The good news -- if you're hoping for a legislative water deal -- is that talks have not broken down. The bad news is that lawmakers are still stuck on the same issue, with many more to overcome by the time the session ends Friday.

The issue at hand? We covered it Saturday. Very complicated, but it basically involves the level of review for the proposed canal to move water around the delta southward.

Environmentalists want to make sure that the project does not steal water needed for the delta's ecosystem. Farm groups and Southern California drinking water agencies want to make sure they don't have to run through extra hurdles for approval of the canal, which they see as critical to bring reliability to their water supplies. Most Delta residents don't want a canal at all.

Also not resolved: The size of bond to pay for water projects, possibly including dams. And negotiators still haven't discussed possible new groundwater monitoring requirements. This is a top priority for Democrats. But Republicans, and farm groups, worry that it could result in expensive new fees.

Private meetings continued Sunday in the Capitol, mostly between Democrats, water contractors and Gov. Schwarzenegger's aides. The so-called Big Five leaders -- the governor and four legislative leaders -- have yet to get in the same room to talk water (at least not in quite some time). Deals rarely happen in Sacramento until that occurs.

On Monday, the 14-member Senate-Assembly conference committee is expected to meet to discuss groundwater monitoring and conservation. The goal is to produce a plan by the end of the day Tuesday. More likely, negotiations will continue until the absolute last minute on Friday.

Said Speaker Karen Bass, D-Los Angeles: "I am focused on getting it all done and getting it all done by Tuesday. If Tuesday by 5 o'clock it's not done, I'm not going to throw in the towel."

There are lawmakers in both parties who really want a deal, especially Senate Leader Darrell Steinberg, D-Sacramento, who seems anxious to prove that the Legislature is not dysfunctional. That's led some to speculate that leaders might try for a scaled-down plan, if they can't overcome differences on the big issues.

And if there is no deal by Friday, the governor could potentially call a special session that could last well into the fall -- and beyond.