♪ santa clara city leaders are moving forward wi a plan to lay off dozens of employees. >> they ve to clos a big budget defici theresa garcia joins us. >> you have to get ten unions to agree? >> there are ten there but the city leaders did start to lay out the budget problems to the employees this summer. already three of the ten bargaining units are agreed to concessions. those include all the managers about you have the other seven to negotiate. it is a struggle between pay, cutting your pay or losing your

job. >> people are worried about their jobs. coworkers' jobs and worried about servin the custers. >> brown heads up the santa clara prose association, a group of 250 employees stressed about its future. one of ten bargaining unit asked to give up scheduled pay raises and take unpaid furlough days. >> some are office specialist type clerks. some librarians, dispatchers, records specialists. it's spread out in all departments of the city. >> santa clara city country voted 6-1 last night to support a playoff plan that move forward in january. it's facing a $5 million deficit this year, $13 million next year. >> it' a serious situation. our reserves have never been at such rock bottom levels. there's no place to go but to the employees. >> they need all the unions to

accept just over a 5% pay cut. the plan calls for foregoing any scheduled pay raises. if not about 80 people face layoffs which is 9% of the city's employees. >> no one wantso give concessions. we all want to just go ahead and do our jobs and serve our customers taxpayer do the best that we can. that's always the primary focus. >> but long-rm employees feel it's a double edged sword. workers worry about preserving person finances but also concerned if it leads to layoffs, services will suffer. like parks and libraries and services residents rely on like police and fire. santa clara is like many other local governments suffering from recent years of losses of revenue from declining property sales and business taxes. so if this layoff plan goes through, it would ta effect in earl december.

any concessio could reduce the number of layoffs. live in santa clara, theresa garcia, abc 7 news. >> thank you. nearly half a million california college students will pay more for their education. the state university stem has just approved a 15% tuition increase. terry mcsweeney is live at san francisco state. are students afraid they may have to drop out? >> some are and here is why. the board of trustees approached at 5% increase for on, 10% additional in septemb. add that to th 30% they approved over the past year or so, add it all up and you've got a economic lessons nobody out here signed up for. it's going to be an expensive lessons for moist of the students as well as 400,000 cs yu students state wade. their current tuition of $4230,

it will go up to 4084. >> for so many students here, the city cour of tuition hikes has prompted lifestyle changes. >> in the house i live in we've had to get an extra roommate and i know i don' go out to eat or anything like that, don't go shopping. >> masters graduate is grateful she's getting out now. >> i have a family so that wil make a lot of adjustnts. my husband's taken a second job so i can finish. not something we expected to do. >> robert corrigan pointed out the demand for educated men and women. >> 48% of the jobs that neeto be filled in california over the next two decad will require a baccalaureate degree and where are they going to get them? >> but the news is not all bad. half of these studts, those

with families making $70,000 per year or less may no tuition. and a 10% slated for the fa can be rescinded if the state legislature and the new governor can find the money. and that is a big if. >> since 2007, the state legislature has taken 627 milliodollars away from csu. now recely has put 200 million back. that adds up to about a $400 millio if. live at sfu, terry mcsweeney. >> in london huneds of thousands of up the students protested a proposed hike in british university fees they're upset abt the government's plans to raise tuition three times over the current rate. demonstrators broke windows and set small fires on the street. no one has been injured. >> british investigators now say that a mail bomb intercepted last month could have exploded

over the eastern united states. a toner cartridge inside a car plane at an airport. a similar device was found in dubai. they origited from yemen. it could have been activated over the eastern seaboard if it hadn't been found and removed. both were being shipped to chicago. a shootin threat locked down schools as a precaution. officers in bullet proof vests after an unidentify woman called a radio station. all schools are safe. >> in solano county school district officials are trying to figure out how to let parents know how to let them know about

a teacher that had sex with a minor. they believe the crime took place at the high school. theyre on additive leave. >> former san francisco supervisor leland ye is now set to run for mayor of san francisco. he made th announcement half an hour ago. city supervisors are tryi to figure out how to appoint an interim mayor on gavin newsom leaves to become lieenant governor in january. introduced legislation that will allow th board to choose a replacement as soon as next tuesday. a resolution from david chew calls on the city clerk to come up with a process. >> new complications in the rescue of the massive cruise liner half baja, california. one of the tug boats has broken down. abc 7's jenelle wang is here with the latest.

