The bill by Democratic Assemblywoman Julia Brownley couldn't make it past the State Senate.  Brownley has pledged to try again-and Governor Schwarzenegger would like that to happen before he leaves office in January:

"This is definitely one of those things that I felt that we were so close to getting it done that I think that maybe after the elections now because- as you know, before the election, there's always a little bit of hesitation about certain things but after the election it's easier so maybe, we have a chance to get it done."

Schwarzenegger says he'd like lawmakers to consider it while they're in town for the special budget session, starting next week.  He says plastic bags create litter and marine debris and hurt animals.  Tim Shestek is with the American Chemistry council, which lobbied hard against the bill. He says there's a reason it failed the first time:

"This bill would have resulted in higher grocery costs for families and would have jeopardized several hundred manufacturing jobs in this state."