Recall Forum/Debate - Walnut Creek, California

KQED

Posted on Wed, Sep. 03, 2003
RACE TO THE RECALL
COURTESY OF KTVU CHANNEL 2

Transcript of Gov. Davis portion of the forum

Dennis Richmond, KTVU: JOINING US ON STAGE NOW IS GOVERNOR DAVIS. GOVERNOR, THANK YOU FOR BEING WITH US.

Gov. Davis: MY PLEASURE.

Richmond: BEFORE GETTING INTO OUR QUESTIONS WITH THE PANELISTS AND SOME OF THE VOTERS, I WANT TO ASK YOU ONE THING.

SENATOR DIANNE FEINSTEIN, AS YOU KNOW, WENT THROUGH A RECALL ELECTION ALMOST 20 YEARS AGO TO THE MONTH AND SHE DESCRIBED IT AS ONE OF THE MOST HORRIBLE, EMOTIONAL EVENTS THAT SHE HAD EVER GONE THROUGH. BEING SUBJECTED TO A RECALL ELECTION SHORTLY AFTER VOTERS PUT HER INTO OFFICE. EMOTIONALLY, HOW ARE YOU HANDLING THIS? HOW DO YOU FEEL ABOUT THIS?

Davis: IT IS NOT AN EASY TIME FOR MY WIFE SHARON OR I AND IT IS NOT FUN SEEING EVERYONE CONDEMN YOU UP AND DOWN THE 24-HOUR NEWS CYCLE.

I KNOW THAT THE PROBLEMS WE DEAL WITH PALE IN COMPARISON TO THE PROBLEMS OF THE PEOPLE THAT I REPRESENT.

I HAVE THEIR MESSAGE. I KNOW THEY ARE ANGRY. THIS HAS BEEN A HUMBLING EXPERIENCE. BUT I KNOW THEY WANT ME TO FIGHT FOR THEIR FUTURE SO I HAVE SPECIFIC THINGS TO GET DONE, INCLUDING REREGULATING ENERGY. WE'LL GET TO THEM. TRUST ME.

Richmond: NOW WE WILL ALSO BE JOINED BY OUR PANEL OF JOURNALISTS WITH

QUESTIONS FOR THE GOVERNOR. LET ME INTRODUCE YOU TO THEM. THIS IS POLITICAL EDITOR DAN BORENSTEIN. DAN IS WITH CONTRA COSTA TIMES. PILAR MARRERO, POLITICAL EDITOR OF LA OPINION, THE LARGEST CIRCULATION SPANISH NEWSPAPER IN THE STATE AND JOHN MYERS IS REPRESENTING PUBLIC BROADCAST RADIO STATION KQED FM IN SACRAMENTO.

ALSO ONSTAGE ARE SEVERAL CALIFORNIA VOTERS WHO HAVE SUBMITTED QUESTIONS FOR THE GOVERNOR. WE WILL GET TO THEM ALSO. THEY WILL HAVE THEIR QUESTIONS FOR THE GOVERNOR.

KEEPING WITH TIME CONSTRAINTS, WE'RE GOING TO ASK THAT THE ANSWERS BE LIMITED TO ONE MINUTE. WE'RE GOING TO TRY TO KEEP IT IN THAT TIME FRAME.

Richmond: NOW WE'LL START WITH THIS, GOVERNOR. IN ACKNOWLEDGING THIS UNPRECEDENTED RECALL YOU'VE ADMITTED THAT YOU MADE MISTAKES, AS A MATTER OF FACT AS RECENTLY AS MONDAY AT THE STATE FAIRGROUNDS IN PLEASANTON IN ALAMEDA COUNTY.

YOU SAID, AND I'LL QUOTE YOU AS CLOSELY AS I CAN "IF THE GOOD VOTERS OF CALIFORNIA ALLOW ME TO SERVE OUT MY TERM I WILL DO THINGS DIFFERENTLY AND MAKE CHANGES."

WHAT DO YOU FEEL THAT YOU DID WRONG AND WHAT WILL YOU CHANGE?

Davis: THE BIGGEST THING THAT I WILL CHANGE IS TO STAY CONNECTED TO THE PEOPLE OF THE STATE. WHEN I WAS FIRST ELECTED I HAD TOWN HALL MEETING, I SPOKE WITH PEOPLE AND LEARNED A LOT AND GOT A LOT OF GOOD IDEAS.

GOVERNING SHOULD BE A TWO-WAY STREET. YOU GET WRAPPED UP IN SACRAMENTO, TALKING TO LEGISLATURES WHO ARE IMPORTANT, LOBBYISTS WHO ARE IMPORTANT, CONSTITUENCY GROUPS.

AT THE END OF THE DAY THE PEOPLE PUT YOU THERE IN THE FIRST PLACE. YOU HAAVE TO STAY CONNECTED TO THEM. WHICH IS WHY WE ASKED, AND I'M GLAD THAT YOU AGREED TO HAVE CITIZENS TONIGHT THAT I COULD TALK TO FACE-TO-FACE, ANSWER THEIR QUESTIONS.

LEARN FROM THEM AND THEY CAN HEAR SOME OF THE CONFLICTS PRESSURES THAT I HAVE TO DEAL WITH AS GOVERNOR.

Richmond: NOW, YOU SAID YOU MADE MISTAKES. WHAT ARE YOU SAYING THAT YOU DID WRONG?

Davis: I THINK THAT I WAS TOO SLOW TO ACT ON THE ENERGY CRISIS. THIS IS WHAT WE WERE FACING FACED WITH. PEOPLE OUGHT TO KNOW. EVERYONE TOLD ME TO RAISE CONSUMER RATES EVEN THOUGH THE PROMISE OF DEREGULATION WAS THAT RATES WOULD GO DOWN.

I FELT SOMETHING WAS AMISS, EITHER WITH THE UTILITIES OR ENERGY COMPANIES AND CONSUMERS SHOULD NOT HAVE TO PAY THE FULL LOAD.

EVERYONE ASKED ME TO DO IT. I HESITATED, HESITATED BECAUSE I DID NOT WANT TO DO IT. EVENTUALLY WE RAISED THE RATES 10 TO 20%, NOT THE 400% WE WANTED. WE BUILT 24 PLANTS. PEOPLE CONSERVED MAGNIFICENTLY. OUR LIGHTS DID NOT GO OFF TWO WEEKS AGO, LIKE THEY DID ON THE EAST COAST AND IN LONDON, BECAUSE WE HAVE MADE THE INVESTMENTS AND GENERATED THE CONSERVATION TO PREPARE FOR CALIFORNIA'S FUTURE.

Richmond: WE'LL TURN NOW TO THE JOURNALISTS, FIRST DAN BORENSTEIN, The POLITICAL EDITOR OF THE CONTRA COSTA TIMES NEWSPAPER.

Dan Borenstein: GOVERNOR YOU RECENTLY SAID "WHAT IS HAPPENING HERE IS PART OF AN ONGOING NATIONAL EFFORT TO STEAL ELECTIONS REPUBLICANS CANNOT WIN." BUT LIEUTENANT GOVERNOR BUSTAMANTE SAYS THAT VOTERS WHO SIGNED THE RECALL PETITION WERE "SENDING A REAL STRONG MESSAGE TO THE PEOPLE IN THE STATE OF CALIFORNIA, ESPECIALLY ITS LEADERSHIP IN SACRAMENTO."

GOVERNOR, WAS THERE A MESSAGE AND, IF SO, WHAT WAS IT?

Davis: THERE IS NO QUESTION THERE WAS A MESSAGE AND THE MESSAGE WAS THAT PEOPLE ARE ANGRY. I UNDERSTAND THEIR LIVES ARE NOT GOING AS WELL AS THEY WERE A COUPLE OF YEARS AGO AND I UNDERSTAND I'M THE BRUNT OF THEIR CONCERN.

BUT I DO BELIEVE THAT AT THE HEART OF THIS, IN THE BEGINNING, WERE A GROUP OF REPUBLICANS THAT WERE UPSET THEY COULD NOT WIN LAST NOVEMBER'S ELECTION. THEY DID TRY TO DO WHAT THEY'VE DONE TO PRESIDENT CLINTON, TO TRY TO IMPEACH HIM IN 1998 AFTER THEY COULD NOT DEFEAT HIM IN '96.

THEY DID IT IN FLORIDA WHERE AL GORE GOT MORE VOTES ANYWAY, IT LOOKED LIKE HE MIGHT WIN THE PRESIDENCY, THEY STOPPED THE VOTE COUNT THERE.

NOW WE WON IN NOVEMBER AND THEY WANTED TO HAVE A DO-OVER, BE LIKE THE OAKLAND RAIDERS SAYING TO TAMPA BAY, WE KNOW THAT YOU BEAT US THE FIRST TIME, BUT WE WANT TO PLAY THE SUPER BOWL AGAIN.

SO THAT EFFORT BY REPUBLICANS GOT THE BALL ROLLING. BUT THEY DID TAP IN TO SOME GENUINE ANGER THAT I RECOGNIZE. THAT IS WHY I'M FIGHTING HARD TO REFORM THE WORKERS' COMPENSATION, IMPROVE STEM CELL RESEARCH AND EXPAND HMO REFORM.

WE HAVE TOUGH LAWS, BUT WE WANT TO EXPAND THEM FURTHER.

Richmond: DAN, A FOLLOW-UP?

Borenstein: YES.

Borenstein: YOU CAME INTO OFFICE PROMISING TO GOVERN FROM THE CENTER, GOVERNOR. BUT AFTER THE RECALL CAME YOU STARTED TO DESCRIBE YOURSELF AS A PROGRESSIVE.

WHAT ARE YOU, A CENTRIST OR A PROGRESSIVE? AND WHY HAVE YOU SUDDENLY STARTED TO DESCRIBE YOURSELF AS A PROGRESSIVE?

Davis: I SAID IN MY FIRST ADDRESS THAT I WOULD TAKE A GOOD IDEA FROM WHEREVER IT CAME FROM, THE RIGHT THE CENTER OR THE LEFT AND I'VE MAINTAINED THAT POSTURE FROM THE VERY BEGINNING.

I DO BELIEVE GOVERNMENTS'S ROLE IS TO HELP PEOPLE, TO BE A SAFETY NET. AND I DO BELIEVE THAT MANY OF THE POLICIES THAT I'VE PURSUED FILL THAT OVERALL GOAL. SO I DO NOT FIND ANY INCONSISTENCY. BEING A CENTRIST DOES NOT MEAN THAT YOU TAKE THE MIDDLE LINE ON EVERY ISSUE, IT MEANS WHEN YOU ADD UP WHAT I'VE DONE, TO PROTECTING THE COAST, A STRONG ENVIRONMENTALIST, EXTENDING WOMEN'S BENEFITS, PUBLIC SAFETY, HOMELAND SECURITY, WHEN YOU ADD IT ALL UP, I MAY SAY I'M IN THE CENTER BUT NOT ON EVERYISSUE.

Borenstein:WHY HAS THAT COME INTO YOUR LEXICON, THE WORD PROGRESSIVE?

Davis: I'VE CALLED MYSELF A PROGRESSIVE MOST OF MY CAREER. I THINK THAT THE LABELS MATTER LESS THAN WHAT YOU ACTUALLY DO AND WHO YOU FIGHT FOR AND I'M VERY PROUD, FOR EXAMPLE, TO HAVE WORKED WITH JACKIE SPEIER AND SIGNED THE TOUGHEST PRIVACY LAW IN AMERICA.

NO LONGER STARTING NEXT JULY CAN A BANK TAKE YOUR BANK BALANCE OR YOUR SPENDING PATTERNS AND SELL IT TO ANOTHER COMPANY WHO WILL SOLICIT YOU TO BUY THEIR PRODUCT WITHOUT YOUR EXPRESS PERMISSION. THAT STANDS UP FOR THE CONSUMER. IN THAT CASE, THAT WAS A PROGRESSIVE POSITION.

Richmond: PILAR MORRERO, THE POLITICAL EDITOR OF LA OPINION, YOUR QUESTION FOR THE GOVERNOR?

Marrero: GOVERNOR, WHILE COMMUNITY CLASSROOMS ARE CLOSING, CLASS SIZES ARE INCREASING, YOU PROVIDED A 34% PAY RISE FOR PRISON GUARDS WHOSE UNION GENERATED AGAINST YOUR CAMPAIGN? WHY?

Davis: I KNOW IT IS A CONVENTIONAL CRITICISM AND A GOOD QUESTION. LOOKING AT THE BUDGET, THE BUDGET THIS YEAR HAS $40 BILLION PLUS FOR EDUCATION, K THROUGH 12 AND COMMUNITY COLLEGE, STATE COLLEGE AND UNIVERSITY AND ABOUT $5 BILLION FOR THE PRISONS.

ALL OF THE RAISES GIVEN LAST YEAR ARE BEING RE NEGOTIATED. THE CALIFORNIA HIGHWAY PATROL, WHICH IS GENERALLY SEEN AS THE PREMIERE EMPLOYEE ORGANIZATION IN CALIFORNIA, HAD A 7.5% PAY RAISE. THEY GAVE BACK 5% OF THAT. THEY ONLY HAVE A 2.5% PAY RAISE IN RECENT NEGOTIATIONS AND OTHER UNIONS ARE GOING THROUGH THE PROCESS.

AT THE END OF THE DAY, YOU WILL SEE CONCESSIONS FROM ALL ORGANIZATIONS, INCLUDING THE PRISON GUARDS. MY PASSION IS ON EDUCATION. LET'S NOT FORGET THAT OVER FIVVE YEARS TEST SCORES HAVE GONE UP EACH OF THE FIVE YEARS, SAT SCORES UP THIS YEAR.

I WAS THE FIRST GOVERNOR TO SUBSTANTIALLY INCREASE FUNDING ABOVE WHAT THE LAW REQUIRED, PROVIDING $13 BILLION BEYOND WHAT THE LAW REQUIRED. SO THAT WHAT I -- WHEN I INHERITED THIS JOB, CALIFORNIA RANKED 43RD IN PER CAPITA SPENDING. NOW WE'RE 27TH.

AS I SAY, THE PROOF IS IN THE PUDDING. TEST SCORES ARE UP FIVE YEARS IN A ROW.

Richmond: PILLAR A FOLLOW-UP.

Marrero: IT IS A GOOD THING THAT YOU MENTIONED A EDUCATION, IN RECENT BUDGET TUITION FEES FOR COLLEGES AND UNIVERSITIES WERE RAISED 25, 30%. THIS IS HITTING VERY HARD ON THE WORKING-CLASS AND THE MIDDLE CLASS THAT HAS A TOUGHER TIME PAYING FOR A HIGHER EDUCATION. HOW DID YOU STAND ALLOWING THAT, CALLING YOURSELF THE EDUCATION GOVERNOR?

Davis: A VERY GOOD QUESTION. LET ME TELL YOU HOW IT HAPPENED. THE REPUBLICANS TOOK THIS POSITION: THEY WOULD NOT RAISE TAXES AT ALL COST. THEY WOULD RATHER SHOOT THEIR MOTHER THAN INCREASE ANY TAXES.

I SAY THAT FIGURATIVELY. BUT THERE WAS NO CIRCUMSTANCES UNDER WHICH THEY WOULD RAISE TAXES, EVEN THOUGH THEY DID IT, $7 BILLION FOR GOVERNOR WILSON.

WHAT DID THAT MEAN?

THE REPUBLICAN BUDGET SAID THEY WANTED TO VIRTUALLY ELIMINATE THE FRESHMAN CLASS AT THE UNIVERSITY OF CALIFORNIA IN 2004, AND REDUCE BY 40% THE ADMISSIONS TO THE CAL STATE SYSTEM. AND INCREASE THE FEES TO COMMUNITY COLLEGES BY $26.

WE WERE ABLE TO FIGHT MOST OF THOSE OFF. BUT THE NET RESULT WERE MORE INCREASES IN FEES THAN I WOULD LIKE.

BUT STILL THERE IS A FRESHMAN CLASS. THE FEES AT THE COMMUNITY COLLEGES WENT UP $18 WHICH IS BY FAR THE LOWEST IN AMERICA. THE NEXT LOWEST IS AT $25.

I REGRET EVERY FEE INCREASE, BELIEVE ME. WHAT THE REPUBLICANS THREATENED WAS FAR WORSE THAN THE ONE I SIGNED. AND THE EDUCATION COMMUNITY WILL SAY NO ONE FOUGHT HARDER THAN I DID.

Richmond: AND THE SACRAMENTO BUREAU CHIEF FOR KQED-FM JOHN MYERS.

Myers: GOVERNOR ONE OF THE MOST CONTROVERSIAL BUDGET DECISIONS THIS YEAR. ONE OF THE MATTERS WAS THE CAR TAX. YOU ARGUED AGAINST RAISING THAT TAX IN THE JANUARY BUDGET BUT THEN INCLUDED THE INCREASE IN YOUR BUDGET PLANS IN MAY. SOME SAY THAT THE DECISION THAT THE CAR TAX SHOULD GO UP WAS A WAY OF AVOIDING BLAME.

ALMOST EVERY REPLACEMENT CANDIDATE, INCLUDING THE LIEUTENANT GOVERNOR BUSTAMANTE SAYS THAT THE TAX INCREASE HURTS THE WORKING FAMILIES DO YOU THINK RACING THE CAR TAX WAS THE RIGHT THING TO DO?

Davis: NO AND I NEVER PROPOSED IT, AS YOU CORRECTLY SAID, JOHN. I OPPOSED EFFORTS TO RAISE IT EARLY ON. BUT THE CAR TAX WAS BROUGHT TO US FROM THE PRIOR ADMINISTRATION.

THE YEAR BEFORE I WAS GOVERNOR, THEY LOWERED THE CAR TAX. THEY DELAYED ITS IMPLEMENTATION UNTIL I WAS GOVERNOR. THE CAR TAX DOES NOT GO TO SACRAMENTO. IT GOES TO WALNUT CREEK, TO SAN FRANCISCO, IT GOES TO SANTA MONICA, IT DOES NOT GO TO CALIFORNIA.

IT GOES TO PAY PRIMARILY FOR FIRE AND POLICE. WHEN WILSON DECIDED THAT HE WANTED TO LOWER IT IN '98, THE MAYORS SAID, WAIT A MINUTE, GOVERNOR, YOU TELL US THAT YOU WILL WRITE A CHECK TO MAKE UP THE DIFFERENCE TO OUR LOCAL CITIES FOR WHAT THE FEES USED TO BE AND NOW WHAT THEY ARE LOWERED TO.

WE KNOW THAT SOME DAY YOU WILL NOT WRITE THE CHECK. YOU HAVE TO GUARANTEE US THAT IF YOU DO NOT WRITE THE CHECK, THE FEES GO UP. SO THE WILSON CAR TAX LOWERED THE FEES BY $12 BILLION. I HAD TO FIND ROOM TO FIND ROOM FOR IT.

BUT IT INCREASED IT WHEN THE STATE COULD NOT WRITE THE CHECK THIS YEAR.

Myers: WITH ALL DUE RESPECT, DO YOU SEE HOW YOUR REJECTION OF THE INCREASE FOLLOWED BY THIS AUTOMATIC INCREASE STRIKES SOME PEOPLE AS TRYING TO HAVE IT BOTH WAYS?

Davis: NO. I PROPOSED $8 BILLION WORTH OF TAXES.I CAN TELL BY YOUR STATEMENT AND DEMEANOR THAT YOU ARE A THOUGHTFUL, RESPONSIBLE PERSON. AND WE'D OBVIOUSLY HAVE YOU WORKING THAN NOT WORKING.

WHAT HAVE WE DONE TO TRY TO IMPROVE THE SITUATION? I INCREASED THE UNEMPLOYMENT INSURANCE CONSIDERABLY AND MADE A -- MADE IT RETROACTIVE TO SEPTEMBER THE 11TH, 2001 WHEN A NUMBER OF PEOPLE LOST THEIR JOBS FOR A DIFFERENT REASON.

THAT ALSO SWEPT IN PEOPLE FROM THE TECHNOLOGY COMMUNITY THAT WERE AFFECTED PRIMARILY BY THE COLLAPSE OF THE DOT.COM BUBBLE.

WE'VE INVESTED A LOT OF MONEY INTO THE BAY AREA. WE HAVE AN INITIATIVE GOING WITH USHF AND BERKELEY ON THAT. I BELIEVE STRONGLY THAT WE SHOULD DISCOURAGE PEOPLE MOVING JOBS OFFSHORE.

AND I SAID THIS YEAR I WOULD SIGN TWO BILLS THAT PENALIZE CORPORATIONS THAT INCORPORATE IN BERMUDA AND THE CARIBBEAN, SAYING THAT WE DO NOT CARE IF YOU INCORPORATE THERE NOW, WE'LL TAX YOU AS IF YOU ARE STILL IN CALIFORNIA.

