Thursday, April 20, 2006

White House Shifts Into Survival Mode

By Dan Balz
Washington Post Staff Writer
Thursday, April 20, 2006; A01

In a White House known for both defiance and optimism, yesterday's senior staff changes represent a frank acknowledgment of the trouble in which President Bush now finds himself. They are also a signal of how starkly Bush's second-term ambitions have shifted after a year of persistent problems at home and abroad.

Longtime Bush confidant Karl Rove -- who had hoped to use his position of deputy chief of staff to usher in an expansive conservative agenda -- was relieved of his policy portfolio to concentrate on long-term strategy and planning for a November midterm election that looks increasingly bleak for Republicans.

Rove probably will remain one of the most influential voices in the White House, but his shift in responsibilities suggests that new White House Chief of Staff Joshua B. Bolten intends to operate a different White House than his predecessor, Andrew H. Card Jr., who resigned after more than five years at the helm.

Bolten's White House, say former administration officials and Republican strategists, is likely to have clearer lines of authority and less free-lancing by powerful officials. They also expect Bolten to play a more active and influential role in shaping domestic policy than did Card.

More significantly, they said, unlike Card, who took as his principal responsibility the management of the president, Bolten probably will operate more in the mold of chiefs of staffs in previous administrations, who saw their role as managing the entire White House and sought to oversee the entire federal government, as well.

Whether the changes will bring fundamental change in a troubled administration is another question. One of Bolten's biggest challenges, administration allies say, will be to find ways to open up the Oval Office to new ideas and to the opinions of people who are not longtime Bush confidants.

On that score, many people who know the administration best are privately dubious. Presidents, more than chiefs of staff, determine how White Houses operate, they said, noting that Bush has shown that he prefers a tight circle of advisers and does not welcome the advice of outsiders. As Bush put it on Monday, in asserting that he would not fire Defense Secretary Donald H. Rumsfeld, "I'm the decider, and I decide what's best."

Rove's return to a role that closely mirrors that which he played in Bush's first term demonstrates how much this White House has now shifted to survival mode -- and how far events have pushed the president from the grand ambitions with which he opened his second term just 15 months ago.

Then, with Rove as the animating force, the president sought to engineer Republican political dominance by remaking government with such far-reaching initiatives as his plan to remake the Social Security program. Today, Social Security stands as Exhibit A of what went wrong domestically in 2005.

Public disillusionment over Bush's policies in Iraq have left the country in a sour mood and Bush's presidency at low ebb, threatening the entire Bush-Rove project to create a durable Republican majority. While that goal remains central to those closest to Bush, the focus at the White House for the foreseeable future will be trying to revitalize this presidency quickly enough to avoid crippling GOP losses in November that could thrust Bush into instant lame-duck status.

Realigning the White House staff and bringing in new faces appear central to that effort. This week's changes include yesterday's resignation of White House press secretary Scott McClellan and appointment of Joel D. Kaplan as White House deputy chief of staff for policy, as well as Monday's announcement that U.S. trade representative and former House member Rob Portman will succeed Bolten as director of the Office of Management and Budget (OMB).

The domestic policy process has been hampered since Bolten went to OMB, and one Republican strategist close to White House said the new chief of staff appears bent on trying to prevent Rove and others from interfering in every aspect of the governing process.

Rove will retain the "gravitational force" of his Bush relationship and could "overpower" Bolten in showdowns because he knows the president and the inside game better, this official predicted. But he added that Bolten believed that the strategy to overhaul Social Security was sloppy and hampered by Rove's becoming too involved in every aspect of the campaign -- policy, politics and communications.

Former administration officials said that Rove, though known for his ability to juggle many roles, was overwhelmed by the sheer volume of his responsibilities when he was promoted to deputy chief of staff after the 2004 election.

In addition, he was engulfed in the CIA leak case for his role, and remains under investigation by a special prosecutor.

Bolten and Rove forged a congenial working relationship during Bush's first presidential campaign, when Rove was chief strategist and Bolten chief policy adviser. That carried over into the White House during the first term, until Bolten departed as deputy chief of staff to take over as OMB director. Administration allies say they hope that the new assignments can restore an operating arrangement that they believe worked well.

