A Public Option... But with a Trigger?

Marc Ambinder is on the story.

Senior White House officials, in conversations with reporters today, are floating the idea that President Obama is secretly negotiating with Sen. Olympia Snowe over a health care compromise that would phase in a government-funded health care alternative if private insurance companies fail to meet quality and cost benchmarks over a certain period of the time. The public discussion of the Snowe "compromise" is meant to test the reaction of House Democrats, who will pass a bill that includes an immediate public option added to a new health insurance exchange.  The White House hopes that, having voted for a public option, House Dems would accept a "trigger" as part of a conference committee compromise rather than putting the kibosh on the entire health care reform project.

Glenn Thrush has the same story over at Politico, suggesting that this float is really happening. That is to say it's happening again, because, as Ambinder notes further in his post in a portion not quoted above, the trigger has been floated before by White House Chief of Staff Rahm Emanuel as a possible compromise that could preserve some form of the public option so imperative to the left while gaining at least one or two Republican votes.

What do you think about a trigger?

Tags: 111th Congress, Barack Obama, Healthcare (all tags)

Comments

41 Comments

Re: A Public Option... But with a Trigger?

Why do you need a trigger since all the proposals currently on the table have the program begining in 2013?

by bruh3 2009-09-02 03:41PM | 0 recs
been 40 years with

current health care system what's the hurry another 10 year trigger..

yuck

by TarHeel 2009-09-02 05:09PM | 0 recs
Re: been 40 years with

Well, you are right that this is the mindset. It is one of the  many reasons I am divorcing my livelihood in the next few years from the U.S. economy as much as I can.

by bruh3 2009-09-02 05:25PM | 0 recs
Re: A Public Option... But with a Trigger?

The devil is definitely in the details on a trigger.  Like withdrawal from Iraq, I'll feel better about it if the benchmarks are clear and indisputable.  You don't want some kind of vague deal like "you insurance companies better shape up, or then we'll really get serious about regulating you!!"

Mind you, the whole concept of cost and quality benchmarks is pretty silly because if the cost and quality of the private health care plans are acceptable to people, no one will want to switch to the public option anyway.  In a manner of speaking, we'd be choosing to enact price controls ("you must meet this price by this date or else") as opposed to a market-based solution ("we're giving you a new competitor, now go beat them") and somehow the former choice is more palatable to conservatives.  Politics is a weird business.

I guess I'd hope the reaction of the House Progressives would be not so much that a trigger is unacceptable, but more that it simply makes no sense.  We're already making huge concessions to the people who believe "a public option will be armageddon because everyone will switch!!" by proposing that eligibility for the public option will be severely restricted at the outset.

How about a combination of the approaches, where you start out with a public option that's available to people who are uninsured or within hailing distance of the poverty line, and then there's a trigger where if the private insurance companies fail to meet their benchmarks, the public option automatically becomes open to everyone.

by Steve M 2009-09-02 03:48PM | 0 recs
I guarantee you

the trigger would be written in such a way as to ensure that the public option was never triggered--like they did when passing Medicare Part D.

It's a joke that the White House is considering this to get Snowe's vote. This would be nothing but a corporate giveaway.

by desmoinesdem 2009-09-02 04:11PM | 0 recs
Re: A Public Option... But with a Trigger?

One follow up question: how many votes will this produce from the GOP to include this trigger? It sounds like 1 vote.

by bruh3 2009-09-02 03:51PM | 0 recs
Re: A Public Option... But with a Trigger?
Fuck "one or two Republican votes".  
Obama may just have to admit to being a Democrat promoting Democratic legislation.
by DeanOR 2009-09-02 08:10PM | 0 recs
Re: A Public Option... But with a Trigger?

Frankly, if the NY Times report is true (I am honestly hoping it is not because the statement worries me as when I first recognized Bush's character flaw), then I am worried.  The report  says the following of the President:

"It's so important to get a deal," a White House official said, speaking on the condition of anonymity in order to be candid about strategy. "He will do almost anything it takes to get one."

I am thinking he has a major character flaw that will be a problem for the next few years untl he loses in 2012 because no President can telegraph weakness like this and not realize it is weakness. In other words, it is not just that he is bipartisan or post partisan or whatever, it is that he is completely blind to how his behavior comes across to others.

People will say-'But yes he was elected." So was Bush in 2004 after we knew of his character flaws. So was character in 1976. So was Bush 1 in 1988. Elections are about the lesser of two evils.

Bush II had his flaws, but One of them, for good or ill, was not telegraphing weakness. I can think of some Republicans and Democrats who telegraphed weakness, being out of touch and a focus on process above all other consequences. None of them won a second term.

I can only hope the WH aid has no idea what he or she is talkinga bout. This statement goes beyond my disagreeing or agreeing with him. It goes beyonds strategy. It is in the realm of presidential character flaw.

