She's sputtering because she will likely be tossed out on her ear in 2008 as she has lost her base of support in N.O. She HAS to defend the locals and damn Bush. It's called politics; in this case, the politics of survival.
I'm sure she thinks most of those who voted her into office are more stupid than she is herself; hence, they will have no problem re-electing her because they are not educated enough to know any better.