Bush Picks Gutierrez to Lead Commerce Department

WASHINGTON -- President Bush on Monday nominated Cuban-born Carlos M. Gutierrez, who rose from driving a truck for Kellogg Co. to become the breakfast giant's chairman, to be the next Commerce secretary.

It was Bush's first appointment in what likely will be a wholesale revamping of his economic team, signaling a fresh start as the president prepares to launch two politically challenging initiatives: a restructuring of Social Security and an effort to "simplify" the tax code.



If confirmed by the Senate, Gutierrez, 51, would succeed Donald L. Evans, a Texas oilman and longtime Bush friend whose resignation as Commerce secretary was announced earlier this month. 



Bush's economic team has been less visible than his national security team, but it is expected to gain importance as the White House attempts to build support for changes to Social Security and the tax code. The president is expected to replace a number of people in the team that would help him formulate his policy proposals and promote them in Congress. 



Bush has called for allowing workers to put some of their Social Security taxes into privately owned accounts, but he has not laid out any details, such as how to cover the resulting shortfall in money to pay benefits to current retirees and to people close to retirement. Bush has said he will push to simplify the tax code, but he has not committed himself to any specific changes. 



In addition to Evans, Stephen Friedman, director of the White House National Economic Council, has announced his resignation. N. Gregory Mankiw, chairman of Bush's Council of Economic Advisers, is expected to leave soon. 



The most visible economic aide, Treasury Secretary John Snow, also may leave. White House press secretary Scott McClellan, however, declined Monday to address Snow's future, dismissing such talk as a "Washington, D.C., speculation game." With Gutierrez's nomination, Bush has named three minorities to major jobs for his second term. The others are national security adviser Condoleezza Rice, who is in line to succeed Secretary of State Colin L. Powell -- both of whom are black -- and White House Counsel Alberto Gonzales, who would succeed Attorney General John Ashcroft. 



McClellan told reporters that Bush intended to continue presiding over a diverse Cabinet and White House staff, saying that he is "proud of the diversity within his team."