Now, it's Tom Daschle who forgot to pay taxes--$128,000 worth

More simple, inadvertent, overlooked, accidental, good-faith tax mistakes in the would-be Obama Cabinet.

This time it's Tom Daschle, the former South Dakota senator and Senate Democratic leader who got knocked off by the Republicans in 2004, shown here demonstrating the size of his tax mistakes over three years.

President Obama had wanted Daschle to be secretary of Health and Human Services and also honcho the administration's signature healthcare reform out of the White House.

But it turns out Daschle failed to pay $128,000 in taxes over three years in private life when he was getting paid $1 million a year to offer advice to rich people. Good thing Daschle wasn't nominated to be secretary of the Treasury.

Can you imagine how embarrassing it would be for the top Treasury officer to also make simple, inadvertent, overlooked, accidental, good-faith, ultimately corrected tax mistakes?

Oh, wait that did happen. Timothy Geithner missed paying $43,000 in taxes and didn't repay some until the Obama transition team insisted. But because it was so accidental and he's so good with money and numbers, Geithner got confirmed anyway by his party's Senate. So now he's lecturing bonused bankers about their outrageous greed.

What do you suppose will happen to Daschle over the revelation, initially by ABC News, that he didn't pay nearly three times that much money in taxes? His confirmation hearing is yet to be scheduled, but committee records indicate he filed amended returns for 2005, 2006 and 2007 just 29 days ago and has so far paid more than $140,000 in back taxes and interest.

The White House issued a statement late Friday night saying, "The president has confidence" that  Daschle's the right guy for healthcare reform. Which isn't the question actually.

Daschle was way too busy to speak Friday, so he sent out his poor spokeswoman, Jenny Backus. She said: "Sen. Daschle is embarrassed and disappointed by these errors."

Well, as long as he's embarrassed, it's probably OK for Daschle to join the administration of the ex-senator from Illinois who's going to be transparent, not allow a single lobbyist anywhere near power and change the way things are done in Springfield.

No, uh, make that Washington.

-- Andrew Malcolm

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Photo: Ron Edmonds / Associated Press

Obama, a bottle of wine ... and thou, Tom Daschle

It's almost hard to recall now a time when Barack Obama was received by the political establishment as the young upstart. But so it was.

All the more reason that Obama would appreciate those, like Sen. Tom Daschle of South Dakota, who encouraged the young senator from Illinois to leapfrog over his peers and run for the White House.

Obama rewarded that early support and Daschle's years of experience in Washington by making his onetime mentor the choice as the next secretary of Health and Human Services, putting him in place to help draw the administration's health policies. (See news video below.)

It's the second leaked Obama cabinet appointment in as many days, with Eric Holder set to become the new Attorney General, as reported here in The Ticket yesterday.

Daschle described on the PBS documentary "Frontline" this year how he and Obama met in 2006 at one of the then-Senate leader's favorite restaurants, where they lingered over a bottle of wine and a "great meal" for three hours, discussing Obama's future.

"I argued that windows of opportunity for running for the presidency close quickly," Daschle recalled. "And that he shouldn't assume, if he passes up this window, that there will be another."

Obama is expected to announce the selection of Daschle, who wrote a book this year on the healthcare system, early next week.

The expected selection takes a spot some envisioned for outgoing Democratic Party Chairman Howard Dean. The folks at Huffington Post published an interview in which the doctor (Dean is a physician) and former Vermont governor tried to unfloat his name.

"Please do not put me down as a candidate for one agency or another," Dean said to HuffPo's Sam Stein. "Because it is all gossip and it doesn't help at all.... That stuff is very harmful to anyone who is looking to get into the administration."

The Republican Party immediately pegged Dashcle, who lost his Senate seat in 2006, as just another Washington insider and one who might also be tainted by his work as a consultant for a "major lobbying firm."

"For voters hoping to see new faces and few lobbyist connections in government, Daschle's nomination will be another disappointment," said Republican National Committee spokesman Alex Conant. "Obama promised to change America's healthcare system, but his nominee to be secretary is no change agent."

