English subtitles for clip: File:2-22-10- White House Press Briefing.webm

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Mr. Gibbs:
Yes, sir.

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The Press:
A few questions on health care, Robert. The

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detail about a new rate authority to oversee
and shoot down premium increases that are

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deemed to be unjustified, unreasonable --
how is that not big government, the feds

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getting into the business of regulating
and shooting down rate increases?

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Mr. Gibbs:
Well, look, Ben, you understand and you've

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heard both the President, on numerous occasions,
and the Secretary of Health and Human Services

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discuss unjustifiable rate increases by insurance
companies that are experiencing profits and

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whose rate increases -- proposed rate increases
greatly outstrip health care inflation. I

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don't think anybody would consider what
a state insurance commissioner would do to

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be regulating the increases, largely unjustifiable,
for health insurance to be an intrusion in

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their lives, but in fact a help. This is a
process that we'll work through with the

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Secretary of Health and Human Services in
order to ensure that the public has some protection

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against this, Ben. I think -- we've certainly
seen a lot of the coverage around individuals

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that received those letters. We know that
this is not the first time, and I doubt it

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will be the last time -- unless we get comprehensive
reform in place -- that people will see in

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the individual market rate
increases near 40 percent.

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The Press:
On the bigger picture, about the overall plan,

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would the President be willing to accept anything
less ambitious than this? In other words,

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is this a starting point or is this a minimum?

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Mr. Gibbs:
No, I think -- well, look, I think this is

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a starting point. I think this is what --
a series of ideas that relate to cost, that

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relate to insurance reforms, and that relate
to coverage that the President would like

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to discuss on Thursday. But, Ben, I think
it's a starting point in as much -- in as

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much as Republicans come to Thursday's meeting
with constructive proposals that they're

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willing to discuss. I think that's the key
to having a successful bipartisan approach

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to this legislation, and that is the willingness
for both sides to sit down, discuss common

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approaches to dealing with the skyrocketing
costs, to dealing with insurance abuses, and

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finding a way, as we have said, to take those
good ideas and put them into legislation.

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The Press:
So if you get that kind of process the White

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House is willing to bend itself -- is willing
to accept something less than what was put

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forward today?

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Mr. Gibbs:
Look, obviously the President believes that

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we have to do something on cost. The President
believes we have to do something about insurance

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reforms. The President believes we have to
do something about the millions of Americans

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that don't have health care coverage. We are
tremendously hopeful, which is why the President

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posted ideas of his on the White House Web
site today. We hope Republicans will post

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their ideas either on their Web site, or we'd
be happy to post them on ours, so that the

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American people could come to one location
and find out the parameters of what will largely

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be discussed on Thursday. But I think what
comes out of Thursday will be predicated on

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a willingness by both sides to sit down and
have face-to-face discussions and look for

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that commonality. I think that's what the
American people want Democrats and Republicans

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to do in Washington.

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The Press:
One last one on this. For Americans who are

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tuning back into this, process perhaps for
the first time in a while, can you explain

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how this gets done? You've got Democrats who
are still divided over some of the key issues,

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about taxes and abortion language and so forth;
Republicans are still saying start over. So

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how do you take this plan and get it done?

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Mr. Gibbs:
Well, look, the process is going to start

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-- well, it started today with our posting
of ideas. We hope that it continues before

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Thursday with Republicans putting out more
of their ideas. And then we're going to work

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this through on Thursday. I don't want to
get ahead of a tactical legislative discussion,

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ahead of what the legislation might be, understanding
that the President is hopeful that this is

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a broad discussion where good ideas
can be incorporated. Yes, sir.

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The Press:
Robert, two questions, one on health care

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and one on financial reg. Dan said this morning
that after Thursday that the proposal that

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was put online this morning was designed to
overcome a Republican filibuster if one were

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to occur. Is that not a sign that you're
ready to support reconciliation?

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Mr. Gibbs:
No, no, look -- first of all, reconciliation,

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as you know, is a legislative vehicle that
has been used on a number of occasions over

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the past many years. In 2001, the $1.35 trillion
tax cut that went through the Senate went

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through the very same way. The tax cuts in
2003 -- $350 billion -- went through in a

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similar way. Again, I don't think the President
wants to get ahead of Thursday's meeting.

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I think we believe there can and should be
a constructive discussion. I do think the

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President believes there ought to be
an up or down vote on health care.

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The Press:
But just even what you're saying now in terms

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of talking about the history of reconciliation
sounds like you're paving the way for the

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use of that.

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Mr. Gibbs:
No, no, I just simply do that for anybody

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that is hearing this as a word or a legislative
vehicle that may not previously understand

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its scope and its history.

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The Press:
But just saying that you -- the President

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wants an up or down vote, is that a sign that
if that doesn't happen reconciliation is the

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way to go?

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Mr. Gibbs:
No, I think what that means is that we have

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seen in survey after survey that the American
people want Republicans and Democrats to work

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together on health care reform. That's our
goal for Thursday. I think it's premature

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to get ahead of what happens
on Friday before Thursday.

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The Press:
How is that getting ahead after 13 -- how

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many months on this? Why
can't you say yes or no?

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Mr. Gibbs:
Well, I think I answered Jeff's question,

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but, Helen, I --

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The Press:
No, you didn't.

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Mr. Gibbs:
Again, I don't think it's --

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The Press:
Is he for reconciliation or not?

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Mr. Gibbs:
The avenue exists if one wants to pursue it.

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The Press:
Does he want to pursue it?

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Mr. Gibbs:
Again, I don't think it makes any sense to

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get ahead of what happens with the legislation
on Friday before discussion on Thursday.

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The Press:
But it seemed like Dan got -- at least the

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signal this morning on the call, without saying
-- I mean, he said you haven't decided whether

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or not to support it, but the direction seems
moving that way with the comments about an

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up or down vote.

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Mr. Gibbs:
Well, I'm not going to get into prejudging

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the outcome of Thursday on Monday afternoon.

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The Press:
All right. Let me just ask the one financial

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reg question. Does the White House -- would
the White House consider having a consumer

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financial protection agency that is independent
but is part of another regulator, or does

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it have to be a separate entity?

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Mr. Gibbs:
Let me check with NEC. Look, I think obviously

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the elements of this are -- have to include
the independent authority of a CFPA, whether

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it's housed in -- whether it's housed someplace
I think is one thing, but does that -- does

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the office of the CFPA have the independent
authority to act without the permission of

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wherever that is housed, I think that is what
advocates on the consumer side, like Elizabeth

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Warren, have discussed as the appropriate
authority with which to protect consumers

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and what's been envisioned. I will double
check with NEC, see if they have any other

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guidance. Yes, sir.

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The Press:
Walk us through the best-case scenario, in

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your view, of Thursday -- the Republicans
come, they have some ideas, you guys have

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some ideas, then what?

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Mr. Gibbs:
Well, hopefully, that -- look, each of these

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-- each of what I've talked about, what the
President has talked about, in terms of changes

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in cost, changes in insurance reform, changes
in coverage, as well as fiscal impact, all

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of these sections will be discussed in detail
at the meeting on Thursday. I think envisioning

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if there are additional ideas that the Republicans
have, that will cut costs for the American

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people. If they've got a plan to do that,
they discuss it, and the President agrees

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that it should be added, that would be --
I think we would hope that out of the process

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on Thursday, that would be yet another Republican
idea incorporated into the legislation that

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would be ultimately and later
considered by Congress.

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The Press:
It would be -- you have the Senate bill, you

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have your list of fixes to it. So it would
be added to the list of fixes or changes?

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Mr. Gibbs:
I'm not a parliamentarian, Jake. I don't --

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The Press:
You worked in the Senate.

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Mr. Gibbs:
Which is why I'm now here.

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(laughter)

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But I don't -- there are certainly people
that can do the legislative counsel -- look,

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I think suffice to say if we can get, and
the President believes we can, get people

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in the room to discuss these things to come
to a broad agreement, that legislative tactics

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is not what is going to hold up good ideas on
both sides merged together from becoming law.

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The Press:
But just in terms of expedience, I mean, the

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way that you guys -- theoretically, if nothing
happens on Thursday, that is if there is no

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kumbaya moment, then you guys send the Senate
bill to the House, the House passes it; then

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the fix goes through the Senate.

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Mr. Gibbs:
Jake, you asked me what I envision was going

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to happen on Thursday.

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The Press:
Right.

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Mr. Gibbs:
I don't want to -- before the end of your

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question -- dispense theoretically with nothing
happening on Thursday. I think that would

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be a prejudgment that I don't think --

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The Press:
Fair enough. But if something does happen,

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it would be added to the fix, is the idea?

