President Barack Obama nominated Kansas Gov. Kathleen Sebelius Monday to be secretary of Health and Human Services, and he announced the release of $155 million in stimulus grants to support community health centers.

Nancy-Ann Deparle, former commissioner of Tennessee’s Department of Human Services, will direct the White House Office for Health Reform.

Both women will be key players in the push for comprehensive health care reform, Obama said.

“If we are going to help families, save businesses and improve the long-term economic health of our nation, we must realize that fixing what’s wrong with our health care system is no longer just a moral imperative, but a fiscal imperative,” Obama said at a White House event announcing the appointments. “Health care reform that reduces costs while expanding coverage is no longer just a dream we hope to achieve — it’s a necessity we have to achieve.”

Obama praised Sebelius’ record of “bipartisan problem-solving” in Kansas, where she served eight years as state insurance commissioner before being elected governor.

“She will be a tremendous asset to my Cabinet,” Obama said.

“I share your passion and personal commitment to health care reform,” Sebelius told Obama.

Obama also announced the federal government has released $155 million in economic stimulus grants to support 126 new community health centers around the nation.

“The construction and expansion of health centers will create thousands of new jobs, help provide health care to an estimated 750,000 Americans across the country who wouldn’t have access to care without these centers, and take another step toward an affordable, accessible health care system,” Obama said.

Sebelius is the president’s second choice for HHS secretary. His first choice, former Senate Majority Leader Tom Daschle, withdrew his nomination a month ago amid controversy over his failure to pay income taxes on a car and driver provided him by one of his private-sector clients after he left the Senate.

The selection of Sebelius got good reviews from organizations that will be involved in the health care reform debate.

Helen Darling, president of the National Business Group on Health, said Sebelius “blends a highly regarded expertise in insurance regulation with a well-grounded pragmatism that will serve our nation well.”

“She is a proven leader with extensive knowledge of health care issues and a long history of working effectively across the political aisle,” said Karen Ignani, president and CEO of America’s Health Insurance Plans.

Dr. Nancy Nielsen, president of the American Medical Association, noted that Sebelius expanded access to health care for children in Kansas. As insurance commissioner, “she helped preserve competition and choice in the health care marketplace by halting a problematic health insurance merger,” Nielsen said.