From the Associated Press: White House Appears Ready To Drop Public Option
Bowing to Republican pressure, President Barack Obama's administration signaled on Sunday it is ready to abandon the idea of giving Americans the option of government-run insurance as part of a new U.S. health care system.Facing mounting opposition to the overhaul, administration officials left open the chance for a compromise with Republicans that would include health insurance cooperatives instead of a government-run plan. Such a concession would likely enrage his liberal supporters but could deliver Obama a much-needed win on a top domestic priority opposed by GOP lawmakers.
Officials from both political parties reached across the aisle in an effort to find compromises on proposals they left behind when they returned to their districts for an August recess. Obama had sought the government to run a health insurance organization to help cover the nation's almost 50 million uninsured, but he never made it a deal breaker in a broad set of ideas that has Republicans unified in opposition.
Health and Human Services Secretary Kathleen Sebelius said that government alternative to private health insurance is "not the essential element" of the administration's health care overhaul. The White House would be open to co-ops, she said, a sign that Democrats want a compromise so they can declare a victory.
"I think there will be a competitor to private insurers," Sebelius said. "That's really the essential part, is you don't turn over the whole new marketplace to private insurance companies and trust them to do the right thing." (emphasis added)
Really?
A public, government subsidized and managed health insurance program is the single most important element of ObamaCare. Virtually every policy wonk that President Obama has put in charge of health care reform is a part of the progressive cadre that has pushed for a government-run public health insurance program. The goal of such a "public health insurance option," which would necessarily have lower premiums, greater bargaining power, and eventually wider appeal than private health insurance, would be to eventually force private health insurers out of the market. Then these progressives would be free to usher in a brave new enlightened world in which medical care would be supervised, financed, and regulated solely by the Federal government. Secretary Sebelius is either a complete idiot, or she has just tried to tell one of the biggest lies in the history of New Deal-inspired Big Government policy-making.
Of course neither the White House nor Congress has yet produced anything resembling a straightforward, coherent plan for health insurance or medical treatment reforms. So we are really guessing when we speculate about these proposed "health insurance co-ops." but experts believe that they will be private insurance exchanges created by government mandate and launched with government start-up money -- kind of like AmTrak for healthcare, in other words.
Presumably these co-ops would offer inexpensive health insurance to qualified individuals (like those who are not in perfect health, or those who are self-employed or who work for an employer who can't afford health insurance benefits) and then combine these insureds into large groups for the purposes of premium rating. But after a certain amount of time, Federal subsidies are to be halted, and the co-ops would then be required to raise and maintain their own private cash reserves, similar to private insurance companies. Thus the co-ops would be "private" instead of "public" because they would no longer be funded by the government, even though they would probably be more heavily regulated than independent private insurers.
It's hard to imagine the government ever turning off the spigot when "health care" is involved, and if (or when) co-ops start to overtake private insurers, the temptation will certainly arise to pour even more Federal dollars into these co-ops, or force other private insurers to match the co-op coverages and premiums via regulatory mandates. We would be foolish to assume that liberals will ever give up the dream of creating the single-payer health system that they have wanted for decades. Plus there is the real possibility of a health care reform bill still containing a government mandate requiring proof of health insurance, especially if low-cost co-op plans are available.
But for now, if what the White House says is true, then We The People have scored an incredible victory. Liberals can poke fun at us, they can call us names and accuse us of being crazy, out-of-control ignoramuses, wild-eyed radicals, unpatriotic, unAmerican, and a threat to democracy. But President Obama and the Democrats have just blinked, big-time, because the American people have just made it very clear that we overwhelmingly trust the free market to "do the right thing", not the Federal Government.



Comments (34)
"Health and Human Servi... (Below threshold)1. Posted by Marc | August 16, 2009 6:23 PM | Score: 6 (6 votes cast)
"Health and Human Services Secretary Kathleen Sebelius said that government alternative to private health insurance is "not the essential element" of the administration's health care overhaul"
Not essential?
Funny, that's not what Obama has said:
"(A)ny plan I sign must include an insurance exchange: a one-stop shopping marketplace where you can compare the benefits, cost and track records of a variety of plans - including a public option to increase competition and keep insurance companies honest - and choose what's best for your family."
So, is Sebelius clueless, or just lying?
Beware of Trojan Horses. BS from the WH
1. Posted by Marc | August 16, 2009 6:23 PM |
Score: 6 (6 votes cast)
Posted on August 16, 2009 18:23
2. Posted by Tina S | August 16, 2009 6:24 PM | Score: -13 (13 votes cast)
Them rat bastards sneeked death panels into law right under our noses. Right now there are government sponsored swampland.blogs.time.com/2009/08/13/oh-those-death-panels/ deciding who should live or die.
