Details of Baucus Plan Include New Tax and No Public Option

The full plan is supposed to be out on Sept 8th, but we have something of the details here:

Although the proposal from Sen. Max Baucus excludes a "public option," it would allow for the creation of nonprofit health care cooperatives, an idea that some moderate Democrats and Republicans have expressed possible interest in supporting.It was sent to committee members Saturday night.

Congressional liberals are pushing strongly for inclusion of a public option; conservatives are sharply opposed.President Obama has said he supports a public option but has not clearly indicated that he will veto a bill that fails to include it.

Baucus' bill would cost less than $900 billion over 10 years, according to the source. The price tag is at least $100 billion less than any other health-care reform bill currently under consideration by Congress, the source said.It would be paid for, in part, by a new tax on health insurance companies that provide high-end "Cadillac" insurance plans, the source added.

The new tax will of course be rolled down onto consumers, but that goes without saying. as expected the co-ops will be the primary means to expand health care coverage. As for ditching the public option, that is surely dead as the Obama admin once again telegraphed it wasn't needed.