Politics Today: Health Care "Drumbeat Across America"

Politics Today is CBSNews.com's inside look at the key stories driving the day in Politics, written by CBS News Political Director Steve Chaggaris:

**Health care remains focus as House heads to recess, Senate wraps up business this week...

**President Obama to focus on economy this week...

**Clock ticks on "Cash for Clunkers"...


5192102HEALTH CARE: As members of the U.S. House have scattered back to their districts and the Senate limps towards their recess at week's end, health care remains topic number one and, as the New York Times' Sheryl Gay Stolberg and David M. Herzenhorn report, both parties a gearing up for a month-long battle outside of Washington.

"With Republicans mobilizing against the proposed health care overhaul, President Obama, Congressional Democrats and leading advocacy groups are laying the groundwork for an August offensive against the insurance industry as part of a coordinated campaign to sell the public on the need for reform.

"The effort will feature town-hall-style meetings by lawmakers and the president, including a swing through Western states by Mr. Obama, grass-roots lobbying efforts and a blitz of expensive television advertising. It is intended to drive home the message that revamping the health care system will protect consumers by ending unpopular insurance industry practices, like refusing patients with pre-existing conditions.

"'I think what we want to communicate is that this is going to give people who have insurance a degree of security and stability, the protection that they don't have today against the sort of mercurial judgments of insurance bureaucrats,' said David Axelrod, a senior adviser to Mr. Obama, adding, 'Our job is to help folks understand how this will help them...'

"On Friday, Speaker Nancy Pelosi, Democrat of California, promised a 'drumbeat across America' to counter what she termed a 'shock and awe, carpet-bombing by the health insurance industry to perpetuate the status quo.'… The drumbeat will begin Monday, when Kathleen Sebelius, the health and human services secretary, travels to Hartford to talk about what the White House now calls 'health insurance reform.' Senator Christopher J. Dodd of Connecticut, who disclosed Friday that he has prostate cancer and pointedly reminded Americans that he was fortunate to have health coverage, will be among several Democratic lawmakers present."

5192100"Democrats leave town for the August recess with frayed nerves and fragile agreements on health-care reform, and a new bogeyman to fire up their constituents: the insurance industry," add the Washington Post's Shailagh Murray and Paul Kane.

"With the House already gone and the Senate set to clear out by Friday, the terms of the recess battle are becoming clear. Republicans will assail the government coverage plan that Democrats and President Obama are advocating as a recklessly expensive federal takeover of health care. And Democrats will counter that GOP opposition represents a de facto endorsement of insurance industry abuses. ...

"In the Senate, a bipartisan coalition of Finance Committee lawmakers is backing a member-run cooperative model as an alternative to the public option. But Republicans are beginning to push back against that cooperative approach, too.

"The latest critic is Sen. John McCain (R-Ariz.), who on Sunday compared insurance co-ops to Fannie Mae and Freddie Mac, the government-backed mortgage giants that played prominent roles in the housing crisis. 'I have not seen a public option that, in my view, meets the test of what would really not eventually lead to a government takeover,' McCain said on CNN's 'State of the Union.'

Politico's Carrie Budoff Brown and Patrick O'Connor, "Senate Democrats spar over public plan"

LA Times' Janet Hook, "Democrats walk a careful line on healthcare"

Bloomberg News' Kristin Jensen and Nicole Gaouette, "Lawmakers Move to Sell Health Plan to Voters, Take on Insurers"

Politico's Glenn Thrush, "5 things to watch during recess"

Gov. Tim Pawlenty, R-Minn., writes in today's Washington Post, "To Fix Health Care, Follow the States"

Associated Press' Tom Raum, "Some health care numbers don't tally"

Associated Press' Charles Babington, "Distortions rife in health care debate"


5196009PRESIDENT OBAMA: President Obama heads to George Mason University in Fairfax, Va., today to tout the implementation of the first new GI bill since 9/11, which helps veterans with paying for higher education.

Meantime, this week, the president will shift his focus to the economy, heading to Elkhart, Ind., on Wednesday for a town meeting-style event.

"Obama returns this week to the economically battered city of Elkhart, Ind., which he visited on Feb. 9 to promote the then-pending stimulus bill. The White House also is bracing for an end-of-the week report that Obama said will likely show another rise in unemployment," reports USA Today's David Jackson.

"In recent days, Obama has credited what he calls the 'Recovery Act' for signs that the recession is slowing, including a better-than-expected report on the gross domestic product (GDP). The increased spending by local, state and federal governments as a result of the stimulus was the key reason for the sharp improvement in the GDP.

"The stimulus package of tax cuts and jobs projects, along with foreclosure help and aid to banks, 'have helped put the brakes on this recession,' Obama said in his weekend radio address.

