Gov. Arnold Schwarzenegger talks about his job creation plans Tuesday during a news conference in Bakersfield. (Peter Grigsby, Office of the Governor)

Schwarzenegger held a midday news conference at a Towery Homes development in the northwest part of the city to promote his jobs creation initiatives, including his proposal to extend and expand a $10,000 tax credit for first-time homebuyers.

He said spurring home sales would have a domino effect and put roofers, electricians, framers and others back to work. Home sales are an important piece of the "economic puzzle," he said.

"In my State of the State address, I did talk about that our No. 1 priority ought to be to bring our economy back and to create jobs, jobs, jobs," Schwarzenegger said. "I've been traveling up and down the state since then talking about this very important issue."

Last year, homebuyers quickly snapped up $100 million in California tax credits designed to spur new home purchases. The credit was designed for those who bought a new home between March 1, 2009, and March 1, 2010, but the money dried up by last summer. The governor said this time around, the credit would be $200 million.

Schwarzenegger joked that Sen. Roy Ashburn, R-Bakersfield, kept on him about coming to Bakersfield to promote his economic plan. The governor, however, said Bakersfield was on his itinerary all along.

"Every time I come to Bakersfield, people think I'm coming here to get a tan, because they always have such perfect weather," Schwarzenegger joked. "It is great to be here again."