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Mr. Gibbs:
Again, I'm not a parliamentarian. I could

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seek some guidance from Legislative Counsel.

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The Press:
There's one other thing I wanted to ask about.

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You guys have been talking a lot about how
premiums are going up at the same time that

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insurance company profits are going up --
the President talked about it in his weekly

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address, Secretary Sebelius talked about it.
Some of the insurance companies that Sebelius

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mentioned in her report and the President
mentioned in his weekly address are non-profits

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-- specifically in Rhode Island, Oregon,
and Michigan -- that have been operating at

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a loss and are by definition regulated by
the state and non-profits. Why are they included

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in the same breath as groups like Anthem
BlueCross, that are for-profit ventures?

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Mr. Gibbs:
Let me check with HHS on -- and I would direct

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you also to them -- on the report. Obviously,
the notion of them in the breadth of making

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profits doesn't correlate to them because
they're nonprofits. I do think it is a demonstration,

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though, profit or nonprofit, we see what is
happening to the cost of health care greatly

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outstripping health care increases as a result
of health care inflation -- which health care

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inflation has always -- or in many ways over
the past 15 or 20 years been greatly ahead

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of the average increases in normal cost of
living. What we're seeing now -- Anthem Blue

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Cross and others -- is something on an exponential
magnitude of what we had seen in the past,

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even in that increase. So I think that's why
the President felt strongly about including

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the authority for rate review, and I think
that's why the American people want -- the

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American people want someone to be on their
side looking into this. Dan.

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The Press:
Robert, based on the signals that you're getting

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from Republicans, does it appear that they're
coming to that meeting willing to work with

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the White House, or resist this plan?

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Mr. Gibbs:
Well, look, Dan, I think this is largely

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-- I have not seen everything that everybody
has said. I saw the statement that Congressman

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Boehner put out. Again, I think that the product
that comes out of Thursday is dependent upon

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the Republican willingness to come and discuss
health care solutions and be open to ideas

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and ensuring that those ideas are passed on
to the people in the form of a change in health

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care reform. I've seen certainly comments
where folks have said, we should go just to

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tell everybody why this is a bad idea. Well,
that's great. And I hope -- I just hope that

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the second page of the talking points that
those guys -- that any individual would bring

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on that would be to list what you would do.
We do know this, that health care, as we've

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talked about, the price is skyrocketing; small
businesses are dropping their coverage; some

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of them are going out of business; it's crippling
families' budgets. We know what it's doing

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to the federal government's budgets. Simply
saying no, simply discussing why we oppose

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-- why some people oppose one idea without
bringing to that table a series and set of

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solutions that will help the problem is not
fulfilling a role in representative democracy

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that's intended through their representation.

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The Press:
I've got a question on Iran. Has there been

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any sign at all that China might be more willing
to embrace sanctions in light of the IAEA report?

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Mr. Gibbs:
I can check with NSC. I have not heard anything

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specifically on China. Look, I do believe,
Dan, that one of the -- the IAEA report represents

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one of the clearest denunciations of what the
Iranians have been working on. It is a clear --

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it is clear and concise in the ways in which
the Iranian government has taken steps to

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conceal over many years what it's done. And
I think this continues the nations of the

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P5-plus-1 and members of the IAEA and quite
frankly the greater international community

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in collectively bringing forward the notion
that Iran continues to thumb its nose at its

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international obligations. The President has
been clear, leaders in the IAEA and the P5-plus-1,

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our allies have been clear, that without a
change in behavior the Iranian government

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faces necessary consequences. We're working
on that. We've been -- we've worked quite

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closely with the Chinese on the strongest
sanctions that have ever gone through the

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Security Council in resolution 1847 [sic]
dealing with North Korea.* So we believe strongly

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and I think the Chinese believe that an arms
race either in the Middle East or an international

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arms race is in no way in their interests,
particularly -- we certainly know that --

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for what drives the Chinese economy, energy
is a big part of it. An arms race in the Middle

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The Press:
Who would the race be with? And why are you

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so hopeful about the summit coming up?

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Mr. Gibbs:
Helen, I think that, first and foremost, this

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is what a number -- we've heard a number of
people say: "We'd like to go through the President's

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plan with the President. We'd like to bring
forward our ideas." We're happy to host the

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venue -- a venue for that to happen.

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The Press:
The President has never taken a strong stand

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on most things and I think he doesn't come
across that way. That's why you've lost so

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much time.

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Mr. Gibbs:
Well, look, Helen, the President never believed

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that any of this would be easy, or that any
of this would be fast. This has been an issue

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that many Presidents for
many decades have worked on.

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The Press:
But he never should have left it to Congress to --

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Mr. Gibbs:
Well, look, the founders included a legislative

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branch for a reason, and we have to --

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The Press:
They also expect the President
to have leadership and --

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Mr. Gibbs:
Helen, I don't think anybody would -- we would

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not be at the point where we are were it not
for the continued leadership of the President

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asking that members of Congress
work to get this done. Chip.

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The Press:
Following up on her question, how hopeful

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is -- and what are the chances, do you think,
that a bill similar to the proposal the President

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put out today will be passed
and signed into law?

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Mr. Gibbs:
Well, look, I think the President continues

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to be quite hopeful that we
will get this done. Again --

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The Press:
What are the chances? I mean, is it likely?

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Do you think it's likely that it will be?

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Mr. Gibbs:
I do think it's likely that we'll get health

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care reform done this year because I think
that the price of failure for everybody involved

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is far greater than anything else. But I'll
say this, Chip, I think -- again, I want to

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stress that the effectiveness of Thursday
will be predicated upon the willingness of

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those involved, Democrat and Republican, President
and Republican member of Congress, to look

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at, fairly evaluate the ideas that each bring
to that table, and if there's commonality,

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figure out a way to get that into the proposal.
Now, if there -- again, as I said today, if

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you read in the paper that somebody says,
"All I'm coming to do is to make sure that

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the American people know that what the President
has proposed is a bad idea" -- well, again,

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you're elected to Congress or you're elected
to the presidency to propose new ideas and

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solutions for the problems that everyday Americans
face every day. That's what we hope -- that's

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the constructive notion that we hope
participants will bring to Thursday's event.

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The Press:
Aren't the insurance companies sabotaging it?

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Mr. Gibbs:
Look, I think we've all, Helen, been struck by --

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The Press:
Raising prices beyond the pale?

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Mr. Gibbs:
Well, I'll tell you what is amazing to read

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is when -- is when you take an insurance company
that raises their rates 39 percent, like we

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saw in California, they're called out for
raising their rates. They say they're raising

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their rates because we don't have health care
reform. And then you figure out who has been

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pushing most against and funding the ads against
health care, and you realize behind curtain

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number one are the same people that just jacked
up rates. I think that demonstrates probably

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as illustratively as anything why
health care reform can't wait.

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The Press:
If you talk to people on Capitol Hill, they

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say if it's likely that a bill similar to
this is going to pass then it's likely that

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it's going to have to be done by reconciliation.
So, I mean, to get something like this through,

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you've got to do reconciliation.

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Mr. Gibbs:
But again, Chip, if what the President wanted

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to do was simply not listen and take that
through the process, we would be having a

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discussion about the process, not about the
event on Thursday. The President wants to

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hear people bring their ideas about how this
will change costs, how this will increase
coverage --

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The Press:
We've already heard what they're going to

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do. I mean, as you mentioned, Boehner says
this cripples the credibility of the summit.

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McConnell yesterday characterized putting
out a proposal like this as "ramming"

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it down their throats. Don't you already know
-- isn't it already clear this is going to

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be political theater with each
side digging in their heels?

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Mr. Gibbs:
I can only hope that Mitch McConnell and John

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Boehner and all the other Republican participants
who say they're serious about dealing with

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issues like health care reform, that are
-- want to be serious about dealing with the

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issues that the American people have. They've
pushed back greatly on this notion that they're

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the "party of no." If they're not the
"party of no," Thursday is a perfect venue

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to be the "party of yes."

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The Press:
One other thing, the administration has gone

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to great lengths to make clear that jobs and
the economy are job number one this year.

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But once you get back into health care all that's
going to be just overwhelmed by health care.

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Mr. Gibbs:
Well, Chip, I --

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The Press:
It's going to -- as far as the American people

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are concerned, Health care is going to be priority
number one; once it gets out there, that is.