IF YOU STILL WANT TO INCORPORATE IN THE CARIBBEAN, WE WILL DENY YOU THE OPPORTUNITY TO DO BUSINESS WITH THE STATE, BUILD ROADS, SELL US TEXTBOOKS OR SOFTWARE, YOU CANNOT DO BUSINESS WITH US IF YOU INSIST ON MOVING.

THE SUM TOTAL OF ALL OF THIS MIGHT EXCEED WHAT WE'LL HAVE IN THE COVERS THE FOLLOWING YEAR, IT MEANS PUTTING ASIDE MONEY, POSSIBLY MONEY COMING FROM CAPITAL GAINS RECEIPTS IN THE RESERVE, SPENT ONLY IF THE RESERVES EXCEEDS A CERTAIN LEVEL THEN ONLY ON ONE-TIME PROJECTS.

Richmond: OUR NEXT QUESTION IS FROM TIM RODRIGUEZ OF BERKELEY.

Rodriguez: THANK YOU FOR BEING HERE, GOVERNOR. I'M ONE OF THE EIGHT MILLION PEOPLE YOU SPEAK ABOUT WHO VOTED FOR YOU IN THE LAST ELECTION. I'M CONCERNED THAT I WILL NOT BE ABLE TO DO IT IN THIS ELECTION.

Davis: WE NEED TO TALK THEN.

Rodriguez: YES, SIR. I NEED A REASON TO VOTE FOR YOU, RATHER THAN TO VOTE AGAINST YOUR OPPONENTS. IN MY OPINION YOU'VE PLAYED IT KIND OF SAFE IN YOUR TIME IN OFFICE, WHICH I DO NOT THINK IS GOOD ENOUGH FOR THE STATE.

IT CERTAINLY IS NOT GOOD ENOUGH WHEN WE ARE IN A BUDGET CRISIS. IF EXPERIENCE COUNTS IN THIS ELECTION, AS YOU SAY IT DOES, WHAT EXPERIENCE DID YOU BRING TO THE TABLE IN THE BUDGET SITUATION?

HOW WILL YOU GUARANTEE TO ME THAT IF I VOTE FOR YOU, FOR THE NEW GRAY DAVIS, I WILL NOT GET THE OLD GRAY DAVIS WHEN YOU ARE BACK IN OFFICE?

Davis: BELIEVE ME, THIS HAS BEEN A AWAKENING FOR ME. I KNOW PEOPLE ARE UPSET. AND IT IS NOT FUN HEARING IT DAY IN AND DAY OUT. JUST IMAGINE IF YOU GO THROUGH YOUR WHOLE DAY, TURNING ON THE NEWS, EVERYONE IS BATTERING YOU, CALLING YOU NAMES. IT IS WONDERFUL WIFE AND A STRONG FAITH IN GOD TO SUSTAIN YOURSELF THROUGH THAT.

SO I'M NOT GOING TO RETREAAT FROM THE PROMISES THAT I'VE MADE, WHICH IS I'M GOING TO STAY CONNECTED WITH YOU. AND EVEN IF NOT ONE PRESS PERSON COMES TO A TOWN HALL WE HAVE HERE IN WALNUT GREEK, I'LL HAVE IT.

I HAD THEM WHEN I WAS AN ASSEMBLY MEMBER. NO PRESS SHOWED UP. IT DID NOT MATTER. I GOT GREAT IDEAS.

WHAT DID I DO?

LET ME TAKE THE ENERGY CRISIS. IT IS A MAJOR ISSUE. WITHOUT GOING THROUGH THE DETAILS, CALIFORNIA HAD ITS HANDS TIED WHEN I BECAME GOVERNOR BECAUSE IT HAD TOLD THE UTILITIES SELL YOUR PLANTS TO OTHER PEOPLE. HAVE THE OTHER PEOPLE, WHICH ARE THE ENRONS OF THE WORLD, SELL YOU BACK THE POWER. AND THEN SELL IT TO YOU.

BUT WE SELL IT TO YOU, REDUCE IT 5%.

THE STATE SURRENDERED THE ABILITY TO BE PART OF THE TRANSACTION, BETWEEN THE PEOPLE WHO BOUGHT FROM PG&E AND WHAT THEY SOLD IT FOR. THE PG&E RATES WENT UP 100%. WE HAD TO BUY POWER. WE HAD THE WALL STREET JOURNAL, EDITORIAL BOARDS, EVERYONE SAYING WE WERE DOING THE WRONG THING.

WE FOUGHT TO GET 24 PLANTS ON-LINE. WE FOUGHT FOR CONSERVATION. IT TOOK SOME EXPERIENCE TO GET THROUGH THAT. TO GET THE INCREASEMENT THAT WE NEEDED IN OUR ENERGY INFRASTRUCTURE TO SUSTAIN OUR HIGH-TECHNOLOGY.

THAT IS THE KIND OF EXPERIENCE THAT YOU NEED. WHEN YOU SMELL SOMETHING IS WRONG, CAN YOU NOT QUITE PROVE IT, TWO YEARS LATER THE FEDERAL GOVERNMENT SAYS YOU ARE RIGHT, 40 COMPANIES MANIPULATED CALIFORNIA.

Richmond: OUR NEXT QUESTION IS FROM VIC FROM SACRAMENTO.

Vic: ALSO APPEARING ON THE OCTOBER 7TH BALLOT IS PROPOSITIO 54. AN INITIATIVE BANNING THE STATE FROM COLLECTING DATA ON RACE ETHNICITY AND NATIONAL ORIGIN. I WOULD LIKE TO ASK YOU WHAT YOUR POSITION IS ON PROPOSITION 54.

IF YOU REMAIN GOVERNOR, WHAT WILL YOU DO TO ADDRESS THE DIVISIVENESS PLAGUING CALIFORNIANS AS WE BECOME DIVERSE.

Davis: I'M 100% AGAINST PROPOSITION 54. I THINK IT IS A BAN AGAINST INFORMATION. LET ME GIVE YOU TWO EXAMPLES.

I'M PROUD OF OUR PROGRESS ON EDUCATION. WE HAVE A LONG WAY TO GO. WE ARE CHALLENGING EVERY CHILD. WE KNOW EVERYTHING CHILD CAN BECOME A BETTER, MORE PRODUCTIVE PERSON, EVERY TEACHER AND GOVERNOR CAN DO BETTER.

WE'RE NOT INTERESTED IN THE AVERAGE IMPROVING THE CLASS. WE WANT EVERY ETHNIC GROUP TO IMPROVE. WE COLLECT DATA BASED ON HOW ARE LATINO STUDENTS OR AFRICAN-AMERICAN STUDENTS DOING.

IN THE DAYS WHEN WE HAD MONEY, AND WE COULD REWARD SCHOOLS FOR MEETING IMPROVEMENT GOALS, WE WOULD NOT GIVE THEM MONEY UNLESS EVERY GROUP MET THE IMPROVEMENT GOALS, NOT JUST THE AVERAGE.

IF YOU DO NOT HAVE THAT DATA, YOU DO NOT HAVE THE INFORMATION TO MODIFY THE CURRICULUM. WE TRAIN THE TEACHER. PUT IN REMEDIAL PROGRAMS TO ENSURE THAT LATINO, AFRICAN-AMERICAN OR ASIAN STUDENTS ARE NOT LEFT BEHIND.

THE SECOND REASON IS THAT DRUG COMPANIES DEPEND ON THE KIND OF DATA WE COLLECT TO ENSURE THAT THE DRUGS THEY PROVIDE FOR YOU WORK FOR YOU. I MEAN, YOU WANT A DRUG THAT WORKS FOR YOU, NOT ONE THAT WORKS FOR A DIFFERENT ETHNIC GROUP.

Richmond: I KNOW IT IS SOMETHING THAT YOU WANTED TO DO. BEFORE WE CONCLUDE THIS PORTION OF THE PROGRAM, WE WANT TO OFFER YOU 60 SECONDS OR SO FOR A CLOSING STATEMENT.

Davis: WELL, I WANT TO THANK KTVU FOR HAVING THIS FORUM. I PARTICULARLY WANT TO THANK THE CITIZENS FOR COMING HERE. SOME OF YOU CAME FROM QUITE A DISTANCE. YOU KNOW, DEMOCRACY DEPENDS ON A INFORMED CITIZENRY.

I LEARNED ONE THING IN SACRAMENTO, YOU CAN THOUGH NOT JUST SIT UP THERE WORK 14, 15 HOURS A DAY AND GOVERN WELL. YOU HAVE TO BE IN TOUCH WITH PEOPLE TO KNOW THEIR HOPES, ASPIRATIONS AND FRUSTRATIONS.

I'LL DO MY THIRD TOWN HALL TOMORROW, MY SECOND ONE, THREE CAME UP TO ME AND COMPLAINED ABOUT A GIVEN DEPARTMENT. I WOULD NOT HAVE HEARD THAT. WE'VE MADE CALLS. NOT ONLY DO YOU GET FEED BACK THAT CAN HELP MAKE ADJUSTMENTS POSITIVELY AFFECTING PEOPLE'S LIVES, BUT YOU GET GOOD IDEAS.

Transcript of the candidates portion of the forum

DENNIS RICHMOND, KTVU: AGAIN, WE WANT TO THANK THE GOVERNOR FOR HAVING JOINED US HERE IN WALNUT CREEK. AS YOU SEE BEHIND ME, THE REPLACEMENT CANDIDATES HAVE ASSEMBLED HERE FOR THIS PART OF OUR FORUM, WE WILL TURN IT OVER NOW TO RANDY. RANDY, TAKE IT.

RANDY SHANDOBIL, KTVU: DENNIS, THANK YOU. NO MATTER HOW CALIFORNIANS VOTE ON PART ONE OF THE RECALL BALLOT, THEY STILL GET TO VOTE ON PART TWO. WHO SHOULD BECOME GOVERNOR OF CALIFORNIA IF THE VOTERS RECALL GOVERNOR GRAY DAVIS. WE OBVIOUSLY COULD NOT INVITE ALL OF THE CANDIDATES, WE INVITED THE TOP SIX CANDIDATES ACCORDING TO MOST POLLS.

WITH US THIS AFTERNOON ARE LIEUTENANT GOVERNOR BUSTAMANTE, A DEMOCRAT. NEWSPAPER COLUMNIST ARIANNA HUFFINGTON, RUNNING AS AN INDEPENDENT. FROM THE GREEN PARTY, FINANCIAL ADVISORY PETER CAMEJO, REPUBLICAN BUSINESS MAN PET YEAR UEBERROTH AND REPUBLICAN STATE SENATOR TOM MCCLINTOCK, WELCOME TO YOU ALL. AS YOU KNOW OVER THE LAST SEVERAL WEEKS WE'VE EXTENDED SEVERAL INVITATIONS UP TO ARNOLD SCHWARZENEGGER AND UNTIL TODAY WE KEPT THE SEAT OPEN FOR HIM. HIS CAMPAIGN NEVER SAID HE HAD A SCHEDULING CONFLICT, NONETHELESS, HE DECLINED TO PARTICIPATE TODAY. HOW THE CANDIDATES WERE SEATED IS DETERMINED BY LOTTERY, WHO GETS THE FIRST QUESTION, THAT IS BY LOTTERY TOO. SINCE THERE ARE FIVE QUESTIONS, WE WILL LIMIT ANSWERS TO ONE MINUTE AND REBUTTALS LIMITED TO 30 SECONDS. NO OPENING STATEMENTS TODAY. THERE WILL BE CLOSING STATEMENTS AT THE END OF THE BROADCAST

FOR THE FIRST QUESTION, WE GO TO DAN BORENSTEIN, POLITICAL EDITOR FOR THE CONTRA COTSA TIMES, FOR SENATOR TOM MCCLINTOCK.

BORENSTEIN: SENATOR, YOU ARE MORE CONSERVATIVE THAN MOST CALIFORNIANS. DURING YOUR ASSEMBLY CAREER YOU TOOK ON YOUR OWN PARTY'S CANDIDATE WILSON FOR BACKING TAXES. YOU VOTED AGAINST BANNING ASSAULT WEAPONS, AGAINST BANNING COAST LINES FROM OFFSHORE DRILLING AND AGAINST EMPLOYMENT DISCRIMINATION PROTECTION FOR PEOPLE STRICKEN WITH AIDES, AND YOU OPPOSED ABORTION RIGHTS. BECAUSE OF THE QUIRKY NATURE OF THE RECALL PROCESS, YOU COULD BE ELECTED WITH A SMALL PLURALITY. IS IT APPROPRIATE AND SHOULD A RECALL BE A MECHANISM FOR REPLACING A GOVERNOR WITH A HARD-CORE REPUBLICAN?

MCCLINTOCK: I THINK THAT YOU FORGET I WAS THE TOP REPUBLICAN VOTE-GETTER LAST YEAR, I RECEIVED MORE TOTAL VOTES THAN ANY REPUBLICAN ON THE BALLOT LAST YEAR, AND THE CLOSEST ELECTION IN CALIFORNIA HISTORY, DESPITE THE FACT THAT I RAN AGAINST A MULTIMILLIONAIRE OUTSPENDING ME BY FIVE TO ONE.

THE DISTRICT ELECTING ME BY A DOUBLE DIGIT LANDSLIDE IN THE YEAR 2000 TO THE STATE SENATE WAS VOTING FOR AL GORE FOR PRESIDENT.

SO I THINK THAT THE -- MY FOCUS HAS ALWAYS BEEN ON THE FISCAL POLICY OF THE STATE OF CALIFORNIA. I THINK THAT THAT FOCUS IS NOW RESONATING ACROSS A BROAD CROSS-SECTION OF CALIFORNIA VOTERS. I AM THE ONE CANDIDATE WHO HAS TAKEN THE NO-TAX PLEDGE. I WILL NOT RAISE TAXES UNDER ANY CIRCUMSTANCES. THIS STATE IS ALREADY SPENDING A LARGER PORTION OF PEOPLE'S EARNINGS THAN AT ANY TIME IN HISTORY. I POINTED OUT ON MANY OCCASIONS WITHIN MOMENTS OF TAKING THE OATH OF OFFICE, I WILL RESCIND THE GOVERNOR'S ILLEGAL TRIPLING OF THE CAR TAX AND THEN ACT TO VOID THE $42 BILLION OF OVERPRICED ELECTRICITY CONTRACTS.

SHANDOBIL: SENATOR MCCLINTOCK, THAT IS IT. ARE YOU OKAY WITH THAT.

MCCLINTOCK: OKAY .

SHANDOBIL: FOR OUR FIRST REBUTTAL, WE GO TO ARIANNA HUFFINGTON. YOU HAVE 30 SECONDS.

HUFFINGTON: TOM, THAT WOULD BE VERY CONVINCING TALKING ABOUT FISCAL PROPERTY. IF YOU HAD TAKEN ON THE BUSH ADMINISTRATION WHERE -- THE ORGY OF FISCAL RESPONSIBILITY GOING ON IN WASHINGTON. IT DOES NOT MAKE MUCH SENSE FOR THE REPUBLICANS TO TALK ABOUT THE FISCAL MISRESPONSIBILITY OF GOVERNOR GRAY DAVIS IGNORING THE BUDGET IN WASHINGTON BY YOUR OWN PARTY.

SHANDOBIL: LIEUTENANT GOVERNOR BUSTAMANTE, YOU NOW GET A CHANCE, 30 SECONDS. AUDIENCE, MEMBERS, PLEASE DO US A FAVOR, ACTUALLY I'M SURE ALL THE CANDIDATES WOULD APPRECIATE IT TOO, HOLD THE APPLAUSE UNTIL LATER, THERE IS MORE TIME FOR THEM TO ANSWER. SINCE THERE IS FIVE CANDIDATES, WE DO NOT HAVE A LOT OF TIME. PLEASE HOLD IT OFF FOR NOW. LIEUTENANT GOVERNOR, DO YOU HAVE REBUTTAL.

BUSTAMANTE: THE ONLY THING THAT I WOULD LIKE TO SAY IS THAT I THINK THAT THE QUESTION ILLUSTRATED THE DIFFERENCES EXACTLY BETWEEN THE CANDIDACIES AND THE PEOPLE HERE. I BELIEVE THAT I BRING A CERTAIN SET OF VALUES TO THIS POSITION. WHETHER YOU ARE GOING TO BE AGAINST OFFSHORE OIL, WHETHER YOU ARE GOING TO MAKE SURE THAT WE PROTECT AND DEFEND A WOMEN'S RIGHT TO CHOOSE, AND MAKE SURE THAT WE PROVIDE GOOD PUBLIC EDUCATION. I THINK THAT IS WHAT THE PEOPLE IN THE STATE OF CALIFORNIA ARE LOOKING FOR IN A GOVERNOR.

SHANDOBIL: THANK YOU, LIEUTENANT GOVERNOR. PETER UEBERROTH, YOUR CHANCE FOR REBUTTAL.

UEBERROTH: THE RECALL PROCESS STARTED OUT AS A DIFFERENT KIND OF PROCESS FOR ME. I DID NOT KNOW IF IT WAS A GOOD THING. I THINK IT HAS BECOME A MANDATE. I THINK THAT THE MANDATE FROM THE VOTERS SAYS THAT IT HAS TO BE CHANGED. AND WE'RE OUT OF MONEY. I DO NOT DISAGREE WITH MUCH OF WHAT TOM SAID. WE'RE OUT OF MONEY. WE'RE GETTING WORSE OUT OF MONEY. WE'RE GOING TO BE IN A LOT WORSE TROUBLE IN THE NEXT YEAR IF WE DO NOT BALANCE THE BUDGET, IF WE DO NOT START TO GET JOBS BACK INTO CALIFORNIA. AND IF WE GET JOBS BACK INTO CALIFORNIA, THE CALIFORNIANS CAN GO TO WORK.

SHANDOBIL: I'M SORRY, SIR, THAT IS YOUR 30 SECONDS. I HATE TO INTERRUPT.

UEBERROTH: ALL RIGHT.

SHANDOBIL: PETER CAMEJO, YOUR CHANCE FOR REBUTTAL

CAMEJO: WE HAVE THE HIGHEST INCOME THAT CALIFORNIA HAS HAD OVER THE LAST FIVE YEARS, WAY ABOVE WHAT NORMALLY COMES IN, WE SHOULD BE SITTING ON RESERVES OR SURPLUS TODAY TO END UP WITH A MASSIVE DEFICIT, UNACCEPTABLE. TODAY WE HAVE THE GREATEST GROSS DOMESTIC PRODUCT IN THE UNITED STATES AND THE REPUBLICANS CREATE THE MOST MASSIVE DEFICIT.

THESE TWO PARTIES ARE DYSFUNCTIONAL. WE NEED ALTERNATIVES AND FISCAL RESPONSIBILITY. THE QUESTION WAS IS IT GOOD TO HAVE SOMEONE ELECTED WITH A SMALL PERCENTAGE? IT IS WRONG.

SHANDOBIL: I'M SORRY, MR. CAMEJO.

CAMEJO: THAT IS PART OF THE PROBLEM.

SHANDOBIL: THE NEXT QUESTION IS FROM PILAR MORRENO, POLITICAL EDITOR FOR LA OPINION. HER QUESTION WILL BE DIRECTED TO PETER UEBERROTH.

MARRERO: MR. UEBERROTH, YOUR PHILOSOPHY SEEMS TO EXPECT BUSINESS TO DO THE RIGHT THING, PAY FAIR WAGES AND BENEFITS. YOU SAY THAT THE WAY TO BETTER THE SITUATION FOR WORKING PEOPLE IS TO MAKE IT EASIER FOR BUSINESSES TO MAKE PROFITS. MANY DOUBT THE ABILITY OF BUSINESS TO DO THE RIGHT THING AND SAY THAT GOVERNMENT INTERVENTION IS OFTEN NECESSARY. WHAT IS THE PROPER ROLL OF GOVERNMENT?

UEBERROTH: BASICALLY BUSINESSES PAY SALARIES. SALARIES OF WORKERS PAY SACRAMENTO. IT IS REAL SIMPLE. A JOB IS HOW SACRAMENTO IS RUN. AND WE ARE IN THIS CRISIS TIME NOW, WE'RE DRIVING JOBS OUT OF THE STATE. BUSINESSES ARE SITTING HERE, SAYING WELL, WE'LL TAKE SOME JOBS OUST THE STATE, OR THEY'LL TAKING THEIR WHOLE COMPANIES OUT OF THE STATE. AND I APPEAL TO THE PEOPLE WHO HAVE LOST THEIR JOBS, WHO HAVE NOTHING, AND SAY TO IT, LET'S CRITICIZE CORPORATIONS. NO CORPORATION IS PERFECT. BUT THE REAL SOLUTIONS TO CALIFORNIA ARE TAKE THIS BUDGET, WE'VE OVERSPENT. I AGREE WITH PETER. WE'VE OVERSPENT AND BEEN ON A SPENDING BINGE. TIGHTEN THE BELT. IT WILL BE TOUGH. GET JOBS BACK IN THE STATE. QUIT BEING THE SECOND-LEAST FRIENDLY STATE FOR JOBS.

