To cite donations as an indication of "confidence in Arnold" or the California economy is to misunderstand what that portends. This isn't about building wealth (or protecting the environment), it's about controlling who gets it.
Bingo!!!!!
Once the land is under government control, political bosses will disperse mineral and land usage rights to their own special interests, and for monetary gain. These rights were once owned by individuals, but both major parties find it difficult to conform with the rigid boundaries of morality and responsibility individuals set. It's much easier to use the government to steal the land and direct it to political cronies that can be held accountable to make political donations.
Remember back to the days when labor unions were chided for the control they exerted over our politicians? Well, now it's corporations pulling the strings of the puppets in government. Welfare and entitlements to individuals have seen few reductions, and corporations have been added to the list of beneficiaries.
The country is ripe for a renewed government model that is beholden to local communities, as it was when our country was first founded. Special interests of all sorts must be restored to their proper role in society. I don't expect either major political party to introduce change that damages their cash cow.