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Mr. Gibbs:
You know, I've got to tell you, Chip, I think

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the American people believe -- I certainly
-- I know people in this building believe

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that Washington can and should be able to
walk and chew gum at the same time; that we

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face -- look, if you just list the problems
that we face -- getting the economy moving

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again; wars in Afghanistan and Iraq; health
care; job -- I mentioned jobs -- education

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-- the American people want to believe, because
they have to deal with multiple problems at

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one time, that Washington can and should be
able to address multiple problems. The only

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way we're actually going to be able to do
that is if we set aside the talking points,

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get in a room, roll up our sleeves, and
try to make progress. If all we do --

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The Press:
-- talking points on the
Democratic side on Thursday?

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Mr. Gibbs:
This goes for Democrats and Republicans. What

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I've said up here today, Chip, isn't just
about the Republican Party. Democrats and

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the President have to be -- and I know on
behalf of the President, that he's willing

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to listen to these ideas. I think that that's
the only way we're going to make progress

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on this. And people will get to judge for
themselves the willingness for everybody to

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be part of that progress. Chuck.

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The Press:
I know you're bringing the Congressional Budget

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00:23:19,834 --> 00:23:22,034
Office folks to the summit
to sort of be able to --

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Mr. Gibbs:
I don't know if they're coming, to be honest

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00:23:27,633 --> 00:23:32,263
with you. I know they were invited; I don't
know whether or not -- I don't know whether

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or not they're going to be in the room for
the event. We will have OMB there. I think

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it is safe to say -- you may have a longer
question, but whatever happens is going to

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have to ultimately be costed out by CBO, understanding
that because of the number of estimates that

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they've made throughout this process we have
fairly good guidance on what things cost.

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The Press:
Well, I was just going to say, what is the

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cost of this new bill, which you guys described
in this call as the Senate bill with some

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00:24:03,767 --> 00:24:07,497
important changes? So it's the Senate bill,
we know how much that costs -- but with these

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changes, are you going to get the Congressional
Budget Office to give a final estimate, or

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00:24:11,633 --> 00:24:13,003
do you guys come up with your own?

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00:24:13,000 --> 00:24:14,300
Mr. Gibbs:
Well, look, again, I think it would be premature

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to go through that process prior to Thursday.

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The Press:
Well, cost is an important part of this, though.

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00:24:17,700 --> 00:24:19,870
Mr. Gibbs:
Absolutely, it's an important part of it.

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00:24:19,867 --> 00:24:24,597
I think we'll have estimates on different
sections that -- for the discussion. And again,

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00:24:24,600 --> 00:24:29,200
I think that CBO has costed
out a number of differences --

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The Press:
Have you sent any of this specifically to

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00:24:30,300 --> 00:24:31,970
CBO now, or today or no?

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00:24:31,967 --> 00:24:34,237
Mr. Gibbs:
I can check with Nancy-Ann to see if -- I

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00:24:34,233 --> 00:24:37,803
doubt that that paper
has gone to CBO, per se.

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The Press:
Now, you've called this -- you said it's

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00:24:40,300 --> 00:24:45,030
a starting point, you said it's a posting
of ideas. Can we -- is this the President's

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00:24:45,033 --> 00:24:50,333
health care plan? Is this fair to say what
was put out today -- now, I mean, I know we've

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00:24:50,333 --> 00:24:55,163
been through semantics before, you guys had
your principles and the Senate -- this is

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00:24:55,166 --> 00:24:55,796
now the President's health care bill?

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00:24:55,800 --> 00:24:58,230
Mr. Gibbs:
This is what the President is bringing to

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00:24:58,233 --> 00:25:09,803
Thursday. This is a product, though, of months
of work in committees on the House and Senate

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00:25:09,800 --> 00:25:16,870
side. It incorporates Democratic and Republican
ideas and it's a starting point for those

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discussions. Again, I think -- we're hopeful
that these will be -- these ideas will be

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added to by the good ideas
Republicans will bring.

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The Press:
Wouldn't it have been odd if the Republicans

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00:25:29,400 --> 00:25:30,070
-- they've been spending -- they spent six
months saying this was a bad bill, the Senate

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00:25:30,066 --> 00:25:37,136
bill and the House bill, and this is what
you're bringing to the table. Wouldn't it

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00:25:37,133 --> 00:25:44,903
have been odd if they didn't criticize it?
I mean, they don't believe this is a good

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00:25:44,900 --> 00:25:48,500
bill, so if this is the -- you see, I mean,
that's sort of where they're coming from.

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Mr. Gibbs:
No, no, but, Chuck, this isn't a -- I don't

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00:25:51,800 --> 00:25:57,500
think the President believed that on Thursday
they weren't going to criticize the efforts

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that he's been working on for six months.
But that's not determinative -- that's not

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going to be what determines the outcome of
the meeting. There are six hours for Republicans

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to discuss with the President sitting there
in the room what their ideas are, why they

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believe that an idea that they propose is
a better policy idea than he has. They can

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00:26:21,667 --> 00:26:28,467
discuss both the merits of and the facts of
those proposals. If there's commonality we

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can -- we'll agree to those things. But I
think your question actually is in many ways

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exactly what will determine the outcome of
Thursday. If the outcome of Thursday is --

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or if the setup for Thursday is simply walking
in there and saying, I don't support what

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00:26:48,800 --> 00:26:57,500
you've done, and there's nothing else to that,
then I think the American people will be disheartened

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that Democrats and Republicans even sitting
in the same room discussing the same subject

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00:27:02,133 --> 00:27:07,863
are incapable of even having a discussion
about what alternative ideas there are. I

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00:27:07,867 --> 00:27:15,137
think that's what's most important to this
process, is the ability not just to discuss

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00:27:15,133 --> 00:27:23,263
one person's ideas, but to discuss a range
of concepts. And I -- Republicans have wanted

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00:27:23,266 --> 00:27:28,936
this, Chuck, for months. They've wanted to
get in the same room with the President, walk

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00:27:28,934 --> 00:27:35,064
through his ideas and talk about why their ideas
are better. That's going to happen Thursday at
10:00 a.m.

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The Press:
This new idea for the health insurance rate

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00:27:37,233 --> 00:27:42,803
commission, I guess my confusion is, is this
a commission that would sort of be -- serve

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00:27:42,800 --> 00:27:47,730
as a guide to the other states, to the 50
states that do the actual regulating? Or is

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00:27:47,734 --> 00:27:51,764
this supposed to be a regulatory agency with --

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00:27:51,767 --> 00:27:55,637
Mr. Gibbs:
No, no, no. This is a -- the Secretary in

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00:27:55,633 --> 00:28:03,733
conjunction with states will develop a review
process for unreasonable premium increases.

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00:28:03,734 --> 00:28:06,604
The Press:
So the states are still going to be the regulators?

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00:28:06,600 --> 00:28:07,870
The federal government is --

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00:28:07,867 --> 00:28:09,267
Mr. Gibbs:
Well, obviously they're still going to have --

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00:28:09,266 --> 00:28:10,596
The Press:
-- acting as a guidance counselor of sorts?

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00:28:10,600 --> 00:28:12,530
Mr. Gibbs:
They're going to still have a big role in

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00:28:12,533 --> 00:28:17,663
this. Obviously there are state insurance
commissioners that have some ability to change

354
00:28:17,667 --> 00:28:25,367
these. Not everybody does. But these can
-- these will be looked at and evaluated in

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conjunction with the states, and then steps
and measures can be taken. Because again,

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00:28:30,667 --> 00:28:35,397
Chuck, I think that -- I mean, we've even
seen it now with Anthem, that proposed the

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00:28:35,400 --> 00:28:44,100
39 percent increase, that they've even put
that increase on hold. I think they understand

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00:28:44,100 --> 00:28:44,800
that this was not a --

359
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The Press:
No, I understand, but is this supposed to

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00:28:46,033 --> 00:28:47,403
be a new federal regulatory agency?

361
00:28:47,400 --> 00:28:47,770
Mr. Gibbs:
It's not a new federal agency. There's no

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00:28:47,767 --> 00:28:52,097
new bureaucracy. This will be done out of
the Secretary's office in Health and Human
Services.

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The Press:
Out of HHS?

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00:28:53,000 --> 00:28:54,730
Mr. Gibbs:
And we'll get -- I'll get Reid to walk you

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00:28:54,734 --> 00:28:55,504
through some more --

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The Press:
Okay, because that -- it's just a little confusing

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if this is a new agency.

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Mr. Gibbs:
Yes, ma'am.

