Merkley and Wyden: Include the public option in health care reform, dammit.

Carla Axtman

In a letter circulated by U.S. Senator Sherrod Brown (D-OH), Oregon Senators Jeff Merkley and Ron Wyden join 30 other Senators to show support for the public option.

A battle is expected on the Senate Floor over whether to include the public option as part of the health care reform package. This is another salvo in the attempt to demonstrate support for the public option, especially for the Senate.


The letter:

October 8, 2009

The Honorable Harry Reid
Majority Leader
United States Senate
The Capitol, S-221
Washington, DC 20510

Dear Majority Leader Reid:

We have spent the better part of this year fighting for health reform that would provide insurance access and continuity to every American in a fiscally responsible manner. We are concerned that – absent a competitive and continuous public insurance option – health reform legislation will not produce nationwide access and ongoing cost containment. For that reason, we are asking for your leadership on ensuring that the merged health reform bill contains a public insurance option.

As it stands, the health insurance market is dominated by a handful of for-profit health insurers that are exempt from the anti-trust laws that ensure robust competition in other markets across the United States. Without a not-for-profit public insurance alternative that competes with these insurers based on premium rates and quality, insurers will have free rein to increase insurance premiums and drive up the cost of federal subsidies tied to those premiums. This is simply not fiscally sustainable.

We recognize that the two Committees with jurisdiction over health reform – the Senate Finance Committee and the Senate Health, Education, Labor, and Pensions (HELP) Committee – have taken two very different approaches with respect to this issue. However, a strong public option has resounding support among Senate Democrats – every Democrat on HELP, three quarters of those on Finance, and what we believe is a majority of the caucus.

The Senate Finance Committee included a cooperative approach to insurance market competition. While promoting more co-ops may be a worthy goal, it is not realistic to expect local co-ops to spring up in every corner of this country. There are many areas of the country where the population is simply too small to sustain a local co-op plan. We are also concerned that the administrative costs associated with financing the start-up of multiple co-op plans would far outstrip the seed money required to establish a public health insurance program.

Opponents of health reform argue that a public option presents unfair competition to the private insurance companies. However, it is possible to create a public health insurance option that is modeled after private insurance – rates are negotiated and providers are not required to participate in the plan. As you know, this is the Senate HELP Committee’s approach. The major differences between the public option and for-profit plans are that the public plan would report to taxpayers, not to shareholders, and the public plan would be available continuously in all parts of the country. The number one goal of health reform must be to look out for the best interests of the American people – patients and taxpayers alike – not the profit margins of insurance companies.

Health reform is about improving access to health care, containing costs, and giving Americans a real choice in the insurance plan best suited to their needs. We urge you to fight for a sustainable health care system that ensures Americans the option of a public plan in the merged Senate bill.

Sincerely,

U.S. Sen. Sherrod Brown (D-OH);John D. Rockefeller (D-WV); Russell D. Feingold (D-WI); Patrick J. Leahy (D-VT); Daniel K. Akaka (D-HI); Tom Udall (D-NM); Kristen E. Gillibrand (D-NY); Roland W. Burris (D-IL); Ron Wyden (D-OR); Debbie Stabenow (D-MI); Barbara Boxer (D-CA); Sheldon Whitehouse (D-RI); Michael F. Bennet (D-CO); Dianne Feinstein (D-CA); Jack Reed (D-RI); Jeff Merkley (D-OR); Frank R. Lautenberg (D-NJ); Benjamin L. Cardin (D-MD); Al Franken (D-MN); Robert P. Casey, Jr. (D-PA); Barbara A. Mikulski (D-MD); Daniel K. Inouye (D-HI); Edward E. Kaufman (D-DE); Arlen Specter (D-PA); Maria Cantwell (D-WA); Robert Menendez (D-NJ); Bernard Sanders (I-VT); John F. Kerry (D-MA); Herb Kohl (D-WI); and Paul Kirk (D-MA).

Discuss.

  • (Show?)

    Another chance to be proud of our Senate team.

  • bradley (unverified)
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    This is what I was hoping for from Wyden. It looks like he is working every angle to improve the badly flawed Senate bills. Merkley signing was predictable, but continued great work and welcome news. Wyden signing ought to make Reid sit up and take notice. Based on what I have seen from Wyden's television appearances, he isn't constrained about telling the truth about a bad bill, whether it comes from the Republicans or the Democrats. If I were Reid, that would worry me almost as much as Wyden voting against the bill.