(UPDATE: Our blogging partner Larry Harnisch over on the Daily Mirror has once again found a little gem tied to today's news, an archived Times article from 2001 as a useful refresher on the political upbringing of Daschle. Read it here.)

See new news video below.

-- James Rainey

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Photo credit: National Institute of Health Policy

Ted Stevens' conviction the crowning blow in bad year for GOP senators

More than a year ago, The Ticket noted how everything seemed to be coming up roses for the Democrats as the landscape took shape for 2008 Senate races.

Now, with the election a week away, the party caught still another break with the conviction this afternoon of the longest-serving Republican in the Senate -- Ted Stevens of Alaska -- on all seven counts of failing to report an array of gifts.

Most obviously, the jury's verdict is a huge blow to Stevens' bid for a seventh full Senate term.

Is it a fatal one?

We'd pause before writing off Stevens -- even with a felony conviction weighing him down -- because of the  status he long enjoyed among his constituents. And in a statement he issued, Stevens, right, made clear he'll depict himself as the target of unscrupulous and unethical federal prosecutors. "This verdict is the result of the unconscionable manner in which the Justice Department lawyers conducted this trial."

But Anne Hays of the Anchorage-based Hays Research Group showed no hesitation to make a political prediction as word spread in her state of Stevens' conviction.

"I think it sinks him," she told us as word spread of Stevens' conviction. His race against Democrat Mark Begich "had tightened up," she noted. "But I think this will break it out again" in Begich's favor.

More broadly, the verdict is yet another stain on a GOP brand ...

Tom Daschle -- one man's pick for Obama White House chief of staff

DENVER -- Bruce Reed knows a thing or two about putting together an administration. He was a key policy aide for the 1992 Bill Clinton campaign and continued in that role during the transition. When Clinton took office, he served as chief domestic policy advisor.

So The Ticket paid attention today when Reed, appearing on a panel assembled to speculate how Barack Obama might govern as president, offered some thoughts on staffing.

He pegged Tom Daschle -- the former Senate majority leader who was an early Obama backer -- as White House chief of staff (which explained for us why there was very little VP buzz surrounding the South Dakotan -- he's holding out for a job with REAL clout).

Reed, reflecting on his old White House job, foresees it being filled by Heather Higginbottom, a onetime top aide for Sen. John Kerry who now serves as Obama's domestic policy director.

And as the go-to lawmaker on Capitol Hill, the one the new administration looks to for party discipline -- its own Tom DeLay, as Reed put it (referring to the former Republican House enforcer from Texas) -- Reed tabbed the always-feisty Illinois congressman, Rahm Emanuel.

Now maybe, just maybe, Reed's predictions were influenced by the fact that Daschle, Higginbottom and Emanuel were his fellow panelists at the forum -- sponsored by the National Journal and moderated by the estimable Ron Brownstein (our former Times colleague). We did note a sly smile on Reed's face as he offered his picks.

Still, each is plausible.

Daschle and Higginbottom laughed off the speculation. Emanuel was running late, so he wasn't there to respond with a patented quip.

-- Don Frederick

Photo credit: Reuters

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Cindy McCain as Miss Buffalo Chip?

Vigilant Ticket readers know we always are on the alert for historic firsts. This presidential campaign has provided us our fill -- most recently, the chance to reflect upon the unprecedented age gap between the two major-party White House contenders.

Now comes another barrier shattered, noted by The Times' Bob Drogin.

As he delineates in a delightfully written piece elsewhere on latimes.com, John McCain on Monday became the first presidential aspirant to attend the annual Sturgis Rally in South Dakota, an event dating back to 1938 that each year attracts hordes of enthusiasts for a week of celebrating biker culture.

The candidate basked in a warm welcome; as Drogin put it: "It was almost as if McCain, the presumptive Republican presidential nominee, was a celebrity -- a dirty word in his lexicon since his campaign last week ran ads mocking rival Barack Obama for his celebrity status, comparing him to Britney Spears."

Along with making history with his appearance, McCain came close to breaking new ground as he introduced his wife, Cindy McCain (who, Drogin wrote, "wore the equivalent of a nun's habit here: black jeans and a long-sleeved shirt").

