From Wages to Canadian Drugs, Bills Contain Risks for Governor
By Jordan Rau
Times Staff Writer

May 29, 2004

SACRAMENTO � For six months, Gov. Arnold Schwarzenegger has managed to keep his position unknown on a host of potentially divisive issues. Now he is going to have to start filling in the blanks.

After acceding repeatedly to a Republican governor determined to deliver on campaign promises, the Democrats who control the state Senate and Assembly this week approved a number of measures that likely will force the governor to make some difficult choices.

The Assembly endorsed raising the minimum wage to $7.75, a 15% increase. If the more liberal Senate concurs, as expected, the governor will have to choose between being a champion of low-wage workers or signing a bill that small businesses and the California Chamber of Commerce say will cost the state jobs.

The Legislature is also poised to approve a handful of measures that would encourage individual Californians and state agencies to import prescription drugs from Canada, where they are cheaper. The notion is popular among elderly voters and could save the state millions.

But approving those bills would put Schwarzenegger on a collision course with the pharmaceutical industry and the Republican administration in Washington, both of which oppose drug imports as unsafe.

Schwarzenegger may have to choose between politically appealing measures and some of his bigger campaign supporters in other areas.

Car dealers, for instance, will strongly urge him to veto a measure that would allow used car buyers to return a car within three days of sale.

The bill passed the Assembly this week. Automotive interests have donated $824,335 to Schwarzenegger, according to arnoldwatch.org, a consumer activist website.