In this example alone there is a ton of compromising that can be done while maintaining the appearance of compromise a mile wide.
If this looming, right/left loggerhead even becomes public, the Schwarzenegger/Nunez team will simply paint Republican legislators as obstructionists. The team will point out the these monies are already appropriated by the recently approved initiatives and that the debt service on these huge borrowings precludes any additional expenditures for this class. Schwarzenegger will reflect that more infrastructure spending will take away from an opportunity to provide expanded heath care and Nunez will accuse the Republicans of shorting our children.