Health Care Reform In Jeopardy....Again

Things don't look good and frankly it never did. Last month my sister was visiting me and she let me in on a little secret that is not discussed outside the beltway: the consensus health care reform that is being put forward by this administration is based on the Massachusetts plan, the thinking being that the plan will get some traction from Republicans. Except anyone who knows that plan will tell you that it is a failure, it does nothing to cut costs, it burdens people with private insurance and eventually the State had to cut back its role in lieu of the astronomical price increases and the economic meltdown. She did say that the best option will be a public plan but realistically she did not see that happening because the insurance industry will not allow it. She is in the process of writing a policy paper on the health care issue with other advisers to the President at the Harvard Law School.

In any case today all signs point to the public plan being in real jeopardy:

White House Open to Deal on Public Health Plan

WASHINGTON -- It is more important that health-care legislation inject stiff competition among insurance plans than it is for Congress to create a pure government-run option, White House Chief of Staff Rahm Emanuel said Monday.

"The goal is to have a means and a mechanism to keep the private insurers honest," he said in an interview. "The goal is non-negotiable; the path is" negotiable.

His comments came as the Senate Finance Committee pushed for a bipartisan deal. To help pay for the package, the committee planned to announce an agreement Wednesday with hospitals and the White House for $155 billion over a decade in reductions to Medicare and charity-care payments for hospitals, according to a person familiar with the agreement. That will help pay for the legislation, expected to cost at least $1 trillion over 10 years.

One of the most contentious issues is whether to create a public health-insurance plan to compete with private companies.

Mr. Emanuel said one of several ways to meet President Barack Obama's goals is a mechanism under which a public plan is introduced only if the marketplace fails to provide sufficient competition on its own. He noted that congressional Republicans crafted a similar trigger mechanism when they created a prescription-drug benefit for Medicare in 2003. In that case, private competition has been judged sufficient and the public option has never gone into effect.

Mr. Obama has pushed hard for a vigorous public option. But he has also said he won't draw a "line in the sand" over this point.

The president and his aides already have signaled a willingness to consider an alternative to a public plan under which a network of nonprofit cooperatives would compete with for-profit insurance companies. That is the leading idea in the Senate Finance Committee.

The Senate Health, Education, Labor and Pensions Committee, meanwhile, has put forward its own version of a government-run plan, closer to what most liberals and the White House favor.

On Monday, Mr. Emanuel said the trigger mechanism would also accomplish the White House's goals. Under this scenario, a public plan would kick in under certain circumstances when competition was judged to be lacking. Exactly what circumstances would trigger the option would have to be worked out.

Some Democrats pushing for a vigorous public plan say the trigger idea isn't good enough. Sen. Charles Schumer (D., N.Y.) said in an interview, "If it's not there on day one, those of us who support a public option have a real problem with it."

In the face of such mixed signals and vacillations from the White House, TPM profiles the man Sen. Max Baucus who is in charge of this health care sell-out, sorry, legislation:

Do Baucus' Ties To Health Care Industry Compromise His Reform Efforts?

Take a quick glance at the website Open Secrets and you can find over a half dozen insurance and pharmaceutical industry lobbyists who were once Baucus staffers.

To name just a few:

       * Roger Blauwet, Baucus' tax counsel, who now lobbies for Merck, Wyeth, and other pharmaceutical interests

       * Jeff Forbes, Baucus' former chief of staff, who represents the interests of several pharmaceutical companies

       * Scott Olsen, a one-time Baucus policy adviser, has been a lobbyist for Amgen since 2004.

       * Melissa Wier, Baucus' former chief trade counsel, who lobbies for Assurant and Ace Limited insurance companies

One particularly noteworthy Baucus alum--a powerful former Baucus chief of staff named David Castagnetti--is now a lobbyists for America's Health Insurance Plans--the health insurance industry's enormous and powerful professional association.

None of this will come as a shock to students of politics in Washington, or to Baucus' many critics on the left, who've long criticized him for being too close to moneyed interests.

And then from Greg Sargent's blog we have this (h/t Josh Orton):

President Obama may have issued a private demand that groups allied with the White House stop hammering moderate Democratic Senators with health care ads, but those groups have no intention to listen to him.

In fact, not only do the groups plan to continue their ads, spokespeople for the groups tell me, but one is actually increasing its buy.

Over the weekend, the Washington Post reported that Obama had privately told Congressional Dems he's concerned about TV and online campaigns hitting moderate Democrats for not getting fully behind the public health care option. "We shouldn't be focusing resources on each other," Obama reportedly said.

The response from the groups: That's nice, but we ain't stopping.

