Gov. Rick Perry wisely exhibits restraint in not speaking about public option

Gov. Rick Perry is wisely holding his anti-Washington ardor in check by not ruling out the state’s participation in a proposed government-run health insurance plan.

Several congressional versions of reform proposals would provide a government-backed alternative to private insurance. A Senate plan would allow states to decline to participate on behalf of their residents.

Perry, who has turned railing against the federal government into an art form, has cranked up the volume in recent months because a Democrat occupies the White House and because he is running for re-election against Sen. Kay Bailey Hutchison, R-Texas.

Both candidates are adamantly against the current legislation.

The governor calls the opt-out provision a "classic Washington bait-and-switch" because Texans’ income-tax dollars would be subsidizing the federal plan regardless of whether the state participated.

Let us not forget that Perry accepted federal stimulus funds this year to help the state balance its budget, yet he was sharply critical throughout the process. Think Br’er Rabbit pleading with Br’er Fox not to throw him in the briar patch. It is unclear whether the opt-out decision would be up to the governor or the Legislature.

The public option has generated outsized political heat. According to the Congressional Budget Office, only 2 percent of insured Americans would participate in a government-run option.

The state’s historically sparse approach to Medicaid and the Children’s Health Insurance Program has prevented it from maximizing its federal share of public health insurance dollars. That, along with other factors, has allowed Texas to lead the nation in the rate of uninsured residents — about 30 percent of adults under age 65, according to the Texas Medical Association.

As a result, the state potentially stands to gain the most from healthcare reform by lowering that rate and reducing the $1,800 surcharge each privately insured Texan pays annually in premiums to care for the uninsured.

Also, states opting out of the public option could put themselves at a disadvantage when it comes to attracting and retaining companies.

To his credit, Perry has been aggressive about wooing new business to the state. He often uses money from the Texas Enterprise Fund to sweeten the pot for corporations considering major expansions or relocations.

On Oct. 29, Perry announced that the state will provide $2.5 million from the fund so Nationwide Mutual Insurance Co. can expand its corporate operations in San Antonio, adding 750 jobs.

But funds aren’t available for smaller businesses looking to start up or relocate in Texas. Access to a public-option health insurance plan could make a huge difference in their decisions.

The governor is wise to hold his tongue and watch reform legislation unfold before weighing in.

It is a long way to the finish line.

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