McCain, Drogin relates, told his rowdy listeners "that he had encouraged his wife to enter the annual Sturgis beauty contest, one in which nudity is not uncommon. ... 'I told her with a little luck she could be the only lady to serve as first lady and Miss Buffalo Chip,' he said with a broad grin."

Mrs. McCain has been doing yeoman work on the campaign trail. Just this last weekend, she expertly mingled with a NASCAR crowd at Pocono Raceway in Pennsylvania (and took a short spin in the pace car). Showing excellent judgment, however, she passed on her husband's latest suggestion.

-- Don Frederick

Photo credit: Associated Press 

John McCain's veep list said to be topped by Mitt Romney

So Mike Huckabee told the world the other day that if John McCain calls, he'd be happy to be his running mate, but that he doesn't expect McCain to call. Good thing Huckabee's not waiting by the phone. The folks over at Politico have a piece this morning saying the call could well go to Mitt Romney. But, of course, at this stage no one knows, as our colleague Doyle McManus points out with his own list of bandied-about names.

McCain doesn't need to rush. He doesn't need a running mate until the Republican National Convention, scheduled for Sept. 1-4, which comes after the Democratic National Convention, set for Aug. 25-28. Advantage goes to McCain, since he gets to see what the Democratic slate will look like before he makes his call. And yes, he can pick a running mate earlier to make himself look decisive and unconcerned about political ramifications (which ties into his Straight Talk theme) but, chances are, he'll keep his cards hidden until he has to play.

So why Romney? As Politico points out, he's gone through the media vetting process, has access to cash fountains through his business connections and fellow Mormons, and plays well in his birth state of Michigan, which could be crucial in picking the winner.

The downside? The chemistry between McCain and Romney isn't exactly "Let's spend the next eight years together, shall we?" It's more like: "Does he have to come to this meeting? Can't we just send him to a state funeral somewhere?"

The other top names on McCain's list, per Politico, are former Ohio congressman and White House budget director Rob Portman -- not exactly a household name -- and John Thune of South Dakota, who knocked minority leader Tom Daschle out of the Senate in 2004.

Now it's your turn. Who do you figure? And no, not Dick Cheney -- he's not in charge of the search committee. The comment section is open below.

-- Scott Martelle

Photo credit: Mark Boster/Los Angeles Times

Top of the Ticket, the start of Year Two

On this, the first anniversary of our Top of the Ticket blog, we are reminded of the mercurial, unpredictable nature of U.S. politics -- part of what makes what we do so fascinating.

Our goal -- one of us on the East Coast and the other on the far more important or at least less humid West Coast -- was to write about Campaign '08 virtually around the clock.

Our second-ever posting, 12 months ago today, previewed an upcoming L.A. Times/Bloomberg Poll; later in the day, we detailed the results of the nationwide survey. The findings were in line with other polls of the time.

In the Republican presidential race, which then seemed the most likely to last deep into the primary season, Rudy Giuliani was perched in first place. His lead wasn't overwhelming, but it was strong enough that he appeared certain to remain a major contender.

His liberal record on social issues loomed as an obvious liability within his party, but his tough-on-terrorism message was attracting substantial support from moderates and GOP-leaning independents.

His major headache among rivals last June was an as-yet-undeclared candidate who was riding a wave as the great conservative hope -- Fred Thompson. He ran a strong second in the poll.

Lagging far behind were John McCain and Mitt Romney, each barely with double-digit support. In our preview posting, we were especially scornful of McCain, noting sarcastically (and foolishly, as it turned out) that in the poll, he found himself "in heated competition with the 'Don't Know' category."

Meriting no mention from us was Mike Huckabee, one of several back-of-the-pack candidates barely earning any support across the country.

The Democratic race, at that point, seemed so much more cut-and-dried.

Hillary Clinton was the clear front-runner; Barack Obama was just as clearly ...

In their own words: Clinton, McCain, Obama speak of each other

We learned a lot from the three candidates' speeches Tuesday night. They're all senators so there's ample yada-yada, of course. Barack Obama's speech was high-flying and low on details. Hillary Clinton's was resolute, close to defiance and defined by what it didn't contain: a concession.