>> kristen, that second tugboat reached the cruise ship this morning but a uple hours ago one of the tug boats broke down and had to turn around. crewmay send a replacement but using two tug boats is sometimes more complicated and may not necessarily speed things up. nothing seems toe going ride for the karnna val. >> the karnna val slender slowly towed to san diego. the ship twice the size of the titanic became stranded at sea early monday morning after a fire in the engine room. it was only day one into a week long mexican cruise. the u.s. coast guard is leading the resc operation. >> a boarding team to go abormed the vessel and found the crew and passengers in good condition. no injuries are reported. >> the fire cut power to the ship leaving everyone on board without air conditioning, hot water or internet service.

>> we had no power on the ship at all. so a lo of those in the ins side cabins, it's been pitch black for several days and most of those folks ha been up on the deck. >> the ship's auxiliary power allowed for working toilets and cold water. they have air dropped 60,000 pound of food, food that doe't need to be chilled since the refrigerator stopped working. instead of feasting on gourmet meals, the menu now includes spam, meet and pop tarts. carnival is ofring passengers a full refund and a cruise to take at a lay date. >> like getting displaced in a restaurant and getting gift certificates to come back. >> new video i was showing you earlier t i want to tell you the staff is tryg to entertain the passengers with music, trivia and even a scavenger

hunt. the estimated arrivaback to san diego is lated for tomorrow late afternoon or evenin >> jenelle, thanks a lot. >> probably want free tickets. >> they'll get 'e >> mystery solved. the government knows what caused a red streak across the southern california sky. the aner still ahead >> a new push to snuff out smoking. the warnings about to be much more graphic on cigarette packages. i spend three hours on mhomework -- or at least that's what mom thinks.

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>> elizabeth smart completed her third d final day of testimony this morning. she told jurors the man accus of kidnapping her in 202 was a crude, self-serving person and he used religion to get what he wanted for others. brian mitchell faces life in prison. his attorney says he suffers from mental illness. >> the scen streaking across the zion monday was a plain. the video shots had been baffles authorities. the federal aviation adminiration say it is did not detect anything. the air foss base didn't have any planned rocket launches. wellit's being backed by a prominent physics professor. >> it seems to change direction. balltic missiles don't do that. it doesn't accelerate. this is traveling at a constant

velocity and the wrong distribution. ballistic miss sills go east to west. this seems to be go north to south. >> the appearance could be an ap cal inlution. its trajectory could look like this. if you look at the same object, it could make you think the object is going up like a rocket. >> the federal government says it hopes new graphic warning labelsill help snuff out smoking. 36 potential labels include phrases like smoking can kill you. tobacco smokes can harm your children. the new prention plan is part of a law passed in june 2009 giving the fda autrity to regulate tobacco including marketing and label guidelines. officials say tobacco use is responsible for about 443,000

deaths each year. if you want to comment, we have all the images on abc7ws.com under "see it on tv." >> and our meteorologist mike nicco ead with a glorious forecast. >> the sun that's breaking now. it's going to be a dry day. we'll talk about cool breezes. fog maybe tonight before a very warm weekend. >> also coming up the leaked ads from one of the world's larges retailers that has holiday shoppe all excited. google employees may be extra happy to ring in the new year. we'll tell y why.

♪ if you have a sweet tooth all right this will be be sweet news to you. chocolate is getting more expensive. there's a shortage building for the last six year. cocoa trees take three years to mature and growers earn less than a dollar a day. the average joe won't be ab to afford chocolate unless new research into growing highe yielding trees prove fruitful. >> there is ice forming. the safety holay skating rink at union square opened this morning. this is from last year' opening. it will be open from 10:00 in the morning to 10:00 at nigh sunday through thuray through january 17th. also the rink near the plaza opened today for a list-ice rink

