Health Care Reform

President Obama signed legislation Wednesday to expand publicly funded health insurance for children, marking a historic shift in Washington's political landscape and providing the White House its biggest victory since Obama took office. Less than two years ago, former President George W. Bush blocked similar bills by congressional Democrats, labeling the proposed expansion of the State Children's Health Insurance Program as a step toward government-run healthcare.

Wrestling with how to fund a massive overhaul of the nation's healthcare system, congressional Democrats began to acknowledge Wednesday that their ambitious schedule for sending President Obama legislation by October may be slipping. The Senate Finance Committee, which Democrats had hoped would begin public debate of a healthcare bill this month, appears likely to delay that until July, congressional aides said.

Liberals were disgusted when Sarah Palin warned that President Obama wanted "death panels" in his healthcare overhaul. They called it a deliberate deception and a despicable tactic. But the term went viral. And now two groups that favor the legislation, including Obama's own grass-roots organizing network, are trying to turn the phrase to their benefit. Search Google for "death panels," and often an ad headlined "Death Panel Myth" will appear. It directs users to a "Setting the Record Straight" page on the barackobama.

In an effort to maintain control of the healthcare debate, President Obama on Tuesday ridiculed critics of his government-run insurance proposal, saying private insurers have nothing to fear if they are efficient and consumer-friendly. "If private insurers say that the marketplace provides the best-quality healthcare -- if they tell us that they're offering a good deal -- then why is it that the government, which they say can't run anything, suddenly is going to drive them out of business?"

The gaffes keep piling up: the untimely comments stoking fears of swine flu, dismissals of Russia that seem straight out of the Cold War. But in defiance of the normal rules of American politics, Vice President Joe Biden appears to be solidifying his relationship with his boss and accumulating more assignments central to the administration's agenda. Having lined up support in the Senate to assure passage of the $787-billion economic stimulus plan, Biden was recently tapped by President Obama to play a bigger role in the healthcare debate that is now dominating the congressional agenda.

Like most everyone in this small, scruffy city of boat builders and fishermen, Sammy Duffy tends to rave about surgeon general nominee Regina Benjamin and all that she has done for the hard-working people here who labor without the safety net of health insurance.

San Marcos resident Maggie Yount wasn't surprised when the letter from insurance giant Anthem Blue Cross arrived the other day. Yet she couldn't help but be frustrated. "Some medical conditions, either alone or in combination with the cost of medication, present uncertain medical underwriting risks," Anthem informed her. "In view of these risks, we find we are unable to offer you enrollment at this time." In other words, no health coverage for you.

With congressional Republicans defying him on healthcare, President Obama is trolling for prominent GOP officials and independents outside Washington who will publicly endorse his plans as the legislative fight moves toward a crucial phase. On Tuesday, the White House rolled out its latest trophy -- a letter from Republican California Gov. Arnold Schwarzenegger saying he shares many of the same healthcare goals as the president, including "slowing the growth in costs" and "enhancing the quality of care."

President Obama is becoming more personally invested in rallying the public and Congress behind a healthcare overhaul, even as some Republicans raise the stakes in the debate by claiming that defeating his plan would undermine his presidency.

It might have looked as if real progress toward healthcare reform was made last week when leading insurers proposed ending their long-standing practice of charging higher rates to sick people and denying coverage to those with chronic conditions. But not so fast. A closer look at the insurance industry's plan reveals a potentially huge loophole that could short-circuit genuine reform.