"It's, first of all, humor," Schwarzenegger said. "I come from the entertainment background. ... So obviously, when there's something that is really hot in the news, you try also to look at it in a humorous way.
"I made it very clear that we in California have no use for this kind of a law. I have also made it very clear for years already that you need to have more border patrol. We need to secure our borders. Our borders are not secure. That is the bottom line.
"We have put 1,000 National Guard troops on our border, when the Bush administration asked us for help. We put them on the border and immediately we have seen, within months, a drop-off of 26 percent on illegal crossings."
Despite deep budgets cuts and California's ever-growing deficit, Schwarzenegger continues to launch new programs he thinks are absolutely necessary. One of those is Operation Welcome Home, to benefit California veterans returning from service.
On the deck of the USS Midway, the retired aircraft carrier docked in San Diego that now serves as a museum, Schwarzenegger talked about the state's new program to link veterans with the services they need.
"If someone comes back and has post-traumatic stress disorder, we reach out and we do everything that we can for them to help them to get out of that situation, and to get a job and get back to their family and get back to a normal life," Schwarzenegger said.
"Whatever that takes -- medical attention, rather than having people sent around from one agency to another and from one government silo to another and give them the runaround. This is why we started now a one-stop shop.
"It is important to have a Web site where [veterans] can all go and get all these various different services... which we started. We were one of the first in the United States to do that and also this program here, Operation Welcome Home, is the first in the nation. We hope it will spread to other states. I will make sure of this through governor's conferences and so on that it spreads to other states."
Speculation abounds as to what Schwarzenegger will do after his term ends. He claims he has not -- and will not -- think about any future plans until his final days in office arrive.
"I don't allow myself," he said. "Even if I sometimes wander off, I come right back to this year. I don't allow myself to have no meetings, and nothing about next year or about my future because this time, right now it's about now, and getting things done, serving California. That's my job."
Watch the full story tonight on "Nightline" at 11:35 p.m. ET