Forecast: California faces another massive

California will face a nearly $21 billion budget gap over the next year and a half, extending a fiscal crisis that already has led to steep cuts to public schools, social services and health programs, according to The Associated Press.

In a report Wednesday, the Legislature's nonpartisan budget analyst pins the blame on the deep recession and poor decisions by Gov. Arnold Schwarzenegger and state lawmakers over the past year.

Many of the steps they said would patch previous budget deficits have failed, creating a $6.3 billion hole in the current fiscal year ending June 30.

Legislative Analyst Mac Taylor said the shortfall will expand to $14.4 billion for fiscal year 2010-11, forcing state leaders to make even more painful cuts.

The report does, however, suggest California's economy is on the mend, but analysts don't expect it to recover for another year or two.

A thriving economy sends more sales, capital gains and income taxes to the state. With a steep downturn, tens of billions in tax revenue evaporates.

The options for Schwarzenegger and lawmakers are limited to spending cuts, higher taxes or borrowing. Tax cuts and borrowing appear to be in disfavor after taxes were raised earlier this year and tens of billions of dollars were added to the state's credit card during Schwarzenegger's tenure.