2. Posted by Tina S | August 16, 2009 6:24 PM |
Score: -13 (13 votes cast)
Posted on August 16, 2009 18:24
3. Posted by retired military | August 16, 2009 6:28 PM | Score: 8 (8 votes cast)
I wonder what happened to
Obama - Any plan I sign must include an insurance exchange: a one-stop shopping marketplace where you can compare the benefits, cost and track records of a variety of plans - including a public option to increase competition and keep insurance companies honest - and choose what's best for your family.
3. Posted by retired military | August 16, 2009 6:28 PM |
Score: 8 (8 votes cast)
Posted on August 16, 2009 18:28
4. Posted by Marc | August 16, 2009 6:31 PM | Score: 10 (10 votes cast)
tina.... did you fail to answer the question posed at the end of your article?
I.E. "So either Republicans were for death panels in 2003 before turning against them now--or they're lying about end-of-life counseling in order to frighten the bejeezus out of their fellow citizens and defeat health reform by any means necessary."
Of course in your crazy whacky world only libs/progressives/dems and libturds can change positions on policy matters.
reps and conservatives... not so much.
4. Posted by Marc | August 16, 2009 6:31 PM |
Score: 10 (10 votes cast)
Posted on August 16, 2009 18:31
5. Posted by 914_62 | August 16, 2009 6:37 PM | Score: 6 (6 votes cast)
Apparently Baraks opaque transparent policies have failed in their libturd intent.
Too bad, so sad.
5. Posted by 914_62 | August 16, 2009 6:37 PM |
Score: 6 (6 votes cast)
Posted on August 16, 2009 18:37
6. Posted by Hermie | August 16, 2009 6:47 PM | Score: 6 (6 votes cast)
If the Public Plan aka Obamacare does not go through, he will say "I have always said that a public plan is not necessary." and the MSM will let that slide by.
6. Posted by Hermie | August 16, 2009 6:47 PM |
Score: 6 (6 votes cast)
Posted on August 16, 2009 18:47
7. Posted by 914_62 | August 16, 2009 6:57 PM | Score: 17 (17 votes cast)
His failure is Americas success.
7. Posted by 914_62 | August 16, 2009 6:57 PM |
Score: 17 (17 votes cast)
Posted on August 16, 2009 18:57
8. Posted by Matt | August 16, 2009 6:59 PM | Score: 14 (14 votes cast)
When they blink, you wind up and hit them even HARDER. This is not a time to compromise! This is the time to keep pushing so they scrap HR3200 and write something reasonable from scratch, with all the stakeholders participating. Now is when we need to push so the House Of Representatives do the job they were elected to do.
8. Posted by Matt | August 16, 2009 6:59 PM |
Score: 14 (14 votes cast)
Posted on August 16, 2009 18:59
9. Posted by Marc | August 16, 2009 7:09 PM | Score: 5 (5 votes cast)
The two faces of obama, via his NYT op-ed on Sunday:
He dirst says: "We are bound to disagree, but let's disagree over issues that are real, and not wild misrepresentations that bear no resemblance to anything that anyone has actually proposed. This is a complicated and critical issue, and it deserves a serious debate."
Then quickly follows with: "I hear more and more stories like these every single day, and it is why we are acting so urgently to pass health-insurance reform this year."
Since when does debate over critical and serious issues have to be done "urgently?"
Since the "Age of Obama," obviously, and since "we can't let a crisis go to waste".
9. Posted by Marc | August 16, 2009 7:09 PM |
Score: 5 (5 votes cast)
Posted on August 16, 2009 19:09
10. Posted by Aye Chihuahua | August 16, 2009 7:21 PM | Score: 15 (15 votes cast)
Be very, very careful in thinking that the "public option" is dead.
Very, very careful.
These are conniving people we are dealing with.
In fact, the new buzz word on the table is "co-op".
Guess what that means....that's right...pretty much the same as "public option".
I'll try and find the Harry Reid quotes where he talked about that.
10. Posted by Aye Chihuahua | August 16, 2009 7:21 PM |
Score: 15 (15 votes cast)
Posted on August 16, 2009 19:21
11. Posted by GarandFan | August 16, 2009 7:26 PM | Score: 13 (13 votes cast)
As Aye Chihuahua says, Beware! A rose by any other name is still a rose.
"...experts believe that they will be private insurance exchanges created by government mandate and launched with government start-up money."
