Tom Daschle

Daschle Admits -- Then Denies -- That White House Agreed With Industry To Scrap Public Option

Brian Beutler | October 5, 2010, 5:07PM

Tom Daschle

In a candid interview with the Center for American Progress this afternoon, former Senate Majority Leader Tom Daschle acknowledged that the public option didn't survive the health care debate because of a "understanding" that the White House reached with health care industry stakeholders -- particularly with hospital and insurance company trade associations. But the White House has long denied this suggestion -- which was, until now, based mostly on speculation -- and within hours of the report's initial publication, Daschle, a close White House ally, retracted his statement entirely.

"I don't think it was taken off the table completely. It was taken off the table as a result of the understanding that people had with the hospital association, with the insurance (AHIP), and others," Daschle told Wonk Room's Igor Volsky. "I mean I think that part of the whole effort was based on a premise. That premise was, you had to have the stakeholders in the room and at the table. Lessons learned in past efforts is that without the stakeholders' active support rather than active opposition, it's almost impossible to get this job done. They wanted to keep those stakeholders in the room and [the public option] was the price some thought they had to pay."

That rendering flies in the face of the White House's narrative, so TPM emailed Daschle to ask whether his statement reflected first-hand knowledge of the stakeholder negotiations, or was a conclusion he'd drawn independently. In response, he walked back the entire claim.

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