http://www.time.com/time/magazine/artic ... 27,00.html

Sunday, Apr. 23, 2006
Can Josh Bolten Rescue the Bush Presidency?
He started by shaking up the staff. Next comes a five-point White House "recovery plan"
By MIKE ALLEN
At the George W. Bush campaign headquarters in Austin, Texas, in 1999, policy director Josh Bolten was a low-key Washingtonian in a building full of brash Texans. He assembled a best-and-brightest team with resumes bristling with brand names like his own—Princeton, Stanford, Goldman Sachs. "He used to brag that he had all these Supreme Court clerks from Harvard working for him," recalled a campaign veteran. Bolten was happy to let others preen in meetings while he waited to make a killer point at the end. He has thrived by showing, very quietly, that he is indispensable. Now as President Bush's second chief of staff, he is suddenly in the spotlight. Last week he appeared before large groups of worried aides in a White House theater, where Bush occasionally holds press conferences, to convince them that a few discomfiting changes, along with a lot of harder, smarter work, could turn around a second term that has disappointed so many of them.

"We have a thousand days to get the job done," he said, according to attendees. The rearranging of staff in the Administration, which has included moving out some loyalists from Texas and is likely to continue, reflects the President's insistence that Bolten rethink an enterprise that had a series of horrible quarters. The real deadline is not 1,000 days from now, when Bush leaves office. The marker that is uppermost in the minds of Bush's inner circle is Nov. 7, when Republicans could lose control of the House and even the Senate. "If we don't keep Congress, there won't be a legacy," said a presidential adviser. "The legacy will be investigations and fights over Executive privilege" with newly empowered Democrats.

So the White House is now on a survival footing, and Bolten is essentially planning a six-month campaign that will not only prevent a Republican hemorrhage in the fall but might even produce accomplishments for Bush in his lame-duck years. The new chief recognizes that he needs to show results quickly, since aides have claimed to be rebooting the second term so many times (at least three, by Time's count) that even their allies have lost track. The revamps have come every few months and then been hit by unexpected crises like the uproar a proposal to let a Dubai company operate some key U.S. ports.

The new chief, who packed some of his own boxes for the move across West Executive Avenue from his old office, had been on the job just one full day when Rob Portman, the Trade ambassador and a strong communicator, was named to succeed him as director of the Office of Management and Budget. The next morning, press secretary Scott McClellan appeared on the South Lawn with Bush to announce to reporters in a choked voice that he would leave his job in two or three weeks, a few months short of three years at the podium. McClellan, considered "family" because he had worked for Bush in the Texas Governor's office, made no effort to hide from colleagues his sadness about going early. But top Republicans were being consulted about his replacement within days after Bolten's promotion was announced, and the loyal Texan got the message. Friends said McClellan wanted to get it over with, to short-circuit the absurdity of having to refuse to speculate about his future to reporters. Bush praised McClellan for his "integrity," a pointed absolution for the fact that McClellan was left in the dark about the involvement in the cia-leak case of White House officials he had defended. Offers from speakers' bureaus and other businesses have rolled in, and most of the week's photographs showed McClellan smiling.

Two hours after the South Lawn appearance, the White House announced that Karl Rove, whose name is synonymous with unchecked authority in this Administration, would be yielding his day-to-day policy duties. "I've been asked by the President and my new boss to focus on big strategic questions and the bigger issues," Rove told Time. The idea, according to an aide, is for Rove to focus on "immigration, not the definition of seaward lateral boundaries." But Rove relishes his role at the nexus of policy and politics, and had dived into the governing responsibilities Bush gave him at the start of the second term. He tackled both fundamentals and minutiae, from formalizing the elaborate steps aides must take when preparing for policy time with the President to revising the official calendars handed out at Friday meetings of policy deputies so that they could record progress on topics raised at previous meetings. He even spent hours editing memos written for the President by specialists on everything from levees to student test scores.

The Democratic National Committee called the change in Rove's role a "demotion," and some insiders viewed it as a slap. "This is Josh saying there's a new sheriff in town, and there will only be one chief of staff," said a former West Wing tenant. A Bolten friend said Rove had been reined in by Bush, who realized that even Rove can do only so many people's jobs. Aides said Rove, 55, who retains his titles of senior adviser and deputy chief of staff, will move across the hall from his high-ceilinged office in the West Wing and turn it over to the new deputy chief of staff in charge of day-to-day policy, Harvard-trained wunderkind Joel Kaplan, 36, one of the former Supreme Court clerks from the Austin policy shop. Kaplan, a former Marine artillery officer who shares Bolten's boyish sense of humor, has been his deputy for the past five years. The Massachusetts native married a Texan earlier this month, with Bolten reading in English seven blessings derived from a traditional Jewish marriage ceremony.

