I thought that interview was spectacular. That Barry guy started showing his cards at the end there. He's an elitist who simply can't fathom the idea that we would prosecute sitting congressmen for their crimes.
The key weakness of his argument is the idea that the Office of Legal Counsel has supreme authority to declare anything legal, and that the worst that could happen is impeachment. The Office of Legal Counsel is simply the president's lawyer. If your lawyer decrees that you are allowed to kill, that doesn't make it legal.
Impeachment is a completely separate process from criminal prosecution. Impeachment handles the political punishment, and prosecution handles the personal punishment. Bush obviously wasn't politically punished, but he still broke the law and should serve time.
I don't know if criminal prosecution of Bush would bring our government to a halt. I don't see Republicans leaping to his defense, but there will be a lot of people intensely interested in covertly impeding the process to cover their asses. Like Cenk said, the key reason government was ineffective in the late 90's was that Republicans wanted to publicly crucify Clinton, making it impossible for them to work together and creating hyper-partisanship. Bush/torture/spying are such toxic symbols that nobody will want to stand in front of the TV cameras to defend him.