WASHINGTON Apr 19, 2006 (AP)— White House Deputy Chief of Staff Karl Rove is giving up his policy portfolio and press secretary Scott McClellan is resigning, continuing a shakeup in President Bush's administration that has already yielded a new chief of staff.

A senior administration official, who spoke on condition of anonymity because the president had not yet made the announcement, said Wednesday that Rove is giving up oversight of policy development to focus more on politics with the approach of the fall midterm elections.

Just over a year ago, Rove was promoted to deputy chief of staff in charge of most White House policy coordination. That new portfolio came on top of his title as senior adviser and role of chief policy aide to Bush.

But now, the job of deputy chief of staff for policy is being given to Joel Kaplan, now the White House's deputy budget director, said the official.

The move signals a possibly broad effort to rearrange and reinvigorate Bush's staff by new chief of staff Joshua Bolten. Bolten moved into his position last week; Kaplan was his No. 2 person at the Office of Management and Budget.

At least for the time being, the promotion of Kaplan would leave Bush with three deputy chiefs of staff: Rove, Kaplan and Joe Hagin, who oversees administrative matters, intelligence and other national security issues.

Appearing with Bush on the South Lawn, McClellan, who has parried especially fiercely with reporters on Iraq and on intelligence issues, told Bush: "I have given it my all sir and I have given you my all sir, and I will continue to do so as we transition to a new press secretary."

Bush said McClellan had "a challenging assignment."

"I thought he handled his assignment with class, integrity," the president said. "It's going to be hard to replace Scott, but nevertheless he made the decision and I accepted it. One of these days, he and I are going to be rocking in chairs in Texas and talking about the good old days."

McClellan was named press secretary in June 2003, not long after the United States invaded Iraq and had first been a deputy to Ari Fleischer in the job a White House position with daily visibility rivaling virtually everyone there except the president.

Ater the announcement, Bush and McClellan walked across the lawn together and boarded Marine One, but a problem with the helicopter's radio kept it grounded. The president and his staff were forced to take a motorcade to Andrews Air Force Base, Md., where Bush was scheduled to depart for Alabama.

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