Blue Dogs Cave on Health Care Reform; Updated: No vote until late September or later: Obama

There are reports out this afternoon that the Blue Dog Democrats have compromised with the "yellow dog" Democrats, and have agreed on an outline of a bill that would radically change health care in the United States.

Given that the Congressional Budget Office has cited the huge costs of the bill...over one trillion dollars..... the Blue Dogs could be said to have caved in by agreeing to reduce the costs by only an estimated one hundred billion dollars. That is a lot of money, but only a drop in the bucket.

So, what else did they get? Well, they didn't get the national insurance out of the provisions, but they did require that government insurance company negotiate fees with doctors rather than unilaterally set them like it does with Medicare. But that still gets the government's nose under the tent, and we all know where that will go.

They did get a increase in the ceiling for mandatory insurance, doubling it to payrolls of $500,000 or less. That is still too low by far.

There is no mention of Medicare.

It seems a lot of the savings will come from two places, as reported by the New York Times:

"¶ Medicaid would be expanded, as under the original bill, but states would have to pay a small share of the additional costs, perhaps 7 percent. The federal government would have paid the entire cost under the original bill.

"¶ Workers would have to pay slightly more of their income on premiums for employer-sponsored insurance — 12 percent, rather than 11 percent — before they could qualify for federal subsidies."

So savings would come from charging workers more money, and putting additional costs on the states. Isn't that nice? Guess who still pays?

What do we have at the end of the day? The best part of it is that they delayed the bill from coming up for a vote until after Labor Day.

That will at least mean that someone will have a chance to read the bill after it is marked up in committee, and before it is presented to the House for a vote.

That is a change. Celebrate the small things.

They won't be able to change that sow's ear into a silk purse during the recess. But they will try to sell it as one.

And the so-called "conservative" Democrats, the Blue Dogs, showed their true colors once again.

The term "conservative" Democrat is an oxymoron, by the way. If they were conservative, they would not be Democrats. It has been thirty years since there was a real live conservative in the Democratic Party. We all left back then.

UPDATE: Obama is quoted this evening as saying there will not be a vote on the Health Care Reform Bill until late September or mid-October.

This is a major defeat for Obama and Nancy Pelosi and the Democratic leadership.