Arnold's final state of the state speech, moves at City Hall against the unions and for a film commission, and some of Councilman Krekorian's new hires — plus much more after the jump.

• Gov. Arnold Schwarzenegger is expected to unveil a job creation package and renew calls for reform of the budget process and tax structure in his final State of the State speech at 10 a.m. Rough & Tumble
• City budget officials are "laying the groundwork for a June 8 city ballot measure that would dramatically scale back the pension benefits given to newly hired city employees," setting up a certain clash with unions. LAT
• Tim Rutten columnizes today in favor of moves to establish a city film commission to promote local production, with a nice nod toward Mark Lacter's position that high costs and regulatory inconvenience, not tax incentives, are the main reason productions leave town. LAT
• Some rival street gangs in Los Angeles are crossing over ethnic lines to work together, say the authorities. Some experts dispute this. La Opinion/New American Media, KPCC News
• New councilman Paul Krekorian's hires so far include communications director Jeremy Oberstein, John Hisserich, Areen Ibranossian, Matt Hale, Hrag Yedalian and Karo Torossian. Assembly chief of staff Adrin Nazarian is considering a run to replace his boss. SFVBJ
• The L.A. Neighborhood Councils Coalition has called for an emergency meeting of councils to be held Sunday in Hollywood in an effort to get them interested in the city budget crisis. City Watch
• One block of Grand Avenue in the South Park section of Downtown may be narrowed and the space turned into a park. LAT
• The body of Los Angeles County Sheriff's deputy Silviano Orozco, apparently a suicide, was discovered Monday afternoon on a mountain road north of Glendora. SGVT
• Four women working at UC Irvine have received anonymous threatening letters containing white powder and a reference to 'black death." OC Register
• Times media columnist James Rainey takes a light stab at explaining the slow demise of the freelance writing gig. LAT
• Fashion journalist Monica Corcoran is co-writing a style book by Emmy-winning costume designer Janie Bryant (Mad Men, Deadwood), for fall 2010 publication by Grand Central.
• Scott Sandell, the Times' Calendar morning editor, has taken on expanded duties as deputy online arts and entertainment editor. Readers' Rep Journal
• Another recently ex-Los Angeles Times staffer, photographer Ken Hively, has started a blog — this one focused on his hometown of Malibu.
• Fashion designer, and now /writer/director/producer, Tom Ford guests with Elvis Mitchell on KCRW's "The Treatment" at 2:30 to talk about Ford's new movie, "A Single Man."