You simply as President do not telegraph weakness like that. Nor am I the only one starting to ask that question. I remind you he is doing all of this for one GOP vote. That's it. It is a level of weakness I have no experience in my adult life time.

by bruh3 2009-09-02 09:16PM | 0 recs
We got ourselves a major lemon

I have long said that Obama is the weakest President I have ever seen.  What did it for me was his not pulling Harry Reid by the ear and forcing him to stay in session until a bill was passed.  And then he goes on vacation and plays golf for all of August.  I will never forgive Obama for what he did to us and the Democratic party.  Never.  Its over.    

by Kent 2009-09-02 09:30PM | 0 recs
Re: We got ourselves a major lemon

We don't know what pres obama is yet. I mentioend the comment becuase it legitimately worreis me not because I know for certain if it is true. As a president, you can not be so desperate for the approval of those who hate you that you are willoing to take anything they give you. If only in terms of being a co-equal branch this mindset is dangerous. I mostly believe it has to be false.

by bruh3 2009-09-02 09:50PM | 0 recs
Re: A Public Option... But with a Trigger?

You said it eloquently, with the comment that elections don't happen in a vacuum.  You could really see a Palin or a Pawlenty or Cheee-nee winning in 12?

I think if somehow things continue how they are going for the rest of the term (unlikely), we'll see an '04 type election.  A close win with continued unpopularity late into the 2nd term.

by AZphilosopher 2009-09-02 11:31PM | 0 recs
Re: A Public Option... But with a Trigger?

Continued unpopularity in a second term would permenantly wreck the Democratic party.  You dont just leave a tumor sitting there.  

by Kent 2009-09-03 10:41AM | 0 recs
Re: A Public Option... But with a Trigger?

Hey!! I have an idea!!

How about a 60 year trigger?  In other words, if the insurance industry cannot stop themselves from fucking the American people for a period of 60 years, then this would trigger a fully public option.

Even if we give them their 60 years, the trigger is self-executing.  In other words, THE INSURANCE COMPANIES HAVE HAD THEIR 60 YEARS OF FUCKING AMERICA.

The trigger has already triggered.  Time for real health reform.  

by jfrankesq 2009-09-02 04:02PM | 0 recs
Re: A Public Option... But with a Trigger?

Let's see we have laws against illegal wiretaps. We national and international laws against torture - capital offense that.

Those laws are vigorously enforced by our DOJ and Congress.

I am sure a trigger will get equal attention.

by porsillo 2009-09-02 04:06PM | 0 recs
Re: A Public Option... But with a Trigger?

Wow, because the bill as it is isn't byzantine enough.  How do you "trigger" an expansion of medicaid?  I'm imagining the cardboard-cutout town in Blazing Saddles here.

How about a reverse trigger?  "The public option will be dismantled if...."

by Jess81 2009-09-02 04:28PM | 0 recs
Re: A Public Option... But with a Trigger?

medicaid=medicare

by Jess81 2009-09-02 04:28PM | 0 recs
It sounds like

this is a last ditch attempt to pass a bill under normal Senate rules.  I'm sure the move is to get Snowe for vote #60 and then leverage the Conservadems by saying "OK, if you don't vote for cloture, we'll go to Reconciliation where everyone says if we are including a P.O. it needs to be more robust."  This leverages the conservadems because if they ultimately vote against reform, they are toast and they know it.

Why would pro-P.O. forces accept this?  The reason is that a P.O. might not make it through reconciliation.  There certainly wouldn't be the 60 votes to include it anyway if the parliamentarian rules against it.

Will it be successful?  I want to see how this plays out.

by AZphilosopher 2009-09-02 04:52PM | 0 recs
Hell NO!

Stop trying to get any Republicans, pass a good bill ourselves and get on to the Energy and Education legs of the Obama three leg stool already!

by politics64 2009-09-02 04:55PM | 0 recs
Re: A Public Option... But with a Trigger?

One final follow up: A new poll from CNN- wide scale support for the PO after a month of attacks and no back up by President (I am a corporaDem) Obama.

I am guessing that Blue Dogs will lose around 20 seats next year as per Cook. The left will be blamed for it. But we all know here today that truth- you can thank Presiden Obama's lack of leadership.

by bruh3 2009-09-02 05:11PM | 0 recs
Re: A Public Option... But with a Trigger?

I think we will lose more.  I think we will probably lose around 20 blue dogs and probably 20 progressives in marginal districts like Alan Greyson and that we will lose the majority.  The 2012 redistricting will put the House out of our reach probably for another decade.  Thanks Obama, you chose to mess up at the worst possible time for us.  

by Kent 2009-09-02 05:36PM | 0 recs
Re: A Public Option... But with a Trigger?

