Now he's feeling heat from a group that has been among his staunchest allies in Sacramento, environmentalists.

As Schwarzenegger and lawmakers struggle to contain a ballooning deficit, he has insisted that any budget deal include a provision suspending state environmental review for certain public works projects.

The governor says that will set infrastructure projects on a fast-track and put Californians back to work quickly. He said his proposal will accelerate construction on 10 road projects around the state.

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"It's about jobs, jobs, jobs," Schwarzenegger said at a recent news conference. "That's why I've been adamant about easing environmental regulations and other red tape in order to get the infrastructure going, to get infrastructure projects moving as quickly as possible."

Schwarzenegger's demand includes suspending the state's most important environmental law, the California Environmental Quality Act, and relaxing other environmental reviews.

It has been one of the main sticking points in budget negotiations that so far have failed to produce a solution to the state's deficit, despite three special legislative sessions. California's shortfall is expected to reach nearly $42 billion by June 2010 unless lawmakers act to close the shortfall.'

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