Sen. Max Baucus (D-Mont.) said nine years ago that he had “concerns” about whether the inspector general who outlined the extra scrutiny that the IRS gave to conservative groups was independent enough for the job.

Baucus, now the chairman of the Finance panel, reluctantly backed Russell George’s nomination to be Treasury’s inspector general for tax administration in 2004, when he was the committee's ranking Democrat.

George is scheduled to testify before the Finance panel about his audit on Tuesday, as part of the Senate’s first hearing on the IRS controversy. President George W. Bush tapped George, who had also served as a GOP staffer on Capitol Hill, for the inspector general’s position, and the Senate confirmed George in November 2004.

“I am concerned that he will not be tough or independent enough to do the job that needs to be done. When one party controls every branch of government, it is critical that we have strong, independent watchdogs in agencies to protect against waste, fraud, and abuse,” Baucus said in September 2004, less than two months before Bush won re-election and as Republicans controlled both congressional chambers.

“Mr. George has promised me personally that he will make it his mission to prove my concerns to be unwarranted. I hope that is the case,” Baucus added.

TUESDAY'S BIG STORY: 

Hot Seat, Part 2: Members of the Senate Finance Committee get their chance on Tuesday to grill Internal Revenue Service (IRS) employees about why certain groups seeking tax-exempt status were put under a microscope.

IRS commissioner Steven Miller is scheduled to testify before the Finance Committee on Tuesday along with Doug Shulman, the former IRS commissioner who departed at the end of last year, as well as Russell George, the Treasury inspector general for tax administration. The hearing will be Shulman’s first public testimony on the matter.

Miller, who is on his way out, and George faced tough questioning on Friday at the House Ways and Means Committee. 

Senators are expected to turn up the heat tomorrow. 

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The farm bill, which came to the Senate floor on Monday, cuts less from farm subsidies than Obama wants.

The nation's trade office will get its second acting chief trade negotiator within the past couple of months this week. 

Miriam Sapiro is expected to temporarily take over the top slot as U.S. Trade Representative (USTR) while Congress hashes out when it will consider the nomination of Mike Froman, currently a trade adviser at the White House, for the permanent spot, a senior administration official confirmed to The Hill on Monday.  

Froman has been making the rounds on Capitol Hill but the Senate Finance Committee hasn't scheduled a nomination hearing. 

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Carney said it was White House counsel Kathryn Ruemmler’s judgment that the matter should be kept from the president.

Business groups are stepping up their efforts in pushing for a renewal of fast-track authority to negotiate trade agreements.

The U.S. Chamber of Commerce and Business Roundtable were among several trade-focused groups that teamed up on Monday to launch the Trade Benefits America Coalition, which will help consolidate efforts in advocating for trade promotion authority (TPA). 

"The benefits of trade and trade agreements to the United States in today’s global marketplace are clear, and TPA is important to advancing trade deals to further support growth and jobs,” said John Engler, president of Business Roundtable.

The two senators are also seeking emails, phone logs, calendars and datebooks from the IRS.

The former senator has been named CEO of the Securities Industry and Financial Markets Association, a powerhouse trade group.

Democratic Rep. Danny Davis (Ill.) on Monday joined the growing calls for a special prosecutor to investigate the IRS political targeting scandal.

"I have no difficulty at all with a special prosecutor," said Davis, a member of the House Ways and Means Committee, in an interview with Chicago radio station 89 WLS.