C-SPAN covered a "town hall" held by RNC Chair Michael Steele with students at Howard University.
In the last portion, Steele tried to answer a question about why Republicans believe Americans should not have the choice of a public health insurance option it they’re required to purchase health insurance. He never came close.
Steele initially offered that he didn’t think the Democrats had sufficiently defined the features of a public option, ignoring Democratic proposals to make it "like Medicare," but he then attempted to explain why a concept he claimed no one had defined was a bad idea.
He next asserted that providing the choice of a public option would be a burden for small businesses. Steele either didn’t know, or declined to explain that the Democratic bills already exempted most small business from the mandates to offer or pay for insurance. And he probably didn’t want to mention that small business representatives in Maine had told Olympia Snowe that they opposed a mandate on their businesses unless there was a public option to help control the costs.
Steele’s proof for this small business burden was a conversation he had with an executive of a major US corporation. Without acknowledging this switch from "small" to "major" businesses, Steele said the large business exec told him that if he was faced with a choice of providing insurance or paying the proposed 8 percent payroll tax under a "play or pay" provision, a rational business owner would choose to pay the tax, because it was cheaper.
Where is he going with this non-sequitur, I wondered?
Steele then pursued the point by rhetorically asking the students why the large business should continue to provide insurance when its employees could get subsidized insurance.
At this point, most of the student audience should have been laughing at this nonsense, but following an earlier disruption (h/t HuffPo’s Dave Zirin), they’d just been admonished not to yell out or interrupt Mr. Steele. So no one was allowed to explain that what Steele was saying had nothing to do with a small business, nor was it relevant to whether a reform bill should or shouldn’t include a public option.
The large business exec’s "play or pay" choice isn’t the result of having a public option but of having a mandate; it would be driven by the cost of employer-based group insurance available to the business versus the size of the penalty the business would pay if it didn’t offer insurance. Moreover, that exec probably knew that at the rate employer-based insurance premiums were rising, more and more businesses will be dropping insurance coverage for their employees whether or not we have mandates or a public option.
Continuing his walk through incoherence, Steele then added that another concern was that no one knew how "it" (the public plan?) would be paid for. Since Steele was by now totally disconnected from anything having to do with the public option or the question he was supposedly answering, he might have been referring to the cost of subsidies to help low and moderate income folks get access to Medicaid or health insurance — but we’ll never know.
Everything Steele said, in short, was completely irrelevant to the public option question and/or gibberish, leaving us the choice of concluding he’s an idiot or trying to make sense of what he said. But if you take Steele at his word, we could conclude that Republicans oppose the public option, a business mandate to provide insurance, any requirement that businesses contribute to a fund to help cover the uninsured, and any other means of raising those revenues and thus any mechanism for dealing with 45 million uninsured. And since he’d already criticized cutting Medicare funding, what’s left?
Meanwhile, Roll Call (via Think Progress) caught Chuck Grassley being equally incoherent:
“There’s a feeling that the only way to get a bipartisan agreement is to defeat a Democratic proposal in the first hand and then the Democrats will come to Republican leadership. And then at that point, they’ll know the only way they’re going to get health care reform is bipartisan. But my position has been that if that strategy doesn’t work and the Democrats go ahead and establish a public option, for instance, or a play or pay as a way of putting an 8 percent tax on payrolls for people who don’t offer health insurance — and dozens of other bad things — including leading us to Canadian-style single payer plan, then, if the Democrats are successful in doing that, we’ll be stuck with that plan forever,” Grassley told reporters. “So I’ve been taking to Max Baucus and other Democrats trying to ward off such a role of the dice, and ward off any chance that we’d end up with a government-run, federalized health insurance program like Canada has.”
So, according to Chuck Grassley, the rational strategy for his party is to say "no" to all the major proposals for reform, because those would lead to universal coverage that we’d keep forever because people here are just as rational as those in Canada and know a good deal when they see it. Shunning the Democrats in this manner, Chuck concludes, will force them to come to their knees and accede to Republican demands.
That’s funny, because I think the Democrats have finally come to exactly the same conclusion about how to "negotiate" with the Republicans. Thanks for the tip, Chuck, and by the way, your time is up.
The next thing I want to know is why an intelligent woman like Olympia Snowe is still allowing idiots like Michael Steele and Chuck Grassley speak for her? And when will she answer the question Steele couldn’t grasp or answer and stand up for Maine’s small businesses?
Video: PBS News Hour interview with Jacob Hacker, September 1, 2009.



21 Comments







The next thing I want to know is why is an intelligent woman like Olympia Snowe still allowing idiots like Michael Steele and Chuck Grassley speak for her?
Apparently being “intelligent hasnt stopped her from being a lifelong republican, and DEMANDING that there not be a PO in a finance committee bill, as a pre requisite for her continued involvment.
And when will she answer the question Steele couldn’t grasp or answer and stand up for Maine’s small businesses?
well its a simple question, if she could answer it, or was willing to she would have done so by now.snowe is no freind of reform. not even close
let us remember that without Snowe and Collins, we might now be having the depression of the twenty-first century. The Great Bush Depression with say 29% unemployment, lasting for years, because recovering from such levels is damned difficult.