A spokesperson for the Progressive Change Campaign Committee, one of the groups Obama reportedly complained about, confirms to me that the group is upping its buy with a new round of ads attacking moderate Dem Senators like Ben Nelson and Mary Landrieu this coming week. "If congressional staffers are complaining to the White House, that shows they are nervous and what we're doing is working," PCCC's Stephanie Taylor says. "So we should just keep doing what we're doing."

So as of right now while millions go uninsured the financially interests in Washington are ready to win yet again. What do you do? You can sign up HERE (STAND WITH DR. DEAN) and HERE (MOVEON.ORG). Donate to these causes, keep the pressure on the senators, this is our government after all.



Display:


Does your sister work in the White House? (none / 0)


Keep Yelling, Nobody's Listening -SallyCat
by DTOzone on Tue Jul 07, 2009 at 10:33:06 AM EST

Re: Health Care Reform In Jeopardy....Again (2.00 / 1)

The pushback against Emanuel's unfortunate comments has been encouraging.  Witness this post from earlier this morning:

After sparking progressive outrage, and sending the White House into damage control mode, a chastened Rahm Emanuel appeared before House Democrats yesterday to reassure them that the administration stands foursquare behind a public option.

At the meeting, House liberals warned Emanuel that he couldn't count on them to vote for a bill that contains a triggered public option. "We have compromised enough, and we are not going to compromise on any kind of trigger game," Woolsey apparently told Emanuel. "People clapped all over the place. We mean it, and not just progressives."

Energy and Commerce Committee Chairman Henry Waxman said Emanuel assured him that "he doesn't stand by [the] trigger."

But all may not be forgiven and forgotten. Rep. Charlie Rangel (D-NY), chair of the powerful Ways and Means Committee, said the Chief of Staff "made a hell of a mistake. He made a hell of a mistake and he knows it."

This is how politics works.  People who care about the public option need to agitate and keep agitating.  Unfortunately, some progressives are more interested in defending Obama on a personal level than in achieving policy goals.

Obama may very well have his heart in the right place, but if that's all that mattered, we would have gotten national health care under Truman.  People need to keep the pressure on and stop trying to read the tea leaves to divine the White House's true intentions regarding the public option, because that's not what matters.  And "don't worry" is not a political strategy.


"Another problem we have...is that in election years we behave somewhat as primitive peoples do at the time of the full moon." --Harry Truman
by Steve M on Wed Jul 08, 2009 at 10:47:12 AM EST

Re: Health Care Reform In Jeopardy....Again (2.00 / 1)

That and the willingness of the senate majority leader to rein in Max Baucus sounds encouraging. But as grass-roots workers we still need to keep the pressure on all these "conservative" democrats from derailing the Democratic agenda. Just today Mary Landrieu and few others sounded off on NPR on how they might not vote with the Democratic caucus on cloture in every case. What do you do with evidently corrupt and self-aggrandizing politicians like them? You keep the pressure on them. Let them know that while they may be entrenched in money, we too can raise enough money to field a primary challenger against each and every one of them. Does it work? Of course it does. Within a few days of airing ads targeting Spector, Kay Hagen they came around to supporting the public option. That is not a coincidence. Kay Hagen owes much of her election to the grass-roots work of Act Blue, Blue NC and other NC organizations, if they turn on her then in 6 years time she will be out in the wilderness. She knows that and it is up to us to remind her and people like her at every opportunity.


by tarheel74 on Wed Jul 08, 2009 at 11:27:05 AM EST
[ Parent ]

Re: Health Care Reform In Jeopardy....Again (2.00 / 1)

Agree 100% that Dem's need to be shown the road map.  However, how can we expect them to show solidarity when as in your diary there is no solidarity or even continuity coming from the Administration?

If Obama won't take a stand, what makes us think that others will fall in line?  Calls to the conservative Dem's are good.  But the calls need to be directed more at the White House to show that promises need to be kept, and that we are indeed watching.


Well I guess that's one way to say things have 'changed'.
by TxDem08 on Fri Jul 10, 2009 at 11:28:03 AM EST
[ Parent ]

Re: Health Care Reform In Jeopardy....Again (none / 0)

I am yet to see cohesive leadership on this issue from the WH. Some Democratic senators have now taken a stand for the pubic option while the last time the WH sounded off was when it floated the trigger-trial balloon and then a hasty retreat. Meanwhile the Democratic caucus has been split by the Bush-dogs and the usual suspects in the Senate.
It is good the progressives groups are not buckling to WH pressure because their ad campaign has turned Sen. Lincoln, Hagan and Rep. Sanchez to name three for now. Sen. Landrieu is on the fence on this one.
by tarheel74 on Sat Jul 11, 2009 at 12:24:37 AM EST
[ Parent ]

Prediction: There will be no healthcare reform (none / 0)

During Obama's term.  You heard it hear first.  


by Kent on Fri Jul 10, 2009 at 11:05:46 PM EST


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