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00:29:00,367 --> 00:29:01,867
The Press:
Robert, my question is on the meeting this

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00:29:01,867 --> 00:29:06,897
week with the Business Roundtable. And first
of all I'd like to know what members of the

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administration will be present at the meeting
with the President? And also, does he --

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00:29:11,066 --> 00:29:12,436
Mr. Gibbs:
I don't have that with me, but I can certainly

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00:29:12,433 --> 00:29:13,533
try to find out.

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00:29:13,533 --> 00:29:15,333
The Press:
Okay, thanks. And does he have a specific

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00:29:15,333 --> 00:29:20,963
proposal for them, particularly on taxation
of overseas earnings? Multinationals in this

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00:29:20,967 --> 00:29:25,937
group have been very vocal in their opposition
to a rollback of deferral tax breaks.

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00:29:25,934 --> 00:29:28,164
Mr. Gibbs:
Well, look, the President included in his

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00:29:28,166 --> 00:29:39,166
budget the notion that if -- of rolling back
the tax break that allows people to enjoy

379
00:29:39,166 --> 00:29:48,036
the benefits of moving jobs overseas. That's
likely going to be an area that -- I'm sure

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00:29:48,033 --> 00:29:54,333
there are those that will make their strong
case for why they think there should be a

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00:29:54,333 --> 00:30:00,363
tax benefit to that. I think the President
will make a case, has made a case, and it

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00:30:00,367 --> 00:30:07,867
is in his budget a proposal that
does not allow them to do that.

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00:30:07,867 --> 00:30:12,167
The Press:
So it sounds like the message he'll be delivering

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00:30:12,166 --> 00:30:12,966
on that front is a sort of, you know,
we're doing this, and there's no --

385
00:30:12,967 --> 00:30:15,667
Mr. Gibbs:
Well, again, the President has long felt a

386
00:30:15,667 --> 00:30:24,767
fundamental unfairness in rewarding companies
that are moving jobs overseas. I don't think

387
00:30:24,767 --> 00:30:29,967
that's the only thing that will be
discussed. Like any relationship --

388
00:30:29,967 --> 00:30:31,267
The Press:
What else will be --

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00:30:31,266 --> 00:30:32,996
Mr. Gibbs:
Well, as we get closer to that, we'll get

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00:30:33,000 --> 00:30:38,100
a chance to go through what the President
will say. I think, as in any good relationship,

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you're not going to agree on everything. Mark.

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00:30:41,066 --> 00:30:43,336
The Press:
Robert, does the President regard his plan

393
00:30:43,333 --> 00:30:46,263
today as a compromise plan?

394
00:30:46,266 --> 00:30:50,496
Mr. Gibbs:
Again, I think it's a compromise between what

395
00:30:50,500 --> 00:30:56,130
you have -- what you saw come out of the processes
in both the House and the Senate, yes.

396
00:30:56,133 --> 00:30:59,003
The Press:
Well, those are plans that Republicans nearly

397
00:30:59,000 --> 00:31:05,300
universally opposed. Can you point to something
in this plan today that you think Republicans

398
00:31:05,300 --> 00:31:07,070
might like?

399
00:31:07,066 --> 00:31:10,396
Mr. Gibbs:
Well, it's always been in -- there's always

400
00:31:10,400 --> 00:31:15,200
been concepts in the plan to allow people
to purchase insurance across state lines.

401
00:31:15,200 --> 00:31:20,930
That's what you hear most of all from their
proposals -- Senate McCain in the campaign

402
00:31:20,934 --> 00:31:33,204
had a proposal to add those dependents onto
your parents' health care up to a certain

403
00:31:33,200 --> 00:31:41,870
age to allow for what is a gap in the uninsured
based on when someone leaves the dependency

404
00:31:41,867 --> 00:31:50,037
of their parents and gets a job that provides
health care. There are -- I don't know in

405
00:31:50,033 --> 00:31:56,533
this legislation -- or in this compendium
of stuff, but legislation went through the

406
00:31:56,533 --> 00:32:02,003
process on the Hill, contained amendments,
over 160 Republican amendments. But again,

407
00:32:02,000 --> 00:32:02,470
Mark, this is a --

408
00:32:02,467 --> 00:32:05,897
The Press:
And they still voted against it.

409
00:32:05,900 --> 00:32:08,030
Mr. Gibbs:
And inexplicably all those ideas weren't good

410
00:32:08,033 --> 00:32:14,663
enough. I will say this, Mark: This is a starting
point. This can be added to by the ideas that

411
00:32:14,667 --> 00:32:16,867
Republicans bring on Thursday.

412
00:32:16,867 --> 00:32:20,767
The Press:
But it sounds like your starting point is

413
00:32:20,767 --> 00:32:28,467
on the hundredth floor of a building and they
wanted to start from scratch at the ground

414
00:32:27,333 --> 00:32:30,903
Mr. Gibbs:
I don't know if I can reconcile the analogy.

415
00:32:28,467 --> 00:32:31,797
floor. How do you reconcile that?

416
00:32:30,900 --> 00:32:31,970
(laughter)

417
00:32:31,967 --> 00:32:39,297
But I will say this, we -- health care is
not -- this isn't a subject that we started

418
00:32:39,300 --> 00:32:48,870
discussing at the federal level upon the election
of the 44th President of the United States

419
00:32:48,867 --> 00:32:53,937
of America. We know there are people up on
Capitol Hill that have been working on health

420
00:32:53,934 --> 00:33:01,004
care on the Republican side for several decades.
Understand that the starting point of what

421
00:33:01,000 --> 00:33:07,970
the President has put forward is a proposal
that was endorsed by, and mirrors quite a

422
00:33:07,967 --> 00:33:15,667
bit, a proposal put out by Bob Dole and Howard
Baker along with Tom Daschle. Again, two of

423
00:33:15,667 --> 00:33:24,597
the three of those individuals just happen
to be Republicans. The notion of -- the notion

424
00:33:24,600 --> 00:33:32,500
of starting over after decades and decades
of discussing this problem is not -- is not

425
00:33:32,500 --> 00:33:34,470
what the American people want. Yes, sir.

426
00:33:34,467 --> 00:33:37,537
The Press:
Robert, in the health proposal today there

427
00:33:37,533 --> 00:33:44,433
is a new tax on unearned income. So I'm wondering,
would retirement income be exempt from the

428
00:33:44,433 --> 00:33:47,103
Medicare tax --

429
00:33:47,100 --> 00:33:52,100
Mr. Gibbs:
Let me get -- let me get Reid and Nancy-Ann

430
00:33:52,100 --> 00:33:55,470
to walk you through some of
the specifics of that. Yes.

431
00:33:55,467 --> 00:33:57,837
The Press:
Also on health care, the governors have complained

432
00:33:57,834 --> 00:34:00,064
that they're not at the table. Are they --
is there an invitation for them to be there

433
00:34:00,066 --> 00:34:00,896
Thursday, or a representative for them?

434
00:34:00,900 --> 00:34:07,900
Mr. Gibbs:
Well, look, obviously they've got representatives.

435
00:34:07,900 --> 00:34:09,330
The Press:
Thursday?

436
00:34:09,333 --> 00:34:13,703
Mr. Gibbs:
Well, members of Congress represent the interest

437
00:34:13,700 --> 00:34:15,900
of both their districts and their larger state.

438
00:34:15,900 --> 00:34:17,700
The Press:
They have specifically asked that the NGA

439
00:34:17,700 --> 00:34:18,200
be there --

440
00:34:18,200 --> 00:34:20,900
Mr. Gibbs:
I don't know if the NGA will be in the room.

441
00:34:20,900 --> 00:34:27,670
Obviously, I can't imagine that if a governor
from X state didn't have a concern -- that

442
00:34:27,667 --> 00:34:36,497
had a concern that it can be birthed by any
number of people attending the meeting on

443
00:34:36,500 --> 00:34:40,900
either side.

444
00:34:40,900 --> 00:34:44,670
The Press:
One other question, on the schedule is a private

445
00:34:44,667 --> 00:34:44,897
meeting with the governor of California. Is
he going to be appealing for federal help

446
00:34:44,900 --> 00:34:44,970
to help pull that state's --

447
00:34:44,967 --> 00:34:45,667
Mr. Gibbs:
If I'm not mistaken, I think that meeting

448
00:34:45,667 --> 00:34:52,367
is either going on now, or happened before
I came out here. We will get a readout on

449
00:34:52,367 --> 00:34:56,867
what the President talked about in that meeting.
And I'm sure that Governor Schwarzenegger

450
00:34:56,867 --> 00:35:02,637
will discuss what he brought
up with the President. Wendell.

