Dean: Without public option, Dems should reject health care reform

(Host) Former Governor Howard Dean says he doesn't think Congressional Democrats should support a health care reform bill, unless the legislation includes the creation of a new public program.

Dean says a health care bill without the public option is "a ridiculous waste of money".

VPRs Bob Kinzel reports.

(Kinzel) The creation of a new public plan, modeled after the Medicare program, has become a key issue in the health care reform debate in Washington.

Under a plan drafted by the Senate Health and Education committee, individuals could choose between joining the new federal program or maintaining their current private coverage.

Government subsidies would be available for the public and private policies for low and middle income people.

Speaking in a conference call to Vermont reporters, Dean said a health care reform bill without the public option is waste of time:

(Dean) "I don't understand how Democrats would oppose a public option, it makes no sense. It clearly works well, it clearly gives Americans a choice - which is what the Americans want. And I think that's right. But there's no point in doing health care reform, because it won't be health care reform unless you have the public option that the American people can choose from."

(Kinzel) And Dean says if the Democrats abandon the public option, they should still proceed with an insurance reform bill but they shouldn't call it health care reform:

(Dean) "I think they should just take all the money out of the bill, give up the pretense of any kind of universal health care or cost control and pass guaranteed issuance and community rating which we passed when I was governor my first year. But to spend a trillion dollars on something that's not health care reform is a ridiculous waste of our money."

(Kinzel) Dean's position puts him directly at odds with Republican Governor Jim Douglas.  As chairman of the National Governors Association's health care committee, Douglas has been active in the national debate. He opposes the public option:

(Douglas) "I don't think the federal government ought to be in the health care business. I don't think they should run an insurance company especially because it would likely crowd out private insurance options that are now available."

(Kinzel) House Democratic leaders are expected to unveil a specific financing package to pay for their bill in the next few days.  Dean says he hopes the plan doesn't include a tax on health care benefits.

For VPR News I'm Bob Kinzel in Montpelier.