GRASSLEY: Hello, everybody.
In advance of what the president might say tonight, and particularly what he might say on health care -- and, by the way, I do look forward to hearing what he has to say -- and particularly any details that he might offer, I'd like to say that I've -- what I've said all year, that something as big and important as health care legislation should have broad-based political support. So far, no one has developed the kind of support either in Congress or at the White House.
The best way to approach health care reform would be for the president to focus on building support for the kind of legislation that might get 70 to 80 senators to vote for it. It would be a mistake tonight for the president to blame Republicans for not going along with legislation that puts the government in charge of health care and adds to the deficit.
He was elected to lead this effort, so I hope to hear him promoting initiatives that can pass with a lot of support and fix what's broken rather than making it worse.
Remember -- I've said so many times -- health care is 17 percent of the economy and it impacts the quality of life of everybody, and that's why it ought to be done with a broad-based consensus. And this is something that Senator Baucus and I have been pursuing since the 1st of the year, that sort of broad-based consensus.
And I would remind the president that if he says, "What is your ideas?" if he's talking to Chuck Grassley -- and I'd have to assume he's talking to all 535 of us -- I would say, I've been working in a bipartisan way, and my ideas are out there, and what potentially could be that bipartisan agreement, but that there's a lot of other Republicans, if he's pointing to Republicans, there's at least four Republican plans in that I haven't heard much about, the president talking about them or encouraging talk with those Republicans, and also there's at least one bipartisan plan on that at least last year was getting a lot of publicity -- probably the only plan to get publicity -- of Senator Wyden, a Democrat, and Senator Bennett, a Republican.
Now I'm ready for questions. And since I'm not on location in the studio, somebody's going to call the names.
STAFF: Kerry Cathcart?
CATHCART: Thank you. Senator, have you talked to any of your fellow Republicans in Congress? There's been some chatter in the media that some Republicans would like the whole health care thing to fail this time, to use it against the Democrats and Obama in 2010 and 2012, rather than working on any type of a bipartisan bill. Have you had any conversations with fellow Republicans who have stated that position?
GRASSLEY: Well, it's been -- it's been expressed in the press and I think, as often has been expressed in the press, that you would be -- be OK for you to take that as something that is floating around the Hill, but I don't want to say what's been said to me, because I've had private conversations, and I don't want to report private conversations.
CATHCART: Thank you.
STAFF: Tom Beaumont?
BEAUMONT: Hold on. Senator?
GRASSLEY: Yes, Tom?
BEAUMONT: Will you support Senator Baucus' plan? And what do you like about it, if you will support it? What don't you like about it, if you won't?
GRASSLEY: Yeah, the way we left that is, after yesterday's meeting, each of us, both Republicans and Democrats, were asked to submit today some changes that we would make in it. And I am -- do have a list of changes. I won't bring those up at this point, because I don't want to negotiate in the press, but we have changes that have -- in one -- one consideration that they had to meet, and this is a legitimate consideration of Senator Baucus to ask us, that we would offset any changes we made in it, so that we had to be fiscally responsible, because you know that our goal has been -- a lot of goals, but two primary goals -- to not add to the deficit and to bend the -- the inflation curve.
So we -- we have things that are submitted. And -- and they'll be discussed at 2:30 this afternoon.
BEAUMONT: What do you like about it? And what -- what do you like about it? And is there the chance that you will support it?
GRASSLEY: Well, of course, don't forget, that question could be answered the same since last January, in the sense that Senator Baucus and I have a pretty good record of working together to get a bipartisan agreement. So, you know, eventually this is a Baucus proposal, but -- but it -- he's not putting it out just as his to -- to take it or leave it. It's still continuing the process of negotiation that we started back in the 1st of the year, and that process of negotiation is going on at 2:30 now.
So we're still negotiating. And -- and one of the rules of negotiating is that nothing's final until everything's final, and so you either agree to the entire package or you don't, and it's based on that proposition.
STAFF: Mike Myers?
MYERS: Senator Grassley, can you hear me?
GRASSLEY: Yes.
MYERS: Are you negotiating at the margins? Are you negotiating at some central break in the -- in the problem here? What -- what -- what's the degree of difficulty in...
GRASSLEY: Well...
(CROSSTALK)
GRASSLEY: I think that -- I think it'd be fair to say that there are some things at the margin and there's things -- some things that are very central.
MYERS: And would -- what is the key? Is there something new here in this element that is very central?
GRASSLEY: I don't think there's anything new. It's things that have -- could be in a package since the 1st of the year.
MYERS: Is -- are you -- is this being rushed in some sense to get ahead of the president? Or is there some concern the president may get ahead of you and take this off the table through Harry Reid?
