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Gov. Arnold Schwarzenegger criticized California's Legislature and political system Tuesday as dysfunctional, gridlocked and hyperpartisan, continuing a theme likely to be trumpeted in the public relations war over bridging a $19.1 billion budget shortfall.

Schwarzenegger slapped the Legislature for its failure to support tax reform, budget and rainy-day fund proposals he has pushed, as well as for reluctance to change the state's pension system to reduce the state's financial burden in years to come. All are grist for upcoming budget talks.

Though he is a lame duck serving his final year in office, Schwarzenegger vowed to continue the fight.

"I think we have to run through the finish line," he said.

Schwarzenegger's comments came during a question-and-answer session with Allan Zaremberg, president of the California Chamber of Commerce, before a crowd of hundreds of people, many of them business officials.

The governor blamed lawmakers for spending too much, saving too little, and not adequately preparing for recession.

"This is why they always come back for more taxes, more revenue," Schwarzenegger said.

"Let's not go after business to pay for their mistakes," he added.

Recession provides urgency for state government to change itself for the better, he said, touting his reform agenda.

"I think crises bring good opportunity," he said.

Schwarzenegger urged passage of the open-primary measure on the June 8 ballot, Proposition 14, which would let candidates of all parties appear on state primary ballots and the top two vie in the general election, regardless of party.

The governor said there are good, caring people among California officeholders "but the system we have is horrible" because the state's system of party primaries elects extremists on all sides.

"So you're producing people that are way to the left and way to the right," he said. "They come to Sacramento and they can't get together."

The bottom line is that officeholders make decisions about what's best for their party, not for the state, he said.

Job creation is the key to revitalizing California's economy, Schwarzenegger said during the 30-minute session.

"This year is all about jobs, jobs, jobs," he said. "Let's bring the economy back. Let's focus on that."

Schwarzenegger also mentioned the need for the state to tackle tort reform, adopt tax incentives for new hiring, and streamline the permit process for construction projects. He urged passage of the $11.1 billion water bond on the November ballot.

Zaremberg praised the governor for vetoing virtually every bill that the business community designates as a "job killer."

Schwarzenegger, borrowing a well-known line from when he starred in "Terminator" movies, quipped that his office has dogs that sniff out job-killer bills and, when they do, "I say, 'hasta la vista, baby.'"

The governor, though not eligible for another term, said he always has enjoyed hard work and challenges.

"That's why I wouldn't mind doing another term," he said.

After the morning session, Zaremberg said the business community, despite economic frustration, appreciates the governor's efforts to promote jobs and business growth.

"There's frustration everywhere, I don't think anybody has a patent on that," Zaremberg said. "But I truly believe that we'll all say this is a governor who cared about jobs and the economy. We wish we had more people like that."

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