The demographics are not there for Democrats to lose other than in marginal seats. There are not much more based on reading expert polling than 20.

by bruh3 2009-09-02 05:47PM | 0 recs
Re: A Public Option... But with a Trigger?

Greyson ain't going down. No Way.

by Jerome Armstrong 2009-09-02 06:06PM | 0 recs
Re: A Public Option... But with a Trigger?

Perhaps you don't own a television or a radio?

by lojasmo 2009-09-03 12:34PM | 0 recs
Rube Goldberg would be proud

as though Obama and his folks couldn't make an easy and popular issue like a medicare choice (public option) confusing enough they had to add triggers.

by TarHeel 2009-09-02 05:11PM | 0 recs
Re: A Public Option... But with a Trigger?

Although I support a strong public option, it seems to me that the fundamental issues are: (1) providing universal coverage; (2) ensuring that insurance cannot be denied on the basis of pre-existing conditions; (3) precluding a carrier from dropping coverage; (4) developing a database of 'best practices' for maximizing the probability of 'best outcomes'; and (5) decreasing medical costs over time.

The public option is the best option available for (5), and would, over time discipline costs of private plans. However, the same result could be achieved by setting targets for 'bending the cost curve' and using those targets as the basis for 'triggering' the public option.

Does it offend me that health care is a profit center for private companies? Yes. Does it offend me that any politically feasible bill will enable private insurers to reap profits at the expense of both the sick and well? Yes. However, if it takes swallowing morally repugnant policies s to ensure that we achieve universal health coverage, I'm willing to do that. Those that condemn the insurance companies for making ungodly profits on the back of the sick should think carefully about whether they would like to demand 'purity' and kill health care of any sort -- thus enabling the insurance companies to continue on their paths to profit while doing nothing for fellow Americans in need.

by Steve from Sonoita 2009-09-02 05:19PM | 0 recs
Re: A Public Option... But with a Trigger?

Pardon me while I interrupt you spinning of lurkers with a bit of information so that they can have a reality check. this is what the poster wants you to ignore:

""According to "Paying the Price: How Health Insurance Premiums Are Eating Up Middle-Class Incomes," employer-sponsored family plans will rise from an average cost of $12,298 in 2008 to $23,842 in 2020 (the same coverage would have cost close to $9,200 in 2003) if health-care costs continue to rise at the current rate.

The study found that:

The rapid rise in health insurance premiums has severely strained U.S. families and employers in recent years. This analysis of federal data finds that if premiums for employer-sponsored insurance grow in each state at the projected national rate of increase, then the average premium for family coverage would rise from $12,298 (the 2008 average) to $23,842 by 2020--a 94 percent increase.

However, if health system reforms were able to slow premium growth by 1 percentage point in all states, by 2020 employers and families together would save $2,571 per premium for family coverage, compared with projected trends. If growth could be slowed by 1.5 percentage points--a target recently agreed to by a major industry coalition--yearly savings would equal $3,759. The analysis presents state-by-state data on premium costs for 2003 and 2008, as well as projections, using various assumptions, for costs in 2015 and 2020."

http://www.huffingtonpost.com/2009/08/23 without-reform-health-ins_n_266589.html

The reason why everything listed above by the "serious DC speaker" is b.s. is because of the ticking timebomb.

by bruh3 2009-09-02 05:30PM | 0 recs
If premiums tracked provider costs

It would be one thing. But they don't, not one for one.

Over the last couple of decades the typical insurance company medical loss ratio (that is money actually paid to providers) has dropped from 95% to 80%. Meaning the insurance companies take four times the share of your premium dollar than they used to. And are engaged in a full court press to get that ratio even lower.

Perhaps the most important provision of HR3200 is Sec 116. If implemented correctly and if this country never elected a corporate captured government ever again we wouldn't need a Public Option. But given that we don't even have such a government now, the PO is over the medium to long term an absolute necessity. But if progressives could cut a deal to set the mandated medical loss ratio high enough it would drive cost increases down.

So don't get fooled. The insurance companies have long signaled that they can live with a Public Option, the threat to their business models doesn't come from the PO but from the restrictions in Secs 113 and 116.

The wording of 116 is such that its goal is never stated outright, but what it is is profit controls. I blogged on this prior to the August break
http://angrybear.blogspot.com/2009/07/hr 3200-sec-116-golden-bullet-or-smoking.ht ml

SEC. 116. ENSURING VALUE AND LOWER PREMIUMS.

(a) IN GENERAL.--A qualified health benefits plan shall meet a medical loss ratio as defined by the Commissioner. For any plan year in which the qualified health benefits plan does not meet such medical loss ratio, QHBP offering entity shall provide in a manner specified by the Commissioner for rebates to enrollees of payment sufficient to meet such loss ratio.

