Arnold IS working on Budget cuts:
"Schwarzenegger did not unveil any specific budget cuts Tuesday, but said he would do so in the coming days, after discussing budget plans with legislative leaders from both parties. Nor did he outline how he would find the $3.4 billion to make up for revenues from repealing the car tax.
Budget cuts will be 'severe'
He cautioned that the budget cuts, when they are announced, would be "severe."
"I can guarantee you there will be at least $2 billion in budget cuts," he said.
Schwarzenegger also said he will follow through with plans to lay off state workers -- plans drafted by the man he ousted from office, former Gov. Gray Davis. However, he promised that no one would be laid off before Christmas. "
http://www.cnn.com/2003/ALLPOLITICS/11/18/elec04.schwarzenegger/