Rarely are secretaries of agriculture near the center of attention in Washington, but Tom Vilsack is in the hot seat after abetting the right-wing noise machine’s latest attempt to undermine the Obama administration. On Monday an African-American US Department of Agriculture official, Shirley Sherrod, was sacked because a right-wing website made her appear to have discriminated against a white farmer.

Sherrod, USDA’s rural development director for Georgia, said she was ordered to resign on Monday after a video, posted on one of Andrew Breitbart’s conservative sites, showed her saying she had not given a white farmer her “full force.”

The NAACP later posted the full, unedited video of Sherrod speaking at an NAACP Freedom Fund Dinner, and it showed the remarks had been taken out of context in the version posted by Breitbart. Breitbart had said that he had posted the full version he was given. The farmer, Roger Spooner, now 87, appeared on CNN from his Georgia home and said Sherrod had been “helpful in every way – she saved our farm.”

Vilsack should know better than to validate a phony right-wing narrative, but he’s never been a happy partisan warrior. I’m not surprised he kicked a USDA official to the curb instead of waiting to hear all the facts. He probably hoped to kill this “news” story before it gained momentum. The problem is, he has created more incentive for Obama’s opponents to gin up fake scandals. Vilsack also damaged his own reputation. Lots of people will want answers to the questions Greg Sargent asks today:

Now that the full Shirley Sherrod video has been released, vindicating her completely, Agriculture Secretary Tom Vilsack is  promising to undertake a review of her firing. So maybe he will re-instate her after all.

But it isn’t enough for Vilsack to reinstate her. People should demand that his review include an explanation for his own decision to fire her. We need to hear his justification for the decision to ax this woman before all the facts were in, on the strength of nothing more than an Andrew Breitbart smear.

Did Vilsack make any effort to learn more about her speech before giving her the push? If not, why not? Sherrod says she told top USDA officials that the full speech would vindicate her. Did anyone at USDA give her protestations even a passing listen? Did anyone try to obtain video of the full speech? If not, why not? Why was Breitbart’s word alone allowed to drive such a high-profile decision?

People should also demand that the White House weigh in publicly on what happened here. The White House has only discussed this via anonymous leaks, and this morning, officials are conveniently leaking word that the White House prodded Vilsack to reconsider Sherrod’s firing. That’s nice, but was the White House told in advance that the firing was about to happen, and if so, why did it allow the firing to proceed?

The White House looks bad for supporting Vilsack’s rush to judgment, then backing off when the full video of Sherrod’s remarks appeared. But ultimately, this was Vilsack’s mistake. Let’s hope he learned the right lessons from it.

UPDATE: Charles Lemos posted the full video of Sherrod’s speech and his reaction to it. It’s worth a read.

SECOND UPDATE: Vilsack has apologized and offered Sherrod another USDA position. I’ve posted the video after the jump. Good for him; it’s not always easy for politicians to admit a mistake. TPMDC reported today,

In response to a question from TPMDC, Vilsack called the debacle “a teachable moment for me.” He admitted that Sherrod had received advance notice of Breitbart’s intention to (mis)use the clip and had attempted to inform her superiors, including Vilsack, by email — but the email did not get through, and thus her superiors’ first contact with her regarding the incident was after Breitbart’s release of the clip.

President Barack Obama has nominated Jacob “Jack” Lew as his new director for the Office of Management and Budget. Peter Orszag recently announced plans to step down from that position. Lew served as OMB director during Bill Clinton’s administration. Announcing his choice at a July 13 press conference, Obama said,

“Jack’s challenge over the next few years is to use his extraordinary skill and experience to cut down that deficit and put our nation back on a fiscally responsible path. And I have the utmost faith in his ability to achieve this goal as a central member of our economic team,” Obama said.

The president pulled this line straight from Republican talking points:

“At a time when so many families are tightening their belts, he’s going to make sure the government continues to tighten its own,” Obama said in announcing Lew’s selection at the White House.

“He’s going to do this while making government more efficient, more responsive to the people it serves,” Obama continued.

How will the government become “more efficient”? We know the Pentagon won’t be asked to make any sacrifices, since Obama can’t bring himself to request even a slight reduction in our defense budget. On the contrary, he keeps going back to Congress for more supplemental war spending.

I hope Obama doesn’t believe what he’s saying, because aggressive policies to reduce unemployment are much more urgently needed than “belt-tightening” by the government. The Clinton economic boom turned deficits into surpluses not only (or mainly) because of spending cuts, but because unemployment dropped to historically low levels across the country.

If the president was speaking sincerely yesterday, then Lew’s appointment likely means less spending on infrastructure, social benefits and other domestic programs. The trouble is, we’re not going to significantly reduce the federal deficit if unemployment remains high. More federal spending may be needed to stave off a double-dip recession and ease the strain on state budgets. Bonddad decimated the argument for “austerity” here. Click over to view the numbers he posted, which show that the U.S. has had a structural deficit for the last decade.

Notice this started a long time ago. Yet suddenly everyone is up in arms about the deficit. Please.

Secondly, the complete denial about the important beneficial effects of government spending (especially infrastructure spending and unemployment benefits) is maddening. Regrettably, everyone now talks in sound bites instead of facts. So here’s a few inconvenient facts.

1.) The US economy grew at a solid rate in the 1960s. Why? A big reason was the US government building the highway system. Now goods and services could move between cities in a far easier manner. If you think that wasn’t a big deal then you obviously don’t get out much.

2.) Since 1970, government spending has accounted for about 20% of all US GDP growth.

Bonddad further explained here why austerity hasn’t created economic expansion in European countries that have gone down that road.

Instead of echoing Republican messaging, which suggests the deficit should be the government’s top concern, Obama should be out there making the case for more spending on job creation and economic relief (such as unemployment benefits, which yield more stimulus “bang for the buck” than most forms of government spending). He should also demand more federal fiscal aid to the states, particularly through the Medicaid program. If Congress cuts off further support now, state budget cuts could cost this country nearly a million jobs, according to Nicholas Johnson of the Center on Budget and Policy Priorities:

The [National Governors Association (NGA) and the National Association of State Budget Officers (NASBO)] report shows that federal Recovery Act [2009 stimulus bill] assistance has greatly helped states deal with their shortfalls in a responsible, balanced way. But that assistance will largely run out by the end of December, halfway through states’ fiscal year and long before state budgets are expected to recover.

