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US Health and Human Services Secretary Tom Price resigned under pressure from President Donald Trump on Friday in an uproar over Price's use of costly private charter planes for government business.
His abrupt departure was announced an hour after Trump told reporters he was disappointed in Price's use of private aircraft and did not like the optics of it.
Trump named Don Wright to serve as acting secretary. Wright is currently the deputy assistant secretary for health and director of the office of disease prevention and health promotion.
"I'm not happy. OK? I'm not happy," Trump told reporters on the White House South Lawn.
Candidates to succeed Price included Seema Verma, who is administrator of the Centres for Medicare and Medicaid Services and who is close to Vice President Mike Pence, and Scott Gottlieb, a physician who serves as commissioner of the Food and Drug Administration.
It was the latest blow to the Trump White House, which has struggled to get major legislative achievements passed by Congress and has been embroiled in one controversy after another since Trump took office in January.
Price, a former congressman, was instrumental in the Trump administration's policies aimed at undercutting Obamacare, as well as working with governors across the country to slowly begin unravelling parts of the law.
In a resignation letter, Price offered little in the way of contrition. He said he had been working to reform the US healthcare system and reduce regulatory burdens, among other goals.
Trump, currently trying to sell his tax cut plan and oversee the federal response to devastation wreaked by three hurricanes, saw the Price drama as an unnecessary distraction and behind-the-scenes was telling aides, "What was he thinking?," a source close to the President told Reuters.
Price promised on Thursday to repay the nearly 52,000 dollar cost of his seats on private charter flights. "The taxpayers won’t pay a dime for my seat on those planes," Price said.
But that was not enough to satisfy Trump.
Trump told reporters that the "optics" of Price's travel were not good since, as President, he is spending a lot of time trying to renegotiate US contracts to get a better deal for taxpayers.
Price had also been seen in the White House as having been ineffective in getting Congress to pass healthcare reform legislation, an effort that has fizzled on Capitol Hill.
(This article has been edited for length)