Schwarzenegger Vetoes Minimum Wage Bill

Siding with his business allies, Gov. Arnold Schwarzenegger (news - web sites) vetoed bills Saturday that would have raised the minimum wage to $7.75 an hour and required economic impact reports before local governments approve Wal-Mart-like mega-stores.  The Republican governor also turned down legislation that would have limited drug testing of students and set a goal of holding university fee increases to no more than 8 percent a year. He contended the minimum wage and superstore legislation would have hurt the state's economy and said drug testing policies should be left up to school officials. [more ]