In the year ahead, state budget-closing actions could cost the economy up to 900,000 public- and private-sector jobs without more federal help. When states cut spending, they lay off teachers and police officers and cancel contracts with vendors. The impact then ripples through the wider economy as laid-off workers spend less at local stores, putting more jobs at risk.

If Obama stakes his presidency on bringing down the budget deficit in the short term, he may be looking for a new job in 2013.

LATE UPDATE: Chris Hayes wrote a good piece for The Nation called “Deficits of Mass Destruction”:

Nearly the entire deficit for this year and those projected into the near and medium terms are the result of three things: the ongoing wars in Afghanistan and Iraq, the Bush tax cuts and the recession. The solution to our fiscal situation is: end the wars, allow the tax cuts to expire and restore robust growth. Our long-term structural deficits will require us to control healthcare inflation the way countries with single-payer systems do.

But right now we face a joblessness crisis that threatens to pitch us into a long, ugly period of low growth, the kind of lost decade that will cause tremendous misery, degrade the nation’s human capital, undermine an entire cohort of young workers for years and blow a hole in the government’s bank sheet. The best chance we have to stave off this scenario is more government spending to nurse the economy back to health. The economy may be alive, but that doesn’t mean it’s healthy. There’s a reason you keep taking antibiotics even after you start to feel better.

And yet: the drumbeat of deficit hysterics thumping in self-righteous panic grows louder by the day.

The Atlantic’s Joshua Green thinks so:

I think Summers is going to leave sooner rather than later, possibly before the mid-term elections, and if not then, soon afterward.

Why? Because Summers is frustrated by his role, and his colleagues are clearly frustrated with him. Alexis Simendinger had a devastating item in last week’s National Journal suggesting that Summers’s “legendary self-regard” and “ego the size of the national debt” had gotten out of control. Some of Summers’s frustration no doubt stems from his wanting to be Treasury secretary. When that plum went to Geithner, Summers cast his eye on the Fed chairmanship and agreed to bide his time until Ben Bernanke’s term ended at the NEC–a staff position well below his old job as Clinton’s Treasury secretary. Most administration officials tactfully avoid pointing this out, because Summers has a fragile ego. But that’s why Joe Biden is so great. “How many former Secretaries of the Treasury would come in not as Secretary of the Treasury?” Biden blurted out to the New Yorker’s Ryan Lizza last fall.

But Summers didn’t get the Fed job either. Apparently that didn’t sit well. Administration insiders told Simendinger that Summers demanded a series of perks as compensation, including cabinet status, golf dates with the president, and a personal car and driver. In the “No Drama” Obama administration, such behavior stands out.  […]

Summers always seemed a bad fit for NEC director because the job entails dispassionately presenting the president with the counsel of his competing economic advisers. Summers doesn’t do “dispassionate” and he didn’t want to limit himself to fielding others’ advice–he had plenty of his own to offer. In other words, he was supposed to be the referee, but he also wanted to play power forward.

Summers was one of President Obama’s worst appointments, in my opinion, but I wouldn’t expect the president to reshuffle his economic team unless a mostly-jobless recovery continues, or the worst-case scenario of a douple-dip recession develops. Anyway, Summers’ departure wouldn’t herald a real change in economic policy if Green is right about Timothy Geithner being “ever more secure at Treasury.”

What do you think, Bleeding Heartland readers?

I’m tired of thinking about the Massachusetts Senate race. Here’s some good news from last week that drew little media coverage.

It confirmed my view that Transportation Secetary Ray LaHood will turn out to be one of President Obama’s outstanding appointments.  

UPDATE: Cenk Uygur asks and answers a very good question: Why is Fox News leaving Geithner alone?

Let’s hope the latest scandalous revelation about Timothy Geithner will bring a rapid end to his service as Treasury secretary:

Jan. 7 (Bloomberg) — The Federal Reserve Bank of New York, then led by Timothy Geithner, told American International Group Inc. to withhold details from the public about the bailed-out insurer’s payments to banks during the depths of the financial crisis, e-mails between the company and its regulator show.

AIG said in a draft of a regulatory filing that the insurer paid banks, which included Goldman Sachs Group Inc. and Societe Generale SA, 100 cents on the dollar for credit-default swaps they bought from the firm. The New York Fed crossed out the reference, according to the e-mails, and AIG excluded the language when the filing was made public on Dec. 24, 2008. The e-mails were obtained by Representative Darrell Issa, ranking member of the House Oversight and Government Reform Committee.

The New York Fed took over negotiations between AIG and the banks in November 2008 as losses on the swaps, which were contracts tied to subprime home loans, threatened to swamp the insurer weeks after its taxpayer-funded rescue. The regulator decided that Goldman Sachs and more than a dozen banks would be fully repaid for $62.1 billion of the swaps, prompting lawmakers to call the AIG rescue a “backdoor bailout” of financial firms.

“It appears that the New York Fed deliberately pressured AIG to restrict and delay the disclosure of important information,” said Issa, a California Republican. Taxpayers “deserve full and complete disclosure under our nation’s securities laws, not the withholding of politically inconvenient information.” […]

Barney Frank, a Massachusetts Democrat and chairman of the House Financial Services Committee, said the e-mail exchanges were “troubling” and that he supports holding congressional hearings to review them.

I’ve been hoping for the last year that President Obama would ditch Geithner sooner rather than later. President Obama didn’t react publicly to the November report from the Office of the Special Inspector General for the Troubled Asset Relief Program, which slammed Geithner’s conduct during the AIG bailout. But it’s clear that Geithner wasn’t looking out for the public interest in his last job and never should have been promoted to his current position.  

