By DEB RIECHMANN
The Associated Press
Wednesday, October 31, 2007; 11:30 AM

WASHINGTON -- President Bush on Wednesday will nominate Edward Schafer, a former two-term Republican governor from North Dakota, to be his next secretary of agriculture, a senior administration official said.

Schafer, who chose not to run again in North Dakota in 2000, will replace Mike Johanns, who resigned as U.S. agriculture secretary last month to launch a bid for the Nebraska Senate seat being vacated by Republican Chuck Hagel at the end of next year.

Bush will make the announcement at 2 p.m. EDT in the Roosevelt Room.

Schafer, the grandson of Danish immigrants who farmed throughout their lives, gained extensive agricultural experience while serving as governor, from 1992 to 2000, of North Dakota where nearly 25 percent of its residents work as farmers and ranchers or are employed in farm-related jobs.

He was elected to his first term by a margin of 17 percent and was re-elected to a second term four years later by a margin of 32 percent, becoming the first Republican elected to a second term in the state's history.

It was the second Cabinet post vacancy Bush filled in two days. On Tuesday, Bush nominated retired Army Lt. Gen. James Peake to direct the embattled Department of Veterans Affairs, which is strained by the influx of wounded troops returning from Iraq and Afghanistan.

The appointment comes at a crucial time for the Agriculture Department, which is closely following _ and hoping to influence _ congressional negotiations on a new five-year farm bill. There had been speculation that Bush would keep Charles Conner, the acting secretary and former deputy secretary, in place so the department would not face reshuffling until the farm bill was signed by the president.

The administration has staunchly opposed congressional efforts to keep current farm programs, including billions of dollars in annual crop subsidies to farmers, in place. Under Johanns, Bush threatened to veto the House version of the legislation. The Senate is scheduled to debate its version of the $288 billion bill next week.