(b) BUILDING ON INTERIM RULES.--In implementing subsection (a), the Commissioner shall build on the definition and methodology developed by the Secretary of Health and Human Services under the amendments made by section 161 for determining how to calculate the medical loss ratio. Such methodology shall be set at the highest level medical loss ratio possible that is designed to ensure adequate participation by QHBP offering entities, competition in the health insurance market in and out of the Health Insurance Exchange, and value for consumers so that their premiums are used for services.
__________
What does it mean? Under the current insurance company model they make money by insuring people who won't need to make claims and by denying claims of those that do. Under 116 that doesn't work, if you don't hit your ratio in the form of provider payments you have to rebate the difference. The only way to keep gross profits up is one-by increasing efficiency on the company side and two-seeking to maximize your market share.

Sec 116 if done right converts private health insurance from a model built on predation to one built on service. And you can bet the wolves don't like it

by Bruce Webb 2009-09-03 08:26AM | 0 recs
Re: A Public Option... But with a Trigger?

Better than what Ezra Klein is talking about... Rahm wants something so scaled back that it does absolutely nothing!  Great!  What a joke...  60 dem senators and you can't even get a half-assed health reform bill in...

by LordMike 2009-09-02 05:19PM | 0 recs
Re: A Public Option... But with a Trigger?

We don't have sixty democrats.

by lojasmo 2009-09-03 12:35PM | 0 recs
I want reconcilliation

based on medicare rates!

saves the most money and meets the budgetary requirements for reconcilliation

by TarHeel 2009-09-02 05:22PM | 0 recs
Re: A Public Option... But with a Trigger?

All I've  got to say is....suckers.

Enjoy some reasoned and excellent ideas from Rep. Weiner:

http://www.youtube.com/watch?v=sTh-Yu9Rf F0&feature=related

by TxDem08 2009-09-02 05:30PM | 0 recs
a Trigger?

 You guys sure startle easily.

by QTG 2009-09-02 05:34PM | 0 recs
Re: A Public Option... But with a Trigger?

Trigger?

Where the hell was that when he got his 750 Billion to hand out to banks?

by Jerome Armstrong 2009-09-02 06:07PM | 0 recs
Re: A Public Option... But with a Trigger?

I guess 750 billion hand out was well deserved to the people who will probably help out in his re-election. Who care about the average people? Give them any bone and they will yap at it!!

by tarheel74 2009-09-02 06:12PM | 0 recs
Trigger is a joke

Its a bone Obama is tossing us to cover up his cowardice and lies.  The trigger will never happen and everybody knows it - just more lies from the coward Obama.

by mwfolsom 2009-09-02 06:24PM | 0 recs
Re: A Public Option... But with a Trigger?

I'm going to come right out and say it - I want the health insurance companies out of business.  All you're really doing is prepaying your own medical care anyway, and the insurance company takes its cut off the top for adding basically no value.  If there was ever an industry with no reason to exist, this is it.

by beerwulf 2009-09-02 06:35PM | 0 recs
All Lies

No trigger.  "Quality and cost benchmarks" are virtually impossible to define exactly and even harder to determine on a national basis with any accuracy at all.  It would become the insurance company's word against politicians.  That CANNOT work.

NONE of this fixes the biggest problem - insurance company LIES.  I buy my own coverage, but Blue Cross denied my son's tonsilitis visit because we went to the walk-in clinic on Sunday instead of waiting for the hospital on Monday.  They told me this a month after it happened and denied ALL coverage.  LIES.  They say I'm covered, but just TRY to actually use it, and they LIE and deny.

THAT has to stop.

by congressive 2009-09-02 06:46PM | 0 recs
Re: A Public Option... But with a Trigger?

If there's a trigger mechanism instead of just launching the public option automatically, I can only hope that the benchmarks are VERY aggressive.  The insurance companies have to clean up their acts and start serving their customers first, and going easy on them won't get us there.

by IrishAlum 2009-09-02 07:35PM | 0 recs
Re: A Public Option... But with a Trigger?

Here's a reality check: If this white house is willing to sell everything down the river then they are willing to sell EVERYTHING down the river. In other words, don't hold your breath for the things you want. They are as much on the chopping table as anything else.

by bruh3 2009-09-02 07:48PM | 0 recs
Re: A Public Option... But with a Trigger?

Perfect.  The never-ending August.

by the mollusk 2009-09-02 08:57PM | 0 recs
a blank

No one will be happy with a trigger except the insurance giants.  As others have said, it will never be employed.  Even more importantly, the deal makes the Dems pie-in-the-face losers.  

They give up the one hope for real reform for the approval of ONE Rethug?  Not really.  They give up reform because Obama has sold out to the corporations.  Emmanuel is a shill.  They never intended to set up a public alternative to the insurance industry.  Sellouts!

by candideinnc 2009-09-03 03:54AM | 0 recs

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