It took me a week longer than I anticipated, but I finally finished compiling links to Bleeding Heartland’s coverage from last year. This post and part 2, coming later today, include stories on national politics, mostly relating to Congress and Barack Obama’s administration. Diaries reviewing Iowa politics in 2009 will come soon.

One thing struck me while compiling this post: on all of the House bills I covered here during 2009, Democrats Leonard Boswell, Bruce Braley and Dave Loebsack voted the same way. That was a big change from 2007 and 2008, when Blue Dog Boswell voted with Republicans and against the majority of the Democratic caucus on many key bills.

No federal policy issue inspired more posts last year than health care reform. Rereading my earlier, guardedly hopeful pieces was depressing in light of the mess the health care reform bill has become. I was never optimistic about getting a strong public health insurance option through Congress, but I thought we had a chance to pass a very good bill. If I had anticipated the magnitude of the Democratic sellout on so many aspects of reform in addition to the public option, I wouldn’t have spent so many hours writing about this issue. I can’t say I wasn’t warned (and warned), though.

Links to stories from January through June 2009 are after the jump. Any thoughts about last year’s political events are welcome in this thread.

Since few media outlets have a reporter assigned to the labor beat anymore, we’ve heard little this year about one of President Obama’s best cabinet appointments: Secretary of Labor Hilda Solis.

Tracy Kurowski wrote a good post at Blog for Iowa about the Department of Labor’s annual Statement of Regulatory and Deregulatory Priorities, released three weeks ago (full report here). The gist is that Solis is getting her department “back to the business of looking out for labor rather than commerce.” Some highlights are after the jump, but you should go read Kurowski’s whole post for more details and background.

President Barack Obama’s cabinet is complete just in time for his 100th day in office, now that the Senate has confirmed Kansas Governor Kathleen Sebelius for Health and Human Services secretary by a vote of 65 to 31. Senator Chuck Grassley joined most of his Republican colleagues in voting no, citing her ties to George Tiller, a Kansas doctor who performs late-term abortions.

When Obama picked Sebelius I didn’t expect her confirmation to become controversial, since she is a popular Democratic governor in a conservative state. (Both of the Republican senators representing Kansas voted to confirm Sebelius.) However, anti-abortion groups have been fighting the nomination because when asked how much money Dr. Tiller had donated to her, Sebelius initially reported only his contributions to her campaign funds and not his contributions to her political action committee.

For a time Republicans threatened to filibuster Sebelius’s nomination, but they never appeared to have the votes to support a filibuster. Grassley indicated last week that although he opposed Sebelius, he would not have backed a filibuster of her nomination.

Republicans did manage to hold up her confirmation vote for a while. The silver lining behind that obstructionist cloud was that Sebelius remained governor long enough to veto a bill that would have paved the way for two huge coal-burning power plants in Kansas.

Sebelius’s 31 no votes in the Senate make her the second most-controversial Obama cabinet member. Treasury Secretary Timothy Geithner was opposed by 34 senators, including both Grassley and Tom Harkin.

Earlier this year it seemed that Republican opposition would be strongest to Obama’s choice for attorney general, but Eric Holder drew only 21 no votes in the Senate. Grassley voted to confirm Holder despite some doubts, saying he was influenced by his (then Republican) colleague Arlen Specter.

Grassley also voted for the fourth most controversial Obama nominee, Labor Secretary Hilda Solis. Seventeen Republican senators voted against her confirmation.

A House Appropriations Subcommittee hearing featuring two low-profile cabinet members won’t make a splash even on a slow-news day, and certainly not when a juicy story like the AIG outrage has so many angles to explore.

But take my word for it: big news came out of yesterday’s Congressional testimony by Department of Housing and Urban Development (HUD) Secretary Shaun Donovan and Department of Transportation (DOT) Secretary Ray LaHood. The cabinet secretaries announced

a new partnership to help American families gain better access to affordable housing, more transportation options, and lower transportation costs. The average working American family spends nearly 60 percent of its budget on housing and transportation costs, making these two areas the largest expenses for American families. Donovan and LaHood want to seek ways to cut these costs by focusing their efforts on creating affordable, sustainable communities.

I explain why this is important and welcome news after the jump.

President Barack Obama formally announced on Monday that he is nominating Kathleen Sebelius to serve as Health and Human Services Secretary in his cabinet. She should be confirmed with little trouble, as various Republicans have already praised her nomination.

After the jump I’ve posted my initial thoughts on the pluses and minuses of this appointment.

Thanks to New Hampshire blogger Dean Barker I learned something new today about Senator Judd Gregg. According to the Associated Press,

President Barack Obama’s former nominee to become commerce secretary, Sen. Judd Gregg, steered taxpayer money to his home state’s redevelopment of a former Air Force base even as he and his brother engaged in real estate deals there, an Associated Press investigation found.

Gregg, R-N.H., personally has invested hundreds of thousands of dollars in Cyrus Gregg’s office projects at the Pease International Tradeport, a Portsmouth business park built at the defunct Pease Air Force Base, once home to nuclear bombers. Judd Gregg has collected at least $240,017 to $651,801 from his investments there, Senate records show, while helping arrange at least $66 million in federal aid for the former base.

Sadly, this isn’t unprecedented or even the most egregious example of members of Congress profiting from earmarks. Former House Speaker Dennis Hastert sold real estate for nearly $2 million in profits after he secured federal earmarks to construct the Prairie Parkway near land he owned.

What looks corrupt in politics turns out to be legal more often than not, and that seems to be the case here. The AP says Senate ethics rules do not permit senators to direct earmarks to projects “solely” in order to benefit themselves or their family members financially, but of course Gregg could point to all kinds of benefits from redeveloping the former base.

“I am absolutely sure that in every way I’ve complied with the ethics rules of the Senate both literally and in their spirit relative to any investment that I’ve made anywhere,” Gregg told the AP. “These earmarks do not benefit me in any way, shape, manner financially, personally or in any other manner other than the fact that I’m a citizen of New Hampshire.”

Still, one wonders whether this story prompted Gregg to withdraw his nomination for Commerce Secretary. Whatever his reasons, we’re better off without him.

Members of Congress should stick to the usual form of legalized corruption and only seek earmarks that would personally profit their large campaign contributors.

