California Governor Arnold Schwarzenegger reached a deal with Democratic lawmakers to raise that state's minimum wage to $8/hr over the next two years. The move marked a change of position for the actor-turned-politician, who has vetoed minimum wage hikes in the past, working instead for more modest increases. The bill still needs to pass the state legislature, but representatives of both parties predict it will do just that.
See "In California, Deal to Raise the Minimum Wage", Jennifer Steinhauer, The New York Times, August 22, 2006