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Candidates pondered for 2 Cabinet positions

– Shuffling his second-term Cabinet, President Barack Obama plans to nominate Housing Secretary Shaun Donovan to be budget director and is considering San Antonio Mayor Julian Castro to succeed Donovan, according to people familiar with the selection process.

The moves would raise the profile of two men with close ties to the president. Donovan is an original member of Obama’s Cabinet and is well-liked within the White House, where officials have lauded his work overseeing the government’s response to Hurricane Sandy.

As budget director, he would have significant influence over the administration’s policy and spending priorities.

Castro’s star has been on the rise since Obama picked him to deliver the keynote address at the 2012 Democratic National Convention. The 39-year-old Castro is considered a possible vice presidential choice in 2016.

If Castro is nominated to head the Department of Housing and Urban Development and is confirmed by the Senate, he would be one of the highest-ranking Hispanic officials in the Obama administration.

A person familiar with the selection process said Donovan has been offered the budget director job and has accepted. An aide to Castro’s brother, Rep. Joaquin Castro, D-Texas, said the mayor has expressed interest in the housing job and does plan to accept if it is offered after formal screening.

Obama has previously tried to offer Castro a Cabinet post, but the mayor decided to stay in San Antonio and handily won a third term last year.

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