No one raises ethical concerns about that behavior. As a bonus, donors who stand to gain from the earmarks may go the extra mile during the incumbent’s next tough campaign.

Senate Republicans finally gave up on obstructing Hilda Solis’ nomination as Secretary of Labor today, and the Senate easily confirmed her by an 80 to 17 vote. Chuck Grassley was among the 24 Republicans who voted to confirm Solis. Tom Harkin did not vote but clearly would have voted yes, along with all the other Democrats, had he been in the chamber.

Solis’ confirmation was tied up for weeks in committee after Senator Mike Enzi of Wyoming put an anonymous hold on her nomination. Today even he voted yes, indicating that he had no solid grounds for blocking her from serving in the cabinet. I suspect Enzi was just trying to see whether he could trick Barack Obama into withdrawing her nomination as a gesture to Republicans.

Solis’s staunch longtime support for organized labor will make her a target for the right-wing noise machine, but who cares?

For more on why Solis is one of Obama’s best appointments so far, read this piece by Meteor Blades and this one by Paul Rosenberg, who notes,

People just loved talking about what a great political leader Hilda Solis is. I didn’t have nearly enough room to include all the good stuff that was said.

Calitics takes a first stab at handicapping the special election in California’s 32nd district, which Solis is vacating. It’s a safe Democratic seat but will have a competitive primary.

Obama has two cabinet positions left to fill. Kansas Governor Kathleen Sebelius appears to be the leading candidate for Health and Human Services now, and former Washington Governor Gary Locke is reportedly Obama’s pick for Commerce.  

Is this the face of the next Secretary of Commerce? There is a small but steady drumbeat in the far reaches of the blogosphere that hopes that may be the case.

Mr. Hochberg is the former dean of the Milano School for Management and Urban Policy in New York. Prior to that, he was a board member of the Human Rights Comission and the Port Authority of New York. He also served as President of his family's company, Lillian Vernon–during which time, he turned the small mail-order company into a publicly traded corporate success story.

During the Clinton administration, Hochberg served as deputy administrator for the Small Business Administration. He holds a  BA from NYU and an MBA from Columbia.

However, besides those qualifications, there is one thing that has put Mr. Hochberg on the radar: he's gay.

The Obama cabinet is wonderfully diverse. It has men, women, African Americans, Asian Americans and Latinos. It has people of all ages from all parts of the country. It even has Republicans. However, one thing that it does not have–that no cabinet has ever had–is an openly gay member. 

After New Mexico Governor Bill Richardson withdrew his name from consideration for the post, a small but steady drumbeat began to surface on some GLBT blogs suggesting that Hochberg was the man for the job. However, the nomination of NH Sen. Judd Gregg, followed by Hochberg's appointment to head the US Import-Export Bank quickly dashed those hopes.

But, the Gregg debacle has opened new hope for Hochberg's boosters. The belief is that the best way for Obama to redeem himself after nominating the conservative Republican (rated 33% by the Human Rights Commission) is to nominate the moderate-liberal Hochberg (former President of the Human Rights Commission). Hochberg has not been confirmed to serve as Import-Export Bank president, and scuttlebutt is he would serve in the position if asked. 

Will Fred P. Hochberg be nominated to serve as Commerce Secretary? It's admittedly an outside chance in a field crowded with so many highly qualified possibilities. But if Obama wants to add another to his administration's growing list of “firsts”, it remains a curious possibility. 

Senator Judd Gregg of New Hampshire withdrew his name from consideration for Commerce Secretary in Barack Obama’s cabinet today. Politico posted the statement from Gregg’s office. Excerpt:

I want to thank the President for nominating me to serve in his Cabinet as Secretary of Commerce. This was a great honor, and I had felt that I could bring some views and ideas that would assist him in governing during this difficult time. I especially admire his willingness to reach across the aisle.

However, it has become apparent during this process that this will not work for me as I have found that on issues such as the stimulus package and the Census there are irresolvable conflicts for me. Prior to accepting this post, we had discussed these and other potential differences, but unfortunately we did not adequately focus on these concerns. We are functioning from a different set of views on many critical items of policy.

Obviously the President requires a team that is fully supportive of all his initiatives. […]

As a further matter of clarification, nothing about the vetting process played any role in this decision. I will continue to represent the people of New Hampshire in the United States Senate.

One wonders why Gregg only noticed today that his views on economic stimulus and the census would impede his effectiveness as a cabinet member. (The U.S. Census Bureau is part of the Commerce Department.)

Despite the last paragraph of Gregg’s statement, you have to wonder whether something popped up in the vetting process here.

Whatever his reasons, I welcome the news and hope that the third time will be the charm for President Obama as he tries to fill this position.

This thread is for any comments or speculation about why Gregg dropped out and who should replace him at Commerce. I don’t want the job to go to another conservative or another Republican.

Yesterday Marc Ambinder mentioned Senator Tom Harkin as a possible nominee for Health and Human Services secretary in Barack Obama’s cabinet. As much as I agree with Harkin’s views on health care, I would hate to lose his voice in the Senate.

Huffington Post contacted Harkin, who praised the idea of nominating former Vermont Governor and Democratic National Committee Chairman Howard Dean for the job:

“I think that would be a very good move,” Harkin told the Huffington Post. “He brings all the background and experience. He’s very strong on prevention and wellness, which I’m very strong on. I think he’d make an outstanding secretary of HHS.”

Asked if he had spoken to White House on the matter, Harkin demurred: “I’m not going to get into that,” he said after a pause.

You may recall that Harkin endorsed Dean for president shortly before the 2004 Iowa caucuses. I like Dean and his views on health care, but I fear that he is not necessarily the best person to bring Democrats in Congress along with a comprehensive health care reform package.

I had to laugh at this paragraph in the Huffington Post piece:

Whether this endorsement helps or hurts is a topic of debate. The conventional wisdom seems to be that Dean’s frosty relationship with White House chief of staff Rahm Emanuel will be the main impediment to his ending up at HHS. Others are concerned that a major netroots movement to appoint Dean will actually turn the White House off the notion. They don’t want it to seem like they are “bending to the demands of the left,” as one Democrat put it — not because they aren’t concerned with progressive priorities, but because the choice will be criticized as an effort in political pacification.

