This entry is part 3 of 11 in the series About the Economy

After that critical defeat in Massachusetts to the Republicans, Democrats are trying to salvage what they can of the health reform bill they were trying to pass through the House.

House Speaker Nancy Pelosi said Thursday that she lacks the votes to quickly move the Senate’s sweeping health overhaul bill, a potentially devastating and critical blow to President Obama.

Checked by Massachusetts

Pelosi’s concession meant there was slim to no chance for a White House-backed plan to swiftly move the Senate-approved health bill through the House, follow closely by another measure making changes sought by House members, such as easing the Senate’s tax on higher-cost health plans. Such an approach would be “problematic,” she said, though Democrats haven’t completely ruled out pursuing it.

“In its present form without any changes I don’t think it’s possible to pass the Senate bill in the House,” Pelosi said, adding, “I don’t see the votes for it at this time.”

Pelosi also commented that advancing health legislation through Congress will likely be a lengthy process despite Democrats’ desire for a quick election-year pivot to also address jobs and the economy, which polls show are on top of the public’s mind.

“We’re not in a big rush” on health care, Pelosi said. “Pause, reflect.”

Days after the shocking special election in Massachusetts where Republicans captured the Senate seat held for decades by the late Edward Kennedy, many House Democrats said the learning lesson was that the public wanted a more modest approach to overhauling the health care system.

Water It Down?

Several said Democrats should refocus the legislation onto popular proposals like barring insurance companies from denying coverage to sick people.

Rep. Jose Serrano, D-N.Y., said that ideally, Democrats would like to address a whole range of problems, including giving more people coverage, helping them pay for it and curbing the growth of medical costs.

“We’re obviously finding out we don’t have an ideal world, so why not deal with that which we can get done,” Serrano said.

The Democrats have not finalized on their options, which included breaking the health legislation into several smaller bills. But with Republican Scott Brown’s Massachusetts victory denying Democrats the 60 Senate votes, Obama and others were talking about legislation that would attract broad support.

“I would advise that we try to move quickly to coalesce around those elements of the package that people agree on,” Obama said with ABC News.

“We know that we need insurance reform, that the health insurance companies are taking advantage of people. We know that we have to have some form of cost containment because if we don’t then our budgets are going to blow up. And we know that small businesses are going to need help,” he said.

In a bid for GOP support, participants suggested other elements that could be added. These included allowing insurance companies to sell policies across state lines, according to Rep. Timothy Walz, D-Minn.

Stakeholder Unease

Nearly as shaken by the Massachusetts vote were health care provider groups that have supported and pushed the Democratic effort, such as drug makers, hospitals and doctors.

Industry groups that stood to gain millions of newly insured customers were worried that such potential gains were in jeopardy, according to lobbyists speaking on condition of anonymity to describe confidential conversations.

These industry groups also were concerned that without a health care bill, some of the savings several of them had agreed to contribute such as lower Medicare reimbursements might be reallocated for separate congressional efforts this year to reduce the soaring deficit.

Closing For the Kill

Sensing that the Massachusetts vote put them atop a political wave, Republicans were e-mailing fundraising solicitations on to supporters.

“Democrats nationwide should be on notice: Voters are looking for checks-and-balances, and they are prepared to hold the party in power responsible for their reckless spending and out-of-touch agenda in Washington,” wrote Sen. John Cornyn, R-Texas, who heads the Senate GOP’s campaign arm.

Compromise Will Not Satisfy Anyone

If you’ve ever wanted something but had to compromise, you know what I mean that nobody is left satisfied.

With the Dems and Reps battling it out, and other waiting in the sidelines, it’s not going to make anyone happy. Safe, comfortable, covered. But not happy.

More Power To Us,

Erwin Chua

Consumer Advocate

Life Insurance Quotes For Consumers

“Insurance is Personal.”

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