White House and Hospitals Are Reported to Be Near Deal

[cal04]

Source: New York Times

The Obama administration and major hospital associations on Monday evening were nearing a deal for about $150 billion in cost savings to help pay for an overhaul of the nation’s health care system, with an announcement expected at the White House as early as Wednesday, officials said.

If an agreement is finalized, it would be the latest step in an on-going effort by the White House to win concessions from major health industry groups to help pay for legislation aimed at providing health insurance to all Americans. Democrats are hoping to keep the cost of the overhaul at about $1 trillion over 10 years.

Earlier this month, the White House announced a “historic agreement to lower drug costs” and the lobby for drug companies, the Pharmaceutical Research and Manufacturers of America, or PhRMA, said it had pledged $80 billion over 10 years to help Democrats in the efforts to improve the health care system.

Earlier this month, the White House announced a “historic agreement to lower drug costs” and the lobby for drug companies, the Pharmaceutical Research and Manufacturers of America, or PhRMA, said it had pledged $80 billion over 10 years to help Democrats in the efforts to improve the health care system.

Read more: http://www.nytimes.com/2009/07/07/health/policy/07hospitalsweb.html

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DEVELOPING
from Washington Post
http://www.washingtonpost.com/?nid=top_news

Nation's Hospitals Agree to Forego $155B in Revenue
The nation's hospitals have agreed to give up $155 billion in expected revenue over the next 10 years, money that will bring the White House closer to its goal of paying for broader health coverage, an industry source said tonight. The agreement is between the White House, the Senate Finance Committee and the three major hospital groups: the American Hospital Association, the Federation of American Hospitals and the Catholic Health Association. The hospital groups have agreed to reductions in Medicare payments, and the money they receive for providing uncompensated care will start being reduced.

[nightrain]

1. let's see what RN/patient ratios drop to now!

[No Elephants]

13. 395 posts since 2007-and this thread motivated you to post that thought?

[Laelth]

2. This makes me want to pull my hair out.

Since when do "We the People of the United States" have to make deals with hospitals? We are a Republic. Our legislature ought to be able to pass any law it sees fit to pass. Neither the legislature not the executive branch should have to "make a deal" with any corporation that is chartered under the laws of any of the 50 states. The states allow corporations to exists. The state should never have to bargain with corporations. NEVER.

If you need proof that our republican form of government is dying, here it is. Even with a Democratic administration, "We the People" must barter with our oligarchs.

:dem:

-Laelth

[wildflower]

3. Excellent point, and you are right

[scentopine]

5. Bush II ushered in the CEO model of government and

Obama seems comfortable with this. There is a misconception that republicans, MBAs and corporate businessmen are serious and disciplined and that this is somehow the proper model for an efficient and effective government.

So we have endowed large corporations (i.e. placed our trust in their seriousness) with new super-citizen privileges including extraordinary rights, judicial protections and policy control unavailable to the public. In the corporate model of government, super-citizens (i.e brokerage houses, huge corporations and executive directors) hold preferred shares and extra voting power.

The public is sort of a cross between employee and common stock holder who pays retail. Sure - we get to vote on the board of directors but our vote is completely meaningless since common shares have diluted voting power. The board's nominees are all buddies so a change isn't really a change. And, like most retail customers, our return on investment (i.e. taxes) has been less than spectacular. Our investment contributions have been diverted into a system designed by huge corporations to benefit huge corporations.

So, capitalism, in this case, is working exactly as designed. Health care "reform" won't be any different in this regard. The industry is simply designing the system which can make a small number of people extremely wealthy - whether its health care or jelly beans. We see how well this model worked for Goldman Sachs and other huge wall street firms, so its only natural for the health care industry to do the same. In the end, a few massive companies will roll in cash while screwing over the public, all to end in 10 years with another massive bailout for the same group of companies. We will prove once again that without any concern for the health of the nation, capitalism, with extreme prejudice, does in fact make some people very, very, rich and a whole lot of people very, very sick.