Heaven forbid Obama should appoint someone from the Democratic wing of the Democratic Party! People might think he cares about left-leaning Democrats. Never mind that thousands of former Deaniacs became dedicated volunteers for Obama’s presidential campaign. Without people like them he never would have won the nomination.

Marc Ambinder reported yesterday that Congressman Raul Grijalva has urged Obama to appoint Dean. Grijalva is a leading figure in the House Progressive Caucus and was favored by more than 130 environmental organizations for Secretary of the Interior (a job Obama gave to conservative Democrat Ken Salazar).

According to Ambinder, Governor Phil Bredesen of Tennessee is “a top candidate.” Daily Kos diarist DrSteveB discussed some of the names being floated yesterday and explains why Bredesen would be “beyond awful.” After reading that diary, I’m ready to remove the Obama-Biden magnet from my car if Obama nominates Bredesen.

By the way, DrSteveB likes Dean but doesn’t think he’s a good fit for Secretary of Health and Human Services.

The Senate confirmed Eric Holder as attorney general today by a vote of 75-21. Both Tom Harkin and Chuck Grassley voted yes, as expected. I always thought Holder would be confirmed, but I am pleasantly surprised that he was approved by a larger majority than Treasury Secretary Timothy Geithner. I believe Holder will turn out to be one of President Barack Obama’s better cabinet appointments.

For reasons I cannot fathom, Obama appears ready to appoint Senator Judd Gregg of New Hampshire, a conservative Republican, as Secretary of Commerce. Chris Bowers concisely explains why this is an awful choice:

So, for some reason, in the wake of total Republican intransigence on the stimulus bill, the Obama administration will respond by putting a Republican in charge of one the federal departments overseeing the economy. Judd Gregg himself has said he will oppose the stimulus package. That is certainly an, um, interesting way for the Obama administration to incentivize Republican opposition. Oppose President Obama, and he will reward you by giving you a cabinet position.

It is worth noting what sort of ideas Judd Gregg has for the economy: a commission of center-right insiders operating in secret and circumventing Congress in order to destroy Social Security and Medicare.

Senate Republicans continue to hold up Hilda Solis’s confirmation as Labor Secretary, and Obama responds by appointing Gregg to the cabinet?

Democrats won’t even get a Senate seat out of the deal, because the Democratic governor of New Hampshire has promised to appoint a Republican to serve out Gregg’s term. The only upside is that the appointee may be easier to beat in 2010 than longtime incumbent Gregg would have been. But that’s not worth handing over control of the Commerce Department to a conservative, in my opinion.

All I can say is, Gregg better not screw around with the Census Bureau and the National Oceanic and Atmospheric Administration.

In a dispatch from bizarro world, Politico’s David Rogers still isn’t convinced that Obama is serious about bipartisanship, even though Gregg will become the third Republican in his cabinet and will be replaced by a Republican in the Senate:

Obama, while talking a good game about bipartisanship, is draining the Senate of the very talent he needs to achieve this goal.

If only Obama were merely “talking a good game about bipartisanship.”

Speaking of Senate Republicans, Kagro X put up a good post on prospects for a filibuster of the economic stimulus bill, and Chris Bowers posted a “whip count” here, concluding that

Overall, it seems highly likely that the stimulus will pass without Republicans forcing major changes. However, given the narrow margins, this is not a guarantee.

The Senate will likely vote on the bill on Wednesday. Grassley has already spoken out against what he calls the “stimulus/porkulus bill.”

Senator Chuck Grassley voted to confirm Eric Holder yesterday as the Senate Judiciary Committee approved the nomination by a lopsided 17-2 vote. Thomas Beaumont’s report for the Des Moines Register noted that Grassley

has been vocal in his concern about Holder’s role in advising former President Bill Clinton about his pardon of fugitive financier Marc Rich and his granting clemency to members of a Puerto Rican nationalist group convicted on weapons and conspiracy charges.

“It gives me a great deal of caution,” Grassley said during a conference call with reporters before the vote.

Grassley said ranking judicial committee Republican Arlen Specter’s support for Holder was influential in his own decision.

“Specter has worked on these pardons harder than I have,” Grassley added. “And if he’s willing to forgive on that and accept the explanations, that would lead me to as well.”

Many people believe that Specter aggressively questioned Holder during the confirmation hearings in order to defend himself against a possible primary challenge in 2010. A few days ago the Club for Growth whack-job who challenged Specter in 2004 announced that he will not run for the Senate seat from Pennsylvania in 2010.

Meanwhile, Americans United for Change plans to run this television ad in Iowa to pressure Grassley to vote for President Barack Obama’s stimulus package:

I would be shocked if Grassley voted for the stimulus bill. I doubt he feels vulnerable to public pressure on this issue.

The U.S. Senate confirmed Timothy Geithner as Treasury Secretary today by a vote of 60 to 34, but as you can see from the roll call, both of Iowa’s senators voted no.

Grassley was joined by 29 other Republicans. He voted against Geithner in the Senate Finance Committee a few days ago, citing the nominee’s failure to fully meet his tax obligations during some previous years.

Harkin was one of only three Senate Democrats to vote against confirming Geithner. According to the Des Moines Register,

Harkin voiced concerns about Geithner’s failure to pay some income taxes several years ago, amounting to about $34,000. […]

Harkin also said Geithner was at fault for how some of the $700-billion financial rescue money, authorized by Congress in October, was spent. Harkin voted for the bailout, but said later he would have voted against it had he known the money would go to banks, rather than to buy bad loans.

Geithner was a key figure in the crafting and administering of the money as the president of the Federal Reserve Bank of New York. In the post, Geithner also was partly to blame for the financial meltdown, which stemmed from inadequate regulation, Harkin argued.

“Mr. Geithner made serious errors of judgment in failing to pay his taxes, and he made serious errors in his job as chief regulator of the financial institutions at the heart of the current financial crisis,” Harkin said in a statement released after the vote.

