Public Option Betrayal or Political Necessity?

On the surface, Greenwald makes a good point about the public option. But when you dig deeper into the political realities of the current situation, it rings a little hollow. Several caveats for you in case you intend to click over and read Greenwald’s post.

1) First and foremost, the current reconciliation scenario is not about the full Senate bill. That’s been passed already. It’s about a sidecar bill containing “conference” compromises with the House. So to suggest that people like Nate Silver, who were against using reconciliation to pass the full bill, have to eat shit because reconciliation is being used now is simply in error. The fact remains that reconciliation could not have been used for the full bill, with or without the public option. We know now, based on Kent Conrad’s remarks, that it’s doubtful 50 Democrats would have voted for the full bill via reconciliation. Besides, the parliamentarian wouldn’t have allowed it. Put another way, the debate about reconciliation in the Fall or Summer is very different than the current reconciliation debate. We’re talking about two very different bills.

2) Contrary to what Greenwald wrote, it’s not the Senate that’s resistant to whipping for the public option. Dick Durbin made it clear that he would find the votes for whatever sidecar the House proposes. The vote whipping crisis is, in fact, in the House. Speaker Pelosi is balking at adding the public option and trying to whip up votes for a sidecar with it included. My hunch is that this has to do with her efforts to secure votes on the Senate bill, and every vote is going to count there. I seriously doubt she’s doing this out of spite against Durbin and the Senate Democrats. She doesn’t have the votes.

3) Greenwald writes:

If majorities of the House and Senate support it, as does the White House, how could the inclusion of a public option possibly jeopardize passage of the bill?

Do we know this for sure? Is there confirmation that we have 50 and 216 for the sidecar with the public option (or without it for that matter) and 216 for the Senate bill? Actually, we might have the 50, but I don’t know if we have the 216, thanks to the blue dogs and the Stupak Invisibles.

4) And lastly, it’s no secret that this whole thing hangs by the narrowest of threads. Any hiccup could doom the whole thing. I believe the White House and Democratic congressional leadership are rightfully skittish, so naturally they want to simply get this passed before it’s too late or before another group of self-serving lawmakers decides to throw their weight around. In other words, I don’t think anyone is particularly interested in being the one who collapses this very precarious balancing act.

Adding… I also believe that the public option isn’t dead. It just won’t be part of the initial package of reforms. The Democrats need to pass whatever they can right away — a process that will cross the majority threshold with no breathing room. Then, once we tick beyond the zero barrier and pass this thing, the public option can be added while knowing it won’t tip the scales on the entire reform package.

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  • IntoxiNation

    To me I would much rather see the “Medicare for all” option instead of the public option. If they went that route then they could actually could roll Medicaid and SCHIP all into Medicare, fix the problems in it and reduce a ton of overhead from administering different programs. Besides, Medicare for all makes much more sense to the common person than “public option” does.

  • http://politicalpartypooper.wordpress.com/ Political Party Pooper

    Intoxination,You’re going to get your Medicare for all, sooner rather than later.We don’t need a public option anymore. All we need to do is force the insurers to cover pre-existings and mandate coverage for all Americans, and the insurers will implode. Again, as I have repeatedly said, there is no set of circumstances under which insurers can profitably provide insurance to every American.Their actuarial tables go out the window, because in having to cover the sick, their product is no longer insurance but rather a billing service for hospitals. Their business model implodes because “insurance” is risk based, and sick people are no longer risks, but rather certainties. And in the worst-case scenario for any insurance industry, every one of the sick is sending bills to “insurers”, bills that need to be paid. These bills will come at a pace that will at first attack insurer’s reserves, and then obliterate them.The health insurance industry has never before desired to cover every American, even though you would think they would have pushed for it; after all, who leaves that kind of profit on the table? Think about insurers…do you think they would ever leave that kind of profit on the table?The only reason for not grabbing it, for not even once pushing for it, is because THERE IS NO PROFIT ON THE TABLE under such a system. That’s why insurers don’t want this bill to pass.I give them two years of covering every American before they collapse.

  • jjasonham

    Very interesting analysis, PPP.

  • eljefejeff

    I hope you’re right, PPP.My take on the public option at this point is that it’s mostly necessary to gain additional public approval but not as much to keep costs down. Currently uninsured Americans will be able to purchase insurance through the federal employees exchange like Congress does. That’s kind of a public option, and as Bob said, this can all be hammered out after the bill is passed. We don’t need to introduce anything to it that could kill the whole thing.Greenwald just hates whoever is in charge. He’s often right, but he’s unrealistic. Obama no longer operates as a politician of the left. He is the president of the US, the leader of the free world, and he acts like he actually gives a shit even about those on the right who can’t stand him.

  • brutlyhonest

    When greenwald sticks with his constitutional law analysis, he is spot on. When on one of his obama is bush, or worse, tirades he’s insufferable.

  • http://tarackian.deviantart.com/ J M Ashby

    I have to agree with PPPAnd I do believe I said over a year ago that universal healthcare is completely unavoidable in the future. In this case it will literally be all or nothing a decade down the road.This is also why I think wackos like Stranahan with all of their “this is party time for insurance” talk are completely off base.The insurance industry might have celebrated taking single-payer off the table, but thats only because it would put them out of business overnight. This new plan will take a few years, which is plenty of time for the CEOs of all the large insurance companys to secure their own personal future. Sadly their bottom line employees will likely fund that.

  • http://www.osborneink.com OsborneInk

    Amen, Bob. Why risk the entire project of reform just for this ONE piece of it? It’s a strong piece, but it can always pass later.

  • bibimimi

    I’m being urged to ignore everything I hear. Consider our friends in high places are actually Burger King vs. McDonalds, the only restaurants left. Free Markets for everything……except ur gubment