WASHINGTON (AP) — President-elect Joe Biden is nominating Denis McDonough, who was President Barack Obama’s White House chief of staff, as secretary of the Department of Veterans Affairs and Susan Rice as director of the White House Domestic Policy Council.

Biden is giving Rice broad sway over his administration’s approach to immigration, health care and racial inequality and elevating the prominence of the position in the West Wing.

The move marks a surprising shift for Rice, a longtime Democratic foreign policy expert who served as President Barack Obama’s national security adviser and U.N. ambassador. She worked closely with then-Vice President Biden in those roles and was on his short list to become his running mate during the 2020 campaign.

In selecting Rice and McDonough, Biden is continuing to stockpile his incoming administration with prominent members of the Obama’s team, according to a person familiar with the selection.

“The roles they will take on are where the rubber meets the road — where competent and crisis-tested governance can make a meaningful difference in people’s lives, enhancing the dignity, equity, security, and prosperity of the day-to-day lives of Americans,” Biden said in a statement.

In choosing Rice to oversee the White House council, advisers said Biden is signaling the importance of domestic policy in his early agenda. Though the council was created with the intention of being on par with the White House National Security Council, it traditionally has had a lower public profile, including for its directors.

Rice is expected to be more of a force, both inside and outside the White House, and her appointment creates a new power center in the West Wing. She’s discussed replicating some elements of the National Security Council in her new role, including a principals committee of Cabinet secretaries and others that could bring more structure to domestic policymaking, but also pull more power into the West Wing.

She’s expected to play an active role in the Biden administration’s response to the coronavirus pandemic. Health care, immigration and tackling racial inequality are also expected to be among the top issues for the domestic policy shop next year.

The 56-year-old Rice will be among the most prominent Black women in Biden’s administration. Rice was also in the running to become Biden’s running mate before he picked California Sen. Kamala Harris.

Since then, Rice has been discussing other roles with the Biden team and was initially seen as a contender for secretary of state.

Rice’s role overseeing the council does not require Senate confirmation.

Biden was expected to make the official announcement Friday, along with his nominations of Ohio Rep. Marcia Fudge to run the Department of Housing and Urban Development, Katherine Tai as U.S. trade representative and Tom Vilsack as agriculture secretary. Vilsack filled that same role during Obama’s two terms.

Although Biden has insisted his administration will not simply be a retread of Obama’s presidency, he is bringing back numerous familiar faces. His team has defended the moves as a nod toward experience and the need to hit the ground running in tackling the pressing issues facing the nation across multiple fronts.

McDonough is an experienced manager who was chief of staff throughout Obama’s second term. McDonough was previously Obama’s deputy national security adviser, including during the Navy SEAL raid in 2011 that killed al-Qaida leader Osama bin Laden, and was a longtime congressional staffer.

McDonough was credited with helping Obama try to bridge divides on Capitol Hill, including around one of his most substantial second-term legislative achievements: the Veterans Choice Act. The legislation gave former service members more options to seek care and the VA secretary more authority to fire underperforming staffers.

The bill came about following exposes during the Obama administration into mismanagement at some VA hospitals and mounting complaints by advocacy groups. As chief of staff, McDonough was also deeply involved in an overhaul of VA leadership after the scandals, which led to the ouster of the department’s secretary.

Biden is balancing numerous priorities as he fills out his Cabinet, including making good on his pledge to have a diverse group of top advisers. That’s created some tensions over top jobs, including agriculture secretary.

Allies of Fudge made no secret of their desire for her to lead the department, given its oversight of food stamps and other programs meant to address food insecurity — one of her longtime priorities. Instead, Biden went with Vilsack, a longtime friend and advocate for Democrats paying more attention to rural America.

A transition official said Vilsack and Fudge spoke Wednesday to lay the groundwork for cooperation between their two agencies on those and other initiatives.