Great question! Fact is the GOP is now paying the piper for letting such a dolt be their Senate leader for so long. I don't think the problem lies with all or most Repubs though, it's the good ol' boy network (on both sides) that exists in the Senate. Lott is one of their country clubbers who brings the pork home and cuts good back-room deals with the other elites. Has little to do with ideology or principle.
You nailed it. The problem is that we allowed a boob to be elevated to such power. He will not step down as Maj. leader, and told Bush he would resign, giving the Senate seat to a Dem. Gov. appointee in Miss. (Back to 50/50). So he stays, and I think the episode is pretty well put to rest. He is going to do an interview on BET tomorrow, and if he isn't a total dunce, that should do it.
In a sense, the multiple apologies have let him talk this to death---exactly the opposite tactic that many here suggested.