The predictors of this election were in the tank before the primaries were ever finished. Regardless of approval numbers, it was largely the ineffectiveness of the democratic congress that caused Bush's ratings to be what they were. However, Bush was never vocal in defense of his actions which will also be his downfall in the history books if left to their current trends. This election proved that most Americans believe the MSM/ Democrats when they put the success (or failure) of the USA on the shoulders of the President. This exhibits a poor understanding of how our government was designed to work by the founding fathers and further demonstrates the failures of public schooling. I'm not apologizing for Bush, but there is a much larger picture for which he does not deserve most of the blame.
While your recommendation is quite sound and I agree whole-heartedly, Rahm taking the census into the White House will most likely alter precincts in favor of Democrats simply by shifting lines on a map around blue areas. Stronger action will probably be needed, but what you have out-lined is a step in the right direction. Kudos.