Don McCanne: Sen. Schumer kills reform

PNHP’s Senior Health Policy Fellow Don McCanne, M.D. comments on ‘Schumer Offers Middle Ground on Health Care‘ by Robert Pear (New York Times, 5 May 2009):

Comment: The success of the effort to reform health care seemed to be threatened by the disagreement over whether or not a public insurance option should be offered to compete with private health plans. All Republicans have expressed opposition to the public option, indicating that it would be a deal breaker if included. The Progressive Caucus in the House, which actually wants single payer, has taken a position that leaving the public option out of the reform legislation would be a deal breaker.

To prevent gridlock, Sen. Charles Schumer offers the simple solution of “public option light” so that it would not be a deal breaker for either side. The progressives would have a government-sponsored plan in the mix of private plans, and the Republicans would have government-sponsored plan that is indistinguishable from private plans, creating a level playing field. Thus each side could move forward with reform without having to implement their deal-breaking rhetoric.

This is not simply Sen. Schumer’s personal effort defuse this bomb. His public option compromise was prepared at the request of Sen. Max Baucus who has been working closely with Sen. Charles Grassley to craft truly bipartisan reform legislation. In fact, at yesterday’s Senate Finance Committee hearing on expanding health care coverage, in addition to the fifteen scheduled witnesses, Sen. Baucus called on committee member Schumer to present the public option compromise.

Look at the history of what has happened here. The progressives were told by the moderates that the votes for single payer were not there. So negotiations began from a position that single payer was off the table. The progressive community then decided to concede that the Republicans and the insurance industry could have their market of private plans, and that the compromise position that all could accept would be the addition of a public insurance option.

In the compromise process, the Republicans and the insurance industry finally made their move. That was, “drop dead.” The Progressive Caucus responded with, “we’ve already come more than half way, so now you drop dead.” So now we have the Schumer compromise of public option light, which now has been blessed as the current, official Democratic position, even though it moves even closer to the Republican position.

What have the Republicans conceded so far? Nothing. What is the insurance industry’s position on a competing public plan that looks just like their private plans? Karen Ignagni of AHIP says that she still sees “no need for a public plan.” No concession.

The Democrats have already conceded on an effective public plan option. They have conceded that universal coverage is not possible so we should merely “aim for universal.” They have admitted that they have not figured out a way to pay for plans with adequate benefits for working families. They have abandoned support of policies that would improve value while controlling costs.

The Democrats have already given away all major policies for reform, and the Republicans haven’t had to budge the least. Why should they when the Democrats are rushing in their direction?

It is ironic that yesterday, at the Senate Finance hearing, one by one, eight individuals, including physicians from PNHP, stood up and offered to present policies that would work.

One of them stated, “… single payer national health care; we want a seat at the table.”

Sen. Baucus responded, “We want police,” and he got them. Each was arrested in turn.

That allowed enough time for Sen. Baucus to add Sen. Schumer as an additional pseudo-witness so that they could kill the last, but all-too-feeble effort at real reform – the public option.

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