Gov. Schwarzenegger's speech won't include policy agenda

"I mean, if you call a taxi and the taxi doesn't show up, you don't have to pay the driver," he said.

He then tried to lighten the mood: "I thought that this line would get a great applause in this hall, but I understand why not."

Schwarzenegger, who has immense personal wealth, does not take a salary or expenses. State Sen. Dean Florez (D-Shafter) said the governor ought to make a sacrifice by giving up his frequent jet flights between the Capitol and his home in Los Angeles.

"It's really the luxury of the super-wealthy to ask others to give up their pay," Florez said in a statement.

Assembly Speaker Karen Bass (D-Los Angeles) quipped, "Maybe he would be willing to share his royalties."

Schwarzenegger, who characterized ongoing talks as "good-faith negotiations," is advocating a combination of tax increases, spending cuts and legislation that he says will jump-start public building projects by exempting some from environmental review and allowing private-sector companies to enter construction deals with government agencies.

Democrats are seeking tax increases as well, but fewer spending cuts. Republican lawmakers would only pare spending and have been blocking any tax hikes.

In urging lawmakers to bridge their differences, the governor suggested they follow the example of California firefighters who battled more than 2,000 wildfires last year and even died putting the blazes out. He said it would take courage -- "political courage" -- to make unpopular but necessary decisions.

"Now of course no one wants to take money from our gang-fighting programs or from Medi-Cal or from education," the governor said. "No one wants to pay more taxes or fees. But each of us has to give up something."

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michael.rothfeld@latimes.com

Times staff writer Eric Bailey contributed to this report.