Progressives and other “Dump DeMarco” advocates are looking to a “Plan B” to replace the current, long-time acting head of the Federal Housing Finance Agency should the White House’s controversial pick find his nomination significantly prolonged or even stalled in the Senate, say industry observers. President Obama’s long-awaited action last month to nominate Rep. Mel Watt, D-NC, to be the FHFA’s new, permanent director pleased Congressional Democrats who have been longing to oust Edward DeMarco, a career civil servant who has been the Finance Agency’s acting director since September 2009. However, the brewing IRS scandal may further embolden already less-than-pleased Senate Republicans to slow walk Watt’s confirmation hearing or even block the nomination altogether.