February 27, 2024

United States President Joe Biden speaks in Pittsburgh, Pennsylvania on March 31, 2021.

Jim Watson | AFP | Getty Images

As President Joe Biden tries to steer his huge new infrastructure plan through Congress, his administration plans the next phase of its economic recovery effort.

As the White House prepares to release a second proposal that will focus on education, paid vacation and health care, there has been little evidence of whether it will contain a core plank of the Biden campaign: an option for public insurance.

The president continued to expand health insurance by allowing Americans to opt for a Medicare-like plan. Although the White House has announced that it will address health care in the new proposal due to be released later this month, it has not yet committed to including a public option.

“Health care will certainly be part of it, with an emphasis on trying to cut costs for most Americans, especially prescription drugs, and efforts to expand affordable health care,” said White House Chief of Staff Ron Klain, speaking to Politico on Thursday, asked if the proposal would include the Medicare-like insurance plan.

Biden entered the White House with full democratic control over Congress and the ability to adopt key parts of its platform. Biden, who took office during a pandemic and economic downturn and faced opposition from the GOP to many of his goals in a Senate where the filibuster still exists, had to make delicate decisions about what and when to prosecute.

The Democrats began Biden’s tenure with three ways to use the budget vote. This process enables bills to be passed by a simple majority in the Senate. This means that Democrats can pass laws without GOP votes in the evenly divided chamber.

With Republicans resisting efforts to expand government involvement in health care, the Democrats would likely have to adopt a public option themselves. But health care reform has puzzled major Washington political parties for decades.

Democrats would still have to get all of their members on board with a health plan. It could prove difficult in a party where preferred models range from a modified version of Obamacare to a full payer system that covers every American.

CNBC policy

Read more about CNBC’s political coverage:

The Democrats used their first attempt at reconciliation to pass a $ 1.9 trillion coronavirus relief bill – a larger aid package than they could have approved if Republicans had signed. Democrats could also choose to use the process to pass the more than $ 2 trillion infrastructure plan that Biden unveiled on Wednesday. Senate Minority Chairman Mitch McConnell, R-Ky., Said Republicans would oppose it because it will raise taxes on companies.

Passing the infrastructure on through reconciliation would allow Democrats one more attempt to pass simple majority law by next year, though Senate Majority Leader Chuck Schumer, DN.Y., hopes to find a way to break the process to use again. The Senators have already urged Biden to use his next recovery plan to expand health coverage.

Sens. Michael Bennet, D-Colo., And Tim Kaine, D-Va., Have urged Biden to incorporate their health care expansion plan into the upcoming Law of Atonement. They believe their legislation reflects the president’s goal that he outlined on the campaign.

A public Medicare option for individuals and small businesses would be in place nationwide by 2025. The law would also introduce cost-cutting measures, e.g. B. The ability for the government to negotiate drug prices and to expand subsidies and tax credits to purchase insurance.

Senator Bernie Sanders, I-Vt., Has his own vision of how Biden should handle health care in the Atonement Act. He wants to lower the Medicare Eligible Age from the current 65 to 60 or 55 and expand coverage to include dentistry and eyesight.

He wants to fund the change by allowing Medicare to negotiate prices directly with drug companies.

It is currently unclear whether Biden will include a public option in the reconciliation bill or how he would otherwise use the plan to cut costs and expand coverage. During his first term in office, he is under political pressure to take action on health care as voters consistently ranked the issue among their top priorities in 2020.

The pandemic has also exposed vulnerabilities in the U.S. healthcare system. Millions of people who have lost their jobs due to the spread of the virus across the country have lost their employer-sponsored insurance.

To address the loss of coverage, the Biden administration opened a special registration period under the Affordable Care Act. As part of Covid’s aid package, Congress has also attracted millions of people to receive premium grants for purchasing plans.

Subscribe to CNBC on YouTube.