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August 18, 2009


Aug. 17: Sign up for Labor in the Pulpits

Aug. 14: Full WSLC Convention coverage

Aug. 13: WSLC calls for labor unity

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Tuesday, August 18, 2009 

 

Health co-ops no substitute for public option

WSLC President Rick Bender lays out the case against health care cooperatives like Seattle-based Group Health as an alternative to a public option. Where they exist they haven't controlled skyrocketing costs, where none exist they would be prohibitively expensive to establish, and they would create an inefficient patchwork of risk pools and duplicative administrative structures. Plus, nobody wants them Read more.

►  In today's Seattle Times  -- Are health co-ops the cure? -- The White House has indicated it could accept a nonprofit health care co-op as an alternative to a new government insurance plan. But the co-op idea is so ill defined that no one knows exactly what it would look like or how effectively it would compete with commercial insurers. The co-op concept disappoints many liberals and stirs little enthusiasm among insurers or Republican lawmakers.

 

August recess health care events

This month, tell your member of Congress to support health care reform and the America's Affordable Health Choices Act.

 TONIGHT -- Rep. Brian Baird hosts a town hall meeting Tuesday night from 7 to 9:30 p.m. at (NEW LOCATION!) Clark County Amphitheatre, 17200 N.E. Delfel Road, in Ridgefield.

 Wednesday, Aug. 19 -- Rep. Brian Baird hosts a town hall meeting from 7 to 9:30 p.m. at the Cowlitx County Expo Center, 1900 7th Ave., in Longview.

 Wednesday, Aug. 19 -- NARF Chapter Meeting with Rep. Cathy McMorris Rodgers (R-5th) from 12:30 to 1:30 p.m. at All Saints Lutheran Church, 314 S. Spruce St. in Spokane.

 Tuesday, Aug. 25 -- Lakewood town hall meeting with Rep. Adam Smith (D-9th) from 7 to 8:30 p.m. at the Milgard Family Hope Center, 10402 Kline St. SW. Space is limited so RSVP to attend by calling 253-593-6600 or (888) SMITH09.

 Thursday, Aug. 27 -- Walla Walla town hall meeting with Rep. Cathy McMorris Rodgers (R-5th) from 3 to 4 p.m. at the Community Meeting Room at the Walla Walla Regional Airport, 310 A. St.

 Saturday, Aug. 29 -- Join Congressman Jay Inslee for a Town Hall Meeting from 11:30 a.m. to 1 p.m. at (NEW LOCATION!) the North Kitsap High School gymnasium, 1780 NE Hostmark, in Poulsbo.

 Sunday, Aug. 30 -- Join Congressman Jay Inslee for a Town Hall Meeting from 1:30 to 3 p.m. at the Edmonds- Woodway High School gymnasium, 7600 212th St. SW, in Edmonds.

 Monday, Aug. 31 -- National health care reform discussion with Rep. Jay Inslee from 3 to 5 p.m. at the Shoreline Center, 18560 1st Ave. NE, Seattle. Sponsored by Healthy Washington Coalition and moderated by Insurance Commissioner Mike Kreidler.
 

National health care news: 

►  In today's WA Post -- Public option called essential -- The White House press secretary says Obama has not shifted his position, suggesting that the president's support for a public option had never been absolute. But one Democrat predicts that without the provision, the bill could lose as many as 100 votes in the U.S. House. AFL-CIO President John Sweeney says the union will continue pressing House and Senate negotiators to keep a public plan: "The only way to force real competition on the insurance companies is a strong public plan option."

►  From AP -- Health care concession riles left; right unmoved -- Obama's weekend concession on a health care "government option" drew complaints from liberals and scarce interest from Republicans and other critics, a fresh sign of the daunting challenge in finding middle ground in an increasingly partisan political struggle.