  • Bob Baldwin (unverified)
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    The problem is that Wyden has a vote in committee and Merkley does not. Wyden should vote No on the Baucus bill, rather than let it be labeled the "centrist" position, which also automatically means the HELP bill is the "leftist" position.

    Force the Baucus/Lincoln/Nelson bloc to either support a Republican filibuster or vote for cloture, then see if you can get to 50 + Biden on the HELP bill. Then conference with HELP being the conservative end of the debate.

  • joel dan walls (unverified)
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    So, our great state is being further ruined by Obama-loving Islamocommunofascists.

  • backbeat (unverified)
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    YAY!!

    And I'm thinking, the state opt-out thing sounds good too. I'm sick and frickin tired of the south ruining everything for us.

  • marv (unverified)
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    Presuming that there is any benefit to be gained from what is being described as a public option it should be acknowledged that "reform" is not scheduled to take place until after the next presidential election.

    At a current rate of forty-five thousand deaths per year due to lack of insurance what will be the death rate in 2010, 2011, 2012, 2013. Can Jack dream of getting fifty-five, seventy-five, one hundred and twenty-five and then (oh joy) one hundred and fifty-thousand?

    Imagine the profits. Through the roof already they will be heaven bound. The thrill of killing. Oh my. It must be so satisfying.

  • Admiral Naismith (unverified)
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    I'm proud of Oregon.

    @Bob, seems to me Wyden should vote for whatever cowflop of a bill Baucus allows so that it gets out of the finance committee instead of sitting there like a beached whale for ANOTHER three months.

    Seems to me it will be easier to fix that bill by reconciling it with the HELP Committee bill, and then with the House bill, in an environment where Baucus is not the sole ringmaster and doesn't have the power to falsely claim Wyden's good efforts are out of order.

  • Bob Baldwin (unverified)
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    Admiral Naismith Seems to me it will be easier to fix that bill by reconciling it with the HELP Committee bill, and then with the House bill, in an environment where Baucus is not the sole ringmaster and doesn't have the power to falsely claim Wyden's good efforts are out of order.

    Except that we are then dealing with rules which can equire 60 votes, and again Baucus and company get to play penny-ante dictator because the left keeps trying to "work with them".

    Fixing the Baucus bill reminds me of Jack Nicholson ordering a side of wheat toast. http://www.youtube.com/watch?v=6wtfNE4z6a8

  • LT (unverified)
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    Glad to see this.

    However, public option alone does not solve all problems.

    If the bill outlaws denial due to pre-existing conditions, contains a public option, updates the Medicare re-imbursement rates so that states like Oregon get the same rate as states like NY, does a number of other good things but none of it takes effect until 2013, what have we gained?

    At the very least, ending the pre-existing condition denials should happen within the year if not sooner.

  • would include (unverified)
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    I am going t research this more.

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    the Finance Ctte vote hardly matters. what matters is the floor vote, but only because that sets the stage for the conference committee work. having progs & libs in both the House & Senate demanding the public option is a huge help. will it be enough? well, if you have friends & family in Nebraska, Louisiana, Arkansas, New Jersey, Montana - i'd be having them call their senator's office and telling him/her to vote for the people, not the insurance companies. citizen pressure is needed more than anything else right now.

  • S.P.O. (unverified)
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    Those of you who are advocates of meaningful health care reform and a strong public option should take heart that you have brought Wyden along to this point. It is a quite a distance from where he started and he has resisted it all the way.

    At the same time, we also need to be circumspect that this letter does not say he is all the way towards what most of us would consider to be full support for a robust, national public option. So far he has yet to respond affirmatively to numerous requests he make it clear he will not vote for a Senate bill that includes a mandate but does not include a robust, national public option.

    More importantly, it was just a few days ago that Cantwell called what amounts to a state version of Medicare Part C a "public option". That is a plan which takes the premiums of those who buy into a "public" system and just uses them to buy insurance form private insurance companies. In his original bill and since then, including in his characterizations of the OHP which is now largely based on private managed-care insurance plans, Wyden has also tried to describe fragmented regional and state efforts, and "public" systems which just pass dollars through to private insurance companies as public plans.

    So this is the time to thank Wyden for coming along to where we've managed to bring him, but to keep on our toes and continue to push him across the finish line to finally voting for no less tha a real publicly-owned, administered, and accountable option. It's too bad he's made us have to devote so much energy dragging him along that could have been used to wage the fight against other opponents. But as with any politician who has his eyes fixed first and foremost on re-election, he undoubtedly thanks you for forcing him to do the right thing. Re-electing him if his votes are there when it counts will be thanks enough in exchange. (And a tip of the hat to organized labor for so far making it crystal clear to Wyden where his bread is buttered.)

