"This has not been an easy period. It has been difficult. You can't wave a magic wand to reduce deficits."

The governor, who has a toxic relationship with the legislature, called the body "one house divided against itself."

Discussing what will happen during the impending budget negotiations, Mr. Paterson said there will be across-the-board cuts to spending, including to education and environmental protection.

"There came a situation when a day of reckoning would eventually come, and that day of reckoning is here," he said.