Arnold Schwarzenegger must have some balls, because the Republican "governator" made an impromptu appearance at a San Francisco Democratic Club dinner. The crowd was certainly not feeling it, and heckled him with such phrases as "Kiss my faggot ass."
The Member did not use the term "faggot" at any time in his comments towards the Governor.
This story has been reported on widely already and his comment was "You can kiss my gay ass", he did not use the pejorative term that you listed.
Former San Francisco mayor Willie Brown, who introduced Schwarzenegger to the crowd, called the collective outburst "highly inappropriate" and specifically took on Ammiano, who he compares to Joe Wilson, the man who sparked the "you lie" craze:
Ammiano conducted himself somewhat similar to Joe Wilson. It was inappropriate to invite anyone in and shout at them, I don't care who it is. It could be George Bush. You don't do that.
The remarkably unflappable Schwarzenegger took all the gay drama in stride and later said, "Compared to the reaction I got in Hyannis Port when I told the Kennedys I was marrying Maria, it was fantastic." Oh, Arnold made a funny!