The daily Progressive Breakfast serves up what progressive movement members need to know to start their day.
Pelosi Strengthens Bill While Baucus Compromises
Wonk Room on Pelosi moving to include strongest possible version of public option in final House bill: "... Pelosi (D-CA) is scrapping an agreement with Blue Dog Democrats that decoupled the public option from Medicare and required the plan to directly negotiate its reimbursement rates with providers ... according to the Congressional Budget Office, a public option that reimburses providers at market rates would not lower premiums." FDL's Jon Walker notes Blue Dogs broke the deal first: "...Mike Ross has backed out of the deal, and is now publicly saying that he will not support any public option."
FDL's slinkerwink flags that Blue Dogs plan to push co-ops on the House floor.
NYT suggests Dems ready to compromise with each other: "Senator Charles E. Schumer, Democrat of New York, said it was clear that Democrats were prepared to make the compromises needed to pass a bill. 'There is going to be a herculean effort to get this done, even if every member doesn’t get everything he or she wants,' Mr. Schumer said. Senator Tom Harkin, Democrat of Iowa, said, 'We are going to have it to the president, and he is going to sign it, before Christmas.'"
Snowe insists on fresh CBO score after changes before vote. CBO says it can't work fast. Swampland: "[CBO chief Doug Elmendorf] estimated his office could offer a preliminary estimate of a new version of the bill in a few days but would need around two weeks for a formal assessment. This led to probably the most tension-filled moment of the afternoon, when Baucus asked, 'We have to cool our heels for two or three weeks?' He then forcefully asked Elmendorf to 'get us out of this box' and said 'we can't operate this way'..."
Deal with Big Pharma threatened in Finance Cmte. Politico: "The Finance Committee seemed to come very close to passing an amendment Tuesday that would have violated the White House deal with the pharmaceutical industry. Sen. Bill Nelson (D-Fla.) proposed ending what some Democrats have called a windfall for the pharmaceutical industry – and he picked up strong support from his party. But two sources familiar with the process say it is still likely to fall short when the committee votes Wednesday."
Allowing drug imports from Canada focus of Senate floor amendment. CQ: "The Senate might be headed for a floor debate over the contentious issue of importing prescription drugs from countries such as Canada when the chamber takes up a health care overhaul, possibly as soon as next week. Sen. Byron L. Dorgan, D-N.D., plans to offer his proposal (S 1232) as a floor amendment to broader health care legislation."
Self-described Senate centrists seek to exert influence on Senate floor. The Hill: "The new Senate group includes GOP Sens. Susan Collins and Olympia Snowe of Maine, Sen. Joe Lieberman (I-Conn.) and Democratic Sens. Ben Nelson (Neb.), Claire McCaskill (Mo.), Landrieu and Ron Wyden (Ore.) ... The lawmakers are looking past the Finance Committee markup to how they can wield their influence and shape the bill before it comes to the Senate floor."
Reid stresses he could still insist on simple majority vote. The Hill: "Senate Majority Leader Harry Reid (D-Nev.) on Tuesday gave Republicans his most explicit warning to date that he is prepared to use budget reconciliation rules to protect healthcare legislation from a filibuster."
NYT's Leonhardt explores costs of current malpractice system: "The direct costs of malpractice lawsuits — jury awards, settlements and the like — are such a minuscule part of health spending that they barely merit discussion, economists say. But that doesn’t mean the malpractice system is working ... The fear of lawsuits among doctors does seem to lead to a noticeable amount of wasteful treatment ... $60 billion a year, or about 3 percent of overall medical spending, is a reasonable upper-end estimate ... At the same time, though, the current system appears to treat actual malpractice too lightly. Trials may get a lot of attention, but they are the exception ... only 2 to 3 percent of cases of medical negligence lead to a malpractice claim ... we have a malpractice system that, while not as bad as some critics suggest, is expensive in all the wrong ways."
Mixed Reaction To Obama, Hu Climate Speeches
TNR's Brad Plumer underwhelmed by the Chinese president: "Chinese President Hu Jintao pledged to curb the growth of China's carbon-dioxide emissions by a 'notable margin' by 2020. What, pray tell, would that entail? ... he didn't even say if those 'notable' targets would be legally binding."
Politico notes cool reaction from enviros to Obama: "Some world leaders saluted his rhetoric, but environmental activists expressed disappointment that he didn’t commit to a timeline to pass cap-and-trade legislation in the Senate." Time offers WH view: "The White House doesn't want to repeat the mistake made by former President Bill Clinton with the Kyoto Protocol by agreeing internationally to emissions cuts that have no support at home. That means Obama has to wait for Congress to act."
NYT edit board wants more from both: "...developing nations ... have argued that the industrialized West should bear most of the burden. For its part, the West has argued that countries like China and India are growing so fast that they can no longer remain on the sidelines ... Mr. Obama and Mr. Hu did not bridge that gap, but their governments are listening more carefully to one another. China is no longer pretending that it is a backward country whose need for economic growth relieves it of any obligation to control emissions. The United States — the world’s largest emitter in historical terms — is acknowledging its responsibility to help the poorest and most vulnerable nations reduce emissions without sacrificing growth. Still, the two leaders have a considerable distance to go."
Time reports uncertainty about December international meeting: "[UN Sec-Gen] Ban struck a more optimistic note, telling delegates at the U.N. that 'momentum had shifted for a global deal in Copenhagen.' [but] prospects for success at Copenhagen are still cloudy. How poor countries should be aided in adapting to climate change, how to prevent tropical deforestation and especially what level of emissions cuts developed nations will agree to are all issues that have yet to be resolved."
