which employees "retire," start collecting a pension, and then are rehired, often the next day.  A criminal investigation is under way involving his running mate, New Jersey Lt. Gov. Kim Guadagno.

Gov. Jerry Brown said that California's shortfall was now projected to be $16 billion, up from $9.2 billion in January. Mr. Brown said that he would propose a revised budget on Monday to deal with it.

The state's colleges and universities will have to take at least $200 million in additional budget cuts based on the way the state budget bill is now structured, higher education officials said.

The ball is now in the House's court after the state Senate this past week passed a budget that spends considerably more than what Governor Corbett has proposed.

Republican Gov. Scott Walker's administration said that its new revenue projections show the state will finish the 2011-2013 budget years with a surplus rather than the deficit predicted earlier this year.

The Illinois State Senate approved legislation that would require retired state workers to pick up more of the costs of their health insurance.

Gov. Bev Perdue will ask legislators to spend an additional $562 million on K-12 schools and increase the state sales tax in the $20.9 billion budget she plans to release Thursday.

South Carolina's Senate Finance Committee unanimously advanced a budget that provides higher raises to state workers, pays for long-deferred maintenance at all public colleges, and spends more money on special needs students.