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Arnold announces shultz economic recovery

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   http://www.boston.com/news/nation/articles/2003/08/15/schwarzenegger_secures_another_big_name_for_his_campaign_group

http://www.boston.com/news/nation/articles/2003/08/15/schwarzenegger_secures_another_big_name_for_his_campaign_group

Schwarzenegger secures another big name for his campaign group
Ex-Secretary of State Schultz to lead council
By Erica Werner, Associated Press, 8/15/2003

LOS ANGELES -- Arnold Schwarzenegger announced yesterday that former US secretary of state George P. Shultz will be cochairman of an economic recovery council for his California gubernatorial campaign.

It was the second major announcement in two days for the actor. On Wednesday, billionaire investor Warren Buffett was announced as a financial adviser for the campaign.

Buffett and Shultz will be cochairmen of the economic council. The appointments of Buffett, a Democrat, and Shultz, a Republican, reflect the campaign's attempt to assemble a diverse and bipartisan team.

The campaign will soon have an economic summit, Schwarzenegger told reporters in brief remarks on his way into a San Fernando Valley middle school, where he attended a commencement ceremony for an after-school program with which he has been involved.

It was Schwarzenegger's first exchange with reporters since he filed candidacy papers Saturday, and his first public appearance since attending a summer school program in New York on Monday.

"I'm a very astute businessman. I know exactly what I'm doing," Schwarzenegger said of his qualifications. He cited his involvement with Proposition 49, the after-school programs ballot initiative he successfully championed last year.

He also responded to comments earlier in the day by Arianna Huffington, one of his 134 opponents to replace Democratic Governor Gray Davis if he is removed in the Oct. 7 recall election.

With President Bush arriving in California for a two-day visit, Huffington branded Schwarzenegger a "Bush Republican through and through."

"It doesn't matter what Arianna or anybody says," Schwarzenegger said.

Huffington also criticized Schwarzenegger for meeting with former Enron Chairman Ken Lay in May 2001 in Beverly Hills. The Los Angeles Times reported at the time that Lay gave Schwarzenegger and other business and political leaders, including then-Los Angeles Mayor Richard Riordan, a four-page plan detailing his solution to California's energy crisis.

"I don't remember the meeting," Schwarzenegger said.

"Do I remember all the meetings that I had in the last decade? "Well, you know that I'm not responding to any of those things because I would be crazy if I would," he said. "To me the most important thing is that we move forward in a positive way. My campaign is a positive campaign that will bring the economy back, reduce the budget, and teach the politicians in Sacramento that we cannot go and spend money that we don't have."

After the exchange, he went inside Mulholland Middle School, where he sat for about 25 minutes with students and parents, watching the commencement ceremony.

Huffington faced questions of her own over a report in the Los Angeles Times that she paid no state income taxes over the past two years and only $771 in federal taxes.

Huffington lives in a $7 million home in Brentwood and has railed against special interests that have helped "corporate fat cats get away with not paying their fair share of taxes."

She said the tax returns reflect a period when her fluctuating income from writing was low and her expenses were high.

With 135 candidates, groups organizing debates for the state's unprecedented recall election worked yesterday to put together forums that won't break the stage.

A statewide broadcasters group announced plans to limit its Sept. 17 debate in Sacramento to the six front-runners among the mass of candidates. Meanwhile, a coalition of civil rights groups and minority businesses and media scheduled a two-hour debate among leading contenders Sept. 9 in Los Angeles.

The debates were announced a day after the secretary of state's office confirmed that 135 of the 247 people who filed papers for the recall election qualified for the Oct. 7 ballot.

Davis is not among the candidates on the one-of-a-kind ballot; voters will decide separately whether he should be removed from office. Davis will not participate in either debate announced yesterday; a spokesman said he has not committed to any of dozens of debate proposals he has received.

The limited candidate list for the debates could anger some of the dozens of lesser-known candidates -- ranging from a retired meat packer to a middleweight sumo wrestler -- who won't get the opportunity to address voters.

Comedian Jay Leno was more democratic, inviting all the candidates to appear in the audience of "The Tonight Show" next month. Schwarzenegger announced his candidacy on the NBC show last week.

© Copyright 2003 Globe Newspaper Company.



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