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1. EPA

Interest groups gird for battle as they anticipate McCarthy pick

President Obama hasn't nominated U.S. EPA air chief Gina McCarthy to be the agency's next administrator, but EPA friends and foes alike sure are acting as though it's a done deal. Both groups agree on one thing: If Obama picks McCarthy -- a straight-talking former state regulator and leader of the EPA office responsible for recent high-impact rules for limiting greenhouse gases and air toxics from power plants -- he's hellbent on plowing ahead with aggressive environmental regulations in his second term.

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