All Republicans in the committee voted against the amendment, as well as several Democrats, including Senate Finance Chairman Max Baucus (D-Mont) and Sens. Bill Nelson (D-Fla.), Kent Conrad (D-N.D.), Blanche Lincoln (D-Ark.) and Thomas Carper (D-Del).
Under Sen. Rockefeller’s amendment, the government-run plan would use Medicare’s network of physicians and hospitals and would reimburse on Medicare’s payment rates for the first two years. Supporters of the amendment say a public plan would guarantee a low-cost insurance option for all.
Opponents say that a public plan would force private insurers out of business by creating “artificially low prices” and forcing them to absorb unpaid healthcare costs by raising premiums, according to the report.
Sen. Baucus said that a healthcare bill with a public plan would not receive 60 votes in the Senate, enough to prevent a filibuster.
Another amendment by Sen. Charles Schumer (D-N.Y.) will be proposed on Tuesday that offers a public health insurance option, according to the report. The amendment proposes a plan that would pay physicians and hospitals on negotiated rates.
Read the WSJ’s report about the Senate Finance Committee’s rejection of a public health insurance option.
