Obama picks Daschle as health secretary

U.S. president-elect Barack Obama has nominated former senator Tom Daschle to the post of secretary of health and human services, the latest appointment as the incoming leader assembles his White Housedream team.

Rumours continue tocirculate about who else might make up Obama'sadministration when he succeeds U.S. President George W. Bush on Jan. 20.

Much attention has focused on formerrivalHillary Clinton potentially serving in the high-ranking post of secretary of state, now occupied by Condoleezza Rice.

There were media reports Wednesday that her husband, former U.S. president Bill Clinton, had agreed to several restrictions that would open the door for his wife to take the job.

Citing Democrats close to the negotiations, the New York Times said Bill Clinton had agreed to cede day-to-day responsibilities of his charitable foundation and open his future foundation activities and paid speeches to ethics reviews.

Associates of Hillary Clintontold the Associated Pressshe is weighing whether to leave the Senate to take the post, believing the job is hers if she wants it. Obama transition officials said other candidates have been vetted for the job, but the New York senator has emerged as the leading contender.

The appointment of Daschle to the health portfolio has beenpraised by organizations seeking an expansion of health coverage.

"His new leadership position confirms that the incoming Obama administration has made health-care reform a top and early priority for action in 2009," Ron Pollack, executive director of Families USA, told the Associated Press.

The South Dakota Democrat was a close adviser to Obama throughout the lengthy election campaign and recently wrote a book about how to improve health care.

Ex-Clinton advisers tapped

Also Wednesday, Obama named three former Clinton administration aides to advise him on policy matters over the next two months as he prepares for his move to the White House.

Daniel Tarullo, Susan Rice and James Steinberg were among those on a list of names of people who will help him in the transition period leading up to his inauguration.

Obama has tapped a number of veterans who served under former president Bill Clinton, the Democratic predecessor to Bush.

Tarullo, an international economy expert and law professor, has also been mentioned in several media reports as a leading contender to head up the White House National Economic Council, which co-ordinates economic policy throughout the administration.

Obama's top choice for attorney general appears to be Washington attorney Eric Holder, but no official decision has been announced.

Holder was the No. 2 official in the Justice Department under Clinton's administration and has been one of Obama's most trusted advisers, taking part in the team that selected Joe Biden as Obama's running mate.

The first official appointment Obama made was selecting Illinois Representative Rahm Emanuel as his White House chief of staff, who typically sets overall White House policy directions and controls daily access to the president.

The No. 4 Democrat in the House of Representatives was also a former senior adviser to president Bill Clinton.