Mulvaney is set to replace Kelly as interim White House chief of staff

President Trump selected Mick Mulvaney to serve in the role on an interim basis.
7:31 | 12/15/18

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Transcript for Mulvaney is set to replace Kelly as interim White House chief of staff
in the trump administration. The president naming a temporary replacement for his outgoing cef of stf. S Lana zaks iur D.C. Bureau with more. Reporter:a white hoe describedschaotic, general Kelly's replacemwill serve as acting of staff becathat's howhe president wanted it. Amed Mick Mulvaney making H the thierson to occupy that role in less than tw easier in they, former governor of New Jersey and ABC ws contributor Chris cti took himself out of the running citing his family. Hours Lathen with Mulvaney, his current direct of management get, and announced Mulvaney would replace general John Kelly. The president also tweeted, for E record, ther M people who wanted to be the white house chief of staff. M will a great J. In ts latestest wing shake-up, mu will have his S late this week the president's ttorney Michael cohe sat downor an exclusive interview with ABC's George hanopoulos Cohen Ms that trp knew during the campaign that it was wrtole women. He was trying to hide what you were doingrrect? Orrect. Ndknew it waong? Of course. Reporter: Cohen allegesmp was dictly involved eating the ents to "Playbmodel Karen Al whclaims she hn affair with trump. He dicted me to make ym he dected me tbe lived in the tters. But president tru lyid nothing won I neverirected hit do anything wrong. Whatever he did, he did on his 'S a lawyer a lawyer who represents a clientis supposeto do the right Reporte deputy prs secretary hogan Gidley doubling down on that. Look, quite fly, for th media toiv T convicted criminal who has lied on multiple occions and admittedoing just at is who was sentenced to three years in pris crimes including campaign finance violation, tax evasion anury says hs co clean to ecial counsel investigators. There substantial amount of information that they possess thatorroborates the fact that I am telling the truth. The special counsel D that you were doing your best to tell the truth about everything related to their investigation, evelated to Russia do Y think president trump is telling thh at? No. That's a big statement. Repr: Also this morning publican satorin hatch is expressing regret for defending the present sang his cents were irresponsible and a poor reflection of my lhy record dto the rule of law going O say I ha exsece in Bob Mueller and his investigation. Just days ago hatcid Thi when asked about trump's Ible involmen Cohen's crimes Ion't care. All N E's doing a od job aesident. I don't think he was invd crimes. Reporter: Now, Mulvaney will ke on all of this witut of management and budget but white house press Ary Sarah Sanders says he will, quote, spend all of his dth as the acting cef of staff for the id So interesting to see those comments forrin hatcwho if sves voted to convict Bill Clinton. Lana Zak, thank you very much. Really appreciate that. So mucto talk about this morning so let'sng in our ace, ABC news chiefitical analyst Matthew dowd who joins us from tex T ring. Hew, let's just start with trump ans former fer, ael Cohen. The white house, as you saw Na's piecehere, cut and said in essence don't believe Michael cohen,an admitted liar isn't there some truth to that? Is calling another person a liar. An, Donald Trump has his own credibilites in the course othis, bu guess is the southern district of new York and the speciounsel Robert Mueller understand the problems that Michael N has in his own credibility, so my guess is Ty have a lot of other corroborating evidence that will back up what he says and not rely solely on him but as I say, the presidwho as we know as "The Washington post" has documented has probably told 6,000 or so plus things that arena S his own es with thtruth. Let's talk now about the new acting chief of St Mick Mulvaney. He's coming into a west wing that been at Tim think it's fair to say mulvanekely to be able to have an im here? L, I -- fit find the designation as him as acting sort of very interesting becau nearly everyinet member probably cders themsves ontays and O goes. I thheo have to -- geral Kelly ie himain goal was to provide discipline to the white house. As we teg back he wasn't very successful. Whether ot Mick muaney will dat, the inresting ING, Mick Mulvaney will still keep his budline of hiin and now wh the health carsituation we're in will is probably going to be his main source of strength in THA usss about dplining th president and keeping on a straight and north more abohat does hdo about care so let'sp bko that cause it'our lead story this morning. The judge in Texas, the state where you reside, declth thaca is unconstitnal. Esident overnico out in support of that hailing it as a victory and also Cal on congress to com W new law to proviea to mons of ameca do you think that is likely to happen, that the Democrats and repuicans can aft somethre Well, for the president and the Republicans, I harken back to wisdom, wch is be careful what you wish for, and in tsituation Lilly, E Democrats are in a much better position. Thinkor three reasons if you think about it. One is, Obamacare, the afrdare act, more popular than it's ever been since it was passed. Tye country ts that. Two, as we saw in the general elecn Ms health care was a huge issue and advantaged Democrats by large amounts. It's ay of their strongest issues they have in running against it Andree, thisuilds momentum for what many of the Progressive des chcare for all. I think it's going to be almost impossible for the democ andthe Republicans and the president to come ther on fixing this because where the Democrats ard where thicans want to be, it's obviously it's going to go to the of appeals. There's some question on wheth not thisudge's ruling will survive, B I thinkor tical purpes, this is a major, major problem for republicans they Mo into the 2020 race and heightens the ability for ressive ATS to pusdi L. Is eating, but you say this could be a political loser for him and hirty. Eah, Ike celebrang and Yo score a touchdown as the firstf ends butalf ur are injur in this and you go into the second half ha suchdown but many of ur star players are out. I Khat's akin to. This is political problem for good analogy outyou.there's noonversatioith Matt dowd that doesn't involve a good analogy. Thank you very much, Matthew. Ly apprecie on a saturdayning. No problem.

This transcript has been automatically generated and may not be 100% accurate.

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