He may not be out the door yet, but, according to WaPo's Dan Balz, he is being handed his hat:

The embattled chairman has not said whether he intends to seek another term leading the RNC. Steele has many allies within the tight world of the 168-member national committee, but his support has eroded. No one can say with certainty where things stand, but RNC watchers who are no friends of Steele doubt that he has the votes to win reelection.

Among Republicans outside the RNC, Steele's credibility is lower than for any other recent chairman. But are his critics shrewd enough to help engineer a smooth transition to another chairman and a soft landing for Steele? Or will their public pressure force Steele, for the sake of his pride and ego, to stand firm and fight a battle the party doesn't need right now?

Steele has attributes that made him an attractive choice for leader after the beating Republicans took in 2008. He is the first African American to lead a party that has struggled for decades to improve its standing in the minority community. He is certainly personable, and he has an engaging (if undisciplined) style of communicating.

But his tenure has produced a combination of personal gaffes and structural problems that, now that the 2010 campaign is over, have led some of the GOP's leading politicians to call for a change in leadership - or to fret in an increasingly public way about the state of the committee.

Simply put, he has been a disaster as party chairman. The list of gaffes, scandals, and incompetent moves are too numerous to list. Bottom line; the party did well in the mid terms in spite of his leadership, not because of it.

Saul Anuzis of Michigan has already announced his intention to challenge Steele and has picked up a couple of endorsements. But he is a long shot, at best. The real power of the party lies in the South and that's probably where the next chairman will come from.