John McCain's was hardly eloquent, pretty pedestrian in setting out his differences with both Obama and that Texas guy in the White House and rather surprising in its lengthy tribute to the losing Democrat. McCain's remarks were also cut off by all the networks, except Fox News, in their rush to disseminate more dramatic Democratic words and crowds.

Good luck to McCain's advance teams this fall in rousing audiences as their opponent does.

We also learned there's already no love lost between the two men who will face each other to become president next Jan. 20. Here below, in their own words, are what each of them said about the other. Ticket readers can make their own judgments and, hopefully, share them in the Comments section below.

Clinton on Obama:

"I want to start tonight by congratulating Sen. Obama and his supporters on the extraordinary race that they have run. Sen. Obama has inspired so many Americans to care about politics and empowered so many more to get involved, and our party and our democracy is stronger and more vibrant as a result.

"So, we are grateful, and it has been an honor to contest these primaries with him, just as it is an honor to call him my friend. And tonight, I would like all of us to take a moment to recognize him and his supporters for all they have accomplished."

Obama on Clinton:

"Sen. Hillary Clinton has made history in this campaign not just because she’s a woman who has done what no woman has done before, but because she’s a leader who inspires millions of ...

Barack Obama lags in South Dakota -- and clinches his party's nomination

How odd.

The moment the final polls closed in South Dakota -- and Hillary Rodham Clinton took a solid lead in the state's Democratic presidential primary -- Barack Obama was widely acclaimed the party's presumptive nominee.

Perhaps it was a fitting finish to a race that both made history and defied initial expectations.

Throughout the day, enough Democratic superdelegates announced their backing for Obama that, under the party's proportional allocation of delegates picked through primaries, all he had to do was show a pulse of support in South Dakota.

That he did, overriding any focus on Clinton's lead. (Within a few minutes, though, the cable news networks declared her the winner in South Dakota, a result that should cause a bit of chagrin within the Obama camp.)

Also overridden -- at least on CNN and MSNBC -- was presumptive Republican nominee John McCain. Both cut away from McCain's speech in New Orleans, where, with the general-election lineup now clear, he took Obama to task on virtually every issue imaginable.

Fox News stuck with McCain through the end of his speech.

-- Don Frederick

Photo credit: AFP/Getty Images

For Barack Obama, South Dakota's vote carries symbolic value

The long-anticipated close to the Democratic presidential race seemingly has arrived, with only the theatrics of the final act yet to be scripted. Still, a mini-drama well worth watching will be played out in South Dakota tonight.

Barack Obama is expected to win in Montana, but as South Dakotans vote today in the other contest that brings the curtain down on the primary season, the result there are seen as up in the air. And although Obama will be focusing tonight, Wednesday and the rest of this week on officially clinching his party's nomination, he and his brain trust undoubtedly would like to do so with two final wins, rather than a split decision.

Symbolism is at work; the difference between a final sprint through the finish line, rather than jogging across it.

Taking even a longer view, recall that Obama pulled ahead in his race with Hillary Clinton -- to stay, as it turned out -- thanks to an impressive string of primary and caucus wins in the four weeks after Super Tuesday on Feb. 5. But Clinton rebounded at that point.

On March 4, her wins in the Ohio and Texas primaries enabled her to stave off calls that she end her candidacy. And since then, she's showed impressive strengths -- especially in her landslide wins in West Virginia, Kentucky and Puerto Rico.

Tallying all the contests from March 4 through today -- and counting the Texas primary/caucus "two-step" as distinct results -- finds that Clinton has won 8, Obama 6, and one was a virtual tie; Obama's margin in the Guam caucuses was 7 votes and the two candidates split the 4 delegates at stake.

It's purely academic, but the Obama forces would prefer to look back on this final segment of the nomination battle and see a scorecard that, with victories in Montana and South Dakota, reads 8-8-1.

That is especially so for one senior advisor to Obama -- the former senator from South Dakota, Tom Daschle.

It was bad enough that his constituents ousted him from office, and his perch as the Democratic Senate leader, in 2004. It would be another embarrassment for him if he can't bring his home state into the Obama column. Nor would it help his prospects, which have been discussed, as an Obama running mate.

-- Don Frederick

Photo credit: Getty Images