"Nevertheless, this is cold comfort to people out of work, Obama said, and Friday's unemployment report for July 'is likely to show that we are continuing to lose far too many jobs in this country.' ...

"Obama doesn't plan to ignore health care in the coming days. In the radio address, Obama said he is returning to Elkhart because it has been hit by "the broader economic changes of recent decades" that include higher health costs. As it was during Obama's visit in February, Elkhart is among the nation's leaders in unemployment, at 16.8%."

CBSNews.com, "Larry Summers: Tax Increases Possible"

Washington Post's John Amick, "Geithner, Summers Make Economic Case for Reform"



'CASH FOR CLUNKERS' FINISHED?: "Transportation Secretary Ray LaHood said Sunday that unless the Senate approves $2 billion in additional funding, the Obama administration could be forced to halt as early as Tuesday the 'cash for clunkers' program that has become one of the most visible and fast-acting of the government's economic-stimulus programs," writes the Wall Street Journal's Corey Boles.

"The government program has helped cut stocks of unsold vehicles at many dealerships to their lowest levels in years. When major auto makers report U.S. sales Monday, Ford Motor Co. expects to post its first year-over-year monthly increase since 2007, in part because of the bounce from the program. And Chrysler Group LLC is dropping its offer to double the government rebates as the company's dealers say they are running short of vehicles amid the jump in demand. ...

"[T]he uncertainty over whether the government's pump-priming will continue has thrown a cloud over the program's apparent success in stimulating consumer demand. Senate Democratic leaders said Sunday that they hoped to bring a $2 billion extension to the Senate floor this week as the program's original $1 billion in funding runs low.

"'We are waiting to see what kind of cooperation we can get from Republicans,' said Jim Manley, a spokesman for Senate Majority Leader Harry Reid of Nevada. 'We hope to try and get to the bill this week.'

"A Senate Republican aide said lawmakers want to see evidence that the initial funding for the program will lead to reduced vehicle emissions.

"And some senators are opposed to extending the program unless it is changed to compel consumers to buy more fuel-efficient cars than required. Sens. Susan Collins (R., Maine) and Dianne Feinstein (D., Calif.) have said they won't support extension of the program unless it is made more rigorous."

New York Times' Janie Lorber, "'Cash for Clunkers' Becomes a Republican Target"


ALSO TODAY: President Obama will meet with the Emir of Kuwait, Sabah Al-Ahmad Al-Jaber Al-Sabah, at the White House.

Secretary of State Hillary Clinton departs for Kenya, the first stop on her seven-nation trip to Africa.

Associated Press' Matthew Lee, "Clinton to tackle African trouble spots"

McClatchy Newspaper's Shashank Bengali, "On Africa visit, Clinton won't shy away from thorny issues"


MUST-READ: Excerpts from Dan Balz and Haynes Johnson's new book, "The Battle for America 2008: The Story of an Extraordinary Election":

Leading up to Mr. Obama's decision to run for president

Sen. John McCain's choice of Sarah Palin as his running mate

FOREIGN POLICY

NY Times' David E. Sanger, "U.S. Weighs Iran Sanctions If Talks Are Rejected"

NY Times' Mark Landler, "U.S. to Push Peace in Middle East Media Campaign"


GITMO

LA Times' Josh Meyer and Julian E. Barnes, "U.S. prison plan for Guantanamo inmates under review, officials say"

Associated Press' Lara Jakes, "AP sources: Military-civilian terror prison eyed"


OBAMA ADMINISTRATION

Washington Post's Howard Kurtz, "The Prez, The Press, The Pressure"

Politics Daily's Lynn Sweet, "White House Garden Is 'Completely Safe'"


GOV. MARK SANFORD

The State's John O'Connor, "Sanford Saga: Public business by private e-mails?"


FUTURE RACES

The Hill's Aaron Blake, "In 2010, the most dangerous office to hold could be Governor"

2009 VA Governor: Washington Post's Rosalind S. Helderman, "Democrats in Va. Still Running Against Bush"

2009 VA Governor: Washington Post's Anita Kumar, "Deeds Kicks off Statewide Tour"

2009 VA Governor: Culpeper Star-Exponent, "Deeds, McDonnell address farm forum"

2010 IA Governor: Des Moines Register's Thomas Beaumont, "Branstad says he's weighing run for governor"

2010 NY Governor: NY Times' Nicholas Confessore, "On Governor's Race, Cuomo Stance Is Wait and See"

2010 TX Governor: Dallas Morning News' Gromer Jeffers Jr., "Perry tells Hutchison to stay in Washington to fight for Texas"

2010 FL Senate: Associated Press' Brendan Farrington, "Rubio bets message vs. money wins Fla. Senate seat"

2010 LA Senate: WWL-TV, "Jindal answers rumors of Senate run"

2010 TX Senate: Austin American-Statesman's Jason Embry, "Waiting for Hutchison"