times and ticket prices on our website abc7news.com look under "see it on tv. >> sounds like fun. and the weatr's starting to feel like that, chilly. >> the longer shadows of the afternoon, the shorter afternoon. absolutely. the cold morning. the fact we may have frost in the north bay. heavenly cam. you can see the snow still falling. we have snow showers over tahoe right now. the steady snow is over but it's been a tough morning for some of those dealing with the snow but now that the n is up, most of the roads is becoming passable. let's take a look what is going on heret home from mount tamalpais this morning. you can see the breezes tha are bringing in the cooler and the drier air so even with a lot of sunshine today, temperatures a little below average. let's take a look at live doppler 7 hd. you can see nothing over us. up at tahoe at stey rain becoming more scattered in

nature let's talk temperatures heading out soon. we're all right around the 60 degree mark. most of us right in the upper 50s to near 60. same thing arnd the monterey bay and inland. our highlights, morning clouds fading to sunshine in ts breezy afternoon. it will be clear, calm and that's one of the keys to the cooler night and the patchy fog that will form. extendederiods dry and warmer. today a little below average. from san jose to oakland. redwood city 3 degrees cooler than average and san francisco about 4:00. the cold front passed thugh while we were sleeping. you can see behind it the cooler air moving in. the sinking air that is grabbing some of those faster winds and bringing it into our neighborhood. that's why it's scrubbi the sky clean of most of the clouds low to mid-60s in the east bay valley. breezy along the shore with the low 60s. we'll see the breezes pick up as you head into the peninsula.

the fastest winds along the coast with mid to upper 50s. downtown south san francisco most of the valleys around 60. with your beaches the mid to upper 50s. monterey low 60s for the rest of the bay and then even mid-60s and not quite as breezy. around the state, tahoe 38. scattered snow shower the warmer weaer l.a. and palm springs, low to mid-70s there. 30 degree temperatures tonight, march began hill, faiield and cloverdale. let's take a look at that accu-weather seven-day forecast that it so nice, some of the best weath, at least the greatest weather, the kind you want to be outside is tomorrow. look at that up sunshine. mid-60s. everybody this weekend should be near 70 degrees including the coast. >> wow! that's lovely. thank you, mike. >> sure. >> listen to this, mountain view

based google is giving a 10% raise to all of its 23,000 employees. are you jealous? the "wall street journal" reports it's part of an effort to keep staff from going to competitors. several google executives have been hired by facebook.com. eric schmidt said the company wants them to feel rewarded for their work. that takes fect in january. >> wow! holiday shoppers may get an early unexpected glimp of what target deals. offering some major discounts. a 40 inch tv for $298. a tom tom system for 79 bucks. a free 30 dollar gift card when you by an i-pod touch and a wii version black on for 27 dollars. that's about half price.

>> wow! some of tho who help thousands in need in san francisco were honored this morning as bank of america's prestigious. i was lucky enough to m. c. as five local heroes ceived $5,000 to donate to thr nonprot of their choice. talking about his rise from a ten year prison sentence to drug dealing to chef to motivational speaker. congratulations to all of them. >> chef becks cater the breakfast by any chance? >> no. >> still ahead, the spirit of giving this holiday season. @

today on oprah, a talk show host reunion with donahue, geraldo, ricki lake and montel williams at 5:00, that hair craze that may be dangerous for you and your stylist. today a lawsuit begins the company that sells that popular hair straightening proct. a setback for san francisco opera singer fighting lung cancer b new hope. >> finally a gift that will make a very big difference for hundreds of san francisco families in need this holiday season >> foer farms delivers 300

turks for the san ancisco rescue mission food banks this morning. the turkeys will be handed out as part of the meal program. this year they hope to deliver 5,000 hot meals. >> it hopes the contribution will encourage others to donate. >> one fina word from mike. looking good? >> yeah. weather's alst as generous as the foster farm people with the amount of sunshine and warm weather. >> all right. >> a heart waing coming as well. thanks f joinings us today. >> have a great day. ! our real national pastime -- saving money. and like basall people love their stats. i started bringing my lunch twork. here's a gd one -- ate farm insures 40 million drivers. more than geico and prressive combined. i save because i'accident-free. of cours with so many ways to save, including discnts of up to 40%, havinghat many customers shouldn't be a surprise. ask a neighbor about state farm.

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