Senate Majority Leader Harry Reid (D-Nev.) announced Monday that he is sending a health reform bill to the Congressional Budget Office that includes a public option, but giving states the choice to opt out.
When the CBO has estimated the cost of the bill, Reid said he will bring the bill to the floor for an open debate and amendment process.
This marks a key step in moving health reform forward. The House committees with jurisdiction over healthcare reform completed their bill this summer. The Senate has been held up over the public option and other issues. The compromise of offering states the opportunity to opt-out of a public health option may help to garner votes in the Senate needed to pass health reform.
“Patients and doctors have spoken out overwhelmingly in support of a public option as part of the way to provide more affordable care while making private insurance companies more honest, higher-quality providers,” said Vivek Murthy, president of Doctors for America. “As physicians, we unfortunately see patients caught in our broken healthcare system every day.”
The public health option would provide government-run healthcare, similar to what seniors have with Medicare – to those who can't purchase healthcare through their employers. The CBO projects 10 million to 11 million individuals will accept the public option by 2019.
President Barack Obama has promoted a public option as providing security to those who don't have healthcare coverage or who may lose their coverage. Some Democrats and most Republicans argue the public option will threaten the private health insurance market.
Some healthcare groups are opposing the plan.
"A new government-run plan would underpay doctors and hospitals rather than driving real reforms that bring down costs and improve quality. The American people want healthcare reform that will reduce costs and this plan doesn’t do that,” said Karen Ignagni, president and CEO of America’s Health Insurance Plans. "The divisive debate about a government-run plan is a roadblock to reform. It’s time we focus instead on broad-based reforms that will ensure the affordability and sustainability of our healthcare system."
Photo of Sen. Harry Reid obtained from Center for American Progress via Creative Commons license.