One former administration official, who asked not to be identified in order to speak freely about his former colleagues, called yesterday's shift in Rove's responsibilities a "huge" development. "This is putting back things where they belong," he said. "It's given Josh back policy. Joel [Kaplan] is a total Josh disciple, and he is very good in the policy world. It focuses Karl back on politics, which is what he needs to do."

But former Bush spokesman Ari Fleischer said Rove's losing the policy portfolio also is significant, because the policy job "is where ideas comes from, where creativity comes from, and that is where presidents rise and fall."

"I think this is another building block in bringing in other voices to reenergize and reinvigorate the West Wing," said Kenneth Duberstein, White House chief of staff to former president Ronald Reagan, who predicted Rove will remain one of Bush's most trusted aides.

Despite his power, Rove has not been immune from criticism. Inside the White House, some aides were unhappy that he had sent McClellan out to say inaccurately that Rove had no involvement in the CIA leak case. Outside allies feared that Rove was so invested in the policies he had helped to shape and sell to Bush that he lost his ability to see where the administration had gotten off track.

Mindful that Rove's changed responsibilities might be seen as a demotion, administration officials and allies offered a counterview, saying that, given his personal relationship with the president, he will continue to exercise wide influence on policy and politics while having new freedom to think more strategically about the administration.

Other changes are expected at the White House and perhaps in Bush's Cabinet. One will be a replacement for McClellan; another is likely to be a new domestic policy adviser. Criticisms of the legislative affairs and communications operations as well as the national economic council suggest the potential scope of changes. But one of the most important steps came yesterday. As one strategist who has worked closely with the administration put it, "I don't know how you change the White House without changing Karl's role."

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Rove Gives Up Policy Post in Shake-UpMcClellan Resigns; New Chief of Staff Moves Quickly to Change West Wing

By Peter Baker and Jim VandeHei
Washington Post Staff Writers
Thursday, April 20, 2006; A01

President Bush's new chief of staff accelerated his election-year White House shake-up yesterday as Deputy Chief of Staff Karl Rove surrendered the policy management duties he assumed last year and press secretary Scott McClellan resigned as the public face of an administration under fire.

Rove, who steered Bush to two national election victories, will retain his title but focus on broad strategy and politics, while Joel D. Kaplan takes over as deputy White House chief of staff running the day-to-day policy process. To replace McClellan, Republican strategists said the White House is considering Fox News radio host Tony Snow and former Iraq occupation spokesman Dan Senor.

The moves effectively diminished or eliminated the roles of the two presidential aides most familiar to the general public, as newly installed White House Chief of Staff Joshua B. Bolten seeks to rescue the remainder of Bush's presidency. Coupled with other changes already announced and still in the works, Bolten hopes to demonstrate to the public and the Republican-led Congress that it will no longer be business as usual in a White House afflicted by political defeats, an overseas war and shrinking public support.

At the same time, the changes made public so far mainly have moved around figures who have been inside the Bush orbit for years, and White House officials made clear yesterday that no major shifts in policy are envisioned. With midterm congressional elections looming, strategists said the main goal was to make public gestures that would restore faith in Bush's ability to lead.
"The decision isn't one looking back at past performance or judgment," said White House counselor Dan Bartlett. "It was one looking forward. Josh is reenergizing and rebuilding his staff for the next thousand days."

The reshuffling, the most significant of Bush's second term, got underway when the president appointed Bolten to replace Andrew H. Card Jr. as his chief aide. Bolten, who took over Friday afternoon, has moved quickly to restructure the West Wing. On Monday, he invited aides already thinking of leaving to submit resignations. On Tuesday, he installed U.S. Trade Representative Rob Portman to take over his job as director of the Office of Management and Budget.

Aides said no further moves will be announced this week but anticipate more next week, hoping that stretching them out over time will provide momentum. "People have been watching this TV series for a long time, and it helps to plug in some new characters from time to time," said Bush political adviser Mark McKinnon. "Gets folks to tune back in and take a fresh look."

Bolten is still eyeing the White House legislative affairs office in hopes of improving relations with congressional Republicans. Bolten has privately expressed criticism to colleagues about the operation of chief White House lobbyist Candida Wolf, and it remained uncertain whether she would stay. The White House has also been interested in finding a replacement for Treasury Secretary John W. Snow.

A senior White House official said a lot of staff members remain uncertain. Bolten's call for resignations, the official said, has a lot of aides who had not been contemplating departing now planning to spend this weekend considering it. Bolten has said he will keep Card's schedule and structure until the middle of next week, and then put his own in place.