GRASSLEY: Yes, that's very much a consideration of our going ahead of the September 15th deadline that was originally set.
MYERS: OK, thank you.
STAFF: Ken Thomas?
THOMAS: Morning, Senator. You know, as you mentioned, you -- you face a deadline today. Do you think you're going to stick with -- with Senator Baucus on this? Or do you think there -- there will come a time where you'll have to shake hands and -- and walk away? And -- and do you have any sense of -- of whether the Republicans in the gang of six will be able to stay at the table?
GRASSLEY: Yes, I can say the same thing I would have said starting back in January, that we have a very good record over 10 years of -- of working together on bipartisan solutions. And we're still at the table, and we've been at the table. There's never been a walk away from the table or anything in -- in that period of time that we've been negotiating, first one on one and now three on three.
And -- and I suppose it's possible that, you know, at a certain date, but I would have said this in January, as well. There's always the time comes that maybe you would walk away from the table.
But every time I've said this to you, I've also emphasized we're still at the table, and I don't see right this minute any reason to walk away from the table. And I've always said that I wouldn't walk away; I was going to be shoved away.
THOMAS: And just -- just to follow up, do you have any concerns about this -- this part of the Baucus plan that would fine families up to $3,800 for failing to buy health insurance?
GRASSLEY: The problem is that that's -- that would be a problem for a lot of members of Congress the same way it was probably a problem for Obama versus Hillary Clinton back during the campaign. Do you remember that Hillary Clinton wanted to -- to mandate everybody to be into health insurance? And at that time, candidate Obama was opposed to it. And maybe, as far as I know, he could still be opposed to it. I haven't had that conversation with him.
STAFF: Jim Boyd?
BOYD: We talked yesterday, Senator.
GRASSLEY: (inaudible)
BOYD: I'm good.
GRASSLEY: OK.
STAFF: Courtney Blanchard?
BLANCHARD: Yes. I'd like to know if the public option is still part of the discussion and whether you'd support a plan that includes any form of a public option.
GRASSLEY: Yeah. It is not -- it really hasn't been on the table for a long, long period of time. I suppose technically not off the table, because under this rule I just espoused, that nothing's final until everything's final, but it's had less attention since Conrad's brought up his co-op plan, so it's not on the table.
I made very clear going back to February 6th, when I was invited to the White House with the president, when he had his kind of public meeting that he had, I was one of 200 people there, but I was asked to speak, and -- and I said then -- and I just said February the 6th. It was really March the 6th.
But, anyway, I was there, and I had the microphone, and I ended up on the front page of the New York Times asking about the public option, saying what a problem it was for a lot of us, and it still is a problem for not only Republicans, but it's my understanding from TV that 12 Democrats are -- are likewise opposed to it.
So leaving it out is very necessary to getting 60 votes in the United States Senate. And -- and I think you've heard -- actually I've heard Senator Conrad speak out more strongly on that point than maybe I even have.
STAFF: Ed Tibetts?
TIBETTS: Senator, how close does the Baucus plan meet that broad-based test that you talked about?
GRASSLEY: You'll have to be more clear in your question. I -- I heard your question, but it isn't clear to me what you're asking.
TIBETTS: Well, you talked earlier about how something this big should require a broad-based consensus, 70 to 80 votes.
GRASSLEY: Yes.
TIBETTS: Looking at the Baucus plan, how close does it come to -- to getting that amount of support?
GRASSLEY: You know, I have a problem answering that, because I think I can assume that a broad base of Democrats are apt to support it, but it's hard for me to tell beyond three Republicans who might -- how it might work out, because, you know, I don't have anything to take to them and say, "Here's -- what do you think of this, you know?" Because until you get a -- a document, it's pretty hard to go back to your caucus.
Now, weekly, Senator Enzi and I have been reporting to what we call a health task force of the Republican caucus, but any Republican can come. And I would say it's not always the same Republicans, but at least half of the Republicans are there, and Senator Corker reminded me that he has never missed one.
So we do discuss a lot of these sub-issues with them to get their views, but I think I've only had about three or four -- at least four main ones -- that the caucus has said that they've been very serious about watching out for if there was going to be any Republican support, and one was not to have public option, one was not to have rationing. Another one was not to have what's called play-or-pay, in other words, a mandatory penalty for employment, like the 8 percent tax that is in the House bill. And then the other one was tort reform, medical malpractice reform.
So we are always in discussion with them, but you can't really nail people down until you say, "Well, here it is. What do you think of it?"
