GOVERNOR SAYS SCHOOLS WILL MAKE THE GRADE.

Byline: Dorothy Korber Sacramento Bureau

Gray Davis took office as California's 37th governor Monday, promising in his inaugural speech to salvage the public school system and to unify a state torn by ethnic divisions.

The Democratic wave that swept the state in November was evident Monday as other statewide officers were sworn in at their own ceremonies: Lt. Gov. Cruz Bustamante, Controller Kathleen Connell, Treasurer Phil Angelides and Attorney General Bill Lockyer.

Davis, the state's first Democratic governor in 16 years, told a cheering crowd of 3,500 that his top priority will be to restore the state's educational system to its former status as one of the nation's best.

``That will be my primary mission as your governor,'' Davis said. ``And I will undertake it with the same sense of purpose, discipline and focus I learned 30 years ago, courtesy of the United State Army. We are going to get it done.''

Students, parents and teachers must all be held accountable, the new governor emphasized.

``Yes, there are some deficient teachers and principals out there,'' he said, a provocative comment from a candidate heavily backed by the California Teachers Association. ``Under my administration, either they will get better - or they will be encouraged to find another line of work.''

A handful of Republicans were sprinkled among the thousands of ebullient Democrats, including outgoing Gov. Pete Wilson and his wife, Gayle, who joined Davis and Vice President Al Gore on the stage. The Wilsons gamely rose for most of Davis' repeated standing ovations. But they stayed firmly in their seats when the new governor decried ``wedge-issue'' politics - a shot at Wilson, who opposed affirmative action and took a hard line against illegal immigration.

``You can finally ring down the curtain on the politics of division,'' Davis said. To that end, he said, he would guarantee admission to the University of California to all students who graduate in the top 4 percent of their high school class. The goal will be to increase ethnic diversity in the UC by assuring admission to youngsters from every corner of the state.

The Wilsons also stayed seated, smiling grimly, when Davis won rousing ovations for promising to ban assault weapons and to protect abortion rights.

``To those who would seek to deny a woman the right to choose,'' Davis said, ``let me offer this suggestion: Don't waste the Legislature's time trying to pass bills restricting women's constitutional rights. It will simply not happen on my watch.''

Though Davis said he opposes illegal immigration, he made a special point of saluting Mexico as a trading partner. He plans to lead a delegation of Californians to Mexico City to strengthen the state's economic ties with its southern neighbor. Davis singled out Latinos as a special source of pride and cultural vitality in California. After the speech, Assemblywoman Sheila Kuehl, D-Encino, said she was glad Davis made a point of including Latinos in his remarks.

``Of all the populations in California, they're really the most lively and the most thriving at the moment,'' she said. ``I would wish, of course, that there would ever be a mention of gay and lesbian issues by anyone in an inaugural speech. But I'm thrilled that Latinos were included, because it's an example of one more population that's made it into a speech, because they're now something to be reckoned with.

``I hope the rest of us get there, too,'' said the assemblywoman, who is a lesbian.

CAPTION(S):

box

Box: To our readers

Due to expanded coverage of the inauguration of Gray Davis as governor of California, Opinions does not apear in today's Daily News.