W. Post sees nations going their own way instead of a treaty: "...recent announcements by China, Japan and other nations point to a different outcome of U.N. climate talks that will be held in December in Copenhagen: a political deal that would establish global federalism on climate policy, with each nation pledging to take steps domestically." ClimateWire adds: "Many leaders now are openly saying they hope to emerge from Copenhagen with a 'framework' that can be filled in with specific pledges over the following year, though it remains unclear what such a document would look like."
Right-leaning Dems push back at prodding from Europe. The Hill: "'I’m not sure that the Senate is going to be dictated by the timing in December,' Sen. Mark Warner (D-Va.) said of the upcoming gathering in Copenhagen, Denmark. 'It would be helpful to go to that very important meeting with legislation, but I’m not sure people are going to feel comfortable rushing it.' Sen. Ben Nelson (D-Neb.), who opposed a global warming bill creating a cap-and-trade system last year, said he doesn’t pay much attention to what people from other countries say about the Senate. 'We’re going to do it the way we think it’s appropriate to do it,' Nelson said. 'And we will not be driven by their criticisms.'"
Sen. Sherrod says on Institute for America's Future conference call that manufacturing must be protected to get 50 Senate votes. The Hill: "'I don't think there's any way we get to even 50 votes if we don't deal with manufacturing in the climate change bill,' Brown told reporters. 'I do know for sure that there are a number of us who understand that manufacturing is so important to this country that if we don't do manufacturing right, our standard of living will continue to decline ... We need some sort of border equalization — temporary, not permanent — until the Chinese and others move in the direction they need to on this issue.'"
Al Gore warns businesses may face climate lawsuits if no Senate action. Politico: "He pointed approvingly to a decision issued Monday by the U.S. Court of Appeals for the Second Circuit allowing public-nuisance lawsuits to proceed against companies that produce large amounts of greenhouse gases."
Another major company quits Chamber of Commerce over climate position. NYT: "Amid a growing split in the business community over climate policy, Pacific Gas and Electric, a major California utility, is withdrawing from the United States Chamber of Commerce ... 'We find it dismaying that the chamber neglects the indisputable fact that a decisive majority of experts have said the data on global warming are compelling and point to a threat that cannot be ignored,' Peter A. Darbee, the chairman of PG&E, wrote in a letter to the chamber."
Senate Attempt to Kneecap EPA on Climate Comes to Head
CQ reports cloture motion filed on EPA spending bill: "Majority Leader Harry Reid, D-Nev., filed cloture on the Interior-Environment spending bill (HR 2996) on Tuesday evening, which would limit debate and set up final votes no later than Thursday." GreenWire adds: "Sen. Lisa Murkowski (R-Alaska), ranking member of the Energy and Natural Resources Committee, criticized the decision to invoke cloture on the bill, saying it would prevent senators from debating important issues. 'I sure don't think we're ready,' ... She may introduce an amendment that would prohibit EPA from regulating heat-trapping emissions from stationary sources like power plants and industrial facilities for one year ... Other Republicans, however, said Reid's move still would allow ample time to bring their amendments up for discussion ... Meanwhile, new greenhouse gas amendments keep coming. Sen. Kit Bond (R-Mo.) filed two amendments that would restrict U.S. EPA's ability to impose new carbon dioxide regulations."
EPA to begin tracking greenhouse gas emissions, building block of any climate protection strategy. NYT: "The Environmental Protection Agency said on Tuesday that it would require the nation’s biggest emitters of greenhouse gases to start tracking their emission levels on Jan. 1 and report them to the government."
Rep. Frank Looks To Narrow Scope of Consumer Financial Protection Agency
W. Post details Rep. Frank's proposed changes to WH plan: "...he intends to exempt certain non-financial businesses from oversight by the new agency, which will have authority over a wide range of financial products such as credit cards and mortgages ... Frank also said he plans to fund the agency without 'placing an additional burden on financial institutions' by having the Federal Reserve fund the proposed agency 'at a level that reflects amounts the banking agencies currently pay for consumer compliance.' ... It also would no longer have the power to require financial institutions to offer 'plain vanilla' products and services or to approve or alter business plans ... Even with the changes, some opponents of the new agency aren't about to embrace its existence."
Geither to testify for reform today in House. Bloomberg: "...saying 'time is the enemy of reform,' [Geithner] urged Congress to enact the Obama administration’s overhaul of the financial regulatory system this year. In remarks prepared for testimony before the House Financial Services Committee today, Geithner said that signs the economy is improving shouldn’t bog down the legislation. He pressed lawmakers to shore up oversight of firms deemed 'too big to fail' and create a new agency to police credit cards, mortgages and other consumer financial products."
BofA tries to dampen call for overdraft fee changes. AP: "Bank of America Corp. said Tuesday it will cap the fees it charges customers for overdrawing their accounts, backpedaling on the hikes the company imposed just this year. Starting Oct. 19, Bank of America no longer will charge overdraft fees when a customer's account is overdrawn by less than $10 in one day. A $35 fee will still be levied if the account isn't brought into balance within five days."
China Tire Tariff Decision Reverberates
NYT highlights role United Steelworkers played to enforce trade rules on imported Chinese tires, quotes several hysterical free-traders. Dean Baker reacts: "While it is good to see a union president's views presented in the New York Times, it would have been helpful to inform readers that his view on this issue is shared by many prominent economists, such as Nobel Prize winner Paul Krugman."
AFL-CIO's James Parks on Sen. Brown support for Obama's tire decision: "He praised President Obama’s recent decision to provide relief to the domestic consumer tire industry in response to surging tire exports from China. Obama’s action was significant, Brown said, because it is the first time a president has really enforced trade rules. He said he hopes it leads to even more complaints as U.S. industries see that their government cares about fair trade. Brown added that the country 'cannot tolerate' trade policies that spawn low wages and allow illegal trade subsidies in China and other countries to decimate our economy."
