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FROM THIS EPISODE

California voters thought the recall election meant the end of Governor Gray Davis and his Democratic regime. But today, Governor Schwarzenegger stunned the Republican Party by hiring one of Davis' top aides to run his Republican administration. Democrat Susan Kennedy is a gay-rights activist who married her partner after making her name with the Abortion Rights Action League. She was Executive Director of the Democratic Party before becoming Cabinet Secretary for Davis. Now she'll be Schwarzenegger's Chief-of-Staff. Democrats say they're delighted. Conservative Republicans are outraged. We hear how the Governor explained himself to reporters and get reaction from politicos on both sides of the aisle.

Susan Kennedy

Marinucci's article on beginning of Schwarzenegger administration shake-up

Bradley's article on California's -taxing relationship' with Governor Schwarzenegger

Producers:
Frances Anderton

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