Aides were still searching last week, according to one, for "someone with credibility with the markets" to replace Treasury Secretary John Snow, who has come to be viewed as an ineffective messenger. They are also on the hunt to replace Jim Towey, director of the President's faith-based initiative, who left saying the effort had "faced a steady headwind from Day One." At one point, say g.o.p. officials, the White House was even inquiring about a possible ambassadorship for White House counsel Harriet Miers, but Bolten issued an unusual public denunciation of reports that she would be replaced. Bolten, 51, hopes to have most of his staff changes in place within a couple of weeks, and his aides are planning a "rollout" of public appearances for him then to discuss the new structure, on the theory that news coverage of change will benefit the President.

But the musical chairs is just the first of a two-act makeover. Friends and colleagues of Bolten told Time about an informal, five-point "recovery plan" for Bush that is aimed at pushing him up slightly in opinion polls and reassuring Republican activists, whose disaffection could cost him dearly in November. The White House has no visions of expanding the g.o.p.'s position in the midterms; the mission is just to hold on to control of Congress by playing to the base. Here is the Bolten plan:

1. Deploy Guns and Badges.

This is an unabashed play to members of the conservative base who are worried about illegal immigration. Under the banner of homeland security, the White House plans to seek more funding for an extremely visible enforcement crackdown at the Mexican border, including a beefed-up force of agents patrolling on all-terrain vehicles (ATVs). "It'll be more guys with guns and badges," said a proponent of the plan. "Think of the visuals. The President can go down and meet with the new recruits. He can go down to the border and meet with a bunch of guys and go ride around on an atv." Bush has long insisted he wants a guest-worker program paired with stricter border enforcement, but House Republicans have balked at temporary legalization for immigrants, so the President's ambition of using the issue to make the party more welcoming to Hispanics may have to wait.

2. Make Wall Street Happy.

In an effort to curry favor with dispirited Bush backers in the investment world, the Administration will focus on two tax measures already in the legislative pipeline—extensions of the rate cuts for stock dividends and capital gains. "We need all these financial TV shows to be talking about how great the economy is, and that only happens when their guests from Wall Street talk about it," said a presidential adviser. "This is very popular with investors, and a lot of Republicans are investors."

3. Brag More.

White House officials who track coverage of Bush in media markets around the country said he garnered his best publicity in months from a tour to promote enrollment in Medicare's new prescription-drug plan. So they are planning a more focused and consistent effort to talk about the program's successes after months of press reports on start-up difficulties. Bolten's plan also calls for more happy talk about the economy. With gas prices a heavy drain on Bush's popularity, his aides want to trumpet the lofty stock market and stable inflation and interest rates. They also plan to highlight any glimmer of success in Iraq, especially the formation of a new government, in an effort to balance the negative impression voters get from continued signs of an incubating civil war.

4. Reclaim Security Credibility.

This is the riskiest, and potentially most consequential, element of the plan, keyed to the vow by Iran to continue its nuclear program despite the opposition of several major world powers. Presidential advisers believe that by putting pressure on Iran, Bush may be able to rehabilitate himself on national security, a core strength that has been compromised by a discouraging outlook in Iraq. "In the face of the Iranian menace, the Democrats will lose," said a Republican frequently consulted by the White House. However, a Los Angeles Times/Bloomberg poll this April 8-11, found that 54% of respondents did not trust Bush to "make the right decision about whether we should go to war with Iran."

5. Court The Press.

Bolten is extremely guarded around reporters, but he knows them and, unlike some of his colleagues, is not scared of them. Administration officials said he believes the White House can work more astutely with journalists to make its case to the public, and he recognizes that the President has paid a price for the inclination of some on his staff to treat them dismissively or high-handedly. His first move, working with counselor Dan Bartlett, was to offer the press secretary job to Tony Snow of Fox News radio and television, a former newspaper editorial writer and onetime host of Fox News Sunday who served George H.W. Bush as speechwriting director. Snow, a father of three and a sax player, is the bona fide outsider that Republican allies have long prescribed for Bushworld and would bring irreverence to a place that hasn't seen a lot of fun lately. "White Houses are weird places," he told a 2004 panel on White House speechwriting. Snow had his colon removed after he was found to have cancer last year, but his doctors have approved the possibility of his taking the grueling post.

Veterans of this and other Republican White Houses said that although they believe Bolten's first corrections have helped, they have not gone deep enough, mainly because most key decision makers—including Bolten, Rove and their staffs—continue to be people who have been in the Bush bubble for six years or more. "Where's the innovation? Where's the perspective?" said a friend of Bush's, who described the staff as so insular that it is hobbled by what he calls the "white-men-can't-jump syndrome"—the inability to soar. So now Bolten must prove to his many constituencies, internal and external, that although he's a veteran of the Bush team, he can still get it off the ground.

--With reporting by Matthew Cooper and Michael Duffy/ Washington