Progressive Caucus: no trigger for public option in health care reform

Posted by AzBlueMeanie:

Let me begin with the disclaimer that I have never been enamored with Rahm Emanuel. He was President Clinton's Assistant to the President for Political Affairs and then Senior Advisor to the President for Policy and Strategy. He was the leading strategist in the unsuccessful White House efforts to institute universal healthcare. I have not forgotten, nor forgiven him.

Emanuel is also aligned with the corporate bootlickers at the Democratic Leadership Council and New Democrat Coalition. He also opposed Dr. Howard Dean's 50-state strategy and publicly sought to undermine the DNC Chairman. Enough said.

On Monday, Rahm Emanuel suggested that President Obama wants competition injected into the private insurance market — even if that's accomplished without a public option. Emanuel Suggests White House May Support Public Option Alternatives

Republicans and conservative Democrats have proposed a small handful of alternatives to the public option — all of which have been rejected by reformers. But according to the Wall Street Journal, Obama isn't standing so firm. "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." Emphasis mine.

This is the so-called trigger mechanism, and it's been roundly rejected by reformers who view it as an escape hatch for insurers who seek to at least delay the creation of a public option. Obama's openness to this idea puts him at odds with key Democrats in both the House and Senate.

Emanuel's comments ignited a firestorm that the White House sought to immediately put out. President Tries To Put Out Fire From Emanuel's Health Care Remarks

In an effort that seemed designed to appease concerned progressive advocates, President Barack Obama issued a clarifying statement about the administration's commitment to a "public option" for health insurance while traveling in Russia on Tuesday.

"I am pleased by the progress we're making on health care reform and still believe, as I've said before, that one of the best ways to bring down costs, provide more choices, and assure quality is a public option that will force the insurance companies to compete and keep them honest," read the statement. "I look forward to a final product that achieves these very important goals."

Responding to Emanuel's "trigger flap" (h/t Daily Kos) our own Congressman Raul Grijalva, writing as a member and leader of the Congressional Progressive Caucus, sent a letter to President Obama to make very clear that the very large bloc of votes in the CPC will not accept a public option trigger [pdf]:

I read with alarm and dismay the article in the July 7th edition of the Wall Street Journal, "White House Open to Deal on Public Health Plan". In particular, White House Chief of Staff Rahm Emanuel stated in the article that one of several ways to meet your healthcare reform goals is a mechanism under which a public plan is introduced only if the marketplace fails to provide sufficient competition on its own.

I want to be crystal clear that any such trigger for a strong public plan option is a non-starter with a majority of the Members of the Progressive Caucus (CPC). As the CPC has repeatedly stated, its Members cannot support final passage of any healthcare reform bill that does not include a robust public plan option, akin to Medicare, operating alongside the private plans.

Public opinion polls show that 76% of Americans want a robust public plan option and I will stand in solidarity with them. Moreover, I consider it unacceptable for any of the cost savings that you are negotiating with hospitals and other sectors of the healthcare industry to be made contingent upon a robust public plan option not being included in the final legislation.

The letter was sent in advance of a Democratic caucus meeting [last] night with Emanuel. A source from inside that meeting says that this message was reiterated to him, in person, in no uncertain terms.

Sen. Bernie Sanders sent a similar message [yesterday] in an interview withs Sam Stein:

Sen. Bernie Sanders (I-Vt.) went so far as to insist that some Senate Democrats would vote against any proposal that didn't include a strong government-run option. Even the bill being crafted by Democrats on the Senate Finance Committee, Sanders noted, might not get the caucus' full support because it could stray too far away from an effective overhaul of the health care system.

"I think that it is fair to say that there are a number of us who would not be voting for anything resembling a Baucus-type plan as we understand it right now," the senator told the Huffington Post, referring to Finance Committee Chairman Max Baucus' effort at constructing a reform bill….

"Emanuel is dead wrong," Sanders said. "The triggers are meaningless. The American people have shown in poll after poll their contempt for private health insurance companies. They don't trust them and for good reason.

"Now, where we are right now politically is the HELP Committee, of which I'm a member, is going to bring forth a public plan," Sanders added. "The House of Representatives is supporting a public plan. And President Obama ran for office talking about a strong public plan. Why, with that political reality of the American people wanting it, the House going forward, the Senate HELP Committee going forward, would Rahm Emanuel suggest that we would compromise on this issue?"

That's a very good question. And it's a message that appears to be getting through even to Senate Majority Leader Harry Reid, who purportedly has told Senate Fiance Committee Chairman Max Baucus (D-Mont.) to Forget the Republicans:

Via Roll Call (sub.):

Senate Majority Leader Harry Reid (D-Nev.) on Tuesday ordered Finance Chairman Max Baucus (D-Mont.) to drop a proposal to tax health benefits and stop chasing Republican votes on a massive health care reform bill.

Reid, whose leadership is considered crucial if President Barack Obama is to deliver on his promise of enacting health care reform this year, offered the directive to Baucus through an intermediary after consulting with Senate Democratic leaders during Tuesday morning’s regularly scheduled leadership meeting. Baucus was meeting with Finance ranking member Chuck Grassley (R-Iowa) Tuesday afternoon to relay the information.

According to Democratic sources, Reid told Baucus that taxing health benefits and failing to include a strong government-run insurance option of some sort in his bill would cost 10 to 15 Democratic votes; Reid told Baucus it wasn’t worth securing the support of Grassley and at best a few additional Republicans.

Getting Sen. Charles Grassley and his Republicans on board with any kind of meaningful reform has been a fool's errand from the get-go. That this much time has been wasted trying to appease Republicans in the interest of "bipartisanship" has jeopardized the effort to get this bill done by August recess and to the President in October.