  • bradley (unverified)
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    "But as with any politician who has his eyes fixed first and foremost on re-election, he undoubtedly thanks you for forcing him to do the right thing."

    S.P.O., this is silly assertion. If Wyden had his eyes "fixed foremost on his reelection" he would not be rocking the boat harder than anyone I have seen in the Senate. He has remained a shockingly independent voice in the health reform effort, and he demonstrated that by taking on just about every special interest in the debate. Labor on at least two huge issues for them, insurance companies repeatedly, the large employers repeatedly, trial lawyers, and yes, he has frustrated me and many of us who wanted him to quickly say yes to a public option so we could just call and scream at Walden. If he were focused just on reelection, he wouldn't have done of of this.

    "(And a tip of the hat to organized labor for so far making it crystal clear to Wyden where his bread is buttered.)"

    Don't get me wrong. I think Wyden is a pro-labor Senator, but I don't get the idea that any one interest in this debate has been able to successfully influence Wyden to their satisfaction. And I think that's just about the way it ought to be.

  • Paul Burke - Author Journey Home (unverified)
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    If you think the insurance companies are going to lower their cost while having a monopoly over the process – well I’ve got a bridge to sell you …and I think Wall Street should be completely unregulated – I trust strangers with my money…and pollution is good for us.

    The fact remains that big insurance by refusing care to patients and reimbursement to doctors over typos has ticked everyone off - both patients and doctors. They have a virtual monopoly over the whole process a hugely well financed lobby team and representatives on both sides of the isle.

    A friend of mine recently laid off without children is paying $2,500.00 dollars a month for his COBRA - that is outrageous. Health insurance costs more than his mortgage – unbelievable.

    When Bush implored people to go out and spend - well that’s kind of hard to do when you are buried in health care bills, filling and refilling out forms and in foreclosure because you made a typo.

    The insurance companies and their representatives in Congress would love to perpetuate a business model that is crippling our economy – a bunch of great Americans aren’t they?

    Paul Burke Author - Journey Home

  • Lord Beaverbrook (unverified)
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    I'm afraid big business sees this like drug testing. They are horrified beyond belief by the idea of a labor force that is free to vote with its feet. They seem to truly believe that fear of losing health benefits and fear of drug testing are the only way to extort cooperation from their employees.

    Another example, imho, of Dems treating as a bona fide difference in positions what is a difference in goals. They don't want health security! Security is something that corporations and States are entitled to. Not individuals. Why isn't that what the argument is about, instead of letting them game the public that they're genuine or in any way have public interest at heart?

    Posted by: joel dan walls | Oct 8, 2009 4:31:49 PM

    So, our great state is being further ruined by Obama-loving Islamocommunofascists.

    Speak English? That's not even possible. If you were genuinely concerned with the ruination of Oregon, you'd move!

  • Emmit Goldman (unverified)
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    Black Agenda Report: Why the Public Option is Doomed To Fail, and What Can Be Done About It

    "The president's health care plan is designed to preserve the parasitic private insurance industry a little while longer. In this context, the public option is a cruel and cynical hoax, an excuse not to abolish the role of private insurance death panels and toll collectors in the nation's health care system."

  • Lord Beaverbrook (unverified)
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    A friend of mine recently laid off without children is paying $2,500.00 dollars a month for his COBRA - that is outrageous. Health insurance costs more than his mortgage – unbelievable.

    A friend of mine just found out that he's been out of work so long that he's lost his Social Security disability benefit. You know those statements you get that say, "if you retired at 70 you'd have $xyz / month"? His disability has always been around $2500/month. After 10 years of having on and off work- after 25 years of constant work- he doesn't have enough quarters in the last 10 years, and has no disability benefit whatsoever. His retirement benefit has gone to 1/2 in the last year. That is a scenario I have never heard discussed, but shows the real world intersection of all these issue, and more.

    Maybe keeping the chronically under and unemployed numbers high is a cunning plan to balance Social Security.

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    This is the first time I'm aware of that Wyden has gone from passive to active support of a PO. And if he's one of the people behind the opt-out idea as rumored, I'm well behind that too. These would be great development's in Wyden's evolution on the issue, IMO.

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