Rep. Heather Wilson (R) will run for the New Mexico Senate seat that opened up Thursday when Sen. Pete Domenici (R) declared that he will not seek reelection in 2008, according to a source familiar with Wilson’s decision.

Domenici confirmed reports of his departure at a press conference late Thursday afternoon in Albuquerque, citing health problems.

Domenici has taken Wilson under his wing in recent years, and as he has gotten older, Wilson’s name has topped the list of potential heirs.

In a statement released late Wednesday, Wilson did not allude to whether she would run, but congratulated Domenici on his service.

A strong campaigner, she has survived several multimillion-dollar challenges in a swing district that voted for both Al Gore in 2000 and Sen. John Kerry (D-Mass.) in 2004. She defeated former state Attorney General Patricia Madrid (D) by fewer than 1,000 votes in 2006.

But she also faces the same U.S. attorney scandal baggage that would have affected Domenici’s reelection campaign. Fired U.S. Attorney David Iglesias said in March that both lawmakers pressured him to be more aggressive with his corruption cases during the 2006 campaign.

Wilson has denied applying pressure and said she did nothing improper in calling Iglesias.

The other potential major GOP contender at this point is Rep. Steve Pearce. His office declined to comment about the race on Thursday.

The list of possible Democratic candidates includes Madrid, Albuquerque Mayor Martin Chavez, Lt. Gov. Diane Denish and Gov. Bill Richardson.

Richardson would be the party’s ideal nominee — he was reelected with 69 percent of the vote last year — but he is running for president, and his campaign insists he is focused on winning that race.

Still, should he falter in the early nominating contests or in the so-called “national primary” on Feb. 5, he would still have time to meet the Feb. 8 deadline to enter the Senate race. Such a move would be politically difficult, though, if Democrats already have an established candidate.

Democratic Senatorial Campaign Committee Chairman Charles Schumer (D-N.Y.) said Democrats have “a deep bench of talented Democratic candidates [and] look forward to fielding a nominee who will wage a successful campaign. We feel very good about our chances to increase the Democratic majority in the Senate next year.”

Wilson will be the fourth Republican centrist to announce his or her departure from the House this year, following Reps. Deborah Pryce (Ohio), Jim Ramstad (Minn.) and Ray LaHood (Ill.) and leaving a contentious district up for grabs.

“We went through a big ramp-up, but because of the minority status [members are leaving],” Rep. Mark Kirk (R-Ill.) said. “When you are in the minority, it’s not as fun.”

Fellow centrist Rep. Phil English (R-Pa.), who has worked closely with Wilson on a push for a political solution in Iraq, said her move is more of a promotion and a different kind of decision than their colleagues’. He added that the turnover of moderate members in the minority is a natural process.

“They are going to be replaced by equally [centrist] Republicans,” he predicted.

Thursday morning, Minority Leader John Boehner (R-Ohio) fueled speculation that Wilson would leave the House after telling reporters he would speak with Wilson later in the day.

“I hear she is looking for me,” he said before exiting.

Democrats already have a top candidate for Wilson’s seat in Albuquerque City Councilman Martin Heinrich.

Heinrich raised $180,000 in the second quarter.

On the Republican side, Bernalillo County Sheriff Darren White is considered a possible candidate.

Domenici’s retirement will bring to a close a 36-year Senate career built around his work on budget and energy issues and his ability to bring money back to his home state. He is the second-longest-serving Republican in the upper chamber.

He has been diagnosed with Frontotemporal Lobar Degeneration, a degenerative brain condition associated with dementia.

“The partnership New Mexicans and I have shared has been wonderful,” he said. “I thank the thousands of people who have worked on hundreds of projects and ideas with me.  We have accomplished so much and we have made our state a better place to live and grow.”