Maybe it's just me, or does it sound like he's sorry that there are so many as two parties, and he thinks that having so many is responsible for the lamentable political friction he mentions? I almost think he'd rather be heading the One True Party of the One True Country.
Am I reaching? Maybe it's just a poor turn of phrase on his (or his speech-writer's) part. Even if that's all, it shows that the President has a remarkably poor familiarity with any reality other than the two-party system. I wonder if he's even aware how the rest of the developed world functions politically?
It ain't just you.
As for Bush wanting to lead with one party, I'd say no - he'd rather lead with no parties at all, other than the booze-filled ones.
Dem: "Um, excuse me, sorry, but... it seems that what you're doing is like... wrong-ish."
Repub: "You're a flip-flopper! You changed your mind about an unimportant issue over the course of 14 years! That means you can't be trusted about anything, ever!"
Dem: "*mumbles defensively and cringes*"
Repub: "That's right, bitch."
And about a billion minor pretend ones that only have two or three candidates across the country. You guys have regional representatives in government right? That never really occured to me that you wouldn't...