Drought Wilts Texas

Governor Signs California Budget

Schwarzenegger signed a plan to close California's $24 billion budget shortfall, after using his line-item veto powers to slash $500 million more in spending.

Secaucus Mayor to Resign

The mayor of Secaucus, N.J., Dennis Elwell, became the first elected official arrested in last week's corruption sweep to say he would resign.

SEC Alleges Mortgage Fraud

The SEC sued four individuals for alleged fraud in connection with raising over $197 million from at least 900 investors nationwide in connection with a Phoenix-based commercial real-estate venture.

U.S. Woos Syria by Easing Export Ban

The White House told Syria it will work to facilitate purchases of U.S. exports that have been restricted by sanctions.

• Readers React: 'Kissing up to dictatorships'

Low Earners Trail in Health Plans

Some 71% of Americans employed by private industry had access to employer-sponsored health benefits in March, but just a quarter of the lowest wage earners did, the Bureau of Labor Statistics said.

China: World Awaits U.S. Recovery

The main economic priority for China is to support demand, with a U.S. recovery likely required before such measures can be ended, People's Bank of China Gov. Zhou Xiaochuan said during U.S.-China talks.

• Summit Addresses Prickly Issues

U.S. Aid for Police Falls Short

The Obama administration will dole out $1 billion to keep police officers on the beat during the downturn, but four major cities will be excluded due to lack of funds.

Tiller's Killing Described at Hearing

An usher at the church where abortion provider George Tiller was killed described the shooting during a preliminary hearing for the accused man.

Home of Jackson Doctor's Searched

Federal authorities searched the Las Vegas home and medical office of Michael Jackson's personal doctor as part of a manslaughter probe.

Traders Balk at Gas Trading Limits

Exchanges are moving to impose limits on natural-gas trading, sparking outrage among traders.

Airports Queue to Fly to Cuba

U.S. airports are pressing the government to broaden the list of ports of entry allowed to handle flights to and from Cuba.

Lawmaker Seeks Air-Alliance Curbs

House Transportation Committee's chairman James Oberstar stepped up efforts to limit airlines' ability to join alliances that cooperate on scheduling and revenue sharing.

'Clunker' Rebates Stir Car Buyers

The first weekend of "cash for clunkers" rebates boosted new-vehicle sales, despite minor snags and worries the program might not have a long-lasting effect.

• Video: 'Cash for Clunkers' a Consumer Hit

Seven Arrested in N.C. Terror Case

NFL Clears Vick Return to League

Energy Secretary, Congress Collide

Oshkosh Races on Pentagon Vehicle

Pipeline Firms Widen Natural-Gas Networks

Police Release Audio in Gates Case

Suit Seeks to Halt Brandeis Art Sale