Actually I will not thank them, but blame Conserva-Dems
Snowe and Collins are from small states with large rural areas in them, remember that, that’s why they are Republicans and will never change.
Plus the Stimulus was too small even by Conservative Economist estimates to do anything quickly and not focused on the parts of the economy that would do the most.
In reality, it will take much longer to have any effect and by that time they’ll be asking for a second Stimulus which you’ll hope is more focused. including a re-alignment of the tax code.
I’ve always said Obama will do the LEAST amount possible and policies that are designed not to make waves, but will do enough to be popular and defeat any moron the Republicans put up in 2012 anyway. As somebody said this afternoon, they are a rudderless party and a majority of America does not trust even the most moderate of Republicans (Plewenty) even when they aren’t that moderate.
This is yet another proof that; “Oh what a tangled web we weave when first we practice to deceive.” (Thank you, Sir Walter Scott)
The only cogent excuse is the most revolting one, that the Gang of Nope will harm the country in any way it can to keep the Obama administration from the public service the Gangsters hate so much (and are forsworn to serve).
If our side can’t beat this level of opposition leadership, I think we need to start thinking presidential primary for 2012.
Cindy Sheehan would say why wait till 2012, impeach him now, he killed 45 soldiers last month.
If you can’t dazzle them with brilliance, baffle them with bullshit.
And IF you can’t do either, just fillibuster and turn out your crazies at the other guy’s town halls. It is a sign of the state of American democracy (and its media) that this strategy can effectively prevent meaningful reform in any area, not just health care.
Pols can’t serve their corporate masters and the best interests of the American public simultaneously. Since real campaign finance reform would require Congress to shut off the money spigot from which they all drink, we are screwed.
Essential point you’ve expressed. More and more people will be dropped from the insurance they already have, private or business-provided, because the rates become unaffordable, the usage increases – meaning the health care the insurance is sold to pay for is actually sought – or because insurers see more profit elsewhere.
We need a public option in order to obtain health care, period. Or the number of un- and under-insured Americans will climb faster than health insurance premiums. Neither businesses nor the general public can continue to subsidize unjustified insurer’s profits. Let the credible public option start in 2010 for anyone who wants it.
The important trend you note means that sustaining, let alone expanding, insurance coverage will require increasing levels of federal subsidies. Unless the underlying cost trends and incentives are reversed, that suggests to me that the choices are about who/what you want to pay incentives to. Is it exclusively a system of private insurance? Or a hybrid of private/public, in which the public decides via choice, and the policy debate is about how to fund the level of subsidy that allows you to approach/achieve the goal of universal coverage?
Medicare seems to be like the latter; everyone is entitled, but they choose between the straight govt. plan and a mostly government paid-for private (Medicare Advantage) plan.
It’s interesting that the industry claims the public option would be unduly subsidized and drive the choice, but the political reality has been that private Medicare Advantage has been the sector receiving the insurance subsidy.
The reform plan’s subsidies aren’t to the ‘public option’, they are to individuals who may choose any insurance they can afford…public or private.
Raising (or adjusting) subsidies would do nothing more for the public plan than for private insurers plans.
Republics are masters at pontificating about irrelevant issues.
axelrod talks about the ’spirit of a public option’. we have a corpse here.
http://tpmdc.talkingpointsmemo…..hp?ref=fpa
Jeebus H Christ,
It’s getting to be like reading Pravda in the Soviet Union to divine what Our Dear Leader” desires.
WTF are they smoking indeed.
This has come down to old fashioned politics. If the leadership wants a radical transformation of the health industrial complex, they can get it. The dems have the votes. The repukes can’t stop them. But this requires the will and participation of a small number of wavering votes.
Hope and Change – Hey Mr. President that dog ain’t gonna hunt again.
Jonathan Alter is really starting to bother me. He’s back on MSNBC peddling the line that Democrats need to look at the glass “half full” if we end up with no public option, and shouldn’t derail reform if there is no public option.
Jerk.
Reform without a public option isn’t reform and the public option IS he glass half full. Single-payer would be a full glass.
He went on to say that he doesn’t know how the public option became the “holy grail” with the left since it has only existed since 2005. That’s a fundamental misunderstanding of the fact the public option is the COMPROMISE from single-payer and it exists for that reason alone.
what a weasel Alter is.
According to him, we should be grateful for a mandate so we HAVE to pay the insurance companies all our money.
small businesses, are exempt if they have a payroll under $500,000, from what I understand. That sounds like a lot of money and yes it will exempt many small businesses, but A payroll of $500,000 is not a lot when you think about it. A restaurant with 25 employees making $25,000 a average makes them too large. This is by no means a stretch. Many businesses will try to circumvent the system to stay under that number as with other tax law and regulations that people and businesses try to work around. I see the conservative estimate of 20 million people being enrolled in the public option way low. It would be dramatically higher especially after a couple years. I also think that penalty will hurt employees and job and company growth.
I don’t think that “choice” is too terribly hard to make. He’s an idiot.