►  At AFL-CIO Now -- Union members "becoming backbone" of health reform effort -- The active participation of union members is changing the tone of the health care reform town hall meetings during the August congressional recess. What began as forums for anti-Obama propaganda are now becoming platforms for real debate over what kind of reform is needed. Even the stalwart conservative newspaper, The Washington Times, admits that union members are making a difference.

►  In today's USA Today -- Jobless workers flock to COBRA -- The coverage allows people who leave their jobs to continue their former employer's health coverage for up to 18 months. In the past, they were required to pay the entire premium, plus a 2% administrative fee, making COBRA unaffordable for most unemployed workers. But the economic stimulus package subsidizes 65% of COBRA premiums for workers laid off between Sept. 1, 2008, and the end of this year. That means the average family can continue COBRA coverage for $377 a month, vs. more than $1,000 a month without the government subsidies. The result has been a doubling of enrollments.

►  At MSNBC.comn -- Poll: Growing concerns about access to health care -- Consumers' confidence about their health care future and access to care is dropping, particularly among seniors. The Robert Wood Johnson survey shows palpable concerns with the status quo -- bearing out other polls that show the public believes there should be changes to the U.S. health system.

 

Local health care news: 

►  In today's Columbian -- U.S. Rep. Baird receives death threats -- The Vancouver Democrat has emerged as a high-profile player in the discussion of health care reform. In return, the congressman has received two messages characterized as death threats. Both have been forwarded to the U.S. Capitol Police. Baird is hosting a town hall meeting TONIGHT from 7 to 9:30 p.m. at the Clark County Amphitheatre in Ridgefield.

►  In today's Peninsula Daily News -- Health care plan "a work in progress," Dicks says -- U.S. Rep. Norm Dicks said he contacted an White House staffer Monday morning because there were reports that the president was backing away from the public option. "I think that a public option is crucial to getting this done," Dicks said.

►  In today's Peninsula Daily News -- MoveOn.org moves in to counter protests in Port Townsend -- About 50 health care reform supporters and detractors lined the walkway to Fort Worden State Park Commons on Monday, greeting Rep. Dicks, who addressed the controversial plan.

►  At TheNewsTribune.com -- MoveOn folks rally at TNT -- About 60 or so folks from MoveOn.org rally in front of The News Tribune building, showing their support for health care reform.

►  At HeraldNet.com -- Sen. Patty Murray to talk health care in Everett, but not at town hall -- She will be at Paine Field's Future of Flight Museum for a Everett Chamber of Commerce luncheon.

 

Health care opinion: 

►  In today's Seattle Times -- Giving up health reform's public option, for what exactly? (editorial) -- President Obama needs to resuscitate his health-care-reform effort but jettisoning his public insurance plan would be a mistake. The biggest reasons to reform health care is to lower costs and expand access to quality health care. The president has convincingly argued that the public option provides the better route forward.

►  In today's NY Times -- This is reform? (Bob Herbert column) -- Giving consumers the choice of an efficient, government-run insurance plan would have moved us toward real cost control, but that option seems gone. The public deserves better.

►  In today's Everett Herald -- Lose public option at own risk (letter) -- There are millions of Americans who are un- and under-insured, and a public option (emphasis on the word “option” — that means one can turn it down if so desired) would go a long way to correct the inequity, and bring the U.S. up to the standards of care we see in most other industrialized countries.

 

Local news: 

►  At SeattlePI.com -- CAST YOUR BALLOT: Primary election day arrives! -- King County has joined most of the rest of Washington in embracing all-mail voting. People need to drop off their ballots at the post office or designated drop boxes TODAY.

►  In today's News Tribune-- State schools could miss federal funds -- Eleven states, including Washington, have said no to charter schools, one of the reforms Obama backs. As states compete for more than $4 billion in federal education grants, Education Secretary Arne Duncan has made it clear that those willing to embrace charter schools and other favored innovations will get preference. Those who refuse may end up shut out of the money.

►  In today's Bellingham Herald -- Raided Bellingham business to face charges over illegal workers -- Two employees of Yamato Engine Specialists -- which the feds raided Feb. 24, detaining 28 foreign employees -- face felony charges of knowingly allowing workers to use fake documents and the company is charged with encouraging illegal immigrants to live in the United States.

