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Pelosi backs off set rates for public option

New York Times, October 29, 2009

Under pressure from moderate-to-conservative members of the House Democratic caucus, Speaker Nancy Pelosi has decided to propose a government-run insurance plan that would negotiate rates with doctors and hospitals rather than using prices set by the government. Pelosi said the public plan would compete with private insurers. The bill from members of the House Democratic leadership team would provide coverage to 35 million or 36 million people at a 10-year cost of expanding coverage that would be less than the $900 billion ceiling suggested by President Obama.