Gov. Linda Lingle and her cabinet will continue working tonight and through the long Fourth of July weekend to develop a plant to balance the state's budget following a court ruling blocking her furlough plan.

“Today’s decision by (Circuit) Judge Sakamoto did not change the state’s fiscal situation," Lingle said in a prepared statement. We still face at least a $730 million shortfall that will likely grow larger when year-end tax collections are finalized next week."
The budget may require further adjustments when the Council on Revenues meets in September, Lingle said. The state has already cut $2 billion from its budget. The governor's administration will work to close the budget shortfall and negotiate with labor unions for possible furloughs and salary cuts to ensure a balanced budget as required by the state Constitution.
“We also will be continuing to identify additional savings from all state departments," Lingle said. “I continue to believe that we must approach this unprecedented fiscal challenge with a sense of shared sacrifice in the short-term, while remaining focused on our long-term economic future.”