Gee, just like Fannie Mae and Freddie Mac. We all know how well those were managed.
And just when do the co-ops get the money turned off from Uncle Sam? AFTER they've driven private health care companies out of business?
The Post Office has a $5 BILLION payment to make this September for health care costs of retirees. The Postmaster General has stated "We don't have the money!"
NO GOV'T HEALTH PLAN, NO CO-OP HEALTH PLAN.
GO BACK TO THE DRAWING BOARD!
11. Posted by GarandFan | August 16, 2009 7:26 PM |
Score: 13 (13 votes cast)
Posted on August 16, 2009 19:26
12. Posted by drjohn | August 16, 2009 7:43 PM | Score: 11 (13 votes cast)
We need to see the bill. I will be waiting for a Trojan Horse that can easily morph into a public option.
Barack Obama is absolutely NOT to be trusted. His words mean NOTHING.
12. Posted by drjohn | August 16, 2009 7:43 PM |
Score: 11 (13 votes cast)
Posted on August 16, 2009 19:43
13. Posted by 914_62 | August 16, 2009 7:55 PM | Score: 10 (10 votes cast)
A quote comes to mind~
"You can put lipstick on a pigg, but its still Obama."
13. Posted by 914_62 | August 16, 2009 7:55 PM |
Score: 10 (10 votes cast)
Posted on August 16, 2009 19:55
14. Posted by iwogisdead | August 16, 2009 8:01 PM | Score: 7 (7 votes cast)
The two faces of obama, via his NYT op-ed on Sunday:
Ya know, I read that article earlier this morning and have thought about it a little.
Obama says that we'll save, like, a bunch of money by 1) cutting waste and inefficiency in Medicare and Medicaid, and 2) eliminating "unwarranted subsidies to insurance companies" and/or stopping tax dollars that go to "enriching insurance companies" instead of "caring for seniors."
So, I went to http://money.cnn.com/magazines/fortune/fortune500/2008/industries/223/index.html
to figure out how much money the big bad insurance companies make. I only looked at the top ten health insurance companies. It seems their profit for 2007 was $ 12.8 billion (on $ 241 billion in revenues).
So, if we end health insurance, and the government is at least as efficient as private insurance in administering costs (very doubtful), we'll save the $ 12.8 billion which was once the profit of the health insurance industry.
But, the CBO says that Obamacare will cost one trillion dollars over ten years, or $100 billion each year. So, if every cent of the $ 12.8 billion of the top ten insurance companies goes back into the system, we're still more than $ 87 billion short every year.
That leaves us with the "hundreds of billions of dollars in waste and inefficiency" in Medicare and Medicaid. But, why is this absurd health reform legislation needed to fix that? Wouldn't a strongly worded memo to the H&HS Secretary do just as well?
What am I missing?
14. Posted by iwogisdead | August 16, 2009 8:01 PM |
Score: 7 (7 votes cast)
Posted on August 16, 2009 20:01
15. Posted by democratsarefascists | August 16, 2009 8:04 PM | Score: 7 (7 votes cast)
I'm not buying it.
They'll get the Republicans to compromise it into existence and once it's enabled, lock them out of conference, putting everything Obama wants into it.
They did it with the Porkulus and Cap-and-Tax. What makes you think they won't do it again?
15. Posted by democratsarefascists | August 16, 2009 8:04 PM |
Score: 7 (7 votes cast)
Posted on August 16, 2009 20:04
16. Posted by epador | August 16, 2009 8:04 PM | Score: 10 (10 votes cast)
This is not time for a happy dance. Its time to turn up the heat.
16. Posted by epador | August 16, 2009 8:04 PM |
Score: 10 (10 votes cast)
Posted on August 16, 2009 20:04
17. Posted by PHDinCT | August 16, 2009 8:05 PM | Score: 5 (5 votes cast)
senor Chihuahua's comment is right on the mark...
"Be very, very careful in thinking that the "public option" is dead.
Very, very careful.
These are conniving people we are dealing with.
In fact, the new buzz word on the table is "co-op".
Guess what that means....that's right...pretty much the same as "public option"."
The Dims aren't near done with the "public" option...they didn't payoff the AARP and all the other lobbyist groups to give up on a Government-run Medinsurance program.
Keep up the heat on your Congress"person"...
Now that we got their attention - make 'em HEAR the message! A vote for Obama Health Care plan is a One-way ticket to losing their next election!
Let's plan this thoroughly and with BI-partisan support. Not a FORCED plan from Libocrats who have no CLUE what the American voter wants.