I am surprised that so many senators voted against Geithner. I stand by my opinion that if he were not a white male, the tax problems would have sunk his nomination.

Speaking of Senate confirmations, some Republican has reportedly put an anonymous hold on the nomination of Hilda Solis as Labor Secretary. I called Grassley’s office today, and a staffer told me it wasn’t him.

Will President Barack Obama go to the mat to get Solis confirmed? Will the Republicans filibuster this strong supporter of workers’ rights and the Employee Free Choice Act?

I had assumed that Attorney-General designee Eric Holder would be the cabinet appointment most fiercely opposed by Republicans, but perhaps it will be Solis.

UPDATE: Geithner’s actions during his first day on the job are not encouraging. I believe he will turn out to be one of Obama’s worst appointments.

Senator Chuck Grassley voted against Timothy Geithner’s nomination for Treasury Secretary today:

Grassley had praised Geithner for being qualified for the job and for apologizing for his failure to pay $34,000 in income taxes several years ago. But Grassley said he gave inconsistent answers during his testimony to the committee during his confirmation hearing Wednesday.

“The explanations for irregularities have ranged from statements that he should have known, to proclamations that if only his accountants had warned him he would have done the right thing,” Grassley said in a statement released after the committee vote.

“I received a message yesterday from a constituent in Dubuque expressing concern about this nomination. The constituent wrote, ‘If the man cannot handle his own finances, how is he going to handle the country’s?’ “

Geither will be confirmed easily by the full Senate. Only four other Republicans on the Senate Finance Committee joined Grassley in voting against him.

I am surprised that Grassley voted against Geithner, given that the Wall Street establishment is uniformly behind this nomination.

I wasn’t crazy about this pick because of Geithner’s role in the bailout. The Des Moines Register makes clear that Grassley did not oppose Geithner for that reason.

I think it’s reasonable for people to object when the prospective head of the Treasury Department did not fully meet his tax obligations for several years in a row. I also suspect that if Geithner were not a white male, a lot more senators would view his past tax problems as disqualifying.

I expect all of Obama’s cabinet appointments to be confirmed, with Eric Holder perhaps getting the most “no” votes for Attorney General.

Interestingly, only two Republicans voted against confirming Hillary Clinton as Secretary of State yesterday.

The Senate unanimously confirmed Secretary of Agriculture Tom Vilsack and five other Obama appointees on Tuesday.  

Congratulations are in order to Tom Vilsack today. As I predicted, the Senate confirmed him as Secretary of Agriculture by a unanimous vote. The same measure, approved shortly after Barack Obama’s inauguration, also confirmed five of the new president’s other appointees: Energy Secretary Steven Chu, Education Secretary Arne Duncan, Interior Secretary Ken Salazar, Homeland Security Secretary Janet Napolitano, and White House Budget Office director Peter Orszag.

The Sunday Des Moines Register ran an article featuring Drake University Law Professor Neil Hamilton, who predicted that Vilsack will do more to reform the US Department of Agriculture than some of his critics anticipate:

His critics see Vilsack as “coming from only part of agriculture, and I don’t think that probably is accurate,” Hamilton said in an interview after Vilsack’s Senate confirmation hearing last week. Hamilton, who has long been an advocate of locally grown food systems, a priority of Vilsack’s critics, attended the hearing and chatted with the former governor afterward.

Hamilton persuaded Vilsack as governor to form a state food policy council to promote local food systems, among other ideas.

At last week’s Senate confirmation hearing, Vilsack promised to promote local foods.

Discussing Vilsack’s record on agriculture issues, Hamilton told the Des Moines Register that

Vilsack couldn’t have been expected to be anything but an advocate of biotechnology or ethanol when he was governor. “It would have been hard to be the governor of Iowa, just as it’s hard to be the senator from Illinois, without being a supporter of ethanol,” Hamilton said in a reference to Obama, a leading supporter of corn ethanol as an Illinois senator.

“The fact that you can see a role for genetic modification and science in agriculture doesn’t necessarily mean you don’t also see an opportunity for local food and organic” agriculture, Hamilton continued. […]

Hamilton said he is “very confident that whether it’s a year, two years, or four years, that most of the people” who signed the Food Democracy Now! petition “will be impressed and pleased” with Vilsack.

Hamilton was one of the six potential nominees for secretary of agriculture on the Food Democracy Now! petition. He is also one of the “sustainable dozen” that Food Democracy Now! is recommending for undersecretary posts within the USDA.

Those senior USDA appointments will set the tone for Vilsack’s tenure. I have no idea whether any of the “sustainable dozen” have a chance to be hired. Unfortunately, Jill Richardson reports that some strong advocates for industrial agriculture are being considered for high-ranking positions: Pennsylvania Secretary of Agriculture Dennis Wolff may become deputy secretary of agriculture, and Joy Philippi, former past president of the National Pork Producers Council, may become an undersecretary of the USDA. (In 2007, Philippi was a co-chair of Rural Americans for Hillary.)

Today, I am hopeful that Hamilton, who knows Vilsack well, is right about the governor’s plans for the USDA.

I look forward to writing regularly here about the Obama administration’s food and agriculture policies. La Vida Locavore will be following these issues in even more detail, so bookmark that blog if you are interested in these subjects.

Tom Vilsack appears to be on track for unanimous confirmation by the Senate as Secretary of Agriculture in Barack Obama’s cabinet. At his confirmation hearing yesterday, Republicans didn’t ask hostile questions, and Vilsack didn’t have to explain away any embarrassing behavior like Treasury Secretary-nominee Timothy Geithner’s failure to fully meet his tax obligations over a period of years.

Despite the lack of drama, Vilsack made a number of noteworthy comments during the hearing. Here are some highlights.

Vilsack told senators on Wednesday that

The Obama administration wants to accelerate the development of new versions of biofuels made form crop residue and non-food crops such as switchgrass. The plants’ fibrous material, or cellulose, can be converted into alcohols or even new versions of gasoline or diesel.

