Wallop to property taxes

Los Angeles County officials are bracing for a round of belt-tightening as property tax revenues fall short of expectations on drooping home values and the state prepares to cut off additional funds. Troy Anderson in the Daily News.

While soaring property values have poured millions into county coffers in recent years, officials say they expect revenues to increase just 2 percent to 5 percent next year - compared with 9 percent this year - as the real estate market cools.

At the same time, California's fiscal woes are worsening as Gov. Arnold Schwarzenegger has asked all state departments to prepare for 10 percent cuts amid a slowing economy and unexpected setbacks that have created a nearly $10 billion budget shortfall over the next two years.