"LOS ANGELES -- In a sign that a deal addressing California's longstanding water supply problems may be near, Gov. Arnold Schwarzenegger convened a special session of the Legislature on Monday to revisit a package of water bills.
A three-year drought, federal environmental regulations restricting water flows and the fixation of Mr. Schwarzenegger -- who has said he is determined to leave a mark on one of the state's most intractable problems before leaving office next year -- have heightened the urgency for an agreement.
Mr. Schwarzenegger, a Republican, had threatened to veto some 700 bills if lawmakers did not reach a water deal by Sunday, the end of the regular legislative session. But he backed off that threat on Monday, citing progress as lawmakers and members of his staff hunkered down to work on the issue."