451
00:35:02,633 --> 00:35:04,303
The Press:
Republicans are saying that the proposal that

452
00:35:04,300 --> 00:35:09,600
the government have more authority to deal
with excessive rate increases suggests a lack

453
00:35:09,600 --> 00:35:15,370
of confidence in the overall reform's ability
to bring down the costs of health care. What

454
00:35:15,367 --> 00:35:16,767
do you say to that?

455
00:35:16,767 --> 00:35:19,467
Mr. Gibbs:
Look, understand that our proposal, there's

456
00:35:19,467 --> 00:35:30,797
a time in which exchanges will be set up.
And there's a time in which we want to ensure

457
00:35:30,800 --> 00:35:39,070
that rate increases aren't slipped through
as a part of the gap between when a bill is

458
00:35:39,066 --> 00:35:49,796
signed into law and when those exchanges are
up and regulating price increases. Again,

459
00:35:49,800 --> 00:35:57,230
the insurance company that proposed increasing
by 39 percent said their proposal to increase

460
00:35:57,233 --> 00:36:07,363
was because we lacked health care reform.
So I don't -- it's hard to -- it would be

461
00:36:07,367 --> 00:36:14,397
hard to reconcile the notion that having health
care reform didn't have confidence in doing

462
00:36:14,400 --> 00:36:20,570
this since they said the lack of health care
reform is what caused -- purportedly caused

463
00:36:20,567 --> 00:36:21,867
such a sharp increase.

464
00:36:21,867 --> 00:36:25,437
The Press:
No provision that I see here to accommodate

465
00:36:25,433 --> 00:36:29,263
the Republicans call for
medical malpractice reform.

466
00:36:29,266 --> 00:36:33,236
Mr. Gibbs:
Well, first and foremost, the President and

467
00:36:33,233 --> 00:36:38,633
the Secretary of Health and Human Services
use the authority -- regulatory authority

468
00:36:38,633 --> 00:36:47,933
that had existed for years to set up demonstration
projects in states regarding medical malpractice.

469
00:36:47,934 --> 00:36:53,234
And look, Wendell, I think it's an area which
will probably be addressed in the very first

470
00:36:53,233 --> 00:37:02,333
section of what's discussed on Thursday, and
I think the President is anxious to discuss it.

471
00:37:02,333 --> 00:37:04,763
The Press:
The President expects Republicans to bring

472
00:37:04,767 --> 00:37:13,137
that to the table on Thursday.

473
00:37:13,133 --> 00:37:17,263
Mr. Gibbs:
I have read that, yes.

474
00:37:17,266 --> 00:37:18,266
The Press:
And does he have an open mind about it?

475
00:37:18,266 --> 00:37:18,466
Mr. Gibbs:
Absolutely.

476
00:37:18,467 --> 00:37:18,697
The Press:
On another issue, on Friday Rashad Hussain

477
00:37:18,700 --> 00:37:24,000
said, "I made statements to the panel" --
in '04 the White House has defended his appearance

478
00:37:24,000 --> 00:37:30,730
at -- "that I now recognize were ill-conceived,
not well-formulated," this in reference to

479
00:37:30,734 --> 00:37:40,064
a man convicted of supporting -- or raising
money for a terrorist organization. Were you

480
00:37:40,066 --> 00:37:47,296
misled? Do you maintain confidence in this
man the President wants to be his delegate

481
00:37:47,300 --> 00:37:49,000
to the Islamic conference?

482
00:37:49,000 --> 00:37:52,370
Mr. Gibbs:
We continue to have confidence. The statement

483
00:37:52,367 --> 00:37:58,167
says that the judicial process has concluded
and that he has full faith in the outcome

484
00:37:58,166 --> 00:38:06,496
of that judicial process. This is an individual
that has written extensively on why you have

485
00:38:06,500 --> 00:38:12,470
-- why some have used religious devices like
the Quran to justify this, and why that is

486
00:38:12,467 --> 00:38:19,067
absolutely wrong, and has garnered support
from both the left and the right. So we continue

487
00:38:19,066 --> 00:38:20,066
to obviously have confidence. Anne.

488
00:38:20,066 --> 00:38:22,896
The Press:
When you say that med-mal is going to be discussed

489
00:38:22,900 --> 00:38:27,630
in the first section on Thursday, is there
a structure in place that you can tell us
about?

490
00:38:27,633 --> 00:38:30,263
Mr. Gibbs:
Well, if I'm not mistaken -- and I don't have

491
00:38:30,266 --> 00:38:34,536
it in front of me -- but I think one of the
first sections will be a discussion on cost,

492
00:38:34,533 --> 00:38:42,103
and I presume that's where discussions on
medical malpractice, as it relates to cost,

493
00:38:42,100 --> 00:38:43,330
will be discussed.

494
00:38:43,333 --> 00:38:44,933
The Press:
And how soon after Thursday are you going

495
00:38:44,934 --> 00:38:48,304
to know whether it succeeded? I mean, are
you going to know on Friday if there are House

496
00:38:48,300 --> 00:38:51,870
votes to actually pass this
in some form, or is it --

497
00:38:51,867 --> 00:38:53,967
Mr. Gibbs:
I don't know whether there's -- I don't know

498
00:38:53,967 --> 00:38:56,897
whether -- look, I think we'll be able to
evaluate to some degree on Thursday whether

499
00:38:56,900 --> 00:39:03,630
there's been a discussion first and foremost
that included bringing more ideas to the table.

500
00:39:03,633 --> 00:39:11,433
And I think you'll have a chance to see agreement on
-- hopefully agreement on some of those ideas.

501
00:39:11,433 --> 00:39:12,863
The Press:
And will this be the last opportunity for

502
00:39:12,867 --> 00:39:15,697
Republicans to bring new
ideas? I mean, is this it?

503
00:39:15,700 --> 00:39:20,170
Mr. Gibbs:
Well, this has -- I assume you're factoring

504
00:39:20,166 --> 00:39:30,696
into that the committee process that included
160 Republican amendments as part of this

505
00:39:30,700 --> 00:39:39,170
process. Republicans have been involved in every
stage of this. Peter. You're good? Yes, sir.

506
00:39:39,166 --> 00:39:45,296
The Press:
Thank you, Robert. In the past week, John

507
00:39:45,300 --> 00:39:51,130
Brennan, your counterterrorism expert, has
been under fire for remarks he made in an

508
00:39:51,133 --> 00:39:56,633
interview in which he likened the criminal
release in the United States and the U.S.

509
00:39:56,633 --> 00:40:03,833
penal system to that of the detainees in the
war on terror returned to the battlefield,

510
00:40:03,834 --> 00:40:09,004
saying 20 percent is not that bad. Senator
Graham and Senator Bond criticized this and

511
00:40:09,000 --> 00:40:12,570
said he should be fired.
What's his status right now?

512
00:40:12,567 --> 00:40:16,397
Mr. Gibbs:
He was here at work
early on behalf to the

513
00:40:16,400 --> 00:40:25,700
American people keeping them safe and secure.
Let's understand for a second that -- I don't

514
00:40:25,700 --> 00:40:33,870
know what Senator Graham or Senator Bond said
in 2005 when Secretary of State Condoleezza

515
00:40:33,867 --> 00:40:43,197
Rice made an analogy that if you compared
the recidivism rate of detainees at Guantanamo

516
00:40:43,200 --> 00:40:53,030
with the U.S. penal system, the detainee rate
is less for -- the recidivism rate is less

517
00:40:53,033 --> 00:40:58,563
for Guantanamo detainees. I know in your reporting
that the next thing you'll talk about is the

518
00:40:58,567 --> 00:41:07,797
fact that John said that any recidivism is
too much. And it is why we have taken the

519
00:41:07,800 --> 00:41:15,800
time to evaluate those that remain at Guantanamo,
to ensure that those that are transferred

520
00:41:15,800 --> 00:41:22,700
or -- that those that are transferred either
through a court order or by other means, that

521
00:41:22,700 --> 00:41:36,430
there is a plan in place for their -- for the safety
and security of those around them. Yes, ma'am.

522
00:41:36,433 --> 00:41:42,503
The Press:
Robert, of the Republican health care points

523
00:41:42,500 --> 00:41:43,030
that they have put out on the Internet, has
the President read those? Any Republican points,

524
00:41:43,033 --> 00:41:43,233
things that the President could accept?

