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Obama to nominate Julian Castro as HUD secretary

President Obama is scheduled to announce Friday that he will nominate San Antonio Mayor Julian Castro as the next secretary of Housing and Urban Development. Castro will replace Shaun Donovan, who Obama will name as head of the White House Office of Management and Budget, a White House official said.

Castro, 39, is serving his third term as mayor of San Antonio. He is considered a rising star in Democratic politics and delivered the keynote speech at the 2012 Democratic National Convention.

Castro implemented housing and economic development programs in the city. He also created SA2020, an initiative that lays out broad goals for San Antonio, focusing on 11 areas, including arts and culture, education and downtown development. The 10-year plan was launched in 2010 and has become a nonprofit.

Prior to becoming mayor, Castro served two terms on the San Antonio City Council and was an attorney.

Donovan, 48, has served as HUD secretary since January 2009. He led the agency through the foreclosure crisis and chaired its Hurricane Sandy Rebuilding Task Force. The task force worked to help the northeast recover from the October 2012 hurricane and rebuild in a way that would mitigate damage from future storms.

Donovan was the commissioner of housing preservation and development in his native New York City from 2004 to 2008. He worked in HUD during the Clinton administration as deputy assistant secretary for multifamily housing. He also managed federal lending and affordable housing investments for Prudential Mortgage Capital Company.

Donovan will replace Sylvia Mathews Burwell, who was nominated last month to head the Department of Health and Human Services after the resignation of Kathleen Sebelius.

Obama is expected to make the nominations Friday afternoon.