17. Posted by PHDinCT | August 16, 2009 8:05 PM |
Score: 5 (5 votes cast)
Posted on August 16, 2009 20:05
18. Posted by GarandFan | August 16, 2009 8:11 PM | Score: 11 (11 votes cast)
Those 'evil' insurance companies are down at #35 on Forbes list of profitable companies. Their latest 'return on investment' was 2.2%. I get better odds at my credit union.
Barry is full of shit. Mr. Platitudes. Mr. Soundbite. He wants to add an ill-defined "uninsured" group of 47 million to the current system which is and has been running deficits for years. The baby boomers (all 73 MILLION - born between 1943-60) have started to arrive on Social Security/Medicare's doorstep. We'll have FEWER workers making contributions to the system, yet covering MORE people; and Barry will do it with LESS money.
Yeah, and I'm the tooth fairy.
18. Posted by GarandFan | August 16, 2009 8:11 PM |
Score: 11 (11 votes cast)
Posted on August 16, 2009 20:11
19. Posted by 914_62 | August 16, 2009 8:23 PM | Score: 3 (3 votes cast)
"Yeah, and Im the tooth fairy."
Yeah, but He is the one, the Godsend, the hope of all mankind. He can do anything He sets His mind too... Accept maybe... Turn a profit and be a + for the Country.
19. Posted by 914_62 | August 16, 2009 8:23 PM |
Score: 3 (3 votes cast)
Posted on August 16, 2009 20:23
20. Posted by jim m | August 16, 2009 8:34 PM | Score: 7 (7 votes cast)
Words mean nothing when they come from Obama. Let's see a bill.
Until there is draft text of a bill that constitutes the reform proposal that the Dems are putting forth that aligns with Obama's BS all we have is an empty promise and what amounts to a subterfuge to get the bill passed as is.
He has been saying that the bill doesn't do exactly what everyone reads that it does so why should anyone believe that he means this.
It is easier for me to believe that he will say that they've taken it out and then just leave it in and the MSM will cover for him.
Heck, congress will fall all over themselves saying that it has been taken out even if it hasn't since they seem utterly incapable of actually reading anything they vote on.
20. Posted by jim m | August 16, 2009 8:34 PM |
Score: 7 (7 votes cast)
Posted on August 16, 2009 20:34
21. Posted by Aye Chihuahua | August 16, 2009 8:56 PM | Score: 9 (9 votes cast)
What you're witnessing here ladies and gentlemen is a fantastic example of the classic "bait & switch".
Remember what I said earlier. These are conniving people. They have a goal in mind and will do whatever, and crush whoever they need to in order to accomplish the goal.
Here's what Harry Reid had to say back in July:
http://www.cato.org/pub_display.php?pub_id=10401
Senator Schumer:
http://congress.blogs.foxnews.com/2009/07/09/reid-says-co-ops-might-be-public-option/
21. Posted by Aye Chihuahua | August 16, 2009 8:56 PM |
Score: 9 (9 votes cast)
Posted on August 16, 2009 20:56
22. Posted by 914_62 | August 16, 2009 9:14 PM | Score: 3 (3 votes cast)
They can call it "Titanic" "Hindenburg" or "Barak Obama" and it will all end up in the same place. A graveyard, a junkyard or working at Montgomery Ward.
22. Posted by 914_62 | August 16, 2009 9:14 PM |
Score: 3 (3 votes cast)
Posted on August 16, 2009 21:14
23. Posted by Hermie | August 16, 2009 9:15 PM | Score: 9 (9 votes cast)
Of course, he has had his union and 'ACORN' thugs pushing the original plan, and he has forced Democrats to defend the plan as it was written (Developed and written WITHOUT input from the GOP BTW).
Another case of kicking whoever he has to under the bus. I say kicked under the bus, because they committed themselves and their resources to the plan currently in process, nd now look like cheap thugs and cowards in the eyes of the voters, while he scrambles for cover.
But Obama has damaged his Presidency by continuing to use the tactics of a cheap Chicago political bully; and then whining about getting smacked down by those he tried to victimize.
23. Posted by Hermie | August 16, 2009 9:15 PM |
Score: 9 (9 votes cast)
Posted on August 16, 2009 21:15
24. Posted by 914_62 | August 16, 2009 9:26 PM | Score: 4 (4 votes cast)
So, is Tina S the only troll dumb enough to show Her ignorance here? Or are the rest of the "Rat pack" recieving new directives as We cautiously applause their well deserved failure?
Ha ha.. 3 minutes will tell.