“Moving toward next-generation biofuels, cellulosic ethanol, is going to be really important in order to respond” to concerns about the impact on food prices of using grain for fuel, he said.

Vilsack addressed a range of other issues, pledging, for example, to promote fruit and vegetable consumption and promising to ensure that any new international trade agreement is a “net plus for all of agriculture.”

It makes a lot of sense to produce ethanol from perennial plants that are less energy-intensive to grow and need fewer herbicides, pesticides and fertilizer than corn.

Vilsack’s opening statement also

promised swift implementation of the Conservation Stewardship Program (CSP) which, alone among farm bill conservation programs, has languished under the Bush Administration since passage of the 2008 Farm Bill last May.

A little later during the hearing, Vilsack described the Conservation Stewardship Program as important for the environment and cited its potential to boost farm income and create jobs.

By the way, Vilsack’s disclosure documents show that he collects payments from the US Department of Agriculture on some Iowa farmland he and his wife own:

The former Iowa governor and his wife, Christie, have been receiving payments since 2000 for an acreage in Davis County that is enrolled in the land-idling Conservation Reserve Program, according to USDA data compiled by the Environmental Working Group.

In a Jan. 8 letter to USDA ethics officials, Vilsack said he would seek a waiver to continue receiving CRP payments while he is secretary. Otherwise, experts said, he would have to break his contract and reimburse the USDA for all previous payments he has received, which would total nearly $60,000.

Craig Cox, Midwest vice president of the Environmental Working Group, a research and advocacy organization, welcomed having an agriculture secretary who receives conservation payments.

At a time “when simultaneously protecting our soil, water, wildlife habitat and climate is an urgent priority, it is encouraging that our new secretary of agriculture is personally participating in a conservation program that does just that,” he said.

I’m with Cox; it’s good for the secretary of agriculture to have first-hand knowledge of the conservation reserve program’s value.

Earlier this week the Register published an article on the opening statement Vilsack prepared for his confirmation hearing:

Tom Vilsack is promising to use the U.S. Department of Agriculture to “aggressively address” global warming and energy independence.

In an opening statement prepared for his Senate confirmation hearing on Wednesday, President-elect Barack Obama’s nominee for agriculture secretary also said he would use the department to “create real and meaningful opportunities” for farmers and to guarantee that rural communities grow and prosper. […]

Vilsack, a former mayor of Mount Pleasant, also said rural communities continue to lose population and “find it increasingly difficult to keep pace with the ever-changing national and global economy.”

He pledged to try to resolve the long-standing civil rights claims against the department.

“If I’m confirmed, the message will be clear: discrimination in any form will not be tolerated,” Vilsack said.

After reading that Register article, La Vida Locavore’s Jill Richardson commented,

I want to see our subsidy structure change to reward farmers for sustainability instead of yield. I want the government to ease the financial risk on any farmer transitioning to organic because it appears to me that being an organic farmer isn’t so bad on your bank account, but transitioning alone might break several farmers financially. I want to outlaw CAFOs altogether. But will Vilsack do this? Let me just say this: I am so confident he won’t that I promise now to entirely shave my head if he DOES do each of these 3 things.

I think we can all agree that Jill is not going to look like Sinead O’Connor anytime soon. I totally agree with her first two suggestions. As for CAFOs, it’s not realistic to expect them to be banned, but I believe they would be greatly reduced in number and size (over time) if government policy made them pay for the harm they cause.

On a more encouraging note, I read this at the U.S. Food Policy blog:

Some highlights included Vilsack’s encouragement of locally grown fruits and vegetables and pronouncement that they should be grown not just in rural areas, but everywhere. He announced that he met with Health and Human Services nominee Tom Daschle last week in order to demonstrate the importance of working together for nutrition. “It’s going to be important for us to promote fresh fruits and vegetables as part of our children’s diets. . .that means supporting those who supply those products” and making it easier for consumers to buy locally grown products, Vilsack said.

Maybe Vilsack and Daschle will take some of Angie Tagtow’s excellent advice on how their agencies can work together to improve human health. I would also encourage them to read this recent piece by Steph Larsen: “For healthy food and soil, we need affordable health care for farmers.”

I am curious about what Vilsack means by “supporting those who supply” locally-grown fresh fruits and vegetables. One problem with our current agricultural policy is that commodity farmers lose all federal subsidies if they put more than two acres into growing fruits or vegetables. Apparently that was the price needed to get California’s Congressional delegation to vote for various farm bills over the years. Even though almost no subsidies go directly to California farmers, this penalty limits the competition California growers might otherwise face from Midwestern farmers.

So, very little of the produce consumed by Iowans is grown in Iowa, and our grocery stores are full of produce trucked in from thousands of miles away. Most of the crops Iowa farmers grow are inedible for humans without processing.

A few years back the Leopold Center for Sustainable Agriculture at Iowa State University published a report on “Food, Fuel and Freeways.” It showed how far food travels to Iowans and how much Iowans could reduce greenhouse-gas emissions if we increased the proportion of locally-grown food in our diets to even 10 percent of what we eat.

Getting back to the Vilsack hearing, members of the Senate Agriculture, Nutrition and Forestry Committee made some notable comments yesterday. who questioned Vilsack made some notable comments on Wednesday. Iowa’s own Tom Harkin, who chairs the committee, gave Vilsack a warm welcome:

“I just couldn’t be more proud to see you sitting there. I don’t think President-elect [Barack] Obama could have picked a better person for this position,” Harkin said.

Harkin also discussed federal child nutrition programs:

Agriculture Chairman Tom Harkin , D-Iowa, said reauthorization of a law (PL 108-265) governing school lunches and other child nutrition programs “is really the only thing that we have to do this year.” […]

During the hearing, Harkin said he will propose that the Department of Agriculture use Institute of Medicine guidelines to set standards for junk food sold in schools. Current USDA school food standards exempt most snack foods, because they aren’t a part of subsidized lunches.

During the last renewal of the child nutrition act, then-Gov. Vilsack wrote a letter to lawmakers and the Bush administration expressing concern about childhood obesity and the problem of vending machine snacks that compete with school meals.