SHANDOBIL: THANK YOU, MR. UEBERROTH. MARRERO: BUT EVEN DURING THE GOOD TIMES, SOME BUSINESSES -- I'M SORRY, SOME PEOPLE, SOME WORKERS WERE MAKING LESS THAN MINIMUM WAGE OR AROUND MINIMUM WAGE, WERE WITHOUT HEALTH BENEFITS. IS THE GOVERNOR ABLE TO DO ANYTHING FOR THESE PEOPLE?

UEBERROTH: CANNOT DO ANYTHING WITHOUT THE MONEY. WE'RE OUT OF MONEY. WE'VE PROVEN IT. WE HAVE A BUDGET THAT DOES NOT MAKE SENSE. THE VOTERS KNOW IT DOES NOT MAKE SENSE. IT IS PATCHED UP. IT IS WORRYING ABOUT THE FUTURE. THEY'RE NOT REALLY TAKING CARE OF THE BUDGET. IF WE DO NOT FIX IT, THERE WILL BE LESS MONEY FOR WORKERS, LESS MONEY FOR HEALTHCARE AND EDUCATION. AND THE ONLY WAY THAT YOU PAY THE BILLS, IS YOU PAY THE BILLS WITH JOBS.

SHANDOBIL: LIEUTENANT GOVERNOR BUSTAMANTE YOU GET THE FIRST CHANCE TO REBUT MR. UEBERROTH'S ANSWER.

BUSTAMANTE: YOU KNOW, IN THE STATE OF CALIFORNIA, IF YOU WALK OUTSIDE OF THIS BUILDING, IF YOU ARE HELD UP AND THE PERSON TAKES YOUR WALLET, THAT PERSON GOES TO JAIL. IF YOU ARE ABLE TO HOLD UP 34 MILLION PEOPLE, SOMEHOW THAT IS GOOD BUSINESS. I DON'T THINK SO. I THINK THAT THE ENERGY CRISIS, I WAS THERE AT THE TIME, I VOTED FOR IT. IT WAS A MISTAKE. THE DEREGULATION OF ENERGY HAS BEEN A MISTAKE AT EVERY SINGLE STATE. WE NEED TO ENSURE WE HAVE THE KIND OF LEGISLATION TO PROTECT UTILITIES AND BASIC SERVICES FOR CALIFORNIA AND FOR THE PEOPLE OF CALIFORNIA. AND IF THEY DO NOT DO IT, THEN WE HAVE TO MAKE SURE TO IMPOSE THAT ON THOSE EMPLOYERS.

SHANDOBIL: YOUR TIME IS UP. THANK YOU. PETER CAMEJO, REBUTTAL.

CAMEJO: CORPORATIONS ARE HAVING A MASSIVE CRIMINAL PROBLEM. WE HAVE THE ENRONS AND THE WORLDCOMS. THERE IS SOMETHING BREAKING DOWN. THE RULE OF LAW IS BREAKING DOWN. IN CALIFORNIA WE HAVE LOWERED THE TAXES ON CORPORATIONS ON A STRAIGHT LINE DOWN. THEY ARE PAYING HALF OF WHAT THEY WERE PAYING JUST 16 YEARS AGO. THE RICHEST PEOPLE IN CALIFORNIA, TAXES ARE LOWERED WHILE YOUR TAXES ARE GOING HIGHER, THE AVERAGE PERSON. WHERE IS THE MONEY TO SOLVE THIS PROBLEM? (UNINTELLIGIBLE)... IN THE CORPORATIONS AND AMONG THE RICHEST PEOPLE PAYING THE LOWEST TAX RATES (UNINTELLIGIBLE)... YOU ARE WILLING TO GO THERE, YOU CANNOT BALANCE THE BUDGET.

SHANDOBIL: THANK YOU. ARIANNA HUFFINGTON, IT IS NOW YOUR TURN.

HUFFINGTON: I FIND IT SURPRISING THAT PETER UEBERROTH WOULD NOT MENTION THE FACT THAT THERE ARE SO MANY CORPORATE THANKS LOOPHOLES RIGHT NOW THAT BASICALLY ABOUT $5 BILLION OF REVENUE COULD COME TO THE STATE OF CALIFORNIA IF ONLY AS GOVERNOR ONE OF US WOULD CLOSE THOSE LOOPHOLES. AND ALSO IT DOES NOT SURPRISE ME THAT THIS IS HIS POSITION, GIVEN THAT PETER HAS MAXED OUT TO THE BUSH CHENEY REELECTION COMMITTEE. I MEAN, HOW DUMB IS THAT ON A SCALE OF ONE TO TEN?

SHANDOBIL: UNFORTUNATELY YOU WILL NOT GET A CHANCE TO ANSWER THAT QUESTION. NOW TO SENATOR TOM MCCLINTOCK FOR YOUR REBUTTAL.

MCCLINTOCK: THIS DISCUSSION AMAZING ME. WE'VE LOST NEARLY A THIRD OF A MILLION JOBS IN THIS STATE, WHEN SOME INSURANCE COMPANIES ANNOUNCED THEY WERE MOVING TO JACKSONVILLE WITH 400 JOBS, THEIR CEO WAS INTERVIEWED ON TELEVISION, SAYING THIS IS NOT A COMPLICATED DECISION. THE SALES TAX IS 6%, AND IT COSTS $40 TO REGISTER YOUR CAR. IF WE WANT TO BRING JOBS BACK, WE HAVE TO REDUCE TAXES. I DISAGREE WITH THE GOVERNOR WHO SAID THAT HE FELT THAT TAXES WERE MODERATELY LOW IN THIS STATE. THAT IS HORSE MANURE.

SHANDOBIL: SENATOR, THAT IS TIME. SORRY. NEXT QUESTION FOR PETER CAMEJO, COMING FROM JOHN MYERS, THE SACRAMENTO BUREAU CHIEF OF KQED-FM .

MYERS: SIR, YOU PROPOSED THAT THE STATE TAX GO FROM (UNINTELLIGIBLE) FOR THE WEALTHY THAT IS A BIG JUMP TO MAKE IN ONE YEAR, FROM 9% TO 14.3%. HOW DO YOU JUSTIFY THAT INCREASE? IF IT IS WEALTHY TODAY, COULD IT BE THE MIDDLE CLASS TOMORROW?

CAMEJO: THE RAISE I'M PROPOSING FOR THEM WOULD MAKE THEM EVEN WITH WHAT THE POOREST PEOPLE PAY. WHAT ABSOLUTELY AMAZES ME IS THAT PEOPLE ARE WILLING TO SEE THE POOREST PEOPLE IN CALIFORNIA, MAKING $15,000 A YEAR, PAY 11.3% OF THEIR INCOME IN TAXES BUT SAY THAT THE RICH SHOULD HAVE TO PAY IT. THE FACT IS I'M FOR A FAIR TAX, WHICH IS THAT THE WEALTHIEST PEOPLE IN CALIFORNIA SHOULD BE PAYING THE SAME THAT YOU ARE, THE AVERAGE PERSON. THAT WOULD BALANCE THE BUDGET. THAT IS WHERE WE HAVE TO GO. WE ALSO HAVE TO GET RID OF WASTE AND THE LOOPHOLES THAT ARIANNA HUFFINGTON REFERRED TO. BUT THERE IS NO WILL. THE DEMOCRATS AND REPUBLICANS ARE AT THE SERVICE OF THE PEOPLE WHO FUND THEM. THAT IS THE DIFFICULT PROBLEM THAT WE NOW FACE. THAT IS, THEY ARE ALLOWING THESE CRISES TO HAPPEN AND THEY ARE CUTTING EDUCATION, HEALTHCARE AND ALL OF THE SERVICES THAT WE NEED. PEOPLE HAVE TO CHOOSE. WHAT DO YOU WANT? LOWER THE TAXES FOR THE RICH? GIVE THEM EVERYTHING? OR ALLOW THESE SERVICES TO CONTINUE AND PROTECT EDUCATION IN CALIFORNIA.

MYERS: BUT MR. CAMEJO, HOW DO YOU GET REPUBLICANS LIKE MR. MCCLINTOCK TO VOTE FOR THAT?

CAMEJO: I WILL STAND WITH CRUZ BUSTAMANTE ON THIS, HE HAD THE COURAGE TO SAY IF WE CANNOT GET THE RIGHT KIND OF TAX STRUCTURE, LET'S GO TO THE PEOPLE. I WILL TELL YOU WHO WILL VOTE FOR A FAIR TAX IN CALIFORNIA, THE PEOPLE IN CALIFORNIA. IT IS ABOUT TIME. WE HAVE ONE THIRD OF 1% OF THE PEOPLE OF CALIFORNIA GET 20% OF THE INCOME, 200 BILLION DOLLARS AND THEY PAY LOWER TAXES THAN YOU DO. THAT IS NOT RIGHT. AND THE DEMOCRATS AND REPUBLICANS HAVE ALLOWED THAT TO HAPPEN. THAT IS WHY WE HAVE TO HAVE THE GREEN PARTY HERE AND A VOICE HEARD TO CHALLENGE THE CORPORATE DOMINATION AND THE MONEY DOMINATION OF OUR POLITICAL SYSTEM.

SHANDOBIL: THANK YOU. WE NOW GO TO REBUTTALS. THE FIRST GOES TO PETER UEBERROTH, TO ALL CANDIDATE, LET'S TRY TO REBUT THE ANSWER, NOT SOMETHING ELSE THAT YOU WANT TO TALK ABOUT. MR. UEBERROTH .

UEBERROTH: WELL, I, YOU KNOW, TAXING THE RICH, I'VE BEEN FORTUNATE IN CALIFORNIA THAN I MADE MORE MONEY THAN I THOUGHT THAT I WOULD. I WILL NOT ARGUE MUCH ABOUT THAT. WE TALKED ABOUT CORPORATIONS. EVERY RECOVERY EVER IN THIS COUNTRY, EVER, EVER, EVER IN THIS STATE OR ANY OTHER STATE, COMES ON SMALL AND MEDIUM-SIZED BUSINESSES. AND YOU WANT TO KNOW THAT THOSE ARE CALLED CORPORATIONS. AND THAT IS WHAT THEY'RE DOING. AND WE'RE -- WITH WORKERS COMP ALL OF THE THINGS AT THAT WE'RE DOING, THE BURDENS THAT YOU WANT TO PUT ON THE PEOPLE, THEY ARE TAKING THEIR JOBS AND LEAVING THE STATE.

SHANDOBIL: THE NEXT REBUTTAL TO STATE SENATOR MCCLINTOCK.

MCCLINTOCK: THIS STATE IS NOT SUFFERING A REVENUE PROBLEM. THIS STATE SPENDS A LARGER PORTION OF YOUR EARNINGS THAN ANY TIME IN ITS HISTORY AND DELIVERS LESS WITH THAT THAN ANY TIME IN THE HISTORY. IN THE FOUR YEARS OF ADMINISTRATION, WHILE INFLATION AND POPULATION HAVE GROWN 21%, THE REVENUES HAVE GROWN 25%. IT IS NOT A REVENUE PROBLEM. THE EXPENDITURES ARE GROWING 40% IN THE SAME PERIOD. WE HAVE NOT SEEN THE INCREASE IN SCHOOL PERFORMANCE, ELECTRICITY, WATER STORAGE, ALL OF THE THINGS THAT WE PAY THROUGH THE NOSE FOR THIS GOVERNMENT TO PROVIDE.

SHANDOBIL: LIEUTENANT GOVERNOR BUSTAMANTE YOUR REBUTTAL.

BUSTAMANTE: ONE OF THE PROBLEMS THAT WE HAVE, WE HAVE COMPANIES LIKE WAL-MART WHO, AT THE SAME TIME THEY HIRE PEOPLE, THEY GIVE THEM A PIECE OF PAPER AND SAY HERE IS THE WAY THAT YOU CAN APPLY FOR FOOD STAMPS AND PUBLIC HEALTHCARE BENEFITS. PEOPLE HAVE ALREADY PAID BECAUSE WE HAVE A SOCIAL CONTRACT HERE IN THE UNITED STATES. THAT SOCIAL CONTRACT IS THAT BY THE TIME YOU GET TO THE END OF THE WEEK, YOU OUGHT TO HAVE ENOUGH TO BE ABLE TO TAKE CARE OF YOUR FAMILY AND NOT WORRY ABOUT A SICK CHILD EITHER. I THINK IT IS PUTTING THE RESPONSIBILITY ON EMPLOYER'S LIKE THAT. WHETHER YOU TAKE MONEY OUT OF THE TAXPAYERS FRONT OR BACK POCKET, IT IS STILL OUT OF THEIR POCKET.

SHANDOBIL: FOR THE FINAL REBUTTAL TO THIS QUESTION, WE GO TO ARIANNA HUFFINGTON.

HUFFINGTON: ONE OF THE PROBLEMS WE HAVE IN CALIFORNIA IS WE RELAY ON INCOME TAXES AND SALES TAXES SO MUCH AND NOT ENOUGH ON PROPERTY TAXES. AS GOVERNOR, I WILL TAX THE ELECTRIFIED WAY OF PROP 13 AND WHILE PROTECTING CITIZEN, HOMEOWNERS, FIXED INCOME AND SENIORS, I WOULD MAKE SURE THAT WEALTHY HOMEOWNERS PAY THEIR FAIR SHARE. WARREN BUFFETT SUGGESTED IT, I'LL TAKE HIS ADVICE.

SHANDOBIL: WE'RE NOW GOING BACK TO DAN. DAN, IF I'M NOT MISTAKEN, YOU HAVE A QUESTION FOR MS. HUFFINGTON.

BORENTSTEIN: YES, IT IS A PERFECT TRANSITION INTO THAT QUESTION, MS. HUFFINGTON. YOU HAVE SAID "WE OUGHT TO STOP THE WAY THAT PROPOSITION 13 IS BEING USED TO ARTIFICIALLY LOWER THE TAX BURDEN ON CORPORATIONS AND WEALTHY HOMEOWNERS." SPECIFICALLY HOW WOULD YOU CHANGE PROPOSITION 13 TO RAISE PROPERTY TAXES FOR THOSE TWO GROUPS?

HUFFINGTON: WELL, FIRST OF ALL, DAN, WHEN IT COMES TO COMMERCIAL PROPERTY TAXES, IT WOULD NOT BE RAISING THEM. IT WOULD BE FAIRLY ASSESSING COMMERCIAL PROPERTIES, CLOSING THE LOOPHOLES THAT ALL OF THOSE INTERESTS HAVE ACTUALLY BOUGHT BY BUYING POLITICIANS. AND AS A RESULT, MAKE SURE THAT AT THE TIME OF PURCHASE THEY ARE FAIRLY ASSESSED. AND ALSO, WHEN IT COMES TO HOMEOWNERS, AS I'VE SAID EARLIER, WHILE PROTECTING THE INTENT OF PROP 13, WE NEED TO ROOT OUT THE ABUSES, THE ABUSES MAKING IT POSSIBLE FOR SOMEONE LIKE WARREN BUFFETT TO HAVE A $4 MILLION HOME AND PAY $2,000 IN PROPERTY TAXES. I BELIEVE THAT IS WHAT THE CALIFORNIA PEOPLE WANT. AND THEY WANT A INDEPENDENT LEADER WHO WILL ACTUALLY SPEAK TO THAT, INSTEAD OF SIMPLY PANDERING AND WATCHING THE OPINION POLLS AND REFUSING TO TELL THE PEOPLE THE TRUTH.

BORENSTEIN: I'M NOT SURE I HEARD IN YOUR ANSWER HOW YOU WOULD DO IT, ESPECIALLY WITH REGARD TO THE WEALTHY HOMEOWNERS, I DID NOT HEAR A SPECIFIC--

HUFFINGTON: I WILL DO IT BY APPOINTING A COMMISSION TO LOOK AT WHAT THE CUT-OFF LEVEL WOULD BE, AT WHAT LEVEL OF THE PURCHASE PRICE OF THE HOUSE, AND THE INCOME OF THE HOMEOWNER. BECAUSE WE NEED TO TAKE BOTH INTO ACCOUNT SO THAT WE NEVER AGAIN GET INTO THE SITUATION WHERE PEOPLE ON FIXED INCOMES, OR SENIORS HAVE TO SELL THEIR HOMES IN ORDER TO PAY THEIR PROPERTY TAXES.

BORENSTEIN: ARE YOU SAYING TIE PROPERTY TAXES TO INCOME?

HUFFINGTON: I'M SAYING THAT IT WILL BE A COMBINATION OF THE PRICE OF THE HOUSE, THE INCOME OF THE HOMEOWNER AND MAKING SURE THAT THOSE AT THE TOP PAY THEIR FAIR SHARE OF TAXES.

BORENSTEIN: OKAY.

SHANDOBIL: WE'RE NOW GOING TO MOVE ON TO REBUTTALS, AND STATE SENATOR TOM MCCLINTOCK YOU GET THE FIRST CHANCE AND MY HUNCH IS YOU DISAGREE.

MCCLINTOCK: I DO. I'LL LET YOU IN ON A SECRET ABOUT BUSINESS TAXES, BUSINESSES DO NOT PAY TAXES, THEY PAY TAXES THROUGH YOU AS A CONSUMER IN HIGHER PRY PRICES THROUGH YOU AS AN EMPLOYEE THROUGH LOWER WAGES OR THROUGH YOU AS A INVESTOR IN LOWER EARNINGS, POST INVESTORS ARE NOT FAT CATS, THAT IS MOM AND DAD'S RETIREMENT FUND WE'RE TALKING ABOUT. IF YOU WANT TO KNOW WHAT PROP 13 HAS DONE, TO SAVE YOUR HOME, MULTIPLY THE VALUE OF THE HOME BY 2.6%; THAT IS THE PROPERTY TAX BILL IF THEY ALLOW PROP 13.

SHANDOBIL: NOW TO PETER UEBERROTH.

UEBERROTH: I AGREE WITH TOM ON THE FACT THAT WE HAVE A SPENDING BINGE. THE PEOPLE IN CALIFORNIA KNOW IT. WE WILL NOT SOLVE IT BY LETTING TAXES EAT -- THE TAX -- THE TAX PEOPLE EAT AT PROPOSITION 13. THOSE PEOPLE IN CALIFORNIA WANT TO HAVE A MOVEMENT. 57% HAVE. BUT THAT IS WHERE THEY BUILD THEIR VALUE FOR THEIR FAMILIAR FAMILY. SOME OF THEM WILL LOW INTEREST RATES ARE STARTING TO BORROW ON THAT. I'LL PROTECT THAT WITH EVERY OUNCE I'VE GOT. CALIFORNIA HOMES CANNOT BE TAXED LIKE EVERYTHING ELSE THAT WE DO. EVERYTHING ELSE IS TAXED.

SHANDOBIL: THANK YOU. MR. CAMEJO, YOUR CHANCE TO REBUT.

CAMEJO: PROPERTY TAXES ARE NOT THE -- THE PRESENT LAW IS NOT WORKING. WE HAVE SOME PEOPLE PAYING A VERY HIGH PERCENTAGE OF THEIR INCOME FOR THE PROPERTY TAXES, A YOUNG COUPLE GOES OUT, BUYS A NEW HOME AND THEY WILL PAY 20 TIMES THE RATE OF TAXES THAT WARREN BUFFETT PAYS AS A BILLIONAIRE, AND I THINK THAT HE DID US A SERVICE FOR POINTING IT OUT AND ARNOLD SCHWARZENEGGER TOLD HIM TO SHUT UP. I SAY GIVE THE MAN A MICROPHONE. LET'S HEAR MORE FROM HIM. THIS IS UNJUST. WE HAVE TO PROTECT, AND LOWER PROPERTY TAXES TO MAKE IT FAIR.

SHANDOBIL: I HAVE TO BE THE BAD GUY AGAIN, YOUR TIME IS UP. CRUZ BUSTAMANTE, YOU GET THE FINAL OPPORTUNITY TO REBUT THAT QUESTION.