[leftstreet]

16. ^Excellent post^

The industry is simply designing the system which can make a small number of people extremely wealthy - whether its health care or jelly beans.

How true.

:grr:

[FarPoint]

11. They, the hospitals are major players

in this overhaul. They must not be ignored for this to work. They have absorbed the costs some how, some way of the community of uninsured for 25 years. I don't know the in's and outs but I do realize their place in the game.

[Laelth]

18. Of course, they are "players" who are "in the game."

But "We the People" ought to be able to force them to do whatever we want. We shouldn't have to ask for their permission to pass a law. We shouldn't have to negotiate with them at all.

The fact that we do have to seek their permission and negotiate with them shows how weak our Republic truly is.

It is very nearly an oligarchy.

:dem:

-Laelth

[lumberjack_jeff]

14. And PhRMA "pledged" 80 billion?

I suspect that they pledged it in the sense that they anticipate a drop in projected revenue of that much.

Kind of like saying that a bank robber pledges whatever revenue he anticipated from robberies, in return for agreeing to some level of law enforcement.

News flash PhRMA, you don't get any credit for pledging money you haven't yet stolen from me.

[RantinRavin]

19. Our legislature ought to be able to pass any law it sees fit to pass ?

Um, thankfully that is not the case. Under the Constitution of the United States the legislature actually has limited ability on what bills it can pass.

[Laelth]

21. I hear you.

Article I of the Constitution limits what the Federal Congress can do, theoretically. Of course, the Congress can still pass any law it wants. If the law passed is unconstitutional, then it falls upon the Supreme Court to strike down that law, if and when it is challenged.

My basic premise stands, however. Congress ought to be able to pass any law it wants. That we have to "negotiate" with oligarchs is an outrage and shows the weakness of our Republic.

:dem:

-Laelth

[Name removed]

4. Deleted message

Message removed by moderator. Click here to review the message board rules.

[Javaman]

6. oh well, so much for single payer.

it never had a chance. Sadly, the corporate overlords always play with a stacked deck.

they will be fine, we will suffer. so what else is new?

[mbperrin]

20. That, I am afraid, is the actual truth.

Blah.

[quidam56]

7. Quality health care in TN & VA

As a former health care giver, I am shocked and sad to see what is called quality health care in TN & VA. Clearly PROFIT CARE is more important than PATIENT CARE. We must have public option NOW. http://www.wisecountyissues.com/?p=62 How many more innocent people will die for greed ? The very health care system we trust and depend on keeping us healthy is infecting our communities with MRSA ( Methicillin Resistant Staphylococcus Aureas )

[defendandprotect]

8. Biggest cost savings are in getting rid of "for profit" insurance and health care corporations . . .

[Psephos]

9. Birds of a feather.... n/t

[Vidar]

10. Good, some one else to whom Obama can sell us out.

[WriteDown]

12. I really am puzzled why they don't just look to the Swedish system...

Its probably some of the best healthcare out there, but seems like they are just going through some contorted process at this point.

[No Elephants]

15. Interesting. These articles never tell us what the US gives the other side in these negotiations.

From the OP

"Lawmakers, industry groups and other officials involved in the negotiations over hospital costs would not immediately provide details. But President Obama had recently called for cutting more than $200 billion in expected reimbursements to hospitals, prompting some outcry from the industry.

And the White House budget director, Peter R. Orszag, had said that $110 billion in savings could be achieved by pressing hospitals to treat patients more effectively, using health information technology and better coordination of care that would reduce the need for expensive specialists.

“Discussions are on-going,” said Jennifer Armstrong Gay, a spokeswoman for the American Hospital Association, one of the groups involved in the talks. “We are continuing to meet with Congress and the White House.”



If the negotiations are continuing, and they are announcing what the hospitals gave up, what's left to be negotiated? How much the hospitals will get?

Wonder if the hospitals will backpedal, like the insurers did.

[harun]

17. Wow, who needs legislation when all you need to do is ask. I guess we can lay off Congress to save

some tax payer cash.

:sarcasm: