Donald Trump is expected to name retired Indiana Sen Dan Coats to replace James Clapper as director of National Intelligence.
The reports of Mr Trump's selection of the former senator – who is widely regarded as a moderate Republican – come following Mr Clapper delivered his testimony to Congress regarding Russia's role in the hacking of the Democratic Party during the election.
Mr Coats is a long-time Republican member of Congress, having served in the House through the 1980s, the Senate the 1990s, and as US Ambassador to Germany during from 2001 to 2005. He returned to the Senate to serve from 2011 through 2017.
A transition official told the New York Times that an official announcement of Mr Coats' apparent selection is will take place as early as Friday.
Mr Coats will undergo Senate confirmation hearings.
The President-elect had been largely critical of the intelligence community, and was rumoured to want to limit the power of the director of National Intelligence. Spokesperson Sean Spicer denied those rumours on Thursday.
"There is no truth to this idea of restructuring the intelligence community infrastructure," said Mr Spicer. "It is 100 per cent false."
