Given that the Republicans could not muster enough votes to beat a really bad incumbent president, Goldberg's right - it's time to change the brand. Critical to that change is (a) defusing the traditional liberal demagogue subjects (abortion, gay rights, religion, affirmative action, etc.) and (b) opening the tent to recruit more voters.
Unless the Republicans plan to lurch leftward, it is the libertarian-leaning voters who are most easily recruited. And as Goldberg points out, federalism is a good starting point to recruit those who think the federal government is getting to big for its britches.
Let the states handle everything from Medicare to marijuana. Let the federal government protect the Constitution.