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Transition of Power: Bush Team Begins Search New Labor Nominee; Paige Confirmation Process Begins in the Senate

Aired January 10, 2001 - 10:12 a.m. ET

THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.

LEON HARRIS, CNN ANCHOR: Back now to our top politics of story of the morning. That being Linda Chavez's removing her name from consideration for the post of labor secretary.

Let's go now to the White House, CNN's Eileen O'Connor standing by there with the fallout from the dust-up of yesterday -- Eileen.

EILEEN O'CONNOR, CNN CORRESPONDENT: Well, Leon, there are sources in both Republican and Democratic circles who are questioning what Linda Chavez said, that her downfall was due to the politics of personal destruction and this was a search-and-destroy mission. They say that really it was Linda Chavez who brought about her own downfall, that was not forthright with the Bush transition team about Marta Mercado, a woman that she brought in as an illegal immigrant into her home. She did some chores, there was some pay. She said it was an act of compassion, not of employment. But she said that she didn't think it was going to be a problem. That's why she didn't talk about it in the first place.

But, sources said, that in fact she had discussed it with a neighbor, and had talked about it as a problem potentially with the neighbor, and that it was that lack of candor and forthrightness that really was the problem for the Bush transition team. It was why they made it very clear to her that she should withdraw her nomination.

She says that it was up to her, it was her decision alone. But it was certainly made clear to her that that would be the best thing. Interesting to see politically too, how quickly the Bush team worked and how quickly the decision was made, that this was a controversial nomination to begin with, and it was becoming an impossible sell, according to one Republican source.

Linda Chavez, though, insists that if she had to do it over again, she might have perhaps been more forthright. She said she didn't see how it was going to be so controversial. She insists, still, this was a search and destroy mission, that others are going to face similar difficulties in their nomination. She says all she was doing was acting out of compassion, and that she was doing is engaging in compassionate conservatism.

(BEGIN VIDEO CLIP)

LINDA CHAVEZ, FORMER LABOR SECRETARY NOMINEE: I believe that -- that individuals should do what they can to help people in need. I have been given tremendous help over my lifetime by people who stretched out a helping hand. I have tried to do the same for others. And, frankly, I think that is much better than tax-payer funded government services. I have helped -- spent a great deal of money helping people over the years, don't get a tax writeoff for it. I do it because it's the right thing to do.

(END VIDEO CLIP)

O'CONNOR: Now the Bush team is looking ahead. The president- elect says he understands her decision. He is disappointed. He says, she would have made a great labor secretary. Basically, they are going back to a list that they had before, when they were considering labor secretary. Elaine Chao, a former deputy transportation secretary is on that list, as well as Steven Goldsmith, Indianapolis mayor, who is a very good friend of the president-elect -- Leon.

HARRIS: Eileen, what is the thinking there about what this bodes for the other nominees for Cabinet posts? Do the Democrats smell blood in the water here or what?

O'CONNOR: Well, they've already smelled blood in the water really on John Ashcroft. Because liberal groups have really mounted an incredible public relations campaign. But, really, you know, the Bush team working so quickly to cut their losses with Linda Chavez shows that they mean business. And also, interestingly, Leon, they too are mounting a public relations campaign on behalf of John Ashcroft. This is a nomination they will fight for. It was clear that this was not a nomination they were going to fight for on labor secretary. And, of course, it was said that it was because of lack of candor.

But Democrats on Capitol Hill say that this is a different situation, and they are taking each step-by-step. It is John Ashcroft, though, that they are gunning for, mainly because they have so much support from those public interest groups who are saying that they are going to mount this massive public relations campaign because of his conservative stands on civil right, but also stands on abortion. He is very pro-life, which bothers women's groups and other groups -- Leon.

HARRIS: All right, thanks much, Eileen O'Connor at the White House.

Let's turn now to our Bob Franken. He is following some other news, this to do with another of Mr. Bush's choices for his Cabinet, this his choice for education secretary, Rod Paige.

Bob Franken has got the latest on that for us this morning from Washington.

Good morning, Bob.

BOB FRANKEN, CNN CORRESPONDENT: Well, good morning, Leon.

Of course, what is so singular about this is just what a contrast this is to the controversy over Linda Chavez and John Ashcroft, among the others who are going to be facing very contentious confirmation procedures. This one is love feast. The love feat just good under way. It is a meeting of Senate Labor Health and Education Committee. The first duty that perspective nominee has to face is the one where the various senators -- you're seeing Chris Dodd there, a Democratic of Connecticut -- the various senators make their opening statements. That always precedes the statements from the prospective nominee.

This nominee, of course, is Rod Paige. He is the 67-year-old superintendent of the Houston Public Schools, notable because he would be the first big city superintendent who, in fact, would be appointed education secretary, who had actually had that kind of on-the-ground experience.

What is remarkable about this man is that he has received such universal praise, not only from those who support the George W. Bush/Republican concept of education, with its emphasis on such things as vouchers and school testing, but he has also gotten praise from those who vigorously oppose that, for instance, the National Education Association.

So this is not one that is going to be difficult at all for the Bush administration. They're going through what is going the be, as I said, a very warm reception at the hearing. There will be some questions about vouchers, and it will be pointed out that Paige had, in fact, had a very minimal program with school vouchers in his Houston school system, avoiding one of the complications, and that is sending kids to parochial schools, where you might run afoul of First Amendment considerations. separation of church and state.

In any case, this is not going to be a Linda Chavez. Rod Paige is going to just sail through the Senate, and the sailing has begun -- Leon.

HARRIS: All right, good deal. We will sail on right now. Thanks much, Bob Franken in Washington.

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