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There's still no water deal, but Gov. Arnold Schwarzenegger has backed away from a threat to veto "a lot" of bills unrelated to water if there's no agreement by midnight, saying that enough progress has been made in the negotiations to call a special session on water.

"Over the past few days we have made enough progress in our negotiations that I am calling a special session on water. While we still have a few remaining issues to work out, I commend the legislative leaders for their focus and commitment to solving this crisis and I will weigh all the bills on their merits," he said in a statement issued less than three hours before his deadline for acting on the 300 or so bills still on his desk.

Click here to see a list of bills Schwarzenegger has signed and vetoed.


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