BUSTAMANTE: I OPPOSE AN INCREASE IN PROPERTY TAXES. I BELIEVE THERE IS AN EQUITY DEVELOPING OVER THE LAST MANY YEARS WITH THE PROPOSITION 13, AND THAT IS THAT THE LARGEST AMOUNT OF PROPERTY TAXES NOW BEING PAID ARE BY RESIDENTS. AND THAT THE COMMERCIAL PROPERTIES, BECAUSE OF THE -- NOT CHANGING OWNERSHIP, IT'S BEEN DONE THROUGH SOME KIND OF A SHARE EXCHANGES OR OTHER KINDS OF MECHANISMS WHERE THE OWNERSHIP DID NOT CHANGE, AS A RESULT MANY OF THOSE PROPERTIES NEVER GOT REASSESSED AND THERE IS A -- LESS MONEY BEING PAID ON THE COMMERCIAL SIDE THAN ON THE RESIDENTIAL SIDE NOW.

SHANDOBIL: YOUR TIME FOR REBUTTAL IS UP. BUT THE NEXT QUESTION GOES TO YOU, AND IT COMES FROM ME.

BUSTAMANTE: OKAY.

SHANDOBIL: JUST YESTERDAY A SOUTHERN CALIFORNIA INDIAN TRIBE ANNOUNCED THAT IT WAS GOING TO GIVE YOUR CAMPAIGN AND COMMITTEE SUPPORTING YOUR CAMPAIGN $2 MILLION, IN ADDITION TO $1.5 MILLION THAT OTHER TRIBES HAVE GIVEN YOU OVER THE YEARS. AND THE TIMING IS INTERESTING, BECAUSE JUST LAST WEEK AFTER MEETING WITH TRIBES, YOU TOLD SOME REPORTERS THAT YOU COMPARED TRIBAL CASINOS TO HEWLETT-PACKARD, I'LL READ A QUOTE. YOU SAID "WE DO NOT PUT A LIMITATION ON HEWLETT-PACKARD, WE DO NOT SAY THAT YOU CAN ONLY SELL SO MANY COMPUTERS." MY QUESTION IS ARE YOU SAYING THAT YOU WOULD ALLOW TRIBES TO OPEN NEW CASINOS AND EXPAND SLOTS?

BUSTAMANTE: I'M VERY, VERY PROUD, FIRST OF ALL OF THE SUPPORT THAT I'VE RECEIVED FROM TRIBAL GOVERNMENTS. TRIBAL GOVERNMENTS, I'VE BEEN INVOLVED WITH THEM FOR OVER 20 YEARS. I VISITED RESERVATIONS WHEN THEY LIVED IN SHACKS, IN ABANDONED CARS, THERE WAS 95% POVERTY, GAMING HAS BEEN AN OPPORTUNITY TO FOR THEM TO EXPAND OPTIONS, PUT PEOPLE TO WORK, PUT THEIR KIDS THROUGH SCHOOL. SO I WAS WITH THEM MANY, MANY YEARS BEFORE THEY ARE IN THEIR PRESENT CONDITION. SECONDARY, MORE IMPORTANTLY I THINK, I WILL BE A HEAD, THE HEAD, IF I GET A CHANCE TO BE, THE HEAD OF THIS GOVERNMENT. AND I WILL GIVE THEM THE RESPECT THAT THEY DESERVE IN WORKING OUT ARRANGEMENTS. THE RULES ARE SET. ONLY FEDERALLY RECOGNIZED TRIBES AND FEDERALLY RECOGNIZED LAND IS ELIGIBLE TO HAVE GAMING, AND BOTH THE VOTERS OF THIS STATE HAVE TWICE AGREED TO DO THAT.

SHANDOBIL: WELL, THE GOVERNOR DOES HAVE SOME DISCRETION OVER SOME DECISIONS INVOLVING TRIBES. AND SURELY YOU HAVE TO RECOGNIZE THAT IF YOU WERE GOVERNOR, THE FIRST TIME A DECISION INVOLVING THE TRIBES CAME UP, YOU WOULD REMEMBER THEY GAVE YOU $2 MILLION.

BUSTAMANTE: YOU KNOW, THE TRIBES ARE, I BELIEVE, THEY ARE SHOWING THE SAME RESPECT THAT I SHOWED THEM DURING THE TIME WHEN THEY HAD NOTHING. WHEN THEY HAD NOTHING. AND I REMEMBER GOING TO THOSE RESERVATIONS, THAT I MENTIONED EARLIER, WHEN THEY HAD NOTHING. AND NOW THAT I'M RUNNING, I THINK THAT THEY ARE SHOWING THEIR FRIENDSHIP BY HELPING ME IN TRYING TO BASICALLY LEVEL THE PLAYING FIELD. LEVEL THE PLAYING FIELD BY THOSE CANDIDATES WHO ARE MULTIMILLIONAIRES. I DO NOT HAVE THAT KIND OF WEALTH. AND I HAVE THE OPPORTUNITY NOW TO BE ABLE TO LEVEL THE PLAYING FEEL BY HAVING A TREMENDOUS NUMBER OF PEOPLE, BOTH FROM THE CALIFORNIA INDIAN TRIBES, AS WELL AS LABOR TO HELP ME.

SHANDOBIL: WE'LL HAVE TO GO TO REBUTTAL, I'M SORRY.

BUSTAMANTE: OKAY.

SHANDOBIL: PETER CAMEJO, YOU HAVE THE FIRST CHANCE TO REBUT.

CAMEJO: YOU KNOW, CASINOS, I WOULD NEVER ACCEPT MONEY FROM CASINOS, TOBACCO COMPANIES OR ENERGY COMPANIES, WHATEVER. ONCE YOU ACCEPT MONEY FROM THEM, THERE IS A COMPROMISE THERE. THE TRUTH IS, CASINOS ARE NOT A GOOD THING. THEY ARE A REGRESSIVE TAX. OF COURSE, DEEP INSIDE ME, I HAVE TO FEEL SOME SYMPATHY FOR THE NATIVE AMERICANS WHO HAVE FINALLY FOUND A WAY, BUT IT IS THE WRONG WAY, PREADING CASINOS OVER AMERICA, EVERY COMMUNITY, IT IS DAMAGING TO OUR SOCIETY, NOT HELPFUL.

SHANDOBIL: ARIANNA HUFFINGTON, YOUR CHANCE TO REBUT.

HUFFINGTON: IT IS NOTHING BUT LEGALIZED BRIBERY, YOU HAVE MADE A MOCKERY OF CAMPAIGN FINANCE LAWS BY USING A LUDICROUS LOOPHOLE TO GET THAT MONEY INTO YOUR CAMPAIGN AND BYPASS THE LIMITS AND IT IS REALLY ABSOLUTELY ABSURD AS GOVERNOR OF CALIFORNIA YOU WOULD CONTINUE TO DEPRIVE OUR GENERAL FUNDS OF TAXES.

BUSTAMANTE: TELL ME HOW YOU REALLY FEEL.

HUFFINGTON: I WILL.

SHANDOBIL: I'M SORRY, WE HAVE TO MOVE ON. I'M SURE THAT YOU WOULD LIKE TO RESPOND. HOWEVER, WITH SO MANY CANDIDATES, DO YOU NOT GET A CHANCE SENATOR TOM MCCLINTOCK, YOUR RESPONSE.

MCCLINTOCK: ON THE POLICY, I BELIEVE THAT WE MADE A PROMISE TO THE CALIFORNIA INDIANS A CENTURY AGO THAT THEY WOULD HAVE SOVEREIGNTY ON THEIR RESERVATION LANDS, AND IT MEANS THAT LOCAL AND STATE JURISDICTIONS END AT THE RESERVATION BOUNDARY BUT I AGREE WITH ARIANNA RECEIVING MILLIONS OF DOLLARS THROUGH A SUSPECT HOLE IN THE LAW CIRCUMVENTS THE WILL OF THE PEOPLE IN ESTABLISHING CAMPAIGN FINANCE LAW IN THE LAST ELECTION. THAT IS WHAT I ON TO. TECHNICALLY I HAVE THE SAME KIND OF COMMITTEE. OUR PEOPLE BELIEVE IT IS ILLEGAL. IF IT IS LEGAL, IT IS ON THE SHADY SIDE OF THE LAW.

SHANDOBIL: TIME IS UP. FINALLY, WE GO TO PETER UEBERROTH.

UEBERROTH: IF HE WANTS TO ACCEPT MONEY FROM ANY SPECIAL INTEREST GROUP, I'M NOT GOING TO CRITICIZE HIM. HE WILL DO WHAT HE WILL DO. BASICALLY, WE'RE AVOIDING ISSUES AND NOT TALKING ABOUT THE REAL STUFF. JOBS ARE WHAT ARE REAL STUFF. THAT IS HOW WE PAY THE BILLS IN SACRAMENTO. IT TAKES SALES TAX AND THE PAY CHECK TO PAY THE BILLS HERE. WE'RE DRIVING JOBS OUT WITH ALL OF THE SPECIAL INTERESTS, AND WE DO NOT -- WE WILL NOT SUCCEED IF WE DO NOT STOP IT AND BALANCE THE BUDGET. SIMPLE AS THAT.

SHANDOBIL: THANK YOU, MR. UEBERROTH. WE'LL NOW SEGUE A LITTLE BIT AND BREAK OUT OF OUR QUESTION, ANSWER AND REBUTTAL MODE AND FOR A FEW MINUTES WE'LL ASK A SERIES OF QUESTIONS DESIGNED TO GET SHORT ANSWERS FROM YOU. A SERIES OF QUESTIONS ON A NUMBER OF IMPORTANT ISSUES. THE QUESTIONS SHOULD BE SIMPLE ENOUGH FOR EACH CANDIDATE TO GIVE AN ANSWER IN 15 SECONDS OR LESS. NO TIME FOR RATIONALIZATIONS, JUST A QUICK YES, NO OR EXPLANATION OF YOUR POSITION. NOW, EACH CANDIDATE WILL GET THE SAME QUESTION. AND THE FIRST ONE COMES FROM PILLAR.

MARRERO: THIS IS TO ALL OF YOU. IN 1994 DID YOU VOTE FOR OR AGAINST PROPOSITION 187, WHICH RESTRICTED HEALTH AND EDUCATION BENEFITS FOR UNDOCUMENTED IMMIGRANTS AND WOULD YOU DO THE SAME TODAY?

SHANDOBIL: PETER UEBERROTH, YOU GET THE FIRST CRACK, 15 SECONDS OR LESS.

UEBERROTH: THE FEDERAL GOVERNMENT DECIDES WHAT WE DO ON OUR BORDERS, THEY DECIDED TO BRING ILLEGAL IMMIGRANT NOOSE OUR COUNTRY, INTO OUR STATE. AND THEY HAVE TO PAY FOR IT. SO I'M NOT FOR TAKING EDUCATION AWAY OR ANY HEALTHCARE AWAY. BUT WE HAVE THE BORDERS. WE HAVE TO GET THE FEDERAL GOVERNMENT TO PAY FOR IT.

SHANDOBIL: 15 SECONDS, BELIEVE IT OR NOT. ARIANNA HUFFINGTON.

HUFFINGTON: I VOTED AGAINST IT. BUT I DID NOT SPEAK OUT AGAINST IT. BECAUSE AT THE TIME I WAS A CANDIDATES WIFE RATHER THAN A CANDIDATE. I MUCH PREFER BEING A CANDIDATE.

SHANDOBIL: LIEUTENANT GOVERNOR BUSTAMANTE.

BUSTAMANTE: I VOTED AGAINST PROPOSITION 87. AND SINCE THAT TIME HAS PROVEN THAT THE PREMISE WAS WRONG. TODAY IMMIGRANTS PAY 1400 DOLLARS MORE A YEAR THAN THEY RECEIVE IN BENEFITS.

SHANDOBIL: PETER CAMEJO, 15 SECONDS.

CAMEJO: I'M OPPOSED TO 187. I VOTED AGAINST IT, CONSIDERING IT UNCONSTITUTIONAL, VIOLATION TO U.N. CHARTER, A DENIAL TO CHILDREN TO GO TO SCHOOL, PUNISH THEM FOR THE ECONOMIC PROBLEMS THEIR PARENTS SUFFERED.

SHANDOBIL: SENATOR TOM MCCLINTOCK.

MCCLINTOCK: I VOTED FOR PROPOSITION 187, I CAMPAIGNED FOR IT, IT NEVER HAD A FAIR DAY IN COURT BECAUSE THIS GOVERNOR REFUSED TO DEFEND IT. I INTEND TO SEE THAT IT GETS THAT FAIR DAY IN COURT.

SHANDOBIL: THE NEXT QUESTION COMES FROM JOHN MYERS.

MYERS: AND BACK TO THE BUDGET IF WE COULD QUICKLY, AN INITIATIVE THAT COULD BE ON THE MARCH BALLOT WOULD MAKE IT EASIER TO PASS BUDGETS AND RAISE TAXES IN THE LEGISLATURE BY GETTING RID OF THE TWO-THIRDS VOTE REQUIREMENT. DO YOU SUPPORT OR OPPOSE?

SHANDOBIL: THE FIRST CHANCE GOES TO LIEUTENANT GOVERNOR BUSTAMANTE.

BUSTAMANTE: I SUPPORT THE PROPOSAL FOR 55% TO PASS THE BUDGET.

SHANDOBIL: PETER CAMEJO.

CAMEJO: ONLY THREE STATES HAVE THE SYSTEM WE HAVE. I'M AGAINST IT. I SUPPORT THE PROPOSAL TO LOWER TO 55%..

SHANDOBIL: TOM MCCLINTOCK.

MCCLINTOCK: I OPPOSE IT. IF YOU LOWER THE REQUIREMENT FOR TAX INCREASES IT WILL BE KATIE BAR THE DOOR.

SHANDOBIL: FINALLY ARIANNA HUFFINGTON. EXCUSE ME, PETER UEBERROTH. I WENT OUT OF ORDER.

UEBERROTH: I AGREE WITH TOM. IT WILL BE ANOTHER WAY THAT PEOPLE CAN SPEND CRAZY. THAT IS WHAT IS HAPPENING IN THIS STATE. WE WILL SUFFER FOR IT FOR THE YEARS TO COME.

SHANDOBIL: FINALLY ARIANNA HUFFINGTON.

HUFFINGTON: I SUPPORT IT. IN FACT, I THINK IT SHOULD BE A SIMPLE MAJORITY, MAJORITY RULES IS GOOD ENOUGH FOR THE FOUNDING FATHERS, IT SHOULD BE GOOD ENOUGH FOR PASSING A BUDGET IN SACRAMENTO.

SHANDOBIL: WE HAVE ONE MORE QUESTION DESIGNED FOR A SHORT ANSWER, COMES FROM DAN.

BORENSTEIN: LAST YEAR GOVERNOR GRAY DAVIS SIGNED LEGISLATION DECLARING A WOMEN'S DECISION ABOUT BIRTH CONTROL AND ABORTION ARE FUNDAMENTALLY PRIVATE CHOICES PROTECTED UNDER STATE PRIVACY RIGHTS LAWS. THAT PROVISION ADVOCATES SAY WOULD KEEP ABORTION LEGAL IN CALIFORNIA, IF THE LANDMARK US 1973 ROE V. WADE DECISION WERE ONE DAY OVERTURNED BY THE U.S. SUPREME COURT. WOULD YOU HAVE SIGNED OR VETOED THE BILL THAT THE GOVERNOR SIGNED?

SHANDOBIL: ARIANNA HUFFINGTON.

HUFFINGTON: I WOULD HAVE SIGNED THAT BILL. AND AS GOVERNOR I WOULD OPPOSE ANY RESTRICTIONS TO A WOMAN'S RIGHT TO CHOOSE.

SHANDOBIL: SENATOR MCCLINTOCK.

MCCLINTOCK: I WOULD HAVE VETOED THE BILL. WHEREVER WE STAND ON THE ISSUE, WE CAN AGREE THAT PARTIAL BIRTH ABORTION THE PROCESS OF STABBING A INFANT AS IT IS BEING BORN IN THE BACK OF THE HEAD IS SIMPLY BAR BARRACK AND OUGHT TO BE STOPPED.

SHANDOBIL: PETER.

CAMEJO: I'M PRO CHOICE AND I BELIEVE THAT THE ISSUE IS ROOTED IN SEPARATION OF CHURCH AND STATE. EVERYONE HAS THE RIGHT TO THEIR OPINION, SHOULD BE RESPECTED, THE GOVERNMENT SHOULD NOT INTERFERE.

SHANDOBIL: ARE YOU SAYING THAT YOU WOULD HAVE SIGNED IT.

CAMEJO: YES.

SHANDOBIL: LIEUTENANT GOVERNOR, 15 SECONDS.

BUSTAMANTE: I WOULD HAVE SIGNED IT, I BELIEVE IN A WOMAN'S RIGHT TO CHOOSE, IT IS BETWEEN HERSELF, HER DOCTOR AND HER GOD.

SHANDOBIL: PETER UEBERROTH.

UEBERROTH: WELL, I WOULD NOT HAVE SIGNED IT. BUT I BELIEVE IN THE WOMAN'S RIGHT TO CHOOSE. I HAVE THREE DAUGHTERS. AND I WOULD NOT HAVE SIGNED IT.

SHANDOBIL: OKAY. WE'LL NOW TRY SOMETHING ELSE. OVER THE PAST SEVERAL WEEKS, HUNDREDS OF CALIFORNIANS HAVE E-MAILED US SUGGESTED QUESTIONS THEY WOULD LIKE TO ASK THE CANDIDATES. WE INVITED FIVE OF THOSE VOTERS TO BE HERE WITH US TODAY, AND THE FIRST QUESTION FROM THE E-MAILS AND THE PERSON IN THE AUDIENCE COMES FROM MR. LANG OF ALAMEDA, YOUR QUESTION IS FOR MR. CAMEJO. YOU WILL HAVE ONE MINUTE TO ANSWER. NO REBUTTAL TIME ON THESE ANSWERS, JUST AN ANSWER AND THAT IS IT.

AUDIENCE MEMBER: CALIFORNIA ELECTRICITY INDUSTRY IS AT A CROSS-ROAD OF DEREGULATION VERSUS REREGULATION. WHAT WILL YOU DO TO FIX THE BROKEN SYSTEM AND THE HIGH ELECTRICITY RATES.

CAMEJO: (UNINTELLIGIBLE) GREEN PARTY IS THE ONLY PARTY IN CALIFORNIA THAT ARE OPPOSED TO THE DEREGULATION OF ENERGY. THE DEMOCRATS AND REPUBLICANS VOTED UNANIMOUSLY, PROMISING TO LOWER INSTEAD IT INCREASED AS WE PREDICTED WOULD HAPPEN. I BELIEVE THAT WE ARE IN A COMPLETE CRISIS ON THE ISSUE OF ENERGY. WORLDWIDE. I WANT TO SEE CALIFORNIA BECOME THE LEADER FOR RENEWABLE ENERGY, THE ONLY REAL SOLUTION. WE ARE SETTING OURSELVES UP FOR FUTURE CRISIS BY DEFENDING ON NATURAL GAS WHOSE PRICES WILL GO THROUGH THE SEALING AS WE RUN OUT OF IT.

WE HAVE TO IMPORT IT. NO EFFORT IS BEING MADE TO SOLVE THIS. WE HAVE TO REGULATE THE INDUSTRY. THE QUESTION IS HOW TO DO IT TO DO IT RIGHT? THE WAY THAT WE HAVE BEEN DEREGULATING IS SIMPLY LEADING TO CORPORATIONS MANAGEMENT TAKING THE MONEY AND GOING INTO CRISIS AND YOU ALWAYS END UP PAYING FOR IT, AS TAXPAYERS AND CONSUMERS. WE NEED TO CHANGE IT AND HAVE A VISION.

SHANDOBIL: OKAY. OUR NEXT QUESTION IS FROM DANA, MARIN COUNTY. YOU HAVE A QUESTION FOR MR. UEBERROTH.

AUDIENCE MEMBER: YES, I DO. I'M A POET AND EDUCATOR HERE IN THE BAY AREA, RECENT BUDGET CUTS HAVE ALL BUT ELIMINATED THE CALIFORNIA ARTS COUNCIL, ARTS AND CORRECTIONS, CALIFORNIA POETS IN THE SCHOOLS AND COUNTLESS ART ORGANIZATIONS ACROSS THE STATE. WHAT ARE YOUR PLANS TO REMAINTAIN AND PROMOTE THE INNOVATIVE ARTS PROGRAMMING CALIFORNIA HAS BEEN FAMOUS FOR? WHAT IS YOUR POSITION ON PUBLIC FUNDING OF THE ARTS IN CALIFORNIA AT A LEVEL EQUAL TO THE NATIONAL AVERAGE OF $1.10 PER CAPITA.

UEBERROTH: FRANKLY, THERE IS NOT ENOUGH MONEY TO GO AROUND IN CALIFORNIA.

