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ByFenitNirappil TheAssociatedPress SACRAMENTO The state Legislature on Thursday overwhelmingly passed a fresh version of a rainy day fund measure for the No- vember ballot, a bipartisan plan that seeks to smooth out the boom-and-bust cy- cles of state budgeting while creating a clear path for pay- ing down California's mas- sive debts and unfunded li- abilities. Lawmakers voted 75-0 in the Assembly and 36-0 in the Senate to replace a rainy day fund measure already sched- uled to go before voters this fall. The proposed constitu- tional amendment required a two-thirds vote in both houses and easily surpassed that threshold. It does not require action byGov.JerryBrown,whone- gotiated the deal with legis- lative leaders of both parties. Democratic and Republi- can lawmakers praised the compromise during debate in both houses. "This is a genuine biparti- san proposal that will build on the progress we made in terms of stabilizing and strengthening California's finances," said Assembly- man John Perez, D-Los An- geles, who negotiated the deal before stepping down as speaker this week. "It represents a commitment to break the bad habits of the past." The version that passed during a special legislative session Thursday, known as Assembly Constitutional Amendment 1, will create a reserve funded primarily from excess capital gains revenue during boom years as well as an annual contri- bution equal to 1.5 percent of the state's general fund. The set yearly contribution was a provision pushed by Republican lawmakers. "I think it demonstrates to the people of California that when you have a ro- bust bipartisan discussion, you can make things better because we all bring some- thing to the table..." said Senate Minority Leader Bob Huff, R-Diamond Bar. "To that end, we wanted to make sure that it's truly a rainy day fund, and not an everyday fund." If voters approve ACA1 in November, half the money in the fund will be dedicated to paying down California's long-term debts and liabili- ties for the next 15 years. The Legislative Analyst's Office has estimated those liabil- ities at $340 billion, mostly for public employee pen- sion obligations and retiree health care costs. SACRAMENTO Legislature approves rainy day initiative By Henry C. Jackson The Associated Press WASHINGTON House and Senate negotiators on Thursday unveiled a com- promise bill that authorizes billions of dollars for water projects over the next de- cade, from flood protections in California to deepening Georgia's rapidly growing Port of Savannah. Lawmakers released de- tails of the Water Resources ReformandDevelopmentact aweekaftertheyannounced atentativeagreementonleg- islation that blends House and Senate versions of the bill. The legislation will au- thorize 34 projects in virtu- allyeveryregionofthecoun- try. Lawmakers say it pro- vides important investment in the nation's water infra- structure. "This legislation is about jobs and our country's eco- nomic prosperity, and I look forward to bringing to back totheHouse fora final vote," said Rep. Bill Shuster, R-Pa., the chairman of the House Transportation and Infra- structure Committee, who filed the bill Thursday. The proposed invest- ments include projects re- lated to both expansion and flood protection. The bill sanctions more than $748 million in federal funds for dredging and wid- ening of the Sabine-Neches Waterway, an area billed as "America's Energy Gate- way" because the roughly 80-mile waterway services oil and natural gas refiner- ies in Texas and Louisiana. The legislation also autho- rizesasmuchas$800million for a flood diversion project that would protect the Red River Valley region of North Dakota and parts of Minne- sota, which have suffered major floods in four of the past five years. The Senate passed its version of the bill roughly a year ago, with the House fol- lowing suit in October. Since then, lawmakers have been working to thrash out differ- ences between the two bills. The Senate's version would authorize about $12.5 billion over the next decade, while the House's version would cost about $8.2 billion. The compromise is expected to land somewhere in between the two, but a Congressional Budget Office estimate was not yet available. Lawmakers have ex- pressed a pent up demand forawaterprojectsbill.Con- gress last authorized a bill in 2007 and many lawmak- ers have said they feared the U.S. was falling behind in its water infrastructure. Congress would have to pass separate legislation to pay for all of the projects in- cluded in the bill. The House is expected to vote on the bill as early as Tuesday, with the Sen- ate following suit. Both versions of the bill easily passed previously. With the estimated cost of the bill expected to rise, though, there is some concern that more conservative Republi- cans might vote against it. Outside groups, including Heritage Action, have said the bill does not do enough to rein in spending. But businesses groups — and many lawmakers — have called both versions of the bill a potential jobs en- gine, citing the investment in infrastructure. The U.S. Chamber of Commerce has also lobbied lawmakers in both houses to pass the bill, saying it will ensure that American businesses stay competitive. WASHINGTON Ho us e, S en at e un ve il w at er projects bill compromise By Elliot Spagat The Associated Press SAN MARCOS One of the nine fires burning in San Diego County suddenly flared Thursday afternoon and burned close to homes as new winds arrived. The flare-up near the state university city of San Marcos occurred after a half-day lull in winds that firefighters had seized as an opportunity to make prog- ress against flames that have scorched thousands of acres. State fire Capt. Kendal Bortisser said the fire was running east along hillsides behind California State University San Marcos. The flare-up appeared to involve a change in wind direction. On previous days there was offshore flow — generally from the north- east. But Thursday after- noon, the National Weather Service reported winds out of the northwest. Fires began erupting Tuesday amid high heat, extremely low humidity and gusty Santa Ana winds. By Wednesday, nine fires were burning. Asked about the possibil- ity of arson, county Sheriff Bill Gore said earlier Thurs- day that he wouldn't pre- judge the investigations. He noted that sparks from vehicles can easily ignite brush in such dry condi- tions. Emergency officials said a significant number of firefighting aircraft had become available, in- cluding four air tankers and 22 military helicop- ters. Ten of the military he- licopters were being used to battle a blaze that grew to 9.37 square miles on the Marine Corps' Camp Pend- leton. Despite its growth, the fire was 20 percent contained and was no lon- ger considered a threat to communities. Twelve other military helicopters were avail- able to the county, where the biggest concern was a 1.25-square-mile blaze at the city of San Marcos. That fire was 5 percent contained and thousands of people remained evac- uated, but officials told a news conference they were beginning to assess repop- ulating areas. The wildfires drove tens of thousands from their homes and shut down schools and amusement parks, including Legoland. The amusement park re- opened Thursday. Firefighters contended with temperatures ap- proaching 100 degrees and gusty winds as they tried to contain flames fueled by brush and trees left brittle by drought. Extremely high tempera- tures were occurring again Thursday, ranging in the high 90s to 100 in the north- western area of the county where the fires burned. The heat was so intense that records continued to be broken in Southern California and horse rac- ing was canceled at Santa Anita Park in Arcadia, east of Los Angeles. Officials said a Carlsbad- area blaze was 60 percent contained and had burned 400 acres. The wildfire de- stroyed an 18-unit condo- minium complex and four residences, Carlsbad Mayor Matt Hall said. Some evacuation orders were being lifted in Carls- bad, but a major power out- age and hotspots were still a concern. Efforts were focusing on San Marcos, where hundreds of new evacu- ation orders were issued early Thursday. More than 20,000 evacuation notices were sent to residents Wednesday, and a Califor- nia State University cam- pus with nearly 10,000 stu- dents in the middle of fi- nal exams was shut down. Graduation ceremonies were canceled. SOUTHERN CALIFORNIA Sa n Di eg o Co un ty fi re r oa rs t o li fe THEASSOCIATEDPRESS A brush fire roars up a hillside filling the air with smoke and embers Thursday in San Marcos. By Christopher Weber The Associated Press LOS ANGELES A geyser of oil sprayed onto buildings and puddled in knee-high pools of crude in Los Ange- les streets after a valve on a high-pressure pipeline failed early Thursday. About 10,000 gallons of oil spewed 20 feet high over ap- proximately half a mile of the industrial area of Atwater Village at about 12:15 a.m., said Fire Capt. Jaime Moore. Four commercial busi- nesses near the border of Glendale were affected, as well as a strip club that was evacuated after oil came through air vents. The park- ing lot was closed and pa- trons and employees were forced to leave behind their crude-coated cars. Crews were able to re- motely shut off the 20-inch line after about 45 minutes. "Inspectors went right to the failed valve. They knew right away where the prob- lem originated," said Moore. Determining exactly what caused the failure would take some time, he said. Four people at a medical business a half-block away were evaluated with respi- ratory complaints, and two people were transferred to a hospital in stable condition, Moore said. Quick-thinking workers used sand from a nearby concrete company to build a makeshift dyke. "They created a pool and were able to hem in much of the oil," Moore said. By dawn, an environmen- tal cleaning company had vacuumed up most of the mess. Crews put down ab- sorbent material to sop up the remaining crude and then used high-pressure hoses to wash the streets with a soap solution. Firefightersandhazardous materials crews responded, along with representatives from the U.S. Environmental Protection Agency and other agencies. Several roads were shutdownandwereexpected to remain closed for much of the day. Officials previously said 50,000 gallons had spilled, but that number was revised downward after the vacuum- ing began. Fire Department spokes- man Erik Scott said there was no "visible evidence" that the oil entered storm drains, which empty into the Los Angeles River. But he said it's possible that some oil seeped under man- hole covers. The valve failed at a trans- fer pumping station along a pipeline that runs from Ba- kersfieldtoTexas,Mooresaid. The company that runs the line, Plains All Ameri- can Pipeline, did not imme- diately respond to a request for comment. 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