This was reported today and is a big furor:
SACRAMENTO — In the sanctuary of his Capitol office with an audio recorder rolling, Gov. Arnold Schwarzenegger describes Republican legislators as the “wild bunch” and, referring to a Latina lawmaker, casually says that “black blood” mixed with “Latino blood” equals “hot” — a fiery personality.
The governor is heard on a six-minute recording, obtained by The Times, of a meeting with some members of his inner circle last spring. At the time, Schwarzenegger was struggling to persuade Republican lawmakers to embrace his plan to place billions of dollars in borrowing on the November ballot.