Bush Looks To Capitalize On GOP Gains

While President George W. Bush kept a low profile after Republican gains in Tuesday's elections, the White House weighed how to take advantage of Republican control of both houses of Congress.

Following the election that will switch the Senate to Republican control in January, the president stayed out of sight Wednesday, striving to be "gracious," spokesman Ari Fleischer said. His aides sought to play down any talk of a mandate that the elections may have handed Mr. Bush, who treated himself to a cigar.

But there were signs that that agenda had gained momentum: Sen. Charles Grassley of Iowa, set to resume chairmanship of the Senate Finance Committee, was already talking Wednesday about making the tax cuts Mr. Bush won last year permanent. The cuts in income and estate taxes, among others, are set to expire after a decade.

Fleischer, asked whether Mr. Bush would renew his push for making the cuts permanent, said, "Absolutely."

"The president does think it is vital for certainty in the economy and for fairness for people's lives that the tax cuts be made permanent," Fleischer said.

The president and his economic team have decided to hold off on an almost-ready-to-go bundle of new tax cuts until the Republicans formally take over Congress in January, an administration official said.

The elections handed Republicans control of the Senate and broadened their majority in the House, after Mr. Bush put his popularity on the line and corralled the power of the White House behind candidates to secure just such a triumph.

"The president got what he asked for, and now he'll have to produce," Democratic chairman Terry McAuliffe said. "He'll have to come up with an economic plan … No more blame game."

The fallout for Democratic leaders following Tuesday's losses came swiftly. Missouri Rep. Dick Gephardt is stepping down after eight years as House Democratic leader, looking ahead to a possible run for the White House and leaving behind a succession struggle in a party jolted by midterm election losses.

Gephardt, 61, informed party leaders Wednesday night he will not seek a fifth term as House minority leader, according to several officials who spoke on condition of anonymity. Senior aides said he would make his intentions public Thursday, although no formal announcement was scheduled.

Gephardt said in a broadcast interview Wednesday that he accepted some responsibility for the Democrats' losses.

"This was a unique election," Gephardt said. "You had the backdrop of 9/11, a lot of patriotism, legitimate patriotism and concern about national security and safety. And the president's popularity is very high, and that undoubtedly was a factor in some of these elections as well. But I think our candidates were out there on the right economic issues."

Tom Daschle of South Dakota was expected to remain in his post as Senate Democratic leader.

Behind the scenes, White House officials wrestled with the nuts and bolts of the Republicans' new status in the Senate. Many were still shaking off fatigue from a long campaign in which the White House was deeply involved, and from watching election returns deep into the night. Surprise was the order of the day in White House corridors, one official said.

Mr. Bush's liaisons to Capitol Hill grappled earlier this week with how to get through a "lame duck" session, a post-election session that starts next week. Wednesday, it was a whole new set of questions. Who would assume chairmanships in the Senate?

"We literally need to sit here and sort it all out," said Trent Duffy, the communications director at the White House Office of Management and Budget.

The president's top priority is the homeland security bill, reports CBS News Chief White House Correspondent John Roberts. The Democrats have held it up for months over concerns about workers' rights, but Mr. Bush now plans to push it through. On the economy, GOP insiders say the president may be looking for a new team and that he definitely wants an economic recovery plan in time for the new session.

Other priorities include a wide-ranging energy plan; legislation to expand religious charities' role in social services; tightening welfare regulations; a missile treaty with Moscow; a patients' bill of rights, and human cloning legislation.

But the most profound effects from Tuesday's election may be in America's courts. The Republican Senate will be able to confirm the dozens of Bush judicial nominees whom the Democrats sat on. Add to that two potential retirement vacancies on the Supreme Court and it will be heady times for conservatives.

The White House emphasized bipartisanship Wednesday, and Mr. Bush called Gephardt and Daschle, inviting them to breakfast sometime next week. He also called Arkansas Democrat Mark Pryor, who turned back Republican Sen. Tim Hutchinson's bid for a second term.

Mr. Bush is meeting Friday with House Speaker Dennis Hastert and Senate Minority Leader — soon to be Majority Leader — Trent Lott.

Amid a brighter outlook at the United Nations for a tough stand on Iraq, Mr. Bush made plans to talk with Russian President Vladimir Putin. The Security Council could vote as early as Friday on a resolution requiring tough new weapons inspections in Iraq coupled with a threat of "serious consequences" if President Saddam Hussein fails to comply.

Thursday evening, Mr. Bush was to attend an Iftaar dinner for Muslims, traditionally held at the end of daylong fasts through the month of Ramadan, in the State Dining Room at the White House. He addressed the same dinner last year.