Sidney Blumenthal writes in Salon (see advertisement for day pass - this is worth it) about how Bush has worked to dismantle his father's CIA and transfer those functions to the Pentagon.
This is an excellent article well worth the time it takes to read both pages.
My thought as I was reading through it is that the Republican mob which has taken over the federal government really does not believe in government outside of the military. So since Intelligence is a national security requirement, the civiliam agency must be dismantled and the functions transferred to the Pentagon. Purely civiliam functions, like disaster response, are not needed at all, so they dismantled FENA. Notice that when FEMA's collapse before the hurricanes Rita and Katrina became obvious, their first reaction was to give the problem to the Pentagon.
The Bush administration failure is a failure of the conservative ideas, the conservative Republican Party, and the group of individuals who currently run the White House, both Houses of Congress, and the Supreme Court (demonstrated when they handed the Presidential election Bush.)
This last is the least clear, but the judiciary is the most professional of the three branches of government in that before becoming a judge you require at least ten years as a lawyer after passing the bar. This process weeds out the incompetents to a greater degree than do the professionalism processes in the political processes that populate the top members of the White House or Congress.