Herman Cain withdraws name for a seat on the Federal Reserve after backlash in Congress

WASHINGTON – Former Republican presidential candidate Herman Cain withdrew his name from consideration for a seat on the Federal Reserve board on Monday, arguing the position would have required a large pay cut.

President Donald Trump announced on Twitter he would not nominate Cain for the position at Cain's request.

"My friend Herman Cain, a truly wonderful man, has asked me not to nominate him for a seat on the Federal Reserve Board," Trump wrote. "I will respect his wishes. Herman is a great man who truly loves our country!"

In a statement posted on a conservative publication's website, Cain dismissed speculation that he was withdrawing because of the controversy surrounding his possible appointment and suggested the real reason was money.

Cain, 73, said he had been advised that, if he accepted the position, he would have to give up his radio show, drop most of his business interests and give up serving on boards or delivering paid speeches.

"Without getting too specific about how big a pay cut this would be, let’s just say I’m pretty confident that if your boss told you to take a similar pay cut, you’d tell him where to go," he wrote.

A member of the Federal Reserve Board is paid $183,100 a year.

Trump announced on April 4 that he intended to nominate Cain for the Federal Reserve position, part of his push to significantly alter the central bank’s direction. But Cain's possible nomination has caused a considerable backlash among Democrats and some Republicans in Congress.

Four GOP senators – Kevin Cramer of North Dakota, Mitt Romney of Utah, Lisa Murkowski of Alaska and Cory Gardner of Colorado – announced their opposition to the appointment, virtually dooming his chance of winning confirmation.

Cain, the former CEO of Godfather’s Pizza, told the Wall Street Journal last week that he was "very committed" to going through the vetting process as the White House decides whether to formally nominate him for the position.

"The president asked me one simple question. … He said, ’Would you consider doing this if you make it through the process?’ I said yes. Didn’t hesitate,” Cain told the Journal.

More: Donald Trump takes fresh shot at Federal Reserve, picks fierce critic for its board

Cain, known to millions of Americans for the “9-9-9” tax plan he pushed during his 2012 run for the GOP presidential nomination, has repeatedly been accused of sexual harassment.

Trump had not formally nominated Cain to the seven-member board but had announced his intentions to do so. He called Cain “an outstanding person.”

Trump, a fierce critic of the central bank, said he would name Reagan-era economic commentator Stephen Moore to a spot on the seven-member Federal Reserve board in March. Taken together, the appointments underscore Trump’s desire to make significant chances to Fed policy.

Congressional Democrats ridiculed both picks and compared them to a "Saturday Night Live" skit. House Speaker Nancy Pelosi, D-Calif., called Moore and Cain "totally ill-suited, unqualified" for the positions.

Moore, meanwhile, came under fire on Monday after CNN reported he had written columns arguing that women should be banned from refereeing, announcing or beer vending at men's college basketball games.

"How outrageous is this?" Moore wrote in one column published on the website of the conservative magazine National Review. "This year they allowed a woman (to) ref a men's NCAA game. Liberals celebrate this breakthrough as a triumph for gender equity. The NCAA has been touting this as example of how progressive they are. I see it as an obscenity. Is there no area in life where men can take vacation from women?"

In another column, Moore suggested changes to the March Madness basketball tournament to get rid of its "un-American" aspects, CNN reported.

"Here's the rule change I propose: No more women refs, no women announcers, no women beer vendors, no women anything," he wrote.

Moore told CNN the columns were a spoof, adding: "I have a sense of humor."

The Fed, an independent board whose members are appointed by the president, raises interest rates to cool down a hot economy and cuts them to stimulate a sluggish one. The rates affect how much it costs to use a credit card, sign a car loan or buy a home.

In December, the Fed said it had penciled in two rate increases this year following four increases in 2018 as part of a campaign to return rates to more normal levels as the economy has improved since the Great Recession. Trump had argued that those increases have slowed growth in an otherwise strong economy.

Cain's "9-9-9 plan" to overhaul the tax code called for a 9% flat tax on household income, 9% corporate tax and 9% national sales tax. The former candidate drew wide support from the tea party movement. But his campaign was derailed after several women said he had sexually harassed them and one alleged a long-term extramarital affair. Cain denied the allegations.

Cain was the chairman of the Federal Reserve Bank of Kansas City, Omaha Branch, from 1989 to 1991.

Contributing: John Fritze, David Jackson, Ledyard King

More: Trump puts Fed independence at risk with Cain and Moore picks, but it will survive

This article originally appeared on USA TODAY: Herman Cain withdraws name for a seat on the Federal Reserve after backlash in Congress