TIBETTS: Well, are there -- are there elements in this plan, such as the -- the pay-or-play provision -- that would automatically move this outside that broad-based test that you talked about?
GRASSLEY: Well, in our -- in -- in -- in what -- what Senator Baucus put down, but also what we kind of mutually -- six of us mutually agreed on over a long period of time is not to have play-or-pay.
TIBETTS: And -- and forgive me if I'm -- I'm -- I'm not understanding this correctly, but my understanding of the new Baucus proposal is -- is there is a provision in there that would...
GRASSLEY: I think you're referring to the individual mandate.
TIBETTS: ... that would be characterized...
GRASSLEY: And I spoke about that. I think some previous questioner asked me about the controversy of that, and I said, yes, that's something that people have some concern about. It's on the radar, and it's an issue, and I said it was even an issue in the presidential campaign, because Hillary Clinton was very much for an individual mandate, and -- and candidate Obama was not for it. And he hasn't spoken out this year -- I haven't had any conversation with him on the individual mandate.
TIBETTS: OK.
GRASSLEY: Next?
STAFF: Christinia Crippes?
CRIPPES: Hello, Senator.
GRASSLEY: Yes.
CRIPPES: With the move forward in this discussion, do you expect that a bill will still pass this year?
GRASSLEY: Well, I believe that -- that what the president says today might have a lot to do with that, maybe only modified by something that I can't answer, and that is, you know, I -- I have a pretty good feel from my town meetings -- and they've been accurately reported for the most part in the newspapers and stuff -- about Iowa, but, you know, we have 435 congressional districts around the state, and I haven't had the benefit of being back here less than 48 hours of having to know what they feel.
And -- and that's probably more important than what the president says. In other words, to what extent are things going to slow up or not? And -- and reading my clips from the Iowa newspapers yesterday, I sense that kind of people are coming back -- back to Washington from Iowa reading some caution, some impact being made, with some -- some congressmen and senators saying it made some difference this way or that way, and then some saying we've just got to move ahead, regardless of -- in a sense, regardless of what the people say.
But, you know, so it's been -- it's been out there. So, you know, that one thing, plus what the president says tonight, I think is going to have a lot to say about what happens this fall.
CRIPPES: Thank you.
STAFF: Dennis Lowe?
OK. I've read through the entire list. Does anybody have a follow-up or did they get added late?
MYERS: Senator...
CATHCART: Senator, what did you think of the president's speech about -- to the schoolchildren that generated a lot of controversy?
GRASSLEY: Well, I didn't get a chance to see the news last night. I know it engendered a lot of controversy before the speech, but I don't know about how it was received. But I guess, for a senator like me who works hard to keep a grandson in school, that anybody -- and also my knowing of the importance of education -- that anybody speaking out and reminding young people about education being the key to a successful future can't be spoken too many times.
MYERS: Senator, regarding your -- your session there, your so-called gang of six, what's the mood in that room? Is it you have a sense of optimism? Are people working together? Are you getting to be a little discouraged? What's it like?
GRASSLEY: Well, maybe -- maybe this would answer your question. Over several months of one on one and now six on six, there has not been one harsh word spoken.
MYERS: Well, does that also mean that you're making progress or that it's so boring you're not getting anywhere, in effect, in all respect? I mean, is there substance there? You're pleased with the work product?
GRASSLEY: Yes, there is a lot of substance.
BEAUMONT: Senator, CNN reports you saying yesterday that you object to supporting the -- the tax on insurance companies for Cadillac plans. Is that something you consider a major sticking point?
GRASSLEY: I didn't -- I didn't talk to the press yesterday.
BEAUMONT: You didn't have a CNN interview yesterday?
GRASSLEY: I did not talk to them. Oh, you know what? I -- I -- I talked to -- well, it was a person taking some notes, yes. But, you know, here's -- here's -- let me say that, at that particular time that I was talking to her, I thought that the fee on insurance replaced the -- the tax on corporations that offer high-end insurance. And -- and that -- that tax on the employer as opposed to the fee on insurance companies is a very key factor in bending the inflation curve.
And so when I -- when I answered that question on CNN, I answered it that I had concern that -- that one was replacing the other, and then, after the interview, I found out that that inflation-bending thing of a tax on corporations offering the high-end policy was still in there. So I misspoke on that interview out of ignorance -- out of ignorance.
And -- so -- so that's -- I wasn't briefed on that.
BEAUMONT: Can you clear me up then on -- on what -- about that -- about the Baucus plan you do support with regard to the tax on insurance companies?
GRASSLEY: Yes, that's -- that's one of those issues under discussion.
OK, anybody else? OK, thank you all.
(UNKNOWN): Thank you.