Earlier today, President Obama said, "We know the only way to solve the great challenges of our time is to put aside stale ideology and petty partisanship, and embrace what works," while introducing new Commerce Secretary nominee Judd Gregg, a Republican senator. Of course, Gregg is the second nominee for that position—former New Mexico governor Bill Richardson dropped out due to a corruption probe. And, today, two other appointees—Nancy Killefer, Chief Performance Officer nominee, and former Senate majority leader Tom Daschle, Health and Human Services Secretary nominee—withdrew their names from the running due to tax issues, an issue that mired Treasury Secretary Timothy Geithner's confirmation process in some drama.
Obama Admits He "Screwed Up" With Nominations
Daschle Withdraws Nomination
The Obama administration's cheering over Attorney General nominee Eric Holder's confirmation was short-lived, as Nancy Killefer ended her bid to be the first "Chief Performance Officer" (apparently over a tax issue with household help) and now former Senator majority leader Tom Daschle is no longer a contender to be Secretary of Health and Human Services. Daschle, who owed over $128,000 in back taxes, issued a statement, "If 30 years of exposure to the challenges inherent in our system has taught me anything, it has taught me that this work will require a leader who can operate with the full faith of Congress and the American people, and without distraction
.Right now, I am not that leader, and will not be a distraction.” President Obama also said he accepted and regretted Daschle's decision, "Tom made a mistake, which he has openly acknowledged. He has not excused it, nor do I. But that mistake, and this decision, cannot diminish the many contributions Tom has made to this country from his years in the military to his decades of public service.”
Obama Cabinet Nominee Back Taxes: Daschle Edition
For a former Senate Majority Leader, Tom Daschle is pretty stupid. Even though he suspected he might have to pay $128,000 in taxes on a car and driver (which were courtesy of the equity firm he was working for) all the way back in June, Daschle never told the Obama transition team when he was selected to head the Department of Health and Human Services last November. Instead, he told them about it a few weeks ago. While Daschle is "deeply embarrassed and disappointed," you can't blame one Democratic senator's aide saying to the NY Times, "It’s totally shocking. Why do we have to continue to have the same story over and over again with these nominees?” Daschle will meet with Senate members today to discuss the matter; Politico suggests that some think Senate Finance Committee member Senator Max Baucus (D-Montana), who defended back taxes-owing Timothy Geithner, is slow-rolling Daschle because, well, he doesn't like him.

