This is a very interesting read and the neocons will freak if this happens. Cheney in particular may have some heart troubles....
http://www.atimes.com/atimes/Middle_East/HK11Ak04.html<snip>
According to Lawrence Wilkerson, former secretary of state Colin Powell's chief of staff, it was Cheney and Rumsfeld who made sure that Washington dismissed Iran's May 2003 offer to open up its nuclear program, rein in Hezbollah and cooperate against al-Qaeda. Rumsfeld was also a driving force behind using the Mujahideen-e Khalq, an Iranian terrorist organization opposed to the ruling clerics, to weaken Tehran.
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Much indicates that the only way out of this dead end is to do what Bush and Rumsfeld have refused to do all along: link Iranian cooperation in Iraq to Washington's willingness to find a compromise on the nuclear issue, where enrichment will be seen as a continuous rather than a binary variable. The White House refused such linkages in the past, since it sought complete victories. Now, creating linkages is necessary to avoid complete defeats in both Iraq and in Iran.
James Baker's ISG has already paved the way for dealing with Iran over Iraq, though Bush is yet to sign off on the idea of linkage. Last month, Baker met with Javad Zarif at the Iranian ambassador's residence in New York. The meeting lasted three hours and was deemed very helpful by both sides. Baker was told that Iran would consider helping the US in Iraq if "Washington first changed its attitude towards Iran", a euphemism for the Bush administration's unwillingness to deal with Iran in a strategic manner.
While the political earthquakes in Washington have raised hope that a shift in both Iraq and Iran may be forthcoming, Bush is still the final decision-maker. Neither a Democratic Congress nor a pragmatist in charge of the Pentagon is likely to change the course on Iraq and Iran unless the president recognizes the reality on the ground - without Iran, the US cannot win in Iraq, and without linking Iraq to the nuclear issue, Tehran's services are not available.