GOP Presidential Candidates Propose Dramatic Cuts to Government Programs
WOLF BLITZER, CNN HOST, "THE SITUATION ROOM": We saw Rick Perry make fun of himself on the David Letterman show. It was a tongue in cheek attempt at damage control after his brain freeze during this week's Republican presidential debate. There's certainly been a lot of discussion about the political fallout for Perry. But our own Lisa Sylvester is here to talk about the very serious issue, the policy issue, that Perry struggled with Wednesday night. Tell us what's going on.</s>LISA SYLVESTER, CNN CORRESPONDENT: Well, Wolf, after the debate there was only one thing people in the political world were really talking about -- Rick Perry's major gaffe. But he was actually testing out a new policy message, cutting three federal departments.</s>UNIDENTIFIED FEMALE: Governor Rick Perry.</s>SYLVESTER: Rick Perry was trying to make a point before quote, he "stepped in it."</s>RICK PERRY, (R) PRESIDENTIAL CANDIDATE: The third agency of government I would do away with, education, the commerce -- and let's see -- I can't -- the third one I can't, sorry. Oops.</s>SYLVESTER: Perry's message, entirely lost in the massive fumble. But what was his point? He wants to eliminate the departments of education and commerce and energy. The Texas governor would cut nondefense discretionary spending by $100 billion in the first year. But reducing the size of government is not new. Fellow Republican contender Ron Paul has made it part of his calling card, and going back even further, Ronald Reagan proposed cutting the department of education.</s>JOHN AVLON, CNN CONTRIBUTOR: This is a standard part of playing to a certain conservative base that dramatically wants to reduce the size of government and feels the best way to do it in some cases is wholesale elimination of certain cabinet agencies.</s>SYLVESTER: Consider this, though -- the department of commerce houses various agencies including the patent and trade office and NOAA, and the census bureau. And the education department is in charge of federal student loans and enforcing federal equal access laws. The energy department's duties include overseeing the country's nuclear reactors, radioactive waste disposal, and maintaining the nation's nuclear weapons. But fiscal conservatives say Washington has become too bloated. Chris Edwards runs the CATO Institute's downsizing government website. He says commerce spends about $12 billion year, education $79 billion, and energy $45 billion. With the country deep in the red, he says something has to go.</s>CHRIS EDWARDS, CATO INSTITUTE: The growth and entitlement program like Social Security and Medicare frankly are squeezing out a lot of other activities of the federal government. Eventually we have to take on the departments and downsize them simply because the entitlements are costing so much.</s>SYLVESTER: But rolling up a whole agency? It's not easy. Sally Katzen is a former deputy director of Office of Management and Budget and a senior analyst with the Podesta Group.</s>SALLY KATZEN, THE PODESTA GROUP: Everybody would like to have a more efficient government. But does that mean that you slice it down to size? And what size do you want because there are functions that are critical to the American people? And it matters in your everyday life and it matters to the business community and the way it functions. If you abolish those functions, you've lost something.</s>SYLVESTER: On Tuesday, Governor Perry will give a speech in Iowa outlining his fix for the government and a member of the press staff said that's when you'll hear more of the details if you proposed cutting the wholesale or keeping the critical functions in place.</s>BLITZER: Ron Paul wanted to eliminate five departments. We have three, five. We'll see what happens. Lisa, good report, as usual. Thank you. Newt Gingrich is strengthening his position near the top of the Republican presidential pact as Rick Perry and Herman Cain deal with gaffes and controversy. A new Maris poll shows a very competitive three-way race with Mitt Romney on top. Newt Gingrich essentially tied with Herman Cain for second place. The poll was taken after Perry's so-called brain freeze and after the sexual harassment allegations against Herman Cain surfaced over the past several days. A new CBS News poll shows a closer three-way race with Cain on top and Romney and Gingrich dead even. Let's bring in our chief political analyst Gloria Borger, who is watching all of this unfold. You're learning that Rick Perry has got some new initiatives, new efforts that he's wanting to do to bring his campaign back?</s>GLORIA BORGER, CNN CHIEF POLITICAL ANALYST: A lot bit of damage control. He just bought a national ad of about $1 million. It's an ad already on the air in Iowa. When you take a look at a little piece of it, you'll see why it makes a lot of sense after that oops moment.</s>RICK PERRY, (R) PRESIDENTIAL CANDIDATE: If you're looking for a slick politician or guy with great teleprompter skills, we already have that, he's destroying our economy. I'm a doer, not a talker.</s>BORGER: There you are, he's not a talker. He's also trying to reassure donors, the campaign has been talking to donors. The big issue right now is to get Rick Perry's credibility back with the voter and that's what that ad is about.</s>BLITZER: That is going to buy a lot of 30 second spots. If Rick Perry and Herman Cain are slipping a bit, and they apparently are for obvious reasons, why isn't Mitt Romney going up?</s>BORGER: The truth is he's not the perfect fit for the Republican primary voter. They are skeptical about him. They remember his so- called flip-flops from the 2008 campaign. And eventually, Wolf, I think what you're going to see, they will end up believing they have to settle for Mitt Romney. They are not going to fall in love with Mitt Romney. But the big question now for Romney campaign is whether they actually compete actively in Iowa and South Carolina. Romney is at the top or near the top in those states. They did not expect to be there. I spoke with a senior Romney adviser who said, look, the way you know whether we're going to compete in Iowa is if you see an ad go up in that state.</s>BLITZER: Doesn't it -- if he could win, for example in Iowa, New Hampshire he probably will win.</s>BORGER: Sure.</s>BLITZER: And South Carolina, it could be over.</s>BORGER: Wolf, he doesn't have to win. If he comes in second it looks like a win. The question is, do they put their resources into organizing in Iowa because that's what the Iowa caucuses are about.</s>BLITZER: It looks like the big winner so far over the past several days is Newt Gingrich, because all of a sudden, you saw the polls, he's doing amazingly well.</s>BORGER: He's doing amazingly well, he keeps complaining that he doesn't like the debates. Take a listen to this.</s>NEWT GINGRICH, (R) PRESIDENTIAL CANDIDATE: I just want to point out, my colleagues have done a terrific job of answering an absurd certain question. To say in 30 seconds -- The debates are a better way of communicating than anything else we've found so far.</s>BORGER: There you are. He says the questions are absurd but they are good ways of communicating. For a candidate like Newt Gingrich whose campaign seemed to implode early on, the debates are a way to get out there on the platform and get well known, strut your stuff. And so far, he's a pretty good debater, Wolf. He's done very well.</s>BLITZER: If anyone has gained from the debates, it's Newt Gingrich.</s>BORGER: So he complains, but he's not going to opt out of any of them. He'll be at your debate.</s>BLITZER: He will be, of course. Thank you very much, Gloria, for that. I'll be the moderator when the candidates take part in CNN's next Republican debate in Washington, D.C., Constitution Hall. Join us Tuesday night, November 22nd, 8:00 p.m. eastern. You'll want to see that debate. President Obama delays a decision on a controversial pipeline expansion. 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