24. Posted by 914_62 | August 16, 2009 9:26 PM |
Score: 4 (4 votes cast)
Posted on August 16, 2009 21:26
25. Posted by Occam's Beard | August 16, 2009 9:34 PM | Score: 4 (4 votes cast)
Barry appears not to grasp the concept behind insurance: namely, to have interest-free access to other people's money to invest, and thereby to make money from those investments. They don't make the big bucks from premiums.
To anyone who doubts this: why does American Express push Traveler's Checks?
25. Posted by Occam's Beard | August 16, 2009 9:34 PM |
Score: 4 (4 votes cast)
Posted on August 16, 2009 21:34
26. Posted by epador | August 16, 2009 9:37 PM | Score: 3 (3 votes cast)
Dey all jes pausin t reload dats all.
26. Posted by epador | August 16, 2009 9:37 PM |
Score: 3 (3 votes cast)
Posted on August 16, 2009 21:37
27. Posted by Jeff Blogworthy | August 16, 2009 9:45 PM | Score: 5 (5 votes cast)
The current leftist line is that if any private company accepts federal assistance, then that company has tacitly granted federal control over its business.
How much more so over this government-created but privately-run "co-op?" Yeah, that's what I thought. Color me skeptical.
27. Posted by Jeff Blogworthy | August 16, 2009 9:45 PM |
Score: 5 (5 votes cast)
Posted on August 16, 2009 21:45
28. Posted by 914_62 | August 16, 2009 9:52 PM | Score: 2 (2 votes cast)
Well seeing as private companys and employees pay the taxes that fund the federal assistance hypothetically recieved... Sounds like it should be the other way around somehow?
28. Posted by 914_62 | August 16, 2009 9:52 PM |
Score: 2 (2 votes cast)
Posted on August 16, 2009 21:52
29. Posted by exceller | August 16, 2009 10:47 PM | Score: 5 (5 votes cast)
Go back to the drawing board is right. I hope the RINO's don't start reaching out their hands to make a deak for the September vote that Obama wants. They will once again find a 3AM 300 page ammendment with enough vague language that Dem's will use to resurrect the public option.
To me there is only one option, SLOW DOWN and START OVER. We're sick of the emergency cram down legislation.
29. Posted by exceller | August 16, 2009 10:47 PM |
Score: 5 (5 votes cast)
Posted on August 16, 2009 22:47
30. Posted by 914_62 | August 16, 2009 11:11 PM | Score: 1 (1 votes cast)
#30
And every fortune cookie is only as good as the cats and dogs who gave there all to make it possible.
30. Posted by 914_62 | August 16, 2009 11:11 PM |
Score: 1 (1 votes cast)
Posted on August 16, 2009 23:11
31. Posted by SShiell | August 16, 2009 11:26 PM | Score: 3 (3 votes cast)
Bowing to REPUBLICAN pressure?
They can't even lose gracefully, blaming their mistakes on a Republican Party that did not have to provide one single vote in either house to pass.
LOL!
31. Posted by SShiell | August 16, 2009 11:26 PM |
Score: 3 (3 votes cast)
Posted on August 16, 2009 23:26
32. Posted by 914_62 | August 16, 2009 11:43 PM | Score: 0 (0 votes cast)
Lol!
That is kind of ridiculous isnt it? The pantywaists have the frickin majority they always had wet dreams about yet somehow theres no action in their nether regions?
Sounds terminal.
32. Posted by 914_62 | August 16, 2009 11:43 PM |
Score: 0 (0 votes cast)
Posted on August 16, 2009 23:43
33. Posted by 914_62 | August 16, 2009 11:51 PM | Score: 0 (0 votes cast)
To add upon that... I guess they need a hundred percent liberal vote tally before they have the balls to vote for it.. And then when it inevitably leads to failure ..They just blame Buusshh...So whats the freakin hold up?
Oh yeah, they dont wanna look bad while lyin thru their taxpayer funded dentalwork.
33. Posted by 914_62 | August 16, 2009 11:51 PM |
Score: 0 (0 votes cast)
Posted on August 16, 2009 23:51
34. Posted by Trajan | August 17, 2009 12:01 AM | Score: 0 (0 votes cast)
Obama...UP YOURS.....with a colonoscope. But
beware...if a doctor finds a polyp, he may
opt to cut off your foot, to make $50,000
you quoted to the world in a town hall. These
damned doctors should be put yearly in front
of a committee set up by your "Medical Czar"
and dealt with appropriately, with severe fines
all the way up to firing squads.Damn those
doctors, Obama, but GOD BLESS YOU!
34. Posted by Trajan | August 17, 2009 12:01 AM |
Score: 0 (0 votes cast)
Posted on August 17, 2009 00:01