OLYMPIA, Wash. (AP) Washington state will spend approximately $3.3 billion on projects around the state in a construction budget signed into law May 15 by Gov. Chris Gregoire.

The construction budget dedicates money to schools, prisons, housing projects, water systems and more. It takes effect in July and runs through mid-2011.

The new construction budget is smaller than the previous one. One reason is that lawmakers diverted approximately $800 million to help fill a shortfall in the operating budget.

Gregoire vetoed language restricting public art spending to artists living in Washington. She was worried it would spark retaliation against Washington artists working elsewhere.

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