525
00:41:43,233 --> 00:41:46,133
Mr. Gibbs:
Well, I think up on our Web site is a list

526
00:41:46,133 --> 00:41:53,403
of Republican ideas. I know the President
has gotten from folks here a list of -- a

527
00:41:53,400 --> 00:41:59,070
compilation of Republican ideas in the past.
I'd be happy to print for the President --

528
00:41:59,066 --> 00:42:05,736
if Republicans have posted the ideas that
they're going to bring to the meeting on Thursday,

529
00:42:05,734 --> 00:42:10,604
I'd be more than happy to print that document and
I'd walk it into the Oval Office this afternoon.

530
00:42:10,600 --> 00:42:11,500
The Press:
They haven't done that yet?

531
00:42:11,500 --> 00:42:16,130
Mr. Gibbs:
Well, I don't -- I don't know if they've posted

532
00:42:16,133 --> 00:42:18,663
-- I don't know if what they've -- again,
we'd be happy to host the posting.

533
00:42:18,667 --> 00:42:18,797
The Press:
And so far the White House hasn't seen anything

534
00:42:18,800 --> 00:42:24,100
out of all those Republican ideas
that you think you might embrace?

535
00:42:24,100 --> 00:42:26,600
Mr. Gibbs:
I'm sorry, what?

536
00:42:26,600 --> 00:42:31,070
The Press:
You haven't seen anything in anything the

537
00:42:31,066 --> 00:42:34,866
Republicans have put forward that
you think you might embrace?

538
00:42:34,867 --> 00:42:37,137
Mr. Gibbs:
No, no, I think that's a good point to be

539
00:42:37,133 --> 00:42:43,003
left for Thursday. I don't -- again, there
are ideas that Republicans have proposed,

540
00:42:43,000 --> 00:42:51,630
including the sale of insurance across state
lines. Now, I will admit that we have added

541
00:42:51,633 --> 00:43:01,703
into our legislation a minimum set of standards
to ensure that somebody that's seeking a policy

542
00:43:01,700 --> 00:43:10,270
isn't fooled by a policy that may sound too
good to be true and in fact becomes too good

543
00:43:10,266 --> 00:43:17,296
to be true. So there's a minimum set of insurance
standards that would apply to that sale. But

544
00:43:17,300 --> 00:43:22,070
there are Republican ideas already and I think
the President looks forward to hearing and

545
00:43:22,066 --> 00:43:22,796
discussing more. Mara.

546
00:43:22,800 --> 00:43:25,270
The Press:
Robert, one of the things the President has

547
00:43:25,266 --> 00:43:28,936
done is he's laid down these predicates for
the meeting, saying, I'm willing to listen

548
00:43:28,934 --> 00:43:33,304
to any ideas so long as they -- and then he
ticks off his goals -- expands coverage, reduces

549
00:43:33,300 --> 00:43:38,400
costs, et cetera. The Republicans don't share
his goal of expanding coverage to 30 million

550
00:43:38,400 --> 00:43:46,070
or universal. Is he coming into this meeting
with an open mind on bedrock issues like that?

551
00:43:46,066 --> 00:43:51,366
Mr. Gibbs:
Well, the President has an open mind and is

552
00:43:51,367 --> 00:43:54,437
happy to hear proposals and ideas.

553
00:43:54,433 --> 00:43:57,163
The Press:
Even if they don't meet his long-stated goals?

554
00:43:57,166 --> 00:44:00,536
Mr. Gibbs:
Understand, Mara, I don't -- I've been asked

555
00:44:00,533 --> 00:44:05,003
a number of times, would the President just
sign anything, be able to call it reform,

556
00:44:05,000 --> 00:44:10,730
and then run around saying we did reform?
I don't think -- we've got, depending on which

557
00:44:10,734 --> 00:44:17,004
figure you use, 35-36 million people in this
country that don't have access to affordable

558
00:44:17,000 --> 00:44:24,870
health care insurance. The President has I
think important and strong views on ensuring

559
00:44:24,867 --> 00:44:32,837
that that number, the number that we cover,
is as high as it can be, because understanding

560
00:44:32,834 --> 00:44:41,064
-- we hear a lot about the cost of health
care. Well, it costs us in higher premiums

561
00:44:41,066 --> 00:44:45,496
each and every time somebody without health
insurance gets in a car accident, gets sick,

562
00:44:45,500 --> 00:44:52,900
and has to go to the emergency room for treatment.
You've heard Governor Schwarzenegger talk

563
00:44:52,900 --> 00:44:59,030
about this a lot because in the largest state
that happens because of the large number of
uninsured.

564
00:44:59,033 --> 00:45:02,163
The Press:
Just a couple of technical questions. On reconciliation,

565
00:45:02,166 --> 00:45:06,366
is there any -- when you mentioned things
that have been passed using reconciliation

566
00:45:06,367 --> 00:45:09,297
in the past, is there any reason you
left welfare reform off the list?

567
00:45:09,300 --> 00:45:14,530
Mr. Gibbs:
No, I just -- I think there's an expansive

568
00:45:14,533 --> 00:45:23,503
list that goes back many years. The point
I was making was simply that I think if you

569
00:45:23,500 --> 00:45:33,100
listen to some talk about it now, you would --
it makes it seem as if it's a once-in-a-lifetime

570
00:45:33,100 --> 00:45:39,770
occurrence; that I assume if you matched up
what people say about that and some of their

571
00:45:39,767 --> 00:45:41,667
votes on that, it might appear different.

572
00:45:41,667 --> 00:45:44,237
The Press:
And on reconciliation, is it your understanding

573
00:45:44,233 --> 00:45:49,163
that the authority to use the reconciliation
process is indefinite or does it run out at

574
00:45:49,166 --> 00:45:50,466
a certain point this year?

575
00:45:50,467 --> 00:45:52,997
Mr. Gibbs:
I would check with -- let me check.

576
00:45:53,000 --> 00:45:54,400
The Press:
And I just have one other --

577
00:45:54,400 --> 00:45:56,830
Mr. Gibbs:
I pled lack of parliamentary understanding

578
00:45:56,834 --> 00:45:57,704
earlier on.

579
00:45:57,700 --> 00:45:59,630
The Press:
And one other quick thing about CBO, just

580
00:45:59,633 --> 00:46:06,063
to follow up on Chuck's question. The President
has often said when he's talked about specific

581
00:46:06,066 --> 00:46:09,566
Republican proposals that the CBO has scored
them in a certain way where they don't cover

582
00:46:09,567 --> 00:46:13,797
very many people or they don't add up to the
deficit reduction. And that -- and he's really

583
00:46:13,800 --> 00:46:19,730
looked to the CBO to provide credibility for
these proposals. Why wouldn't you submit this

584
00:46:19,734 --> 00:46:23,764
in advance so that you can come on Thursday
and say what exactly it's been scored as?

585
00:46:23,767 --> 00:46:25,567
Mr. Gibbs:
Well, again, Mara, understanding the base

586
00:46:25,567 --> 00:46:31,137
for the proposal that the President put online
today is the Senate bill. That obviously has

587
00:46:31,133 --> 00:46:36,403
gone through -- that has gone through so many
machinations at the CBO --

588
00:46:36,400 --> 00:46:39,230
The Press:
Then that should be easy for them to give

589
00:46:39,233 --> 00:46:40,563
you a little update by Thursday.

590
00:46:40,567 --> 00:46:43,667
Mr. Gibbs:
Well, and I think because of the amount of

591
00:46:43,667 --> 00:46:48,397
scoring that we've done, you can come to a
pretty good estimate on that prior to doing

592
00:46:48,400 --> 00:46:58,130
that. Again, I don't -- Mara, I don't think
what we lack for Thursday is a CBO score on

593
00:46:58,133 --> 00:46:59,233
the President's starting point.

594
00:46:59,233 --> 00:47:00,863
The Press:
Well, they're going to come in and say that

595
00:47:00,867 --> 00:47:04,097
it doesn't actually do the
things he says it does.

596
00:47:04,100 --> 00:47:07,800
Mr. Gibbs:
I understand that, but, again, the number

597
00:47:07,800 --> 00:47:14,100
-- so many of these proposals have been evaluated
by the Congressional Budget Office. It's not

598
00:47:14,100 --> 00:47:23,600
as if this is something out of newly whole
cloth. These are things that have been discussed,

599
00:47:23,600 --> 00:47:33,400
evaluated, and judgment rendered on, on, quite
frankly, both sides of the aisle. Yes, ma'am.