AND I WISH THAT I COULD WAVE A MAGIC WAND AND TELL EVERYONE THERE IS GOING TO BE PLENTY OF MONEY. THIS GOVERNMENT IN SACRAMENTO HAS SPENT ENORMOUS AMOUNTS. AND YOU HAVE NOT GOTTEN YOUR FAIR SHARE. THE TRUTH IS NOW THERE IS NO MORE ENORMOUS AMOUNT TO SPEND. WE HAVE TO GET THE ELECTED OFFICIALS, THE FIRST DAY I'M ELECTED GOVERNOR IN A ROOM, LOCK THE ROOM AND SAY TO THEM BALANCE THIS BUDGET, FAMILIES KNOW THEY HAVE TO TIGHTEN BELTS, COMPANIES KNOW THEY HAVE TO TIGHTEN THE BELTS, THE STATE HAS TO TIGHTEN THE BELT TO GET REAL. WE HAVE TO GET REAL.

AND THEN WE HAVE TO DO SOMETHING TO GET MONEY INTO THE SYSTEM. THE WAY YOU DO THAT IS TO HAVE MORE JOBS. AND PEOPLE ARE LOSING THEIR JOBS ACROSS THIS STATE, LOSING THE GOOD JOBS. AND IT TRICKLES RIGHT ON DOWN ALL THE WAY SO THAT EVERY JOB, IF WE BRING IN NEW JOBS AND TURN THE STATE AROUND, WHERE WE HAVE A SIGN SAYING WEE WELCOME EMPLOYERS HERE, THEN WE WILL START TO MOVE UP THE ECONOMY THROUGH THE STATE AND THEN WE CAN GET TO EVERYTHING WE WANT TO GET TO, ARTS AND ALL OF THE REST.

SHANDOBIL: OKAY. THE NEXT QUESTION IS A PERSON FROM OCEANSIDE CALIFORNIA, LEON, AND MR. PAGE, YOU HAVE A QUESTION FOR THE LIEUTENANT GOVERNOR.

AUDIENCE MEMBER: YES, I DO. MR. BUSTAMANTE, THIS IS A QUESTION ABOUT ILLEGAL IMMIGRATION. I BELIEVE YOU SUPPORT THE PROPOSAL TO ALLOW UNDOCUMENTED ALIENS TO RECEIVE DRIVERS LICENSES.

BUSTAMANTE: THAT'S CORRECT

AUDIENCE MEMBER: IS THERE ANY GOVERNMENT PROGRAM OR SERVICE THAT YOU BELIEVE UNDOCUMENTED ALIENS SHOULD NOT RECEIVE?

BUSTAMANTE: WELL, FIRST OF ALL, LET ME ADDRESS THE DRIVERS LICENSE, DRIVERS LICENSE FOR THOSE PEOPLE WHO ARE WORKING. BY DEFINITION, A FARMWORKER WORKS.

BY DEFINITION A HOTEL WORKER IS WORKING. WHAT WE ARE DOING IS THAT WE HAVE 70% OF ALL OF THE FOLKS WHO ARE IN AGRICULTURE COME FROM ACROSS THE BORDER. 30% OF CONSTRUCTION COMES FROM THOSE PEOPLE WHO ARE COMING ACROSS THE BORDER. WE HAVE A SUBSTANTIAL NUMBER OF PEOPLE WHO ARE HERE TODAY WHO ARE WORKING, AND TAKING CARE OF THEIR FAMILIES AND PROVIDING US THE BENEFIT OF THE LABOR. LABOR THAT YOU AND I DO NOT DO, IN FACT, WOULD NOT DO. I KNOW BECAUSE I CAME FROM THOSE AREAS AND THOSE FIELDS IN THE CENTRAL VALLEY. I'VE PICKED CON TO THE AND I'VE PICKED PEACHES AND DONE THE KIND OF HARD LABOR THAT HAS BEEN OUT THERE IN THOSE FIELDS. YOU KNOW WHAT? I'M GLAD THAT I'M OUT. THOSE PEOPLE WHO ARE DOING IT.

I RESPECT THEM FOR THE WORK THAT THEY DO. IF IT TAKES A DRIVERS LICENSE FOR THEM TO GET TO WORK, TO TAKE CARE OF THEIR FAMILIES, GET THEIR KIDS TO SCHOOL AND TAKE CARE OF THE SENIORS, LET THEM GO TO SOME KIND OF A DOCTORS APPOINTMENT, I'M FOR GIVING THEM A DRIVERS LICENSE.

SHANDOBIL: I DO NOT THINK THAT YOU DIRECTLY ANSWERED THE QUESTION, WHICH WAS ARE THERE ANY SERVICES THAT YOU WOULD DENY?

BUSTAMANTE: I WOULD SAY THAT THERE ARE A LOT OF SERVICES THAT ARE GIVEN TO CITIZENS THAT CLEARLY ARE NOT ELIGIBLE FOR THOSE WHO ARE HERE ILLEGALLY. BUT FOR THE BASIC NEEDS, FOR SOMEONE WHO GETS INJURED, I MEAN IN AGRICULTURE IT IS A VERY DANGEROUS JOB, IN CONSTRUCTION IT IS DANGEROUS, IF SOMEONE IS WORKING AND THEY ARE PROVIDING US THE OPPORTUNITY, THE FRUITS OF THEIR LABOR, AND THEY GET HURT, I THINK THEY SHOULD BE RECEIVING EMERGENCY MEDICAL CARE. I THINK THEY SHOULD BE ELIGIBLE TO HAVE THEIR CHILDREN GO AND GET A GOOD EDUCATION. THEY ARE HEAR, PAYING TAXES. EVERYTHING THAT WE'VE SEEN THEY PAY $1400 MORE A YEAR THAN THEY GET BACK ON ASSISTANCE.

SHANDOBIL: THANK YOU, LIEUTENANT GOVERNOR. THE NEXT QUESTION FOR ARIANNA HUFFINGTON, FROM A BERKELEY RESIDENT.

AUDIENCE MEMBER: DO YOU SUPPORT HIGHER PAY FOR TEACHERS? IF SO, IN WHAT FORM? WOULD IT BE FOR THE TEACHERS IN LOW PERFORMING SCHOOLS, MATH, SCIENCE TEACHERS, MERIT PAY, WHAT?

HUFFINGTON: I SUPPORT HIGHER PAY FOR TEACHERS, RATHER THAN PRISON GUARDS, WHICH IS WHAT WE HAVE AT THE MOMENT. AND I SUPPORT A GREATER AUTONOMY AMONG SCHOOL DISTRICTS. I'M A PASSIONATE BELIEVER IN CHARTER PUBLIC SCHOOLS. AS GOVERNOR, I WILL EQUALIZE FUNDING FOR PUPIL FUNDING FOR CHARTER SCHOOL AND MAKE IT POSSIBLE FOR EACH CHARTER SCHOOL TO GIVE MARRIED PAY AND TO ACTUALLY ENCOURAGE THE BEST TEACHING, THE BEST CREATIVE TEACHING. I'M OPPOSED ALSO TO THE SO-CALLED LEAVE NO CHILD BEHIND ACT THAT THE BUSH ADMINISTRATION HAS PUT FORWARD. WHICH IS ANOTHER UNFUNDED MANDATE FOR THE STATE OF CALIFORNIA, WHICH IS PUTTING THE EMPHASIS ON TESTING, TESTING, INSTEAD OF TEACHING. YES, ABSOLUTELY. I THINK THAT INSTEAD OF FIRING TEACHERS, AS THIS GOVERNOR DID, IN ORDER TO HAVE MORE MONEY TO REWARD HIS PRISON GUARD CONTRIBUTORS, I WILL PUT TEACHERS FIRST. I WILL PUT BOOKS, NOT BARS AS MY HIGHEST PRIORITY IF I'M ELECTED GOVERNOR.

SHANDOBIL: OKAY. WE NOW GO TO BILL FROM SACRAMENTO. AND YOU HAVE A QUESTION FOR STATE SENATOR MCCLINTOCK.

AUDIENCE MEMBER: SENATOR TOM MCCLINTOCK, AS YOU KNOW, THE VAST MAJORITY OF THE POPULATION OF CALIFORNIA LIVES NEAR THE COAST. PEOPLE COME FROM ALL OVER THE WORLD SEE OUR COAST. AS GOVERNOR, WOULD YOU WORK TO STRENGTHEN THE CALIFORNIA COASTAL COMMISSION, THE REGULATORY AGENCY, OR WOULD YOU WORK TO ABOLISH IT?

MCCLINTOCK: I WOULD WORK TO RESTORE THAT DECISION-MAKING TO THE LOCAL COMMUNITIES ALONG THE COAST. I'VE ALWAYS BELIEVED THAT LOCAL COMMUNITIES WILL BE FAR MORE JEALOUS GUARDIANS OF THEIR COASTLINE THAN SOME STATEWIDE COMMISSION FILLED WITH POLITICAL APPOINTEES. IF YOU WILL RECALL, ONE OF THE GREAT SCANDALS OF THE LAST DECADE INVOLVED THE COASTAL COMMISSION. AND INFLUENCED PEDALLING THAT WAS GOING ON IN THE NATHANSON SCANDAL. I WOULD LIKE TO RESTORE THE PROTECTION OF THE COASTLINES TO THE LOCAL COMMUNITIES RATHER THAN FROM A BUREAUCRATIC ORGAN OF STATE GOVERNMENT FILLED WITH POLITICAL APPOINTMENTS.

SHANDOBIL: OKAY. THANK YOU. WE WOULD LIKE TO THANK THE AUDIENCE MEMBERS COMING UP WITH THE QUESTIONS. WE WOULD ALSO LIKE TO TAKE A MOMENT TO THANK ALL OF THE OTHER VOTERS WHO SENT IN QUESTIONS. WE WISH WE HAD TIME TO INVITE EVERYONE ASKING A QUESTION TO ASK IT, IF IT MAKES YOU FEEL BETTER, WE'VE BORROWED IDEAS FOR THE PANEL, WE'LL RESUME WITH PANEL QUESTIONS RIGHT NOW.

AGAIN, THESE WILL BE FOR ONE-MINUTE ANSWERS, 30 SECOND REBUTTALS FROM THE CANDIDATES

THE FIRST QUESTION IS FOR SENATOR MCCLINTOCK. IF I'M NOT MISTAKEN, IT COMES FROM ME. YOU SAID THAT YOU WOULD LIKE TO REPEAL THE RECENT CAR TAX INCREASE. BUT DOING SO WOULD ADD ABOUT $4 BILLION TO THE ALREADY GAPING BUDGET HOLE. HOW WOULD YOU MAKE UP FOR THAT? SPECIFICALLY, WHAT GETS CUT SO THAT THE CAR TAX CAN GO BACK DOWN?

MCCLINTOCK: IT IS NOT HARD TO FIND WASTE IN A STATE BUDGET OF A STATE SPENDING AS MUCH AS CALIFORNIA AND PRODUCES AS LITTLE. SIMPLY RESTORING THE STATE GOVERNMENT THE SAME FREEDOM THAT EVERY FAMILY AND BUSINESS HAS TO SHOP AROUND FOR THE BEST SERVICE AT THE LOWEST PRICE, WE WOULD SAVE ABOUT $9 BILLION ACROSS ALL DEPARTMENTS ACCORDING TO THE RECENT FOUNDATIONS, THE RECENT STUDY OF FINANCES, STREAMLINING THE AGENCIES DUPLICATING FEDERAL FUNCTIONS, THERE IS ANOTHER $67 BILLION OF SAVINGS THERE. SIMPLY CONFORMING OUR WORKERS' COMPENSATION LAW TO ARIZONA'S, ONE OF THE FIRST THREE ACTS I WILL TAKE WITHIN MINUTES OF TAKING THE OATH OF OFFICE, WILL BE TO CALL A SPECIAL SESSION TO DO THAT, AND IT WOULD LIFT A BURDEN FROM THE JOB SECTOR, I WOULD ALSO DO $2.5 BILLION DOLLAR OF DIRECT SAVINGS. IF YOU LOOK AT PAT'S BROWNS LAST YEAR IN OFFICE WHEN THE STATE PROVIDED SERVICE, HE SPENT AN INFLATION-ADJUSTED DOLLAR LESS THAN HALF OF WHAT IS BEING SPENT RIGHT NOW TO DO ALL OF THAT.

SHANDOBIL: I ASSUME, WHEN YOU SAY THAT YOU WOULD GIVE CALIFORNIANS THE OPTION TO KIND OF FIND SERVICES ELSEWHERE, YOU ARE TALKING ABOUT PRIVATIZING SOME GOVERNMENT SERVICES.

MCCLINTOCK: RIGHT. CONTRACTING OUT SERVICES, THAT THE PRIVATE SECTOR CAN PROVIDE MORE EFFICIENTLY, CHEAPLY THAN THE STATE'S BUREAUCRACY.

SHANDOBIL: LAYING OFF STATE WORKERS, IS THAT WHAT YOU ARE TALKING ABOUT.

MCCLINTOCK: YES, IT DOES. YES, IT DOES. WE'VE ADDED 44,000 NEW STATE WORKERS TO THE PUBLIC STATE PERSONNEL ROLES IN THE LAST FOUR YEARS. WE CANNOT SUSTAIN THOSE KINDS OF EXPENSES. WE HAVE NOW A RECORD LEVEL OF STATE PUBLIC EMPLOYMENT AT THE SAME TIME WE'VE LOST NEARLY A THIRD OF A MILLION PRIVATE SECTOR JOBS IN 2.5 YEARS. THE PUBLIC SECTOR CANNOT CONTINUE TO GROW AT THE EXPENSE OF THE PRIVATE SECTOR.

SHANDOBIL: WE WILL GIVE THE CANDIDATES A CHANCE TO REPUTE. ARIANNA HUFFINGTON, DO YOU CARE TO RESPOND.

HUFFINGTON: YES. I TOO WOULD REPEAL THE CAR TAX. BUT I WOULD FIND THE ADDITIONAL REVENUE BY ENDING THE CONSTRUCTION OF THE PRISON PROJECTS, BY FREEZING PRISON GUARD SALARIES, BY HAVING A SEVERANCE TAX ON OIL AND HAVING HIGHER TAXES ON ALCOHOL AND TOBACCO.

SHANDOBIL: OKAY. CRUZ BUSTAMANTE, YOUR RESPONSE.

BUSTAMANTE: I THINK THAT TOM HAS A GOOD IDEA IN TERMS OF REPEALING. I THINK IT IS A UNFAIR BURDEN ON WORKING FAMILIES, BUT I WOULD GET RID OF IT BY RAISING ALCOHOL AND TOBACCO TAXES.

HUFFINGTON: NO, YOU WOULD NOT.

BUSTAMANTE: IF YOU SEE MY PLAN, YOU WILL SEE THAT I DID IT.

HUFFINGTON: YOU GOT QUITE A BIT OF MONEY FROM THE TOBACCO COMPANIES.

BUSTAMANTE: I ALSO SUED THEM, ARIANNA.

SHANDOBIL: IT IS ENTERTAINING, BUT IT IS NOT IN OUR FORMAT.

HUFFINGTON: LET'S BE MORE ENTERTAINING.

SHANDOBIL: NOW TO PETER UEBERROTH, YOUR CHANCE TO REBUT.

UEBERROTH: IT IS NOT A FUNNY SUBJECT. BASICALLY, YOU HAVE TO REPEAL THE TAX. IT IS A TAX, IT IS NOT A FEE. IT IS A GIMMICK THEY ARE TELLING CALIFORNIA DRIVERS THAT WE'RE -- IT IS REALLY NOT A TAX. IT IS A FEE. IT STILL COMES OUT OF YOUR PAY CHECK. THERE IS ENOUGH WASTE IN GOVERNMENT. PLENTY OF WASTE. E'VE BEEN ON A HUGE SPENDING BINGE. 36% INCREASED SPENDING OVER THE LAST THREE, THREE OR FOUR YEARS, TAKE THAT MONEY AND ELIMINATE THE WASTE. EVERYONE, EVERY VOTER, EVERYONE KNOWS THAT THE GOVERNMENT CANNOT DELIVER THE SERVICES. IT IS ALWAYS THE WAY THE PRIVATE SECTOR CAN. WE ELIMINATE THE WASTE. AND WE WOULD BE SURE THAT WE DO NOT -- WE QUIT PAYING THE TAXES.

SHANDOBIL: THAT IS TIME, I'M SORRY. PETER CAMEJO.

CAMEJO: OUR BUDGET HEAVILY GOES IT EDUCATION. WHEN THE REPUBLICANS TALK ABOUT CUTTING IT, THEY WILL CUT EDUCATION, THAT IS WHAT THEY ARE TALKING ABOUT. YOU NOTICE THEY NEVER MENTION A SPECIFIC THING ABOUT WHAT THEY WILL CUT. IF YOU ARE A SERIOUS CANDIDATE, SAY IT. DO I NOT WANT TO CUT FROM EDUCATION. I WANT TO PUT MORE MONEY INTO IT. I DO NOT WANT TO SEE IT PRIVATIZED. FREE PUBLIC EDUCATION WAS A GREAT VICTORY IN THIS NATION, IT IS PART OF OUR CULTURE AND TRADITION, IT MUST BE PROTECTED AND YOU CAN ONLY DO THAT WITH A FAIR TAX IN CALIFORNIA.

SHANDOBIL: OKAY. THE NEXT QUESTION, FOR THE NEXT QUESTION WE GO TO DAN, AND YOU HAVE A QUESTION FOR PETER UEBERROTH.

BORENSTEIN: MR. UEBERROTH, LET'S START WITH SOME OF WHAT I THINK YOU MIGHT SEE AS WASTE IN GOVERNMENT, IF YOU WILL. REDUCED MEDI-CAL FRAUD BY 1.5 BILLION, THAT IS WHAT YOU HAVE SAID. WHERE IS THAT FRAUD? HOW DO YOU DOCUMENT THAT? AND GIVEN CURRENT BUDGET CONSTRAINTS, ARE THERE ENOUGH STATE WORKERS WHO WOULD HAVE THE EXTRA TIME TO INVESTIGATE FRAUD? ALSO, MIGHT SOME TRULY NEEDY BE INADVERTENTLY THROWN OFF THE SYSTEM IN THE PROCESS?

UEBERROTH: WELL, BASICALLY THERE IS WASTE IN GOVERNMENT. AND THERE IS FRAUD IN GOVERNMENT. AND I DO NOT THINK ANYONE LISTENING TO THIS PROGRAM WOULD DISAGREE.

AND WE HAVE TO AGGRESSIVELY DO THAT, TEAR IT UP BY THE ROOTS. WORKERS COMP IS -- WE HAVE THE HIGHEST RATES --

BORENSTEIN: I'M SORRY, I THINK THAT MY QUESTION HAS TO DO WITH MEDI-CAL FRAUD.

UEBERROTH: FOR ME TO SIT HERE AND TAKE IT ONE AFTER ANOTHER AND AFTER ANOTHER OF THE FRAUD IN MEDI-CAL, IT WOULD NOT WORK. THERE IS ALL KINDS OF THINGS THAT I COULD SPEND NOT IN A ONE MINUTE SOUND BYTE. BUT FRANKLY WE ALL KNOW THERE IS FRAUD. THE 1.5 BILLION IS A VERY, VERY CONSERVATIVE ESTIMATE. MANY PEOPLE SAY IT IS A GREAT DEAL MORE. THE REAL, TRUE THING IS WE'VE GOT TO GET REVENUES INTO THE STATE. AND SPEND THEM EFFICIENTLY IF WE'RE GOING TO TAKE CARE OF PEOPLE.

BORENSTEIN: LET ME TRY THIS ONE MORE TIME, THE LAST PARTS OF MY QUESTION. HOW DO YOU DOCUMENT THAT? GIVEN CURRENT BUDGET CONSTRAINTS, ARE THERE ENOUGH STATE WORKERS WHO WOULD HAVE THE EXTRA TIME TO INVESTIGATE FRAUD? AND MIGHT SOME TRULY NEEDY BE INADVERTENTLY THROWN OUT OF THE SYSTEM IN THE PROCESS? I DID NOT HEAR AN ANSWER TO ANY OF THOSE THREE QUESTIONS.

UEBERROTH: I'M NOT GOVERNOR YET. WHEN I AM, I'M FIND THE RIGHT PEOPLE TO INVESTIGATE THE FRAUD. IF WE HAVE THEM IN THE STATE GOVERNMENT WHO ARE REALLY SINCERE ABOUT DOING THAT, I'LL FIND THEM. AND IF WE DON'T, I'LL HAVE TO BRING THEM IN AND REPLACE SOME OTHER PEOPLE THAT ARE NOT DOING THEIR JOB, NOT DOING THEIR JOB IN CALIFORNIA.

