Democrats Urge Obama to Keep Government-run Health-plan Option

August 18, 2009 by Aleccia Yule
Filed under: Public Health 

“There is strong support in the House for a public option,” House Speaker Nancy Pelosi of California said yesterday. “A public option is the best option to lower costs, improve the quality of health care, ensure choice and expand coverage.”

Other Democrats called on the president to stand by his commitment to create the government-run plan to compete with private companies, saying they wouldnt be able to support any health-reform measure that lacked such an option.

Representative Maxine Waters of California said she was “very troubled to hear that after months of negotiations, supposedly moving toward meaningful health-care reform, the public option may in fact be off the table.”

Republicans and some Democrats oppose the creation of a federal plan, saying it would undercut private insurers and give the government too great a role in health care. Lawmakers have fielded questions on the topic from constituents at town-hall meetings throughout the nation during their August recess. Legislation approved by three House committees and one Senate panel includes a government-run health plan.

Not Essential

Obamas Health and Human Services Secretary Kathleen Sebelius suggested on Aug. 16 the administration may be retreating from the plan, saying that providing citizens with the alternative of government-run insurance isnt vital to the health-care overhaul.

“Whats important is choice and competition,” Sebelius said on CNNs “State of the Union.” The public option itself “is not the essential element.”

White House press secretary Robert Gibbs said the administrations position is unchanged. Obama would like to include a government-run program as an option for consumers in a proposed health-care overhaul, Gibbs said yesterday.

“His preference is a public option,” Gibbs told reporters on Air Force One. “If there are other ideas, hes happy to look at them.”

All six companies in the Standard & Poors managed care index rose yesterday, ranging from Aetna Inc.s 4.7 percent increase to a 1.5 percent gain for Minnetonka, Minnesota-based UnitedHealth Group Inc., the largest U.S. health insurer.

Less Than Dire

For Obama, the support of centrist Democrats in the Senate as well as a group of House lawmakers who have raised concerns about the $1 trillion cost of the overhaul is crucial. Yet he risks losing members of his party who advocate for a strong public plan.

“This is very much a thread-the-needle kind of legislative process,” said Democratic consultant Peter Fenn. “There are a lot of people who are going to be very disappointed if it turns out this doesnt have a public option.”

Senator Jay Rockefeller, a West Virginia Democrat, said a public plan “is the only proven way to guarantee that all consumers have affordable, meaningful and accountable options.”

Deal-Breaker

Omitting the government plan “is a deal-breaker for many Democrats,” said Stuart Rothenberg, editor of the nonpartisan Rothenberg Political Report in Washington.

The administration wants to “find a way to say that they will support a public option at some point and bring the Democratic base along with them,” Rothenberg said.

Obama, who has made the public option a central component of a health revamp, sounded a similar theme as Sebelius on Aug. 15 at a town-hall meeting in Grand Junction, Colorado.

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