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Conrad: Let's Kick Reconciliation Can Down the Road

The budget reconciliation flame wars continue today, with Senate Budget Committee Chairman Kent Conrad reiterating once again his aversion to using the process as a vehicle for health care reform legislation. In a conference call with reporters, Conrad, for the first time, moved beyond simply reiterating his aversion to the tactic and addressed the fact that reconciliation may be the only hope for reform. But he still hasn't addressed the merits of the plan proposed by reconciliation supporters.

Here's what he said:

Well, I don't want to do the negotiation of the conference through the media. But I've been as clear as I can be publicly and privately, that I don't think reconciliation is the right way to write fundamental reform legislation. It wasn't designed for that purpose. It was designed for deficit reduction. And it creates as you know a lot of technical issues if you are in a reconciliation mode.

And so I would strongly prefer not to do it that way. One of the things i've said to colleagues is, "look the Budget Act contemplates a second budget resolution--only 10 hours in duration on the floor." And so one could go through this year--at least most of this year--on this budget resolution without reconciliation instructions. And then if it proved absolutely essential--if there were no Republican co-operation on writing major health care reform--you could run a second budget resolution. It would only take a day on the floor and you could put reconciliation instructions there. And it seems to me that would be far more preferable than starting with reconciliation. And again I believe there will be Republican cooperation... certainly there will be many who will not. We know that. But I believe there ar e a group of Republicans who fully intend to help write major helathcare reform legislation and they've said so publicly and privately and we I think ought to engage them.

Emphasis is mine, and I add it because the group of powerful Democrats who support including reconciliation instructions in this budget do not plan on rushing that legislation. The idea would be to give the Senate until September (most of this year!) to come to a compromise, and to move forward with reconciliation only if that effort fails.

It's almost identical to Conrad's proposal but with a key difference: If Democrats put reconciliation instructions in the first (and likely only) budget, they'll be providing conservatives a key incentive to get on board with reform. By contrast, if Democrats don't move forward with reconciliation in this budget, and Republicans don't hop aboard, then the power to do health reform this year will land in deficit hawk Kent Conrad's lap.


17 Comments

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Reconciliation was designed for deficit reduction?

I thought reconciliation was how the Bush budgets (exploding the deficit) got passed.

Given the votes on the stimulus bill, I'd like to have some of whatever Conrad's having that makes him think he's actually got Republican votes. And I'd like to ask him why a minority of Senators are going to be given such an outsize influence on the shape that health care reform is going to take.

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Excellent questions, kitty.

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Conrad actually has the assurances of leader Reid on at least Susan Collins, who's closely allied with Joseph Lieberman who owes Reid for letting him caucus with the dems and keep his chairmanship. Marry that vote to a Franken seating, or an Olympia Snowe/Arlen Specter defection and it's the same arithmetic as the Economic Recovery plan bill. If those attempts fail, then reconciliation is the final option.

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One link for Mr. Conrad:

http://www.tnr.com/politics/story.html?id=07bd4a20-60a7-44a9-ab92-115eeb62bd92

Key Quote:

"Reconciliation may have been intended for deficit reduction, but it has been often used for other things, such as deficit expansion--as in the case of the Bush tax cuts, which Landrieu voted for. (As did Gregg, who, as my colleague Jonathan Cohn discovered, was happy to support reconciliation for proposals like drilling for oil in ANWR when Republicans controlled the majority.)"

These ConservaDems will be Obama's undoing, just as they were for Clinton and Carter. Absolutely disgraceful.

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The classically effective negotiating strategy has always been "Start nice, then tit-for-tat". That seems to be essentially what Conrad is saying. Don't start with reconciliation in the bill, but it's always a club they can pull out later if the R's refuse to cooperate.

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You're more optimistic than I am. Who are the Republicans that Conrad thinks he has?

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Probably the Republicans who co-sponsored Ron Wyden's health care bill -- Sens. Bob Bennett (Utah), Lamar Alexander (Tenn.), Mike Crapo (Idaho), Lindsey Graham (S.C.), and Arlen Specter (Pa.). I know Chuck Grassley co-sponsored the bill last Congress.

The Wyden bill makes significant sacrifices. It taxes all employer provided health benefits, requires all individuals, to purchase health insurance, folds Medicaid recipients into the program, and does not have a public option. But it has lots of goods -- including requiring insurance companies to cover everyone and include preexisting conditions, and allowing all Americans to purchase health insurance independent of their work.

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!!!! As far as I'm concerned, mandate without public option is a non-starter. I love my Senator Wyden dearly, but fuck that shit.

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Unfortunately, the Democrats frequently seem to take "start nice" beyond courtesy to the point of negotiating against themselves. That isn't an effective strategy.

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Here's the problem with Sen. Conrad's idea: if you kick the can down the road, and require a second budget resolution with a motion to use reconcilliation, then you give Republicans a chance to offer a whole new round of politically charged "poison pill" amendments designed to kill the overall budget resolution and thereby killing reconcilliation. It's not as easy as you think.

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People want health care reform and there will be a lot of pressure on R's to cooperate. Remember, you don't need all of them - just a few. Speak softly, but carry a big stick. Reconciliation is the big stick. Like most big sticks, the threat of its use is more effective than its actual use.

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It wasn't designed for that purpose.

That's great. The filibuster was never designed to kill legislation, but that's what it's being used for. If it wasn't, there would be no need for reconciliation.

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I might be missing something here but isn't Conrad rejecting reconciliation simply because he knows healthcare reform would easily pass in that way? In other words, he wants to go the filibuster route because he really doesn't seek "reform." He seeks the status quo.
Feel free to correct me.

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That was certainly my interpretation.

Baucus wants health care "reform", apparently, but I have reservations about him, as well.

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It is totally inappropriate to call Kent Conrad a "deficit hawk". He is anything but. What would be more appropriate would be something along the lines of "whore for the rich and powerful interests" or "poltroonish asskisser of the rich and powerful."

If he were at all interested in reducing the deficit he would be crusading for much higher taxes on the rich, higher corporate taxes, elimination of all subsidies to corporate farming interests, a quick and complete end to our involvementin Iraq and a massive reduction in defensive spending. But the truth is he just wants to manuever himself into a position where he holds inordinate power and thus protect his special interest patrons. Disgusting.

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Is Conrad still talking about slashing non-discretionary spending now that North Dakota needs some flood aid?

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Wauit wait wait, WHO THE HELL said we were "starting" with reconciliation? Pelosi herself has said they will work with Repubs, a good faithed effort to get a bipartisan bill pasesed but if they obstruct THEN we use reconciliation.

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