SHANDOBIL: THANK YOU MR. UEBERROTH. THE FIRST REBUTTAL TO SENATOR MCCLINTOCK.

MCCLINTOCK: I WOULD DEFEND THE NUMBERS OF PETER. I THINK THEY ARE LOW. THE NUMBERS I'VE SEEN I BELIEVE ARE 2.5 BILLION DOLLARS IN MEDI-CAL FRAUD AND ONE OF THE BIG PROBLEMS IS THERE IS A LACK OF INTEREST IN STOPPING IT. GOING TO THE UNEMPLOYMENT INSURANCE, THERE IS 100 MILLION DOLLARS OF FRAUD THAT THE STATE KNOWS ABOUT. IT COULD STOP IT SIMPLY BY VERIFYING EMPLOYMENT RECORDS. THEY'VE NOT DONE SO. I HAVE A BILL TO DO THAT. IT IS STUCK NOW, JUST KILLED IN THE STATE ASSEMBLY ON A PARTY LINE VOTE. PETER IS RIGHT, THE FRAUD IS RAMPANT AND NEEDS TO BE ADDRESSED.

SHANDOBIL: ARIANNA HUFFINGTON.

HUFFINGTON: EVERYONE IS AGAINST FRAUD. THE REAL DISGRACE THAT THE REPUBLICANS AND DEMOCRATS ARE DOING NOTHING ABOUT IS THE FACT THAT YOU HAVE OVER 6 MILLION UNINSURED IN THE STATE, AND WE HAVE CHILDREN THAT HAVE TO GO INTO EMERGENCY ROOMS JUST TO GET THE BASIC CARE. I MEAN, THAT IS A GREAT DISGRACE IN A GREAT STATE LIKE OURS. AND THAT WOULD BE MY HIGHEST PRIORITY, RATHER THAN SIMPLY ALL OF THIS PLATITUDES ABOUT FRAUD, THE ESTIMATES COMING OUT FROM RESEARCH FOUNDATIONS AND SUSPECT THINK TANKS.

SHANDOBIL: LIEUTENANT GOVERNOR.

BUSTAMANTE: THERE IS FRAUD, NO DOUBT ABOUT THAT. BUT I THINK THAT THE ISSUE IS GREATER THAN THAT. WE SHOULD MAKE SURE THAT IF WE HAVE A DEPARTMENT THAT WILL ROOT OUT FRAUD, YOU HAVE TO FIGURE OUT HOW TO BUILD IT UP. IF YOU ARE GOING TO MAKE SURE THAT YOU WILL DEAL WITH THE REAL PROBLEM THOUGH, YOU WILL HAVE TO SUPPORT A PROGRAM LIKE SV2 THAT WILL BE PROVIDING EMPLOYER -- EMPLOYEES, FIVE MILLION EMPLOYEES IN CALIFORNIA THE ABILITY TO GET REAL HEALTHCARE. THAT IS WHAT YOU'RE GOING TO HAVE TO DO. PROPOSE IT, MOVE IT, AND MAKE SURE IT GETS IMPLEMENTED.

SHANDOBIL: THE FINAL REBUTTAL TO THIS QUESTION TO PETER CAMEJO.

CAMEJO: YOU KNOW, FRAUD EXISTS, OF COURSE. WE HAVE TO LOOK AT IT. IN FACT, I BELIEVE THERE IS A LOT OF -- I'VE CALLED FOR AN AUDIT OF THE LAST FIVE YEARS TO TRY TO FIND OUT WHAT IN THE WORLD HAPPENED. HOW DID WE GET FROM HAVING THIS INCREDIBLE, UNUSUAL INCOME AND END UP WITH A MASSIVE DEFICIT. I POINTED OUT AT MY FIRST PRESS CONFERENCE AN EXAMPLE, OVER $6.4 MILLION GIVEN TO A CORPORATION SUPPOSEDLY FOR EDUCATION WHEN THERE IS NO EDUCATION. THERE IS PROGRAMS HAPPENING HERE WHERE THEY ARE GIVING AWAY MONEY TO CORPORATIONS, AND TO -- BASICALLY, YOU KNOW, WELFARE FOR THE RICH. WE HAVE TO STOP THAT WASTE.

SHANDOBIL: OKAY. THANK YOU. WE MOVE ON NOW TO THE NEXT QUESTION FOR PILLAR WHO HAS A QUESTION FOR PETER CAMEJO.

MARRERO: MR. CAMEJO, THE IMPLEMENTATION OF THE HIGH SCHOOL EXIT EXAM HAD TO BE POSTPONED FOR THREE YEARS BECAUSE OF THE DISPARITIES IN ACCESS TO GOOD EDUCATION WOULD HAVE MADE FOR A HIGH FAILING RATE FOR AFRICAN-AMERICAN AND LATINO STUDENTS. GIVEN THAT APPARENTLY RIGHT NOW THERE IS NO MONEY TO SOLVE THAT DISPARITY, WILL YOU GET RID OF THE REQUIREMENT UNTIL THE PLAYING FIELD IS MORE LEVEL?

CAMEJO: I THINK SO. I'M NERVOUS ABOUT THE MANIA WE HAVE NOW ON TESTING. THE PROBLEMS ARE OFTEN BLAMED ON THE TEACHERS. THE TEACHERS CANNOT SOLVE SOCIAL PROBLEMS THAT THE SOCIETY AS A HOLE HAS TO SOME OF. THEY ARE DOING THE BEST THAT THEY CAN. WE HAVE TO HAVE A HOLISTIC APPROACH TO JUDGING THE WORK THEY ARE DOING. WHERE I THINK THIS IS GOING, WITH ALL OF THE TESTING, IS TO SAY THAT PUBLIC EDUCATION IS NOT WORKING AND WE'LL PRIVATIZE. IT IS NOT THE FAULT OF THE TEACHER, THE CTA, THE TEACHER'S UNION HAS BEEN EXPLICIT, CLEAR ON THIS, COME FORWARD AND SAID THAT THE TESTING MANIA IS HURTING US IN THE WAY THAT THE TEACHERS HAVE TO TEACH AND THEIR JOB AND THEIR RESPONSIBILITIES. WE HAVE TO FIGHT THIS. THERE IS A HIDDEN AGENDA BEHIND THE MANIA FOR TESTING EVERYONE AND USE THAT GO AS A CRITERIA, INSTEAD OF A HOLISTIC CRITERIA. MARRERO: BUT HOW WOULD YOU MEASURE THAT THE STUDENTS ARE MOVING FORWARD AND REALLY GETTING A EDUCATION.

CAMEJO: I BELIEVE THAT THAT IS COMPLEX. I THINK THAT YOU HAVE TO LOOK AT A SCHOOL BY SCHOOL SITUATION. THE LANGUAGE ISSUES, ALL OF THESE DIFFERENT ISSUES NECESSARY FOR MAKING JUDGMENTS ON THE ADVANCE OF PEOPLE. WE ARE MAKING ADVANCES IN CALIFORNIA. AND BY THE WAY, EVEN THOUGH I'VE BEEN EXTREMELY CRITICAL OF GOVERNOR GRAY DAVIS, AS THOSE OF YOU HAVE HEARD ME KNOW, BUT HE DID PUT MORE MONEY INTO EDUCATION, YOU KNOW? WE ARE MAKING AN EFFORT. WE ARE MAKING HEADWAY. BUT WE STILL HAVE A LONG WAY TO GO. AND WE NEED TO IMPROVE GENTLEMEN INDICATION. BUT THE TESTING IS NOT THE WAY WE'RE REALLY GOING TO JUDGE IT IN THE END.

SHANDOBIL: WE'LL NOW MOVE ON TO THE REBUTTAL TO YOUR ANSWER AND THE FIRST ONE GOES TO PETER UEBERROTH.

UEBERROTH: WE HAVE SPEND A LOT MORE MONEY ON EDUCATION, A WHOLE LOT MORE. AND IT WILL RUN OUT. AND THE TEACHERS, WHAT I WOULD PROPOSE, YOU TAKE THE MONEY THAT IS IN WASTE AND BUREAUCRACY OF OTHER TEACHERS AND PUT IT IN THE CLASSROOM. THEN WHEN IT COMES TO THE TIME TO TEST, SPECIFIC TO YOUR QUESTION, REALLY TAKE A LOOK AT IT AND SAY THE ONLY THING I'M CONVINCED THAT I WANT TO SEE, I WANT TO SEE EVERYONE GRADUATE WITH PROFICIENCY IN ENGLISH TO GET A DECENT JOB, PAY TAXES AND THE STATE STARTS TO RECOVER.

SHANDOBIL: ARIANNA HUFFINGTON, YOUR CHANCE TO REBUT.

HUFFINGTON: ACTUALLY, I HAVE TO DISAGREE HERE WITH PETER CAMEJO'S PRAISING OF GOVERNOR GRAY DAVIS WHO IS THE GOVERNOR CONTINUING TO FIGHT A CLASS ACTION SUIT BROUGHT BY THE ACLU TO REPRESENT UNDERPRIVILEGED STUDENTS IN THE STATE. OUR GOVERNOR IS SPENDING $18 MILLION OF OUR MONEY FIGHTING THAT LAWSUIT.

SHANDOBIL: LIEUTENANT GOVERNOR, DO YOU HAVE A REBUTTAL.

BUSTAMANTE: WE ALREADY KNOW HOW TO TEACH ENGLISH AND HISTORY. WE KNOW HOW TO TEACH. THE TEACHERS OF THIS STATE KNOW HOW TO TEACH. WHAT WE NEED TO DO IS GET OUT OF THEIR WAY. THE MAGIC OF EDUCATION TAKES PRAISE IN THE CLASSROOM. THIS MULTI-BILLION DOLLAR ENTERPRISE WE CALL EDUCATION OUGHT TO BE MORE ABOUT WHAT GOES IN THE CLASSROOM AND LESS ABOUT WHAT TAKES PLACE OUTSIDE.

SHANDOBIL: I TAKE THAT TO MEAN THAT YOU DO NOT ADVOCATE THE TESTING?

BUSTAMANTE: IN TERMS OF TESTING, I THINK IT IS IMPORTANT THAT WE HAVE TESTING. BUT I ALSO THINK THAT THE TEACHERS NEED TO HAVE A LOT MORE SAY AS TO WHAT GOES ON IN THE CLASSROOMS. THE MAGIC OF EDUCATION, AGAIN, IS ABOUT A MOTIVATED TEACHER AND A MOTIVATED STUDENT WITH PROPER TEXTBOOKS AND INSTRUCTIONAL MATERIALS AND LESS ABOUT THE COMPLICATIONS THAT WE PUT. EVERYONE HAS SUCH A GREAT IDEA. EVERYONE HAS BEEN HAVING GREAT IDEAS OVER THE LAST SEVERAL YEARS.

THE KIDS IN THE SCHOOLROOMS TODAY DO NOT HAVE PROPER TEXTBOOKS.

SHANDOBIL: THANK YOU. SENATOR MCCLINTOCK.

MCCLINTOCK: I WOULD NOT POSTPONE THE EXAMS. YOUR POINT IS WELL TAKEN. WE PUT $270,000 ON AVERAGE INTO EVERY CLASSROOM IN THE STATE. I HAVE TWO KIDS IN THE PUBLIC SCHOOLS. I CAN TELL YOU FIRSTHAND ONLY A FRACTION OF IT GETS INTO THE CLASSROOM. FOR YEARS I PROPOSED CLASSROOM BASED BUDGETS WHERE THE BONE WOULD BE INJECTED INTO THE CLASSROOM AT THE SCHOOL LEVEL AND REQUIRE THE BUREAUCRACY TO JUSTIFY HOW MUCH THEY ARE TAKING OUT FOR THEIR SUPPORT AND THE DEMOCRATS KILLED IT IN THE LEGISLATURE, SAYING IT IS TOO MUCH TROUBLE, NOT TO WRITE THE CHECKS, JUST TOO MUCH TROUBLE TO ENSURE THE MONEY GETS INTO THE CLASSROOM TO EDUCATE THE KIDS.

SHANDOBIL: THE NEXT QUESTION IS FROM JOHN MYERS, DIRECTED TOWARD ARIANNA HUFFINGTON.

MYERS: MS. HUFFINGTON, ONE OF THE MOST SOLEMN JOBS OF A GOVERNOR IS HIS OR HERS INVOLVEMENT IN THE SENTENCE FOR DEATH. YOU'VE CALLED FOR A MORATORIUM ON CAPITAL PUNISHMENT BECAUSE OF A RACIAL DISPARITY IN THE PROCESS AND FACTUALLY INNOCENT PEOPLE SENTENCED TO DEATH. ARE YOU PHILOSOPHICALLY OPPOSED TO THE DEATH PENALTY OR ITS APPLICATION.

HUFFINGTON: I'M PHILOSOPHICALLY OPPOSED TO THE DEATH PENALTY AND VERY OPPOSED TO THE WAY IT HAS BEEN APPLIED IN CALIFORNIA AND ACROSS THE COUNTRY. AT A TIME WHEN NEW DNA TESTING HAS KNOWN THAT INNOCENT PEOPLE ARE BEING PUT TO DEATH BY GOVERNMENT, I ABSOLUTELY WOULD WANT A MORATORIUM. THE ONLY REASON WE DO NOT HAVE MORE ELECTED OFFICIALS ASKING FOR A MORATORIUM IS BECAUSE THEY ONLY FOLLOW THE POLLING RESULTS AND THEY ARE SPINELESS TO SPEAK THEIR OWN MINDS AND HEARTS.

THAT IS WE NEED INDEPENDENT DISCUSSION ON THE ISSUES OF DEATH PENALTY AND OTHERS IN THE STATE.

MYERS: YOU WOULD COMMUTE DEATH PENALTIES OUT THERE, IS THAT CORRECT, BY BEING PHILOSOPHICALLY OPPOSED.

HUFFINGTON: I WOULD HAVE TO CHANGE THE LAW. AS A GOVERNOR, I HAVE TO ENSURE THAT THE LAWS ARE BEING IMPOSED PROPERLY. BUT I WOULD ACTUALLY GO OUT THERE AND USE THE BULLET PULPIT TO CONVINCE THE PEOPLE OF CALIFORNIA OF WHAT IS RIGHT. THAT IS A POWER THAT THE GOVERNOR HAS, THE POWER OF THE PULPIT, TO CREATE A NEW CONSENSUS AROUND THE ISSUE AS HAS HAPPENED AROUND THE ISSUE OF THE MORATORIUM ALL AROUND THE COUNTRY.

SHANDOBIL: THANK YOU. FOR THE FIRST REBUTTAL WE GO TO THE LIEUTENANT GOVERNOR.

BUSTAMANTE: I SUPPORT THE DEATH PENALTY. BUT I WOULD GIVE EVERY PERSON WHO IS CONVICTED EVERY OPPORTUNITY TO TRY TO PROVE THEY'RE INNOCENCE.

SHANDOBIL: OKAY. SENATOR MCCLINTOCK.

MCCLINTOCK: I'M THE AUTHOR OF THE CURRENT LETHAL INJECTION DEATH PENALTY. I SUPPORT IT WHOLEHEARTEDLY. IT IS THE ADVENT OF DNA TESTING THAT SHOULD GIVE US GREATER CONFIDENCE IN THE LEGAL PROCESS. AND IT IS OF UTMOST IMPORTANCE TO THE SECURITY OF THE LAW ABIDING PEOPLE OF THIS STATE TO BE PROTECTED FROM VIOLENT PLED SORES THAT IS THE PRIMARY RESPONSIBILITY OF GOVERNMENT.

SHANDOBIL: PETER CAMEJO.

CAMEJO: IN ILLINOIS THEY FOUND ABOUT 15 INNOCENT PEOPLE ON DEATH ROW. I'M TOTALLY OPPOSED TO THE DEATH PENALTY AS ARE MOST ADVANCED INDUSTRIAL NATIONS IN THE WORLD, IF NOT ALL OF THEM, EXCEPT THE UNITED STATES. BUT I'M ALSO AGAINST THREE STRIKES WHERE WE PUT A PERSON IN JAIL FOR LIVE FOR STEALING $150 WORTH OF VIDEOS. WHEN OUR COURT RULED THAT THAT WAS UNJUST, GOVERNOR DAVIS APPEALED IT TO THE SUPREME COURT TO MAKE THEM REMAIN IN PRISON FOR LIFE FOR A MINOR CRIME.

THESE POLICIES WE HAVE ON THE DEATH PENALTY, ON THREE STRIKES ARE WRONG.

SHANDOBIL: OKAY. AND THE FINAL CHANCE TO REPUTE THAT QUESTION GOES TO MR. UEBERROTH.

UEBERROTH: I'M IN FAVOR OF THE DEATH PENALTY. AND I THINK WE HAVE TO USE ALL SCIENCE TO ENSURE WE DO NOT MAKE ANY MISTAKES. THAT IS NOT WHY I'M RUNNING FOR GOVERNOR. I'M RUNNING FOR GOVERNOR BECAUSE WE'RE IN TERRIBLE SHAPE, A CRISIS, AND THAT IS WHAT THE RECALL IS ABOUT. THE RECALL IS ABOUT A STATE OF CRISIS, TIGHTEN THE BELT AND GET NEW REVENUE SO WE CAN OPERATE. AND WE'LL DO ALL OF THE SOCIAL ISSUES WE WANT TO DO. RIGHT NOW WE WANT TO SEND OUR JOBS OUT, TALK TO PEOPLE IN THE STREET, TALK TO SMALL BUSINESS. THEY WILL BE NOT WANTING ME TO TALK ABOUT THE DEATH PENALTY. THEY WANT TO TALK ABOUT HOW TO PROTECT THEIR JOBS AND BUSINESSES.

SHANDOBIL: THAT WAS CALLED STAYING ON MESSAGE.

UEBERROTH: ABSOLUTELY.

SHANDOBIL: PILLAR, A QUESTION FOR THE LIEUTENANT GOVERNOR.

MARRERO: CRUZ BUSTAMANTE, BY NOW YOUR SLOGAN IS CLEAR, NO ON THE RECALL, YES ON CRUZ BUSTAMANTE BUT YOU HAVE DIFFERENT IDEAS THAT GOVERNOR GRAY DAVIS. NAME SPECIFIC ITEMS THAT YOU WOULD HAVE HANDLED DIFFERENTLY AS GOVERNOR OF CALIFORNIA THAN GRAY DAVIS DID?

BUSTAMANTE: THERE WAS A MOMENT IN THE ENERGY CRISIS, I BELIEVE, THAT WAS A PIVOTAL MOMENT. THE ENERGY COMPANIES WERE ACTING LIKE TERRORISTS. THEY WERE HOLDING US UP. AND THEY WERE BLACKMAILING US. AND THEY BASICALLY SAID THAT IF YOU DO NOT PAY US THIS MONEY, IF YOU DO NOT INCREASE OUR CONTRACTS, THEN WE'RE GOING TO TURN OFF THE LIGHTS. I THINK I WOULD HAVE CALLED THEIR BLUFF.

MARRERO: BUT YOU ARE THE LIEUTENANT GOVERNOR. WHY DIDN'T YOU SPEAK UP?

BUSTAMANTE: I DID. IN FACT, I SUED THE ENERGY COMPANIES. I WAS THE FIRST PERSON IN THE STATE OF CALIFORNIA ON A CLASS ACTION LAWSUIT. I SUED THE ENERGY COMPANIES. FIVE OF THEM, AS A MATTER OF FACT. AND AS A RESULT OF THE LAWSUIT, I'M PART OF A GROUP WHO GOT 1.8 BILLION DOLLARS BACK TO THE STATE OF CALIFORNIA.

AND WE'RE EXPECTING MORE SETTLEMENTS IN THE VERY NEW FUTURE.

SHANDOBIL: ANYTHING ELSE THAT YOU DISAGREE WITH THE GOVERNOR ON. HERE IS YOUR CHANCE. YOU'VE SAT QUIET ALL OF THESE YEARS.

BUSTAMANTE: MY COMPOSITION IS THESE FOLKS ON STAGE. THERE IS TWO PARTS TO THE RECALL QUESTION. THE GOVERNOR WILL MAKE HIS DECISION, MAKE THE KINDS OF STATEMENTS TO THE VOTERS, AND HE IS GOING TO HAVE TO TALK TO THEM DIRECTLY. THE SECOND PART OF THAT IS GOING TO BE ABOUT WHO SUCCEEDS HIM IN THE EVENT THAT THAT RECALL IS SUCCESSFUL. MY OPTION HERE IS TO DISTINGUISH MYSELF WITH MY IDEAS AGAINST THOSE FOLKS WHO ARE HERE, AND THE GUY WHO IS NOT.

SHANDOBIL: OKAY. WE'LL NOW GIVE THE FOLKS WHO ARE HERE A CHANCE TO DISTINGUISH THEMSELVES FROM YOU. FOR THE FIRST REBUTTAL, WE GO TO PETER CAMEJO.

CAMEJO: THE GOVERNOR APPOINT THE PEOPLE TO COMMISSIONS BASED ON WHO GAVE HIM MONEY. HE SELLS LEGISLATION. HE TOLD THE HEAD OF THE TEACHER'S UNION WHEN THEY ASKED FOR EDUCATION, GAVE ME $1 MILLION. WHILE ALL OF IT HAS HAPPENED, ALL OF CALIFORNIA WATCHED. ALL OF THE LEADERS OF THE DEMOCRAT PARTY REMAINED SILENT. AND MANY WERE SOUND ASLEEP. AND SO WAS THE ATTORNEY GENERAL. THERE IS SOMETHING REALLY DEEPLY WRONG THAT GRAY DAVIS EPITOMIZES WHAT IS WRONG WITH THE SYSTEM, WHERE DECISIONS ARE BASED ON MONEY. THE ENERGY DISASTER, HE GAVE THE PEOPLE COMING TO ROB US $43 BILLION.

SHANDOBIL: SIR, YOUR TIME IS UP. NOW TO MR. PETER UEBERROTH FOR REBUTTAL.

UEBEROTH: BASICALLY, I'M NOT GOING TO CRITICIZE AND I'M STICKING TO IT.

I WILL NOT CRITICIZE PEOPLE ON THE PANEL OR THE GOVERNOR. IT WILL NOT BE MY GAME. THE RECALL IS GOING TO PASS. AND BECAUSE THE CITIZENS ARE GOING TO MAKE IT PASS, BECAUSE THEY KNOW WHAT THE PROBLEMS ARE. AND SO NO CRITICISM OF THE GOVERNOR. THE SYSTEM, IN SACRAMENTO A LOT OF THESE PEOPLE HAVE BEEN UP THERE FOR 30, 40, 50 YEARS. WORKING. THE COMBINED SERVICE ON THIS PANEL. IT IS NOT WORKING. IT IS TIME TO FIX SACRAMENTO, TIGHTEN THE BUDGET AND GET NEW JOBS.

SHANDOBIL: THANK YOU, SIR. STATE SENATOR MCCLINTOCK, AGAIN IF YOU COULD REBUT THE QUESTION ASKED OF THE LIEUTENANT GOVERNOR.

MCCLINTOCK: I CANNOT BELIEVE THAT THE PEOPLE OF CALIFORNIA HAVING VOTED TO RECALL THIS GOVERNOR FOR POLICIES BANKRUPTING OUR STATE, DECIMATED OUR PUBLIC WORKS AND DEVASTATED OUR ECONOMY WILL THEN TURN AROUND AND ELECT ANOTHER CANDIDATE TO CARRY ON PRECISELY THOSE SAME POLICIES. THE REASON WE'RE ALL HERE IS BECAUSE OF POLICIES THAT THIS ADMINISTRATION HAS FOLLOWED, INCLUDING BUDGETS TAKES US FROM A $12 BILLION SURPLUS TO A $38 BILLION DEFICIT AND I HAVE TO POINT OUT THAT CRUZ BUSTAMANTE WAS SILENT ON THE BUDGET WHILE I LED OPPOSITION TO THEM IN THE LEGISLATURE.

SHANDOBIL: ARIANNA HUFFINGTON.

HUFFINGTON: CRUZ, I WONDER SOMETIME WHETHER YOU STAY AWAKE AT NIGHT WORRYING THAT YOU COULD SPOIL THE ONLY CHANCE THE PEOPLE OF CALIFORNIA HAVE TO ELECT A TRULY INDEPENDENT PROGRESSIVE GOVERNOR: MYSELF? YOU KNOW --

BUSTAMANTE: NO, I DON'T.

HUFFINGTON: CRUZ, PLEASE. CRUZ, DON'T BE --

BUSTAMANTE: AT LEAST NOT YOURS.

HUFFINGTON: I REPEAT --

UEBERROTH: IS THAT AN ENDORSEMENT

HUFFINGTON: DO NOT BE THE ASSASSINATOR OF 2003. THIS IS OUR CHANCE TO HAVE AN INDEPENDENTLY ELECTED GOVERNOR.

SHANDOBIL: OKAY. THANK YOU. WE'LL MOVE BACK TO THE TYPES OF QUESTIONS THAT HOPEFULLY WILL GET SHORT ANSWERS, WE'LL TRY GOING A COUPLE MORE ROUNDS OF THAT SO, AGAIN, IF YOU COULD LIMIT YOUR ANSWERS TO ABOUT 15 SECONDS, YOU WILL ALL GET THE SAME QUESTION. AND THE FIRST QUESTION IS FROM DAN.

BORENSTEIN: THE STATE LEGISLATURE IS CURRENTLY CONSIDERING A BILL ALLOWING ILLEGAL IMMIGRANTS TO OBTAIN DRIVERS LICENSES, WE DISCUSSED THIS BRIEFLY EARLIER WITH THE CITIZEN'S GROUP, I WOULD LIKE TO HEAR THE COMMENTS FROM ALL OF YOU. HE BILL PASSED THE ASSEMBLY YESTERDAY. THE GOVERNOR SAID THAT HE WOULD SIGN IT. DO YOU SUPPORT THE PROPOSAL?

SHANDOBIL: THE FIRST CHANCE TO ANSWER THAT GOES TO PETER UEBERROTH.

UEBERROTH: WELL, THE BILL, I UNDERSTAND, THE LAW ENFORCEMENT PART HAS BEEN SOFTENED A GREAT DEAL. I SUPPORT LAW ENFORCEMENT. I WOULD SIGN THE BILL, BECAUSE I HAVE TO TAKE A DRIVERS TEST. THE ILLEGAL IMMIGRANTS ARE IN THIS COMMUNITY. THEY ARE DOING SOME VERY GOOD THINGS, I AGREE WITH CRUZ ON THAT.

SO I WOULD SIGN THE BILL. AND I WOULD BE IN FAVOR OF IT.

SHANDOBIL: ARIANNA HUFFINGTON.

HUFFINGTON: I WOULD HAVE SIGNED THE BILL THE FIRST TIME IN WHEN THE GOVERNOR VETOED IT BECAUSE HIS BACK WAS NOT AGAINST THE WALL.

SHANDOBIL: TOM MCCLINTOCK.

MCCLINTOCK: I LED THE OPPOSITION TO THAT MEASURE ON THE SENATOR FLOOR THIS MORNING. I THINK IT IS A DANGEROUS MEASURE. THE ONLY PURPOSE OF IT IS TO PLACE VALID STATE IDENTIFICATION DOCUMENTS IN THE HANDS OF ILLEGAL IMMIGRANTS UNDERMINING ENFORCEMENT OF IMMIGRATION LAWS

SHANDOBIL: PETER.

CAMEJO: THE EUROPEANS CAME OVER HERE ILLEGALLY, THEY ARE 45% OF OUR POPULATION, I SAY WE LET THEM STAY AND GIVE THEM A DRIVERS LICENSE. THE PEOPLE WHO HAVE BEEN HERE 20,000 YEARS ON THIS CONTINENT, DESPERATELY NEEDED, NO ONE IS FOR THEM LEAVING, HOW CAN WE NOT GIVE THEM A DRIVERS LICENSE.

SHANDOBIL: THANK YOU. LIEUTENANT GOVERNOR.

BUSTAMANTE: I WOULD SIGN THE BILL. I WOULD SUPPORT THE EFFORTS. IN THE END, PEOPLE RECOGNIZE THAT MAKING SURE THAT PEOPLE WHO HOW TO DRIVE AND THAT THEY ARE AWARE OF THE LIVES WILL BE A PUBLIC SAFETY BENEFIT TO EVERYONE IN CALIFORNIA.

SHANDOBIL: OKAY. FOR THE NEXT QUESTION, WE GO TO JOHN MYERS. MYERS: THIS QUESTION IS JUST TO ASK YOU YOUR OPINIONS ON GUN CONTROL ISSUES, WHEN IT COMES TO OWNING A GUN IN GENERAL OR THE TYPE OF GUN THAT CAN BE OWNED, AS GOVERNOR, OR THE TYPE OF AMMUNITION BOUGHT, AS GOVERNOR, WOULD YOU SUPPORT MORE OR LESS RESTRICTIONS?

SHANDOBIL: SENATOR MCCLINTOCK.

MCCLINTOCK: LESS RESTRICTIONS. I BELIEVE THAT PEOPLE HAVE A FUNDAMENTAL NATURAL RIGHT TO DEFEND THEMSELVES AGAINST VIOLENT PREDATORS, THE RIGHT IS ENSHRINED IN THE SECOND AMENDMENT TO THE U.S. CONSTITUTION.

SHANDOBIL: PETER.

CAMEJO: I SUPPORT THE SECOND AMENDMENT TO THE CONSTITUTION BUT I AM FOR MORE RESTRICTIONS.

SHANDOBIL: PETER UEBERROTH.

UEBERROTH: I GO TO LAW ENFORCEMENT AND -- THEY ARE THE EXPERTS RIGHT NOW. I WOULD LEAVE IT LIKE IT IS AND NOT SUPPORT ANY CHANGES.

SHANDOBIL: CRUZ BUSTAMANTE.

BUSTAMANTE: I SUPPORT THE EXISTING LAWS. WE'VE BANNED ASSAULT WEAPONS. WE MADE SURE THAT WE HAVE TRIGGER LOCKS. I WOULD LOOK FOR BETTER WAYS OF BEING ABLE TO MAKE SURE THAT THE WEAPONS ARE SAFELY IN THE HANDS OF PEOPLE WHO SHOULD HAVE THEM AND I WOULD LOOK FOR WAYS OF BEING ABLE TO DO THAT, IF THERE WAS A WAY TO DO IT BETTER, I WOULD LOOK TO DO THAT.

SHANDOBIL: ARIANNA HUFFINGTON.

HUFFINGTON: I WOULD SUPPORT BOTH ADDITIONAL RESTRICTIONS, AND BETTER IMPLEMENTATION OF THE EXISTING LAWS.

SHANDOBIL: OKAY. WE'LL NOW MOVE ON TO A NEW QUESTION. IT IS FROM PILLAR

MARRERO: UNDER PROPOSITION 54 THAT WILL ALSO BE IN THE OCTOBER 7TH PAL LOT, STATE AND LOCAL GOVERNMENTS ARE PROHIBITED FROM COLLECTING MUCH OF THE RACE RELATED DATA THEY NOW GATHER NOT MANDATED BY FEDERAL LAW. DO YOU SUPPORT THE INITIATIVE?

SHANDOBIL: THE FIRST CHANCE TO ANSWER THAT QUESTION IS FROM MR. CAMEJO

CAMEJO: I'M ABSOLUTELY TOTALLY OPPOSED TO IT. IT IS A WORSHIP OF IGNORANCE, INSTEAD OF WANTING TO KNOW WHAT IS REALLY HAPPENING IN THE STATE, WE HAD A MOTION IN THE SENATE, THE ASSEMBLY TO INVESTIGATE WHETHER WE ARE HAVING RACIAL PROFILING. THE GOVERNOR VETOED IT. THAT IS THE SPIRIT OF THE BILL. WE HEARD HIM TO SAY TODAY HE IS AGAINST IT. I'M HAPPY TO HEAR THAT.

SHANDOBIL: LIEUTENANT GOVERNOR.

BUSTAMANTE: I THINK IS IMPORTANT THAT WE DO NOT HAVE RACIAL PROFILING. I KNOW THAT THE STATE OF CALIFORNIA IS TRACKING A PILOT PROGRAM THROUGH THE CALIFORNIA HIGHWAY PATROL. I WOULD LOVE TO SEE THE RESULTS OF THAT STUDY. IT IS IMPORTANT WE DO NOT HAVE PROFILING. WE SHOULD PROFILE ON WHAT PEOPLE DO, NOT THE WAY THEY LOOK.

SHANDOBIL: ARIANNA HUFFINGTON.

HUFFINGTON: I'M CAMPAIGNING AGAINST PROP 54 ALL AROUND THE STATE. IT IS BAD FOR HEALTHCARE, BAD FOR EDUCATION, BAD FOR PUBLIC POLICY. IT IS NOTHING MORE THAN RACIAL DISCRIMINATION WITHOUT A PAPER TRAIL.

SHANDOBIL: SENATOR MCCLINTOCK.

MCCLINTOCK: I STRONGLY SUPPORT PROPOSITION 54. I BELIEVE OUR GOVERNMENT SHOULD BE COLOR-BLIND. I DO NOT BELIEVE THAT A PERSON'S SKIN COLOR SHOULD DETERMINE HOW THEIR GOVERNMENT TREATS THEM.

SHANDOBIL: MR. UEBERROTH.

UEBERROTH: I WAS -- I GOT TO KNOW WARD CONNERLY CHAMPIONING THIS BILL WHEN I WAS ASKED TO IN THE LAST RECESSION, THE DEMOCRATS AND REPUBLICANS ASKED HE TO HELP ON THE RECOVERY, I WOULD LIKE TO TALK TO HIM AND UNDERSTAND WHAT HE IS DOING EXACTLY AND UNDERSTAND THE ISSUE BETTER. I'M THE NEOPHYTE HERE. AND I'LL HAVE TO FIND OUT MY DECISION AND HAVE IT BEFORE THE ELECTION.

BUSTAMANTE: JUST TO BE SURE, I OPPOSE PROP 54 TO ENSURE IT IS VERY, VERY CLEAR.

SHANDOBIL: I WAS GOING TO ASK YOU THAT. WE'LL MOVE ON TO ANOTHER ROUND OF QUESTIONS. AND THIS, THE FIRST ONE COMES FROM DAN.

BORENTSTEIN: SAME-SEX COUPLES IN CALIFORNIA WOULD RECEIVE MOST OF THE SAME LEGAL BENEFITS AS MARRIED COUPLES UNDER A BILL PASSED BY THE LEGISLATURE. GOVERNOR GRAY DAVIS HAS PLEDGED TO SIGN IT. THE BILL ALLOWS ONE PARTNER TO TAKE CUSTODY OF CHILDREN IF THE OTHER PARTNER DIES, GIVES PARTNERS THE RIGHT NOT TO BE FORCED TO TESTIFY AGAINST EACH OTHER IN COURT AND GIVES THEM THE SAME RIGHTS AT MARRIED COUPLES TO TRANSFER AND SHARE PROPERTY. WOULD YOU SIGN IT IF YOU WERE GOVERNOR?

SHANDOBIL: PETER UEBERROTH

UEBERROTH: AS YOU EXPLAIN IT, IN THE SHORT, SOUND BYTE FORM WHICH I DO NOT THINK THAT YOU CAN DO ANYTHING IN GOVERNMENT, I WOULD SIGN IT. BUT I'M NOT -- FOR MARRIAGES BETWEEN A MAN AND A WOMAN, THE SANCTITY OF MARRIAGE. I DO NOT BELIEVE THAT MARRIAGE IS FOR SAME-SEX COUPLES.

SHANDOBIL: MS. HUFFINGTON.

HUFFINGTON: I WOULD SIGN IT. I BELIEVE IN THE EQUAL PROTECTION CLAUSE OF THE CONSTITUTION.

SHANDOBIL: SENATOR MCCLINTOCK.

MCCLINTOCK: I WOULD VETO IT. I DO NOT CARE WHAT PEOPLE DO IN THE PRIVACY OF THEIR OWN HOMES. BUT I DRAW THE LINE WHEN THEY ASK THE GOVERNMENT TO APPROVE OR DISAPPROVE IT OF IT.

SHANDOBIL: PETER CAMEJO.

CAMEJO: EVERY FAMILY HAS GAYS AND LESBIANS IN IT. PART OF OUR FAMILY AND PART OF HUMANITY. THEY MUST HAVE EXACTLY EQUAL RIGHTS, WHICH INCLUDES MARRIAGE. NOT TOMORROW, BUT TODAY. LET'S END THIS. HOW MANY CENTURIES OF VICIOUSNESS DO WE HAVE TO ALLOW THIS? FULL AND EQUAL RIGHTS, INCLUDING MARRIAGE.

SHANDOBIL: TIME, SIR. LIEUTENANT GOVERNOR BUSTAMANTE.

BUSTAMANTE: I WOULD SUPPORT IT.

SHANDOBIL: OKAY. WE ARE NOW GOING TO MOVE ON TO ANOTHER QUESTION. THIS ONE IS FROM JOHN MYERS.

MYERS: IN 1996, CALIFORNIA VOTERS APPROVED PROPOSITION 215, LEGALIZING MEDICINAL MARIJUANA FOR THOSE SERIOUSLY ILL. NOW THE FEDERAL GOVERNMENT HAS CONTINUED TO CHALLENGE THE LAW, DOES NOT SEEM TO RECOGNIZE IT. DO YOU SUPPORT OR OPPOSE THE USE OF MEDICAL MARIJUANA AND WOULD YOU CONTINUE TO SUPPORT THAT PROPOSITION?

SHANDOBIL: THE FIRST CHANCE TO ANSWER THIS QUESTION TO SENATOR MCCLINTOCK.

MCCLINTOCK: THE PEOPLE OF CALIFORNIA SPOKE CLEARLY ON THAT SUBJECT. THE FEDERAL GOVERNMENT HAS NO RIGHT TO INTERVENE.

CAMEJO: I'M IN COMPLETE -- COMPLETELY IN SUPPORT. IN FACT, I THINK IT IS CRAZY WHAT WE DO IN THE UNITED STATES TO PROMOTE TOBACCO, THE MOST ADDICTIVE DRUG KILLING MILLIONS THROUGH THE WORLD AND CRIMINALIZE SOMETHING UNDOCUMENTED, COMPLETELY, YOU KNOW, NOT A ADDICTIVE DRUGS AND KILLS NO ONE.

UEBERROTH: WE MAY HAVE A UNANIMOUS DECISION HERE. IT IS ENTIRELY POSSIBLE. WHEN PEOPLE ARE SUFFERING, YOU GIVE THEM EVERYTHING THAT YOU CAN POSSIBLY DO TO TAKE AWAY THAT SUFFERING.

BUSTAMANTE: I SUPPORT THE VOTE OF THE PEOPLE. THEY CLEARLY WERE VERY, VERY CLEAR ABOUT THIS ISSUE AND I THINK PETER IS RIGHT. WHEN PEOPLE ARE SUFFERING, AND THAT IS THE OPEN THING THAT IS AVAILABLE, AS LONG AS IT IS PROPERLY DISTRIBUTED, I THINK IT IS THE RIGHT THING TO DO.

HUFFINGTON: I SUPPORT IT TOO. THE DIFFERENCE IS THAT I WOULD ACTUALLY FIGHT THE BUSH ADMINISTRATION'S EFFORTS, NOT JUST ON MEDICAL MARIJUANA, BUT ON OUR CLEAN AIR POLICIES, ON OUR OIL DRILLING POLICIES, TO TRY CONSTANTLY DESPITE THE PRETENSIONS THAT THEY LIKE STATE'S RIGHTS, TO TRY TO CIRCUMVENT THE WILL OF THE PEOPLEOF CALIFORNIA.

Morrero: DO YOU SUPPORT THE CURRENT LAW ALLOWING UNDOCUMENTED IMMIGRANTS WHO RESIDE HERE HAVING GRADUATED WITH A MINIMUM OF THREE YEARS OF HIGH SCHOOL IN THE STATE OF CALIFORNIA TO PAY THE SAME TUITION THAT OTHER RESIDENTS IN THE STATE PAY?

CAMEJO: YES, ABSOLUTELY. I THINK OF THE MILLIONS OF WORKERS THAT WE HAVE WHO LIVE TODAY UNDER AN APARTHEID SYSTEM. IT IS TOTALLY UNJUST AND WE HAVE TO END IT. NO ONE HERE SAYS THAT I WANT TO REMOVE THEM FROM THE STATE OF CALIFORNIA. IF THEY ARE GOING TO STAY HERE, THEY HAVE TO BE TREATED FULLY AS EVERYONE ELSE. THEY HAVE TO BE GIVEN FULL HUMAN RIGHTS.

BUSTAMANTE: YES, I DO.

SHANDOBIL: YOU DO GIVE SHORT ANSWERS. YOU ARE KEEPING ME ON MY TOES HERE.

HUFFINGTON: CAN I HAVE HIS EXTRA TIME.

SHANDOBIL: NO, YOU CANNOT.

BUSTAMANTE: PLEASE, PLEASE. COULD YOU GIVE HER THE EXCESS OF MY TIME.

HUFFINGTON: WHAT A GENTLEMAN.

SHANDOBIL: YOUR CHANCE, MS. HUFFINGTON.

HUFFINGTON: Yes, I WOULD SUPPORT IT. AND ALSO, AS MY FIRST ACT OF GOVERNOR, I WOULD ROLL BACK THE TUITION FEE HIKES FOR COMMUNITY COLLEGES, AND UNIVERSITIES THAT THE GOVERNOR WAS UNFORTUNATELY MISGUIDED ENOUGH TO SIGN INTO LAW.

MCCLINTOCK: NO, I DO NOT BELIEVE THAT INSTATE TUITION PRIVILEGES SHOULD BE GRANTED TO ILLEGAL IMMIGRANTS. ILLEGAL IMMIGRATION UNDERLIES THE PROCESS OF LEGAL IMMIGRATION, A STRENGTH OF THIS NATION.

UEBERROTH: I WOULD SUPPORT IT. I WOULD SUPPORT THE CHANCE FOR ANYONE IN THIS STATE THAT WE'VE ACCEPTED BECAUSE OF FEDERAL LAW, WE'VE ACCEPTED THESE PEOPLE INTO OUR STATE, AND WE OUGHT TO GIVE THEM THE FAIR CHANCE FOR EDUCATION. I WOULD TURN TO THE FEDERAL GOVERNMENT AND SAY, YOU ARE PROTECTING THE BORDERS, IT IS YOUR DECISION TO BRING 2 MILLION PEOPLE INTO OUR STATE.

YOU HAVE TO PAY FOR IT. BECAUSE WE COULD NOT HAVE ENOUGH MONEY, FOLKS, TO PAY FOR IT.

SHANDOBIL: BUT WE DO HAVE TIME FOR ONE MORE ROUND OF SHORT ANSWER QUESTIONS, AND DAN I HOPE YOU HAVE ONE READY.

BORENSTEIN: I DEFINITELY DO. THE FIRST SUMMER HE WAS IN OFFICE GOVERNOR GRAY DAVIS SIGNED A BILL REQUIRING OVERTIME FOR WORKERS ON THE JOB MORE THAN EIGHT HOURS A DAY. THE NEW LAW REVERSED THE DECISION BY GOVERNOR PETE WILSON TO REQUIRE EXTRA PAY ONLY AFTER 40 HOURS OF WORK IN A WEEK. DO YOU AGREE WITH DAVIS?

BUSTAMANTE: I SUPPORT THE PAYMENT OF OVERTIME PAY AFTER EIGHT HOURS A DAY. I ALSO SUPPORT MAKING SURE THAT WORKERS HAVE THE -- A DECENT PLACE TO WORK AND MAKING SURE THAT THEY HAVE PROPER BENEFITS AS WELL.

CAMEJO: THE LAST TEN YEARS, THE WEALTHIEST 5% HAVE GAINED 113% OF THEIR INCOME, THE AVERAGE PERSON HARDLY GAINED AT ALL, 8%, I'M FOR ANY LAW PROTECTING WORKING PEOPLE, THEIR FAIR SHARE, MEANING OVERTIME AFTER EIGHT HOURS.

MCCLINTOCK: NO, I VERY MUCH OPPOSE THAT MEASURE. IT WAS A TERRIBLE THING TO DO TO WORKERS, TAKING AWAY THEIR RIGHT TO -- FLEXIBLE RIGHT IN THEIR WORK SCHEDULES, TAKING AWAY THE RIGHT OF A MOM TO TAKE OFF A FRIDAY AFTERNOON AND WORK EXTRA HOURS ANOTHER DAY. IT WAS A BIG MISTAKE.

HUFFINGTON: I SUPPORT THE OVERTIME MEASURE. SEEING HOW MANY WAYS THAT CORPORATIONS HAVE TO TRY TO DEFRAUD THE WORKERS, ANY PROTECTIONS I WOULD WELCOME.

UEBERROTH: I OPPOSE IT. IT DRIVES OUT JOBS AND PLUS I HAVE MY OWN WORKERS, I'M A SMALL BUSINESSPERSON, HAVING GROWN UP IN NORTHERN CALIFORNIA AND PUBLIC SCHOOLS, AND I HAVE BUSINESSES HERE. AND WOMEN ESPECIALLY COME TO ME AND SAY THAT I WOULD LIKE TO WORK THREE DAYS, THAT IS THE ONLY TIME THAT I CAN GET A BABY-SITTER, I WANT TO WORK OVERTIME AND GET MY 40 HOURS IN, IT RESTRICTS IT, NOT FAIR TO THE WORKER, NOT FAIR, IT DRIVES JOBS OUT, LESS MONEY IN THE STATE AND IT IS NOT SMART.

SHANDOBIL: I THINK, IF SOMEONE CAN CONFIRM IN MY EAR, WE'RE NOW SUPPOSED TO MOVE TO CLOSING ARGUMENTS, CLOSING STATEMENTS, EXCUSE ME. WE CHOSE THE ORDER BY LOTTERY. AND THE FIRST CHANCE TO ISSUE THEIR CLOSING STATEMENT GOES UP TO SENATOR MCCLINTOCK.

MCCLINTOCK: AS I SAID EARLIER, THE REASON THAT WE'RE ALL HERE IS BECAUSE I THINK THAT MOST PEOPLE IN CALIFORNIA HAVE COME TO THE CONCLUSION THAT WE COULD NOT CONTINUE ANOTHER THREE YEARS DOWN THIS ROAD WITH THE POLICIES THAT HAVE BANKRUPTED OUR STATE AND DECIMATED OUR PUBLIC WORKS.

THIS IS THE OPPORTUNITY OF OUR GENERATION, THIS HISTORIC TURNING POINT, TO ROLL BACK THE TAXES, THE REGULATIONS DESTROYING OUR ECONOMY, AND TO REIGN IN OUR OUT-OF-CONTROL BUREAUCRACIES, RESTORE OUR CRUMBLING PUBLIC WORKS.

WE HAVE TO HAVE A GOVERNOR THAT KNOWS EVERY INCH OF THE STATE BUREAUCRACY AND WHO IS READY AND WILLING TO CHALLENGE AND CONFRONT THE SPENDING LOBBY CONTROLLING OUR GOVERNMENT.

I BELIEVE THAT THE HOUR HAS COME. THIS IS OUR GENERATION'S OPPORTUNITY. TO RESTORE TO OUR CHILDREN THE GOLDEN STATE THAT OUR PARENTS GAVE TO US.

MY FOLKS CAME HERE IN 1965 LOOKING FOR A BETTER FUTURE FOR THEIR KIDS. THEY FOUND IT IN THIS STATE. ABUNDANT, AFFORDABLE HOUSING. CHEAP ELECTRICITY, PLENTIFUL JOBS, LOW TAXES.

THAT STATE TODAY IS GONE. AND I BELIEVE THAT THE SIMPLE FACT OF THE MATTER IS IT IS NOT BECAUSE OF SOME ACT OF GOD STRIKING DOWN OUR STATE. IT IS BECAUSE OF A LOT OF VERY STUPID ACTS OF GOVERNMENT. WE HAVE THE OPPORTUNITY AND THE RESPONSIBILITY AS A GENERATION TO CHANGE THAT IN 34 DAYS.

AND I WOULD LIKE TO LEAD THE STATE IN THE NEW DIRECTION BACK TO THE GOLDEN STATE THAT MY PARENTS FOUND HERE, WHEN THEY CAME IN 1965. I'VE GOT KIDS ABOUT THE SAME AGE NOW AS MY SISTER AND I WERE WHEN WE CAME OUT HERE.

I WONDER WHAT KIND OF STATE ARE WE GOING TO LEAVE TO THEM IF WE CONTINUE DOWN THIS ROAD.

UEBERROTH: LET ME EXPLAIN WHAT I AM AND WHAT I'M NOT. I'M NOT A POLITICIAN. I'M NOT GOOD ON TV. I DO NOT TALK IN SOUND BYTES. BUT WHAT I AM, I'M A LEADER. I'M A PROBLEM-SOLVER. I'M A BUSINESSMAN.

AND I'VE SEEN CALIFORNIA IN ITS VERY BEST DAYS, TIMES WITH THE OLYMPIC GAMES WHEN PEOPLE CAME TOGETHER, CALIFORNIANS, DEMOCRATS, REPUBLICANS, LEADERS IN THE WHITE HOUSE, RONALD REAGAN, LEADER IN DEMOCRAT TOM BRADLEY.

AND WE WERE ABLE TO CONFOUND PEOPLE, THE DOOM-SAYERS WHO SAID CALIFORNIA COULDN'T DO IT, AND WE DELIVERED A OLYMPIC GAMES.

I WAS IN THE RIOTS. I SAW REPUBLICANS AND DEMOCRATS COME TOGETHER AND DO SOMETHING. THAT IS WHAT I'M ALL ABOUT.

I'M ABOUT LOCKING UP THE DEMOCRATS AND THE REPUBLICANS, THE FIRST DAY, EMERGENCY SESSION. LOCK THEM UP. KEEP THEM THERE UNTIL WE HAVE A BUDGET THAT WORKS AND IT IS NOT GOING TO BE PRETTY.

I'M NOT GOING TO RUN FOR OFFICE AGAIN. I WILL NOT BE OUT THERE COMPETING REPUBLICAN AGAINST DEMOCRAT AT COCKTAIL PARTIES AT NIGHT RAISING FUNDS, I WILL STAY WITH THEM UNTIL WE GET IT DONE.

THAT IS WHAT I DO. WHEN I GET IT DONE, THE ONLY OTHER THING I WILL ASK THEM TO DO IS ONE THING: THEY HAVE TO QUIT BEING -- WE ARE 49TH IN TERMS OF JOB FRIENDLINESS, 49TH. WE CANNOT BE.

OUR NEIGHBORS ARE PREYING ON US. IT IS ARIZONA, NEVADA, OREGON, TEXAS AND FLORIDA. THEY ARE PREYING ON US, TAKING OUR JOBS OUT. THE PEOPLE IN CALIFORNIA KNOW THAT. WE HAVE TO THEN -- WE HAVE TO PASS LEGISLATION THAT SAYS THAT WE HAVE TO TURN CALIFORNIA AROUND AND BECOME JOHN FRIENDLY, PUT A STAKE IN THE GROUND, PUT A SIGN UP THERE THAT SAYS, NOW, NO LONGER ARE WE THROWING JOBS OUT OF THE STATE OR ENCOURAGING PEOPLE TO MOVE OUT. WE'RE JOB FRIENDLY. ALL THE PACIFIC RIM COUNTRIES, ALL OF THE REST OF THE STATES.

WE HAVE TO COMPETE. THIS IS THE BEST PLACE TO LIVE, THE BEST PEOPLE AND WORKFORCE. WE NEED TO HAVE THE JOBS, HIGH-PAYING JOBS. JOBS PAY FOR GOVERNMENT, THAT IS HOW WE SOLVE THE SOCIAL PROBLEMS AND WE HAVE TO DO IT NOW.

CAMEJO: AS THE GREEN PARTY CANDIDATE FOR GOVERNOR, I WANT TO BALANCE THE BUDGET. BY TAKING THE PEOPLE THAT ARE PAYING THE LOWEST TAX RATE, THE RICHEST 5% AND HAVE THEM PAY THE SAME TAXES YOU ARE, THAT WOULD BALANCE THE BUDGET. IF WE CLOSED THE TAX LOOPHOLES FOR CORPORATIONS, GET RID OF THE WASTE, WE COULD HAVE A SURPLUS AND START TO STIMULATE THE ECONOMY.

DO YOU KNOW THAT WE CAN RAISE TAXES

WE ARE 36TH IN THE NATION IN PROPERTY TAXES. WE ARE 19TH IN TAXES. THE REPUBLICANS TALK ABOUT PEOPLE LEAVING, WHERE WILL THEY GO, ARIZONA, UTAH, WYOMING, REPUBLICAN-RUN STATES WITH HIGHER TAXES THAN WE DO.

WE NEED TO CREATE THE BALANCED BUDGET THROUGH A FAIR TAX, THEN WE CAN TAKE THE MONEY, CREATE AFFORDABLE HOUSING WHICH WE DESPERATELY NEED.

I WANT TO SEE CALIFORNIA BECOME THE WORLD LEADER IN RENEWABLE ENERGY. WE SHOULD BECOME LEADERS IN RENEWABLE ENERGY. THAT IS THE FUTURE. THAT IS THE NEXT WAVE THAT IS NEEDED.

THE GREEN PARTY FAVORS A LIVING WAGE FOR ALL AND UNIVERSAL HEALTHCARE AND WE ARE FOR FULL EQUALITY IN CALIFORNIA, MEANING MARRIAGE AND DRIVERS LICENSES FOR ALL, AS WE'VE SAID. AND WE ARE CONCERNED ABOUT SAVING THE LAST 4% OF OUR ANCIENT FORESTS WHICH SOON WE MAY LOSE IF THINGS CONTINUE THE WAY THEY ARE.

WE WANT TO OPEN UP THE ELECTORAL SYSTEM. LOOK AT THE DEBATE TODAY. DO YOU WANT TO GO BACK TO THE DAY WHEN THERE ARE ONLY TWO PEOPLE HEARD.

IF A PERSON GETS 20% OF THE VOTE, THEY SHOULD GET 20% OF THE ASSEMBLY, THE WAY IT IS ALL OVER THE WORLD, EXCEPT IN AMERICA. WE HAVE A 200-YEAR DYSFUNCTIONAL, MONEY-DOMINATED, WINNER-TAKE-ALL SYSTEM.

WE NEED TO HAVE RUNOFFS AND INSTANT RUNOFF VOTING, A SYSTEM USED THROUGHOUT THE WORLD, SO THAT THE WILL OF THE ELECTORATE IS RESPECTED. THE RECALL ELECTION IS THE PERFECT EXAMPLE.

WE NEED TO OPEN UP THE ELECTORAL SYSTEM, GIVE PEOPLE CHOICES, HAVE MORE THAN TWO PARTIES, BRING THE PEOPLE BACK TO POWER. IF YOU REALLY WANT TO CHANGE THE RULE OF MONEY OVER OUR POLITICAL SYSTEM IN OUR OWE SIGHT AND WANT TO PUT IT BACK INTO THE HANDS OF PEOPLE, VOTE FOR THE GREEN PARTY, VOTE CAMEJO FOR GOVERNOR.

HUFFINGTON: I'M NOT A CONVENTIONAL POLITICIAN BUT THESE ARE NOT CONVENTIONAL TIMES. I WILL ALWAYS TELL YOU THE TRUTH, RATHER THAN WHAT THE POLLSTERS TELL ME WE WANT TO HEAR.

WE WILL NEVER BE ABLE TO CLEAN UP THE MESS IF WE KEEP ELECTING THE SAME POLITICIANS, FUNDED BY THE SAME SPECIAL INTERESTS, WHO GOT US INTO THIS MESS IN THE FIRST PLACE. THIS IS NOT A QUESTION OF LIGHT OR LEFT. THIS IS A QUESTION OF RIGHT OR WRONG. AND IT IS NOT ENOUGH TO CHANGE GOVERNORS, WE HAVE TO CHANGE THE WAY WE GOVERN. THE PEOPLE OF CALIFORNIA DO NOT REALLY WANT A RECALL. THEY WANT A REVOLUTION. AND I PROMISE THAT I CAN BE THAT INDEPENDENT LEADER WHO WILL MAKE THIS HAPPEN.

I WILL MAKE THE PRIORITIES OF OUR STATE THE PRIORITIES OF A MOTHER. A GOOD SCHOOL. HEALTHCARE. A CLEAN AND SAFE WORLD TO LIVE IN. I WILL BALANCE THE BUDGET BY MAKING CORPORATIONS AND GAMING INTERESTS PAY THEIR FAIR SHARE OF TAXES AND ULTIMATELY, THE TRUTH IS, THAT THE FIRST AMERICAN REVOLUTION TOOK PLACE ON THE EAST COAST. AND IT WAS ABOUT FREEING OURSELVES FROM AN OPPRESSIVE KING. THE NEXT AMERICAN REVOLUTION IS TAKING PLACE RIGHT HERE, RIGHT NOW. AND IT IS ABOUT FREEING OURSELVES FROM OPPRESSIVE SPECIAL INTERESTS.

JOIN ME. AND,TOGETHER, WE CAN REALLY TAKE BACK OUR STATE AND TOGETHER WE CAN REBUILD IT. THANK YOU.

BUSTAMANTE: THE VOTERS OF THIS STATE, TWICE, HAVE VOTED FOR ME TO BE THE PERSON TO TAKE THE PLACE OF THE GOVERNOR IN THE EVENT HE WAS UNABLE TO CONTINUE. TWICE, OVER 5 MILLION PEOPLE SUPPORTED MY EFFORT.

BUT THAT IS NOT ENOUGH. PEOPLE WANT TO KNOW WHAT HAVE YOU GOT TO SAY, AND WHAT ARE YOU GOING TO DO ON OUR BEHALF? THE FIRST THING THEY ARE GOING TO WANT TO KNOW IS WHAT HAVE YOU DONE.

I'VE PRESIDED OVER A LEGISLATURE REFORMING WELFARE IN CALIFORNIA, AND WE CUT COLLEGE TUITION BY 5%. WE ADDED 600,000 CHILDREN TO THE HEALTHCARE SYSTEM OF CALIFORNIA. AND THEN, AS LIEUTENANT GOVERNOR, I HAVE BEEN TRAINING TO MAKE SURE THAT I'M GOING TO BE PREPARED IN THE EVENT THAT THE GOVERNOR WAS NOT ABLE TO MOVE.

AND THE ONLY WAY TO DEMONSTRATE THAT IS THROUGH THE KIND OF IDEAS THAT I'M PRESENTING. SO AT THE VERY FIRST TIME THAT THE ANNOUNCEMENT TOOK PLACE ON MY CANDIDACY I SAID NOT JUST A CONCEPT ABOUT HOW TO GET RID OF THE CAR TAX, I GAVE A CLEAR, DECISIVE PLAN ON HOW TO DO THAT.

THE SECOND WEEK I PRESENTED ANOTHER PLAN, TO TAKE CARE OF THE STATE BUDGET PROBLEMS WE HAVE HERE IN CALIFORNIA. THE ONLY CANDIDATE SO FAR TO DO THAT. I TOOK AWAY, AND I CUT THE CAR TAX. I RESTORED EDUCATION FUNDING, AND I TOOK CARE OF THE BUDGET HOLE.

THE THIRD WEEK, I CAME OUT AND I SAID THAT THE GASOLINE COMPANIES, THE OIL COMPANIES, ARE HAVING AN UNFAIR ADVANTAGE. THEY ARE DOING EXACTLY THE SAME THING THAT THE ENERGY COMPANIES WERE DOING TO US JUST A FEW YEARS AGO.

INTERESTING, SIX COMPANIES, JUST LIKE DURING THE ENERGY CRISIS HERE IN CALIFORNIA, SIX COMPANIES HAVE 90% OF THE MARKET SHARE HERE IN CALIFORNIA.

THE PEOPLE IN CONTRA COSTA HAVE THE REFINERIES RIGHT HERE PROVIDING PLENTY OF FUEL, AND THEY ARE SENDING THAT FUEL TO NEVADA. AND YET PEOPLE FROM NEVADA PAY MORE THAN THE PEOPLE IN WALNUT CREEK. THAT DOES NOT MAKE ANY SENSE AT ALL.

IT DOES NOT MAKE ANY SENSE. THE PEOPLE IN NEVADA, THEY ARE PAYING MORE THAN THE PEOPLE HERE. I'M SORRY. I'VE SAID THAT TWICE. AGAIN. I'M SO EXCITED.

THE FACT IS THAT CALIFORNIANS ARE BEING GOUGED, THE CALIFORNIANS ARE GOUGED. AND THE HIGHEST PROFIT MARGINS IN THE COUNTRY ARE TAKING PLACE RIGHT HERE IN CALIFORNIA, EVEN HIGH-TAX STATES LIKE NEW YORK CITY, THOSE FOLKS PAY LESS IN GASOLINE THAN HERE.

THE PEOPLE IN NEVADA ARE PAYING LESS THAN WE DO IN CALIFORNIA, FOR THAT WE SHOULD MAKE SURE THAT THE OIL COMPANIES WE COME UP AND WE ENSURE THEY ARE NOT GOUGING US.

SHANDOBIL: THANK YOU TO ALL. AND THANK YOU TO GOVERNOR DAVIS, WHO WAS WITH US FOR THE FIRST HALF-HOUR OF THE BROADCAST.


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