600
00:47:33,400 --> 00:47:35,670
The Press:
Robert, the White House bill eliminates the

601
00:47:35,667 --> 00:47:40,137
special Medicaid treatment for Nebraska, but
it appears to leave in the funds that were

602
00:47:40,133 --> 00:47:44,033
secured by Senator Landrieu for Louisiana,
as well as the special Medicare Advantage

603
00:47:44,033 --> 00:47:48,463
treatment that was obtained by Senator Nelson
of Florida. So I'm just wondering, how did

604
00:47:48,467 --> 00:47:52,467
the White House decide with these carve-outs
which to do away with, which to include?

605
00:47:52,467 --> 00:47:54,767
Mr. Gibbs:
Let me check on the latter one. On the former

606
00:47:54,767 --> 00:48:05,167
one, this is an FMAP proposal that governs
any state with which the President has declared

607
00:48:05,166 --> 00:48:13,036
a major disaster. So it's not a carve-out
for; in fact, it covers -- potentially covers

608
00:48:13,033 --> 00:48:18,503
any state with which, as I said a minute ago,
the President has declared how that health

609
00:48:18,500 --> 00:48:21,270
care relates to a major disaster. Yes, sir.

610
00:48:21,266 --> 00:48:24,566
The Press:
Thanks, Robert. A couple questions, first,

611
00:48:24,567 --> 00:48:29,567
the President's proposal did include the individual
mandate. And many Republicans -- Orrin Hatch

612
00:48:29,567 --> 00:48:34,837
and others -- have said that that's not constitutional.
Will the White House have any sort of legal

613
00:48:34,834 --> 00:48:37,964
analysis explaining why that is constitutional?

614
00:48:37,967 --> 00:48:40,497
Mr. Gibbs:
I don't know the answer to that. I have not

615
00:48:40,500 --> 00:48:48,670
heard anybody discuss the constitutionality
of that. I don't pretend to be a lawyer, but

616
00:48:48,667 --> 00:48:53,667
this is a concept that has been
around for quite some time.

617
00:48:53,667 --> 00:48:55,937
The Press:
All right. Secondly, this is non-health care

618
00:48:55,934 --> 00:49:01,264
related. But John Boehner, speaking earlier
this month about the Faith-Based Council member

619
00:49:01,266 --> 00:49:05,636
Harry Knox, said -- I'm quoting him -- "We
can't have in the White House an anti-Catholic

620
00:49:05,633 --> 00:49:14,263
bigot, and that's what this gentleman appears
to be." He was referring to Mr. Knox's comment

621
00:49:14,266 --> 00:49:15,266
that the Pope had --

622
00:49:15,266 --> 00:49:19,666
Mr. Gibbs:
I don't -- not surprisingly, I do not have

623
00:49:19,667 --> 00:49:25,267
anything on that. I'd be happy to have one
of these guys take a look at it. Steve.

624
00:49:25,266 --> 00:49:27,166
The Press:
Robert, I wanted to clarify, you talked earlier

625
00:49:27,166 --> 00:49:30,896
about the regulation of the insurance rates
being set up to stop -- I think you said to

626
00:49:30,900 --> 00:49:33,900
stop insurance companies from racing through
rate increases before these exchanges are

627
00:49:33,900 --> 00:49:38,000
set up. Will this rate authority be temporary,
then? Will it sunset when the exchanges start?

628
00:49:38,000 --> 00:49:41,600
Mr. Gibbs:
Let me get Reid and Nancy-Ann to give you

629
00:49:41,600 --> 00:49:48,400
-- to walk you guys through some of that.
Look, I think our strong belief is that it

630
00:49:48,400 --> 00:49:54,630
would be redundant authority at -- after which
we get health care reform implemented. David.

631
00:49:54,633 --> 00:49:59,103
The Press:
Two questions. On health care, on the excise

632
00:49:59,100 --> 00:50:04,270
tax, House Democrats still are very opposed
to this. Nancy Pelosi, a few weeks ago, said

633
00:50:04,266 --> 00:50:08,996
there was absolutely no support for it, even
if -- even if the Senate form was tweaked.

634
00:50:09,000 --> 00:50:15,000
So have you spoken to House Democrats about
the particulars in the President's proposal

635
00:50:15,000 --> 00:50:16,230
on that front?

636
00:50:16,233 --> 00:50:20,563
Mr. Gibbs:
Well, David, I think they were briefed on

637
00:50:20,567 --> 00:50:27,597
Capitol Hill after we had a briefing call
this morning. I know that they're -- I've

638
00:50:27,600 --> 00:50:31,900
seen the Speaker say that they're going to
discuss some of the outlines of what the President

639
00:50:31,900 --> 00:50:35,100
has put up on the Internet this
afternoon and this evening.

640
00:50:35,100 --> 00:50:40,600
The Press:
Now, back to the stimulus. Last week, many

641
00:50:40,600 --> 00:50:46,100
Republicans put out statements that the stimulus
has created absolutely no new jobs, as you

642
00:50:46,100 --> 00:50:50,600
know. Over the weekend, Governor Schwarzenegger
said that it created 120,000 or so in his

643
00:50:50,600 --> 00:50:56,700
own state. And just a few moments ago, Governor
Crist, said it had led to the creation or

644
00:50:56,700 --> 00:51:01,770
maintenance of 87,000 jobs in Florida. All
that said, do you believe that Republicans

645
00:51:01,767 --> 00:51:06,797
here in Washington are purposefully
lying about the stimulus?

646
00:51:06,800 --> 00:51:07,700
Mr. Gibbs:
I don't actually believe that they believe

647
00:51:07,700 --> 00:51:14,630
their own statements. I mean, again, I used
the example last week of Eric Cantor said

648
00:51:14,633 --> 00:51:21,803
-- Eric Cantor said that it has created no
jobs, but when it came time to apply for high-speed

649
00:51:21,800 --> 00:51:29,930
rail funds, he said it would create jobs.
Now, speaking of reconciliation, I don't have

650
00:51:29,934 --> 00:51:34,834
the slightest idea how one reconciles what
one says in Washington and what one says in

651
00:51:34,834 --> 00:51:46,004
their district when they seem to be in such
contradiction. Whether it's Governor Schwarzenegger,

652
00:51:46,000 --> 00:51:55,200
whether it's Governor Crist, whether it's
Mark Zandi, who was the chief economic advisor

653
00:51:55,200 --> 00:51:58,170
to John McCain's presidential campaign --

654
00:51:58,166 --> 00:52:00,096
The Press:
Not the chief --

655
00:52:00,100 --> 00:52:01,700
Mr. Gibbs:
Well, right.

656
00:52:01,700 --> 00:52:02,970
The Press:
Doug Holtz was.

657
00:52:02,967 --> 00:52:05,097
The Press:
And he is a Democrat, Zandi is, so --

658
00:52:05,100 --> 00:52:09,100
Mr. Gibbs:
Well, I don't -- I hope you're not saying

659
00:52:09,100 --> 00:52:18,570
that party affiliation would change the economic
analysis that one goes through. Democrat or

660
00:52:18,567 --> 00:52:24,097
Republican, he was an advisor to the McCain
campaign and has said jobs were created and

661
00:52:24,100 --> 00:52:32,530
economic growth has happened. You watch Republicans
continue to sort of trip over themselves to

662
00:52:32,533 --> 00:52:38,903
both put out a statement for -- on why this
hasn't worked, at the same time hoping desperately

663
00:52:38,900 --> 00:52:44,730
that someone will read their letter for money
to come to their district so it will add to

664
00:52:44,734 --> 00:52:47,504
what's working already there
as part of the Recovery Act.

665
00:52:47,500 --> 00:52:51,770
The Press:
But if they're playing that sort of game on

666
00:52:51,767 --> 00:52:53,767
the stimulus, how can you expect to make any
progress with them on health care reform?

667
00:52:53,767 --> 00:52:55,397
Mr. Gibbs:
Because the President will be in the room,

668
00:52:55,400 --> 00:53:04,430
and I think if somebody makes -- were to make
an argument as out of the blue as that, I

669
00:53:04,433 --> 00:53:13,103
think there's somebody there who would have
an alternative viewpoint on that. April.

670
00:53:13,100 --> 00:53:18,330
The Press:
Robert, two questions. Governor Paterson was

671
00:53:18,333 --> 00:53:24,703
outside and he said that he's going to be
involved in conversations today on the expected

672
00:53:24,700 --> 00:53:28,830
KSM trial. Could you talk to me about what
this conversation is (inaudible), who is it

673
00:53:28,834 --> 00:53:31,834
with, and what his conversations have been
with the President and Eric Holder?