At the time, Vilsack backed limits on the kinds of snacks and beverages students can buy outside the lunch line. Nutrition advocates want junk food kicked out of schools, but many schools use the cash from sales to cover the rising costs of meal services.

(Side note: the state of Iowa is now considering banning the sale of junk food in public schools.)

Meanwhile, Iowa’s Republican Senator Chuck Grassley urged Vilsack to act quickly on several other fronts, including rule-making that would protect smaller volume livestock producers. Also, Grassley and Democratic Senator Byron Dorgan of North Dakota wrote an open letter to Vilsack asking him to close a loophole affecting commodity program payment limits. Ferd Hoefner, Policy Director of the National Sustainable Agriculture Coalition, explains that “This particular loophole is the single most important one allowing mega farming operations to collect payments in multiples of what otherwise appears to be the statutory dollar limit.”

According to Hoefner,

Another former chairman, Pat Leahy (D-VT), weighed in with a comment that the Department is not keeping up with the rapid growth of organic and then with a question asking whether it wasn’t time for the Department to get on with the business of actually actively promoting organic.  Vilsack said we need to “celebrate and support” organic and USDA should view it as one very legitimate option in a menu of options for improving farm incomes.  Then, in response to an extended monologue from Senator Pat Roberts (R-KS) deriding organic as marginal, Vilsack held his ground, but diffused the implied antagonism, saying the Department needs to support the full diversity of American agriculture.

The Ethicurean blog published an excerpt of Roberts’ insult to “small family farmers”:

That small family farmer is about 5’2″ … and he’s a retired airline pilot and sits on his porch on a glider reading Gentleman’s Quarterly – he used to read the Wall Street Journal but that got pretty drab – and his wife works as stock broker downtown. And he has 40 acres, and he has a pond and he has an orchard and he grows organic apples. Sometimes there is a little more protein in those apples than people bargain for, and he’s very happy to have that.

How disappointing that an imbecile like this could easily get re-elected in Kansas. Roberts’ caricature does not resemble any of the sustainable farmers I know. They work just as hard as Roberts’ idealized “production agriculture farmer” but don’t receive any federal subsidies, despite growing high-quality food and being good stewards of the land.

If you haven’t already done so, please go to the Food Democracy Now site and sign their new petition recommending 12 good candidates for undersecretary positions at the USDA. These will be important appointments, since Vilsack won’t single-handedly be setting the USDA’s policy direction.

The Center for Rural Affairs has also launched a petition worth signing, which urges Vilsack to implement a number of programs that would benefit farmers and rural economies.

In one of his most surprising picks, President-elect Barack Obama will nominate Leon Panetta, a former chief of staff to President Bill Clinton, to head the Central Intelligence Agency.

I am inclined to think that this was a smart choice. Senator Dianne Feinstein of California was already griping that Panetta lacks significant intelligence experience, but I don’t want an insider at the CIA now. As Spencer Ackerman noted, Panetta is on record opposing the use of torture:

We cannot simply suspend [American ideals of human rights] in the name of national security. Those who support torture may believe that we can abuse captives in certain select circumstances and still be true to our values. But that is a false compromise. We either believe in the dignity of the individual, the rule of law, and the prohibition of cruel and unusual punishment, or we don’t. There is no middle ground.

We cannot and we must not use torture under any circumstances. We are better than that.

According to the New York Times, the Obama team was explicitly looking for someone without connections to controversial intelligence practices during George Bush’s presidency:

Aides have said Mr. Obama had originally hoped to select a C.I.A. head with extensive field experience, especially in combating terrorist networks. But his first choice for the job, John O. Brennan, had to withdraw his name amidst criticism over his role in the formation of the C.I.A’s detention and interrogation program after the Sept. 11 attacks.

Members of Mr. Obama’s transition also raised concerns about other candidates, even some Democratic lawmakers with intelligence experience. Representative Jane Harman of California, formerly the senior Democrat on the House Intelligence Committee, was considered for the job, but she was ruled out as a candidate in part because of her early support for some Bush administration programs like the domestic eavesdropping program.

In disclosing the pick, officials pointed to Mr. Panetta’s sharp managerial skills, his strong bipartisan standing on Capitol Hill, his significant foreign policy experience in the White House and his service on the Iraq Study Group, the bipartisan panel that examined the war and made recommendations on United States policy. The officials noted that he had a handle on intelligence spending from his days as director of the Office and Management and Budget.

Panetta ran the OMB for Clinton before being promoted to chief of staff, where he would have been privy to the president’s daily intelligence briefings.

Feinstein seems way off-base to suggest Panetta lacks the qualifications for this job. Her comments to the New York Times suggest that she’s offended not to have been informed about this pick in advance.

I am pleasantly surprised that Obama was looking for someone without connections to Bush’s eavesdropping program, given the way Obama caved on the Foreign Intelligence Surveillance Act last summer.

What do you think?

UPDATE: Laura Rozen quotes a bunch of former intelligence officials and finds a mixed reaction to the choice.

Also, Bleeding Heartland commenter amcsepboe provides more reaction and background.

SECOND UPDATE: Other bloggers are already compiling evidence to show that Feinstein and her colleague on the Senate Intelligence Committee, Jay Rockefeller of West Virginia, repeatedly enabled the Bush administration on torture and wiretapping.

EmperorHadrian goes over Feinstein’s history of supporting pro-torture Bush nominees.

Kula2316 has lots more reaction to the Panetta appointment here. The more I hear about the people who don’t like the pick, the more I think Panetta is the right person for the job.

Last year at this time I was scrambling to make as many phone calls and knock on as many doors as I could before the Iowa caucuses on January 3.

This week I had a little more time to reflect on the year that just ended.

After the jump I’ve linked to Bleeding Heartland highlights in 2008. Most of the links relate to Iowa politics, but some also covered issues or strategy of national importance.

I only linked to a few posts about the presidential race. I’ll do a review of Bleeding Heartland’s 2008 presidential election coverage later this month.

You can use the search engine on the left side of the screen to look for past Bleeding Heartland diaries about any person or issue.