CFPB Rumors Just Making Situation Worse

WASHINGTON — I just don't get it.

Why is the White House floating Raj Date, one of Elizabeth Warren's top lieutenants at the Consumer Financial Protection Bureau, as the agency's potential director?

Don't get me wrong, Date is eminently qualified for the job. A former banker and financial analyst, Date no doubt has the chops for the post.

What I don't understand is the political motivations behind floating his name at all. On Wednesday, Bloomberg News caused quite a stir by mentioning that Date was on the short-list to head the agency, along with his boss Warren. The news sent the media into a bit of a flurry, mentioning that Date may be a compromise candidate that pleases liberals but soothes anxieties among Republicans because of his solid financial experience.

Don't believe the hype. For starters, I don't think liberals will be pleased if anyone but Warren is given the job, even if she gives Date her seal of approval. Secondly, and arguably even more importantly, Republicans are unlikely to suddenly embrace Date. The Senate GOP has vowed to oppose anyone — anyone — that Obama nominates unless he agrees to structural changes at the agency. That's doesn't leave a lot of wiggle room for either Obama or Republicans.

Does anyone believe that if Date was nominated, the Republicans would suddenly withdraw their objections and approve him? I sure don't.

So what is going on? The only thing that makes sense to me is that the White House has decided to encourage Warren to run for Senate in Massachusetts against Sen. Scott Brown. Such a move would at least pacify liberals who champion Warren and want to see her head the agency on a formal basis. But so far, at least, polls show that Warren would start her campaign with a 14-point gap or so behind Brown, not necessarily encouraging for her.

But the White House won't say what it's up to, besides the stock answer: "The President is considering a number of candidates for this position and no decisions have been made."

I can't understand why else the White House would tout a potential replacement for Warren, even one as well suited for the job as Date. It's the kind of thing that makes the Obama White House — which has inexplicably failed to nominate the heads of several key banking regulators — look even more disorganized than it did before.

So what do you think the White House is up to? What's the political strategy here?