674
00:53:31,834 --> 00:53:34,864
Mr. Gibbs:
I did not see his statement out there. I will

675
00:53:34,867 --> 00:53:46,197
have NSC check and see if -- who they're having
discussions with. My sense is there are --

676
00:53:46,200 --> 00:53:51,330
well, without prejudging what he might say,
obviously we have heard from the police chief

677
00:53:51,333 --> 00:53:57,933
and the mayor and the like of both security
and logistical concerns for a trial there.

678
00:53:57,934 --> 00:54:08,804
Those are being looked at and evaluated. Obviously
there is money in the budget for trials. So

679
00:54:08,800 --> 00:54:15,830
I assume that he's coming to express monetary
reservations relating to that, and I'll certainly

680
00:54:15,834 --> 00:54:17,134
see what those are.

681
00:54:17,133 --> 00:54:18,533
The Press:
As the President has his hand involved in

682
00:54:18,533 --> 00:54:22,463
this, has he reached out to Governor Paterson
personally to talk about this?

683
00:54:22,467 --> 00:54:25,937
Mr. Gibbs:
They may have -- I don't know if they talked

684
00:54:25,934 --> 00:54:31,404
about it last night. My guess is no. I was -- I
don't know whether that happened last night.

685
00:54:31,400 --> 00:54:34,330
The Press:
Okay. And then on black farmers, there's a

686
00:54:34,333 --> 00:54:39,563
concern that this March 31st deadline will
not happen. And they're saying that the only

687
00:54:39,567 --> 00:54:45,097
way that these black farmers will get this
$1.25 billion that they're due for this long

688
00:54:45,100 --> 00:54:50,970
settlement is that if the President steps
in and stands by it as well as other Democrats

689
00:54:50,967 --> 00:54:57,497
on the Hill. Is the President expected and
will he step in and say, "I support these

690
00:54:57,500 --> 00:55:01,370
farmers" and push it through
before the March 31st deadline?

691
00:55:01,367 --> 00:55:03,197
Mr. Gibbs:
Well, I think you all saw the statement the

692
00:55:03,200 --> 00:55:09,930
President put out at the end of the week based
on the proposed settlement. You could see

693
00:55:09,934 --> 00:55:16,004
the President supports that settlement. I
have not seen the deadline concerns, but we'll

694
00:55:16,000 --> 00:55:18,100
ask Ag or others to address that.

695
00:55:18,100 --> 00:55:20,200
The Press:
Yes, the President has put out a statement,

696
00:55:20,200 --> 00:55:26,100
and so have many others, but there is a concern
with the political climate right now and with

697
00:55:26,100 --> 00:55:26,800
deficits that this is going to go another
term, possibly to another President if this

698
00:55:26,800 --> 00:55:34,070
President does not put his self into this
and help push it through before --

699
00:55:34,066 --> 00:55:37,896
Mr. Gibbs:
Once again, let me talk with him specifically.

700
00:55:37,900 --> 00:55:45,370
My sense is that the President has put out a
fairly strong statement in support of this. Sam.

701
00:55:45,367 --> 00:55:47,467
The Press:
I'm sorry if this has already been addressed,

702
00:55:47,467 --> 00:55:52,097
but can you explain why in this detailed health
care proposal the President and his team did

703
00:55:52,100 --> 00:55:53,500
not include a public option?

704
00:55:53,500 --> 00:55:56,000
Mr. Gibbs:
I don't think it has been asked; I think it

705
00:55:56,000 --> 00:56:04,700
might have been asked this morning. Sam, the
President has put forward a proposal that

706
00:56:04,700 --> 00:56:11,730
is based on the Senate plan with some, as
you all have heard in here, some modifications

707
00:56:11,734 --> 00:56:21,264
to that, and as the best way forward into
something that can ultimately wind its way

708
00:56:21,266 --> 00:56:22,136
through Congress.

709
00:56:22,133 --> 00:56:23,933
The Press:
So what do you think of the 20 or so senators

710
00:56:23,934 --> 00:56:30,134
who have now signed a letter asking for this
to be passed through reconciliation? Is that

711
00:56:30,133 --> 00:56:30,433
a waste of --

712
00:56:30,433 --> 00:56:32,233
Mr. Gibbs:
Well, I think they've asked for a vote on

713
00:56:32,233 --> 00:56:39,363
the floor of the Senate and that's certainly
up to those who manage those amendments and

714
00:56:39,367 --> 00:56:40,767
to Leader Reid.

715
00:56:40,767 --> 00:56:44,137
The Press:
I have a question on Haiti and then one on

716
00:56:44,133 --> 00:56:46,833
health care reform. There are ships carrying
heavy equipment and aid that are being held

717
00:56:46,834 --> 00:56:51,934
at the ports of Port-au-Prince and Saint-Marc
and they can't unload because people are demanding

718
00:56:51,934 --> 00:56:54,564
payoffs. What is the U.S. doing to monitor
the situation? And once the airports are turned

719
00:56:54,567 --> 00:57:01,697
over back to the Haitians, what will you do
to monitor the situation there?

720
00:57:01,700 --> 00:57:07,870
Mr. Gibbs:
Let me have NSC -- I'm not familiar with that

721
00:57:07,867 --> 00:57:13,697
transaction, but we will have
NSC look into that for you.

722
00:57:13,700 --> 00:57:14,370
The Press:
And on preexisting conditions, for a while

723
00:57:14,367 --> 00:57:17,237
you were talking about preexisting conditions
just being for children. Have you gone back

724
00:57:17,233 --> 00:57:19,733
to preexisting conditions being for
everybody, for adults, too, now?

725
00:57:19,734 --> 00:57:23,464
Mr. Gibbs:
Well, preexisting -- barring an insurance

726
00:57:23,467 --> 00:57:31,467
company from discriminating on behalf or on
the basis of a preexisting condition -- when

727
00:57:31,467 --> 00:57:38,367
the bill was immediately signed into law,
that protection would go in immediately for

728
00:57:38,367 --> 00:57:49,267
those children. What then is -- for the greater
population, that phases in after the signing

729
00:57:49,266 --> 00:57:56,436
of the bill. So we have supported then and
continue to support now doing away with insurance

730
00:57:56,433 --> 00:57:59,733
companies being able to discriminate on
the basis of any preexisting condition.

731
00:57:59,734 --> 00:58:02,204
The Press:
But for adults it won't kick in immediately.

732
00:58:02,200 --> 00:58:02,470
Mr. Gibbs:
It won't kick in immediately, right.

733
00:58:02,467 --> 00:58:05,397
The Press:
Senator Lieberman is now planning to introduce

734
00:58:05,400 --> 00:58:16,870
a "don't ask, don't tell" repeal bill next
week. Would the President like to see Congress

735
00:58:16,867 --> 00:58:17,067
pass repeal this year?

736
00:58:17,066 --> 00:58:19,536
Mr. Gibbs:
Look, as you know, the President is strongly

737
00:58:19,533 --> 00:58:31,133
in support of this, working with Secretary
Gates and Admiral Mullen. There is a process

738
00:58:31,133 --> 00:58:40,163
that's underway. You saw in Admiral Mullen
the first joint chair to openly -- active

739
00:58:40,166 --> 00:58:47,996
joint chair to openly call for its repeal.
We have stated throughout this process that

740
00:58:48,000 --> 00:58:55,070
the only durable way for this to happen is
through legislation. We think that Senator

741
00:58:55,066 --> 00:59:03,766
Lieberman's proposal is obviously an important
step in that legislation. And I would point

742
00:59:03,767 --> 00:59:11,537
out that you heard from commanders in the
field over the weekend on news shows as well

743
00:59:11,533 --> 00:59:18,563
as former Chairman Powell also come out strongly
in support of repealing "don't ask, don't tell."

744
00:59:18,567 --> 00:59:21,367
The Press:
A lot of people fear that if it doesn't happen

745
00:59:21,367 --> 00:59:26,797
this year that it very well may not happen
throughout the entire first term, not just

746
00:59:26,800 --> 00:59:27,570
in the second one.

747
00:59:27,567 --> 00:59:28,167
Mr. Gibbs:
I don't think the President shares that because

748
00:59:28,166 --> 00:59:32,866
I believe, and I think you all have seen this
throughout, obviously there has been a lot

749
00:59:32,867 --> 00:59:40,937
of public polling on this done since the President's
proposal and since Secretary Gates and Admiral

750
00:59:40,934 --> 00:59:49,304
Mullen testified on Capitol Hill about this.
There is strong bipartisan support for its

751
00:59:49,300 --> 00:59:58,030
repeal among the American people. The President
obviously shares that, as do important members

752
00:59:58,033 --> 01:00:02,433
of the military. And we think it
will become law. Thank you, all.