The biggest changes so far came with Rove's shift and McClellan's departure. Rove has been the driving force of the Bush presidency from its inception, and last year he added the title of deputy chief of staff for policy to his portfolio. But some Republicans saw it as a poor fit as the operation's vision man occupied himself with the trains-on-time responsibilities of the new job.

Among people close to the White House and in Republican circles around Washington, there remained debate whether the move should be regarded as a demotion or reassignment. The answer will remain unknown -- perhaps even to Rove himself -- until Bolten's operation has more time to prove itself. But there was agreement that the move was a negative verdict on the status quo.

"He's the best thinker in our party, and in the last year he's been doing all the staffing memos and making sure the paperwork is done on time and all that," a senior administration official said.

By turning over the daily policy management to Kaplan, Rove will free himself up to concentrate more on the midterm elections, which are crucial to Bush's fortunes, but he will remain an influential voice in broader policy discussions, as well. "That will leave Karl more time to focus on truly strategic policy at a critical time for the presidency," White House spokesman Ken Lisaius said.

Rove, 55, who has been Bush's most important adviser for many years, told people he knew his shift might be seen as a demotion but agreed with Bolten that he was bogged down by esoteric subjects distracting him from strategy. A Republican close to Rove said the change was unrelated to the CIA leak case, in which Rove remains under investigation, but was meant to calm Republicans who fretted that the White House mishandled issues such as the Dubai port deal and Hurricane Katrina.

"They needed to have the optics that there's going to be a change -- a message-delivery change and a different approach to policy, particularly domestic policy," the Republican said. "That's all it is. There's not going to be any change in policy. It gets Washington talking about different things."

Democrats dismissed the move. "President Bush doesn't seem to understand that you can't just change the window dressing, you have to make changes in the Bush administration's policies, which have undermined America's security," said Democratic National Committee Chairman Howard Dean.

While Rove's shift was disclosed on paper, Bush walked McClellan onto the South Lawn yesterday morning before a trip to Alabama. "The White House is going through a period of transition," McClellan said. "Change can be helpful, and this is a good time and good position to help bring about change. I am ready to move on."

McClellan, 38, who has been at Bush's side since Texas and served as chief spokesman for the past two years and nine months, choked up momentarily. Turning to the president, he said, "I have given it my all, sir, and I've given you my all."

Bush responded with praise: "He handled his assignment with class, integrity. He really represents the best of his family, our state and our country. It's going to be hard to replace Scott."

In a moment of unfortunate symbolism for a troubled White House, Bush and McClellan then boarded Marine One to fly to Andrews Air Force Base -- only to have to disembark when the helicopter would not work. Instead, the president departed by motorcade.

McClellan had told colleagues as recently as last month that he intended to stay but told reporters aboard Air Force One yesterday that he began reconsidering when Card stepped down and informed Bush of his decision in an Oval Office meeting on Monday. "I didn't need much encouragement to make this decision," he said.

With endless patience, McClellan has absorbed months of battering at daily briefings over the president's second-term problems. Although he never expressed it publicly, McClellan's colleagues said he was frustrated that his credibility had been questioned after he relayed Rove's assertion in 2003 that Bush's top adviser had nothing to do with the leak of a CIA operative's identity -- a claim later discredited by grand jury testimony.

McClellan said he would stay for two or three weeks as the White House brings in a replacement. Republicans close to the White House identified three main candidates: Tony Snow, Senor and former Pentagon spokeswoman Victoria Clarke. Snow confirmed he is considering it, while Clarke said she would not.

Replacing Rove in the job of deputy chief of staff for policy will be Kaplan, who worked for Bolten in the first Bush campaign, in the White House and then at OMB as deputy director. Bolten considers Kaplan, 36, his right hand and was the only one with a speaking role at Kaplan's wedding this month, aside from Judge J. Michael Luttig of the U.S. Court of Appeals for the 4th Circuit, who presided over the ceremony for his former clerk.

Kaplan, who rushed back to Washington from a Hawaii honeymoon Tuesday night, will be the third deputy along with Rove and Joseph W. Hagin, who plans to stay but will also give up policy duties, colleagues said. A Harvard Law graduate and former Marine, Kaplan also clerked for Supreme Court Justice Antonin Scalia.

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