Group of Senate Democrats Against Larry Summers at the Federal Reserve

Talking Points Memo report that Senate Democrats have sent a letter to President Barack Obama. These mostly undisclosed Democrats are against Lawrence Summers being appointed as chairman of the Federal Reserve.

"There's a lot of concern among a lot of Democrats about an appointment of Larry Summers to that long-term position as Fed chairman," Sen. Tom Harkin (D-IA), who signed the letter, told the Journal. "He was one of the architects of getting rid of Glass-Steagall, of getting rid of other regulations. There's real concern about his economic views not really being in line with Obama's views."

Sens. Dianne Feinstein (D-CA), Dick Durbin (D-IL) and Angus King (I-ME) are also confirmed to have signed the letter.

These groups of Democrats want Obama to appoint Janet Yellen as chair of the Federal Reserve. Sheila Bair, former chair of the FDIC, makes the case to appoint Yellen. Bair notes Yellen's resume and knocks Summers role in deregulation.

That could change if the heir apparent to succeed Ben Bernanke as Chair of the Federal Reserve Board, Janet Yellen, is nominated for the job by President Obama. Certainly, there is no better qualified candidate to fill Bernanke's shoes when he steps down in January. A noted economist, Yellen headed the Council of Economic Advisors for two years; led the San Francisco Federal Reserve Bank for six years; and has served ably as Bernanke's Vice Chairman since 2010. Unlike Larry Summers, Tim Geithner, and Bob Rubin -- minions frequently mentioned in the financial press as potential Bernanke successors -- she was not part of the deregulatory cabal that got us into the 2008 financial crisis. In fact, she had a solid record as a bank regulator at the San Francisco Fed and was one of the few in the Fed system to sound the alarm on the risks of subprime mortgages in 2007.

Bair and Ezra Klein report there currently a whisper campaign against Yellen's nomination. The question is who is behind the whisper campaign?

Tom Harkin on Republican Obstructionists

Tom Harkins explains how Senate Democrats plan to counter Republic attempts to delay the health care bill.

If the Republicans want to stay here this Saturday and Sunday to read the bill, then let them stay here," he said. "We are planning to do something that would require Republicans to be there 24 hours a day, and if they leave the floor, we'll ask unanimous consent to dispense with the reading, and that'll be the end of it."

Republicans will eventually have to leave the floor. Count on it.

Tom Harkin on the Public Option

The Senate Finance Committee killed the public option. Tom Harkin tells Ed Schultz the final bill will have the public option.

HARKIN: I believe that when we merge these two bills, we will have a public option in there that we will take to the floor of the Senate and we're going to pass it.

SCHULTZ: Well, okay, so despite what happened in the Senate Finance Committee today, you think you've got the votes to get a public option coming out of the Senate? Cause I'm not so worried about the House anymore and I think the American people, I mean, this is gonna be reported, all the talking heads are gonna say, "Hey, public option is dead." I need to have some confidence tonight with you, Senator Harkin, that you think you can get these votes out of the Senate.

HARKIN: Well here's one thing I will guarantee you, Ed, and I will tell you again as I've told you before -- we will have a bill on the President's desk before Christmas and it will have a public option.

SCHULTZ: Well that's what the American people want to hear. Now ...

HARKIN: I know it and most of the doctors want it, 73% of the doctors polled want a public option, uh, sixty-some percent of the American people want a public option and the vast majority of Democrats, over fifty in the United States Senate, also want a public option.

SCHULTZ: Okay now, are you going to have to go reconciliation? You're not going to get sixty at this point are you?

HARKIN: Well, I wouldn't give up on that yet. I still think that we can get sixty votes to bring the bill on the floor of the Senate. And then we'll have amendments and then we'll have, probably have to have a cloture on the bill to bring it to a close. Now that will be the tough vote. I still believe that we can get the sixty votes for that.

SCHULTZ: Okay, what about ...

HARKIN: But if we don't, Ed, if we don't, we're going to go to reconciliation. As I said to you, and as I say to the American people, we will have this bill on the President's desk by Christmas, one way or the other.

Reconciliation is only used on bills that involve the federal budget. Health care definately falls into that category. The question is will Harry Reid push for reconciliation? President Bill Clinton attempted to use reconciliation to pass health care reform. Sen. Robert Byrd stopped Clinton. The Byrd Rule was created to limit reconciliation only to deficit reduction.

* a provision that mitigates direct effects attributable to a second provision which changes outlays or revenue when the provisions together produce a net reduction in outlays;

* the provision will result in a substantial reduction in outlays or a substantial increase in revenues during fiscal years after the fiscal years covered by the reconciliation bill;

* the provision will likely reduce outlays or increase revenues based on actions that are not currently projected by CBO for scorekeeping purposes; or

* such provision will likely produce significant reduction in outlays or increase in revenues, but due to insufficient data such reduction or increase cannot be reliably estimated.

Republicans will be looking for potential ways a public option bill would violate the Byrd rule. If a violation is found then 60 votes will be needed to a filibuster.