►  In today's Seattle Times -- King County may close 39 neighborhood parks -- County Executive Kurt Triplett will propose shutting the parks Jan. 1 as another step in closing a $56 million budget shortfall next year. His staff says it would eliminate 13 jobs, and the county would apply two years of savings -- $4.6 million -- to the 2010 budget. 

►  In today's Tri-City Herald -- Ben Franklin Transit cuts on table this week -- It plans to cut bus services on several holidays and to charge a $1.25 premium -- on top of the usual fare of $1.25 -- for Dial-A-Ride customers who live beyond three-fourths of a mile from a transit bus stop.

►  In today's Everett Herald -- Everett Port seeks $43 million to grow -- The federal stimulus money would be used to upgrade a marine terminal for Boeing jet parts and other oversized cargo.

 

National news: 

►  In today's NY Times -- Supreme Court to hear case on executive pay -- Last summer, a federal appeals court judge, a conservative with libertarian leanings, issued a surprising opinion: executive pay is out of control and the marketplace can't be trusted to rein it in. 

►  At Irish Central -- AFL-CIO's John Sweeney may take on new role -- He is stepping down soon, but don't expect him to fade away. Word is that he will get a job in the Obama administration.

 

TUESDAY, AUGUST 18, 2009
Health co-ops no substitute for public option
WSLC President Rick Bender: Group Health
is no model for cutting costs

Monday's news reports that the White House may be softening on its demand that a public insurance option be included in the health care reform set off a firestorm of negative reaction from progressives who insist that the public option is an essential element of the legislation. 

Administration officials have indicated that the president still favors the public option, but is open to considering nonprofit health care cooperatives, such as the Seattle-based Group Health, as an alternative. "The goals are choice and competition," said White House press secretary Robert Gibbs.

The problems with health care co-ops are multiple. It would be very difficult to establish new co-ops capable obtaining discounted rates from doctors and hospitals like established insurers. They would be expensive to set up because, unlike a public insurance option, they can't piggyback onto existing government institutions, like Medicare, for their administration.

In a July letter to Sen. Maria Cantwell, Washington State Labor Council President Rick Bender pointed these shortcomings, laying out the case against health care co-ops like Group Health as an alternative to a public option. (Sen. Cantwell, who serves on the key Senate Finance Committee, recently said she supports inclusion of the public option.)

"Group Health has approximately 500,000 members, which took 60 years to develop," Bender wrote. "Creating a patchwork of state or regional cooperatives where none exist just seems like an extremely costly and very bad idea. What you end up with, if you could even create it, would be a series of fragmented risk pools and duplicative administrative structures around the country."

Bender also pointed out that non-profit status does not guarantee cost control.

"Over 80% of the private health insurance market in Washington State is controlled by three companies, Regence, Premera, and Group Health. All three are not-for-profit companies," Bender wrote. "Regence announced today that as of August 1, 2009, individual premium rates will go up 17% and it has already been reported that Group Health's rates will go up 13%. ... Approximately half of the privately insured people (in America) are enrolled in non-profit health plans now and costs have continued to soar."

But the biggest problem with health care co-ops as an alternative to a public option is that, aside from a handful of Senators trying to negotiate a bipartisan "compromise" in the Senate Finance Committee -- the only one among five Congressional committees that has failed to mark up health care legislation -- no one supports them

Certainly not the Democratic advocates for health reform who are leading the charge for the legislation. Not the Republican opponents of reform who have sided with insurance companies and others who profit from the current system in fighting for the status quo. The Republican National Committee issued a statement Monday decrying health co-ops as "socialism"

So, what's the point?

As AFL-CIO President John Sweeney said on Monday, "The only way to force real competition on the insurance companies is a strong public plan option